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Strategies & Market Trends : Bill Wexler's Profits of DOOM -- Ignore unavailable to you. Want to Upgrade?

To: Merg who wrote (2754)	9/15/1998 12:21:00 PM
From: peter michaelson	Respond to of 4634

Bill & Merg: Yes on COST, we shop there too. But a 27x PE? Seems to me, the key to their business is impulse shopping and unnecessary consumption. They make it appear that you are saving money and therefore you buy those huge quantities which end up disappearing faster from the larder than would be the case if you had to go back to the store for more. On impulse shopping, the bargain/flea market attitude creates a sort of frenzy to acquire more. Almost everybody walks out with some $30 to $100 item they never intended to buy. To the degree that this increases profitability, COST is not recession resistant. peter