Financial Statement Numbers and Ratios
By: 12345678ll • November 9, 2014 • Essay • 255 Words (2 Pages) • 1,398 Views
fair or relevant using absolute numbers in such comparisons, so we must look at common financial statement numbers and ratios.
Comparing these ratios, we can see that both companies performances are near to each other. And Costco is better in 2011 and 2008 but is worse in 2010 and 2009.
And then we discuss how well Costco is performing from a strategic perspective.
Actually, from a strategic perspective, Costco enjoy a competitive advantage over Sam's Club and BJ's Wholesale. For example, targeting wealthier clients of business owners and middle class shoppers, allowed Costco to increase membership fees without the members complaining (as long as it offers these clients better savings).
Offering the best value and reducing markup to 14 percent or less, allowed them to attract more members and differentiate with other retailers or wholesale clubs.
Expanding its selections of brand product along with adding ancillary products and variety of services helped attract more
...