Costco (cost) Stock Research
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Generic strategies categorize companies by the scope and the strength of their business. Costco does not have a definable strategy, therefore, it risks losing out to firms that concentrate on one particular competitive advantage. (read more).
Company Description: Costco Wholesale Corporation operates self-service retail warehouses that require store memberships to shop their various branded and private label products. There are grocery items, clothing, fruit, electronics, health and beauty, furniture, optical, photo services, and more for consumers. Costcos membership programs offers Business, Gold Star, and Executive levels. Costos has locations around the world. Update
Staples Industry Research & Analysis: The consumer staple industry includes companies whose sales come from necessary consumer staple purchases such as rent, mortgage and food. Staples Trading Strategy: The consumer staple industry tends to be less sensitive to economic cycles. Look for undervalued staple investments at any time in the business cycle when stock prices are low, and especially during the late stages of a bull markets when investors become more defensive. The global economy is currently in a recession, therefore, investors are rotating money out of consumer staples and into faster growth industries. Upward sloping stock charts and financial news may indicate a selling opportunity while the opposite means that stocks are becoming undervalued.
Industry Sub Sector: . The market is quickly expanding. This lowers the threat of direct competition and increases Costco's profits.
Market Challenges: Opportunities: Solutions:
Costco's business strategy is to keep things simple. Clearly-defined strategies lower business risks by staying within their areas of expertise.
Strategy: Competitive Advantages:
Costco has consistent operating results. This lowers the risk that Costco will suddenly have difficulty and it increases investor confidence in the value they place on each share.
Current Revenue Sources: Future Revenue Sources: