The Costco Case - Assignment Example

In an industry where competition is stiff, an organization need to develop strategies that would enhance its position in the marketing by attracting more customers. The competitors here are sure employing several strategies such as pricing in an attempt to develop a competitive edge and be the market leader. Yes, all these three club rivals-Costco, Sam’s and BJ’s wholesale have high similar strategies. They both sell their products at very low prices to attract customers, offer a variety of products from which customers can choose from, have a strong emphasis on low operating costs, all use cross-docking technique to reduce the operational cost and to guarantee that the products reach the stores and the customers in good time and all the stores ensure quality products to their customers.

All also ensure that they offer quality to execute, quality merchandise and superior shopping experience to all their customers and members in the wholesale club industry. However, there are some different in their strategies of the BJ’s that are apparent. BJ’s ensures that it stocks a broader product assortment than Sam’s club and the Costco club, it also offers its products in some smaller package sizes that are easier for its customers to carry home and store conveniently compared to the other two clubs, it is the only club that accept manufacturing coupon which provides added value to its customers, and it also allows its customers to purchase various products online through their website if such products are not found in the companies warehouse club.

Therefore, BJ’s appears to have a better strategy than the other two rivals. On the other hand, Sam’s strategies appear to be some weak compared to the other two competitors. Its strategy seems to follow the market trend. It does not have any unique strategies for its products but responds to the