How is this possible? they should be out of business

how is this possible? they should be out of business

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>get Americans to come to your store for 'muh chickum'
>they also buy $50 worth of skittles

Profit

The loss fits in the margin, easily

I don't understand what that headline is trying to stay and I have a consistent score of 100% in reading comprehension and a master's in writing.

I've never gone shopping at costco without buying something I didn't plan to get
They know what they're doing

They use the big numbers as clickbait. The investment in the chicken factory was $300 million but they didn't lose $300 million. A loss leader just means they don't plan on making a profit, so if they make $290 million off it they take a $10 million dollar hit, but the idea is to bring more people into Costco to buy extra items because people don't usually just buy one thing and leave.

....Costco is one of those companies where they don't just sell one type of product: they also sell a bunch of things other than food in bulk. So they lost money on chicken, they're still making money on a whole bunch of other things they sell and do. Also, Costco treats and pays their employees well (at least from my local one and the warehouse). They'll take a hit, but they won't be out of business.

I know a poorfag like you would bite the bullet if he lost $300m; but to someone or a business as successful as Costco this isn't that big a deal and is an inevitable expectation.

maybe you should google "loss-leader"
>I have a consistent score of 100% in reading comprehension and a master's in writing.

No you don't, unless it's in another language.

I've always thought of Costco as the "credit union" of big stores.

You would if you only went there for the cheap chicken.

That picture reminds me of the 6 million Jews who were gassed and ovened at offswitch :'(

>Master's in writing.
>stay
>Doesn't understand simple headline.

Let me clear it up for you brainlet, they sell chickens that they lose money on to get people to come to the store. So many chickens, in fact, that they opened a $300M factory.

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Im sure that if someone is in there to buy a chicken they'll buy a ton of other shit.

What makes you think that you're smarter than a corporation which is comprised of a huge amount of people, thats one goal is literally to make money?

a loss leader is something you sell below cost to get people to shop at your store

I would buy fried chicken from Costco if they also had wedges.

>thats one goal is literally to make money?
END THIS MEME

I love Costco.

Best

Store

Evah

I use to work at Costco. Their low price milk, chicken, and hot dogs are a lure to get people to buy $20 cheeses and $28 worth of chocolate covered fruit. The store is set up so you see the really expensive tvs first and think wow 6k? That’s crazy expensive for a tv. Then you go on and when you see $9/lbs salmon you’re more willing to buy it bc it’s not so comparatively expensive

>family members hate going to Costco with me because I insist on "speed-running" through store, I refuse samples, and I only buy essentials that are cheaper bought at Costco and loss leaders.
>maybe a hotdog on my way out if I'm feeling decadent
>will stop mom or sis before they put garbage like pre-made tricolor tortellini or candy in their carts and ask them directly if they need it
>they put it back on the shelves angrily

No, why would you think that? If loss leaders didn't work you wouldn't see them used constantly by every food vendor in existence. All they're doing is selling a product that costs more to make then the money people spend to buy it. That doesn't mean they're spending more money than they're making overall, it's just that one product. It's just another form of advertising. Nobody thinks it's weird you pay more money for advertising even though you don't get paid by customers directly in exchange for your ads, right? It's the same thing. You're spending money to attract customers.

WELCOME TO COSTCO

I LOVE YOU

You can also go in the afternoon since that would normally conflict with cooking dinner. This way you don't have to shop in the morning and then cook and lose your whole day.

>tricolor tortellini
>bad

I hope they forget to buy your chicken tendies one day you massive sperg

Solid post

A master's in writing is like wearing a "I'm with stupid" shirt.

This. People spend around $150 per trip. And this is made up of like 5-10 items.

>be me
>don't even have a costco card
>use costco's pharmacy
>step a toe in door
>middle aged woman employee bum rushes me looking for my card
>"I'm going to the pharmacy"
>she leaves
>walk past the flat screen tv's
>round the corner
>some fucking clown in a tucked polo shirt and slacks comes sprinting towards me
>"EXCUSE ME SIR, HOW HAPPY ARE YOU WITH YOUR CABLE PROVIDER?"
>ffs not interested pal
>walk past the bulk candy
>some free sample cunt tries to get me to stop
>NOT INTERESTED
>make it to pharmacy
>get my shit and fucking leave
>middle aged woman employee at the door eye fucking everyone leaving
>she begins to approach when I hold my pharmacy bag up
>she backs off
The only reason I use costco's pharmacy is because the only other one near me is cvs and they fucking suck, shit is never ready... The times I've looked around in costco, I've noticed that most of their shit is way over priced, but there are good deals. Still don't think it's worth it

Very cringe. But the real question, boomer or zoomer?

that autism medication aint cheap I reckon

how is that a loss if people have to pay membership fees just to enter store?

Yeah it's called priming. Basic marketing stuff, a lot of store do it.

You don't have to be a member to buy the food

It's funny I almost never have

>chickens raised in battery cages
I agree, they should be out of business.

Thats the stupid thing about this thread, ppl dont realize costco's only profit is from memberships, the entire sales operation is only to get new members.

And yet you can't write a sentence... Mup da dib doob bix nood mufuggen

>refusing samples
why

>be me
>go into Costco without a membership card
>guy at the door doesn't stop me
>look around to see if there is anything that would make a membership worthwhile
>not really
>leave

>master's in writing

Did your college also offer a master's in breathing, mongoloid?

Costco chickens are legit god-tier. $5 for three days worth of chicken and it comes already cooked

Each Costco must sell hundreds of rotisserie chickens a day. It's an easy meal for the family that day, just add a couple sides. That brings in the customers who will also half fill a cart on the way to the checkout.
Can confirm the chickens are delicious.

> the dumb goy thinks it's chicken
Where do you think the missing kids, YOUR missing kids go?

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the amount you save in gas alone is worth the membership

where I live there is a $.02 per ounce soda tax so I go to the costco in the next town to save me a ton on soda

>Paying for entering a shop

HAHAHAHAHAAHSHAHAHAHAHSHA

Explain yourselves americans

>the amount you save in gas alone is worth the membership
Save what, 10¢ a gallon? If I save $1.10 per fill up once every 2 or 3 weeks, it's really not worth it to drive miles out of my way just to get gas.

Good kitchen, always stocked, big dicked employees and also cheap gas.

>DIOS

This dude's parents named him GOD, pretty alpha tbqh

Didn't you hear that the black unemployment rate was at an historical low?

thanks for the blog you dumb fucking nigger

Did you go to Phoenix University?

They're building it in my hometown, too. A few years ago they passed some sort of ordinance that made all the beaners leave and they just really want all those beans back. That's why the chicken factory. It'll bring hundreds of beans.

>I have a consistent score of 100% in reading comprehension and a master's in writing.

Yeah you got that in fucking Trump University I guess amerifat kek

> masters in writing
Fag.
A “loss leader” takes a loss on a specific product in order to steal market share from competition. Companies do it all the time.

>dios
i've heard of "jesus" as a boy's name, but this is just ridiculous.

Says the cuck who sells corn oil and melons along the Pan American highway