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Record W4391948507 · doi:10.61173/zpps9q70

What is the Role of the Membership Model and Warehouse Model inAttracting and Retaining Costco Customers

2024· article· en· W4391948507 on OpenAlex

Why this work is in the frame

A frame that forgets how it found something cannot be audited. These are the routes that admitted this work.

aboutThe title or abstract carries a Canadian signal from the geographic lexicon.
no affNo Canadian affiliation: this work is invisible to an affiliation-only frame.
No Canadian affiliation. An affiliation-only frame, the usual design, would never have seen this work. It is one of the works that make the case for inverting the frame.

Bibliographic record

VenueFinance & Economics · 2024
Typearticle
Languageen
FieldBusiness, Management and Accounting
TopicConsumer Packaging Perceptions and Trends
Canadian institutionsnot available
Fundersnot available
KeywordsProfit (economics)Business modelProduct (mathematics)BusinessMarketingQuality (philosophy)Industrial organizationEconomicsMicroeconomics

Abstract

fetched live from OpenAlex

While substantial research has been conducted on Costco’s unique business strategies and models, few researchers have taken an in-depth look into Costco customers. As one of the most famous retailers in North America, Costco’s mission is “to continually provide members with quality goods and services at the lowest possible prices (Costco.com).” This statement reflects Costco’s essential competitiveness in keeping its member pricing as low as possible. Costco chose a novel business model to achieve a low price and profit from membership fees instead of pricing the goods too high. Meanwhile, their warehouse model reduced labor costs and increased the quantity offered for a single product. Costco created a new business model integrating memberships and bulk sales, reducing product prices and attracting more customers. With the increasing development of the economy, especially in North America, various novel business models have been used; however, their essential working principle is rarely emphasized. This paper aims to find out what the roles of warehouse and membership are in gaining more customers and benefiting the company. This study surveyed 30 respondents living in Toronto with Costco stores to determine members’ attitudes toward these two business models. The study also used the quantitative method using secondary data sources such as Costco’s website, annual reports, and various financial websites. Results indicate that by uniquely positioning itself as a paid-membership and warehouse model, Costco’s strategies brought massive attention through the invisible advertisements implicitly found in that positioning.

Fetched live from OpenAlex and de-inverted. Abstracts are not stored in this database: the inverted indexes are 8.6 GB of the frame’s 9.3 GB of text, and the host has 13 GB free.

Full frame distilled prediction

Teacher imitation

Not calibrated prevalence, not ground truth. Human validation pending. Learned from the 10,348 direct Codex labels and 10,348 direct Gemma labels. Candidate is the union of thresholded teacher heads; consensus is their intersection. These outputs are machine_predicted_unvalidated and are not human labels or direct frontier model labels.

metaresearch head score (Codex)0.000
metaresearch head score (Gemma)0.000
Version: codex-gemma-dda1882f352aValidation status: machine_predicted_unvalidated
Candidate categoriesnone
Consensus categoriesnone
DomainCandidate signal: none · Consensus signal: none
Study designCandidate signal: Simulation or modeling · Consensus signal: none
GenreCandidate signal: Empirical · Consensus signal: Empirical
Teacher disagreement score0.803
Threshold uncertainty score0.481

Codex and Gemma teacher scores by category

CategoryCodexGemma
Metaresearch0.0000.000
Meta-epidemiology (narrow)0.0000.000
Meta-epidemiology (broad)0.0000.000
Bibliometrics0.0000.000
Science and technology studies0.0000.000
Scholarly communication0.0000.001
Open science0.0000.000
Research integrity0.0000.000
Insufficient payload (model declined to judge)0.0000.000

Machine scores (provisional)

The two teacher heads of the student model, read on this work. A score orders the frame for review; it never asserts a category, and the validation status ships verbatim with every row.

Baseline scores from an immature model (maturity gate not passed, 7 training rounds). Scores rank; they never assert a category.

Opus teacher head0.024
GPT teacher head0.225
Teacher spread0.202 · how far apart the two teachers sit on this one work
Validation statusscore_only:v0-immature-baseline · verbatim from the scoring run: score_only means the number may rank works, and no category label ships from it