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COSTCO company case study
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Excerpt from Case Study:
COSTCO company case study
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Costco has a relatively flat organizational structure with a minimum of management. The company operates with geographic units as its major structure, with Canada and international as units. Costco has some degree of vertical integration in that it owns its land and buildings
Costcos systems drive its competitive advantages. The company places strong emphasis on merchandising systems to move product quickly. The distribution system is designed to ensure that a minimum level of inventory is held. The accounts payable system is designed to gain the maximum financial advantage from supplier discounts. The human resources system emphasizes employee loyalty under the premise that loyal employees will help to market the company......
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