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Marketing Management Unit 5

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Abstract The Costco Wholesale Corporation is one of the leading wholesalers in the world; it operates a chain of membership warehouses globally. The company offers products quality, brand name merchandise at lower prices than are normally found at conventional wholesale or retail sources. The warehouses are designed for small businesses and individual uses.

When consumers think of membership wholesale businesses the first to come to mind is Costco Wholesale. The company is one of the largest wholesale warehouses that offer a vast variety of goods, some of these items are groceries, appliances, media equipment, automotive supplies, you name it Costco has it. The company is also known for pricing their goods below traditional wholesale prices. The company was first founded in 1983 by James Sinegal and Jeffrey Brotman and was located in Seattle, Washington. It was originally named Price/Costco, Inc due to the merger of both companies but was later changed to the Costco Wholesale Corporation in 1999. The concept of offering membership to consumers was initiated by the Price Company but carried on through the merger. James Sinegal has remained the company’s president and chief executive officer since 1983. His mission is to continually provide Costco’s members with quality goods and services at the lowest possible prices. (Costco.com, n.d.) The company has continued to be a leader in the service industry, this is reflected in the 66.5 million memberships it has worldwide. (Costco.com, n.d.) Although the company originated in the United States, it has expanded its business internationally. Warehouses can be found in Canada, Australia, Korea and Mexico to name a few. Aside from the United States, Canada and Mexico offer many locations, consumers can find eighty two warehouses in nine Canadian provinces and thirty two in eighteen Mexican states.

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