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

To: Bill Wexler who wrote (3291)	10/2/1998 3:04:00 AM
From: Lonnie	Respond to of 4634

Hi Bill. "And if they feel their incomes getting squeezed, I bet they'll appreciate Costco even more." I couldn't agree more. And as the economy worsens the bigger ticket items taking up floor space will be replaced by more staples and food items. I live in the Vancouver area in BC and the lineups at both the area stores are a nightmare.....the savings are worth it. Lonnie.

To: Bill Wexler who wrote (3291)	10/2/1998 3:37:00 AM
From: mchip	Respond to of 4634

Agreed Bill.. COST has a great turn ratio, and an ability to get "month late" and even “now” merchandise at a good price depending on local demand. Warehouse stores have always had good deals for bulk… but sometimes they were used to dump older stock and out of season merchandise. I have BJ's, Sam's and Costco's close and COST seems to be the timeliest. One thing I look at is batteries… lots have the “best used before” date now… go to a ‘drug store' and the dates are way into the 2000's!. COST is not as recent.. but I've seen better ‘best used' dates at COST than Sam or BJ. Demand management for products COST also looks good. Seasonal demand for products is tough to figure but things like ‘Fans' and ‘Air Conditioners' sell out way before the demand is done… opportunity cost lost?? Yeah… but no carry cost till the next season. Refinement possible. ( I actually needed a fan and COST was out.. got one at BJ's….from a few hundred.) Inventory turn is the most important factor in this arena. COST seems to be good at inventory supply/demand… erring on the short side.