Tony Shelton
BS Detector, Esquire
I've read the Sam Walton biography and studied many different business models. But tonight I saw the Costco documentary on CNBC and realized that I'm not crazy....my business model is already out there and is very successful. I was a little cocky in thinking that I thought it up myself.
One interesting quote from the documentary:
"Other retailers selling this hot dog for $5.00 wonder if they could sell it for $5.25.....We sell it for $1.50 and try to figure out how to sell it for less".
That is the American way. Finding a more efficient method and passing the savings on to the customer. This is what raised the standard of living in our country and brought on the boom in the 50's that most of us never even got to see.
Costco also pays their employees slightly higher than their competitors. That's another model I thought I was alone in, but it appears I'm on the right track.
Better efficiency is what training, and certifications are all about. Artificially keeping prices higher without the commensurate increases in quality is a recipe for failure. That is why Costco is one of the largest retailers in the world.
Don't be fooled by inexperienced one-hit wonder contractors into believing that higher prices mean higher profit in the long run. It is a recipe for disaster when someone who cares about the public and wants to do a great job comes in and takes all your business.
Here's the link about the show, I don't know how to get the video.
http://www.cnbc.com/id/46603589
One interesting quote from the documentary:
"Other retailers selling this hot dog for $5.00 wonder if they could sell it for $5.25.....We sell it for $1.50 and try to figure out how to sell it for less".
That is the American way. Finding a more efficient method and passing the savings on to the customer. This is what raised the standard of living in our country and brought on the boom in the 50's that most of us never even got to see.
Costco also pays their employees slightly higher than their competitors. That's another model I thought I was alone in, but it appears I'm on the right track.
Better efficiency is what training, and certifications are all about. Artificially keeping prices higher without the commensurate increases in quality is a recipe for failure. That is why Costco is one of the largest retailers in the world.
Don't be fooled by inexperienced one-hit wonder contractors into believing that higher prices mean higher profit in the long run. It is a recipe for disaster when someone who cares about the public and wants to do a great job comes in and takes all your business.
Here's the link about the show, I don't know how to get the video.
http://www.cnbc.com/id/46603589
