Why Costco beats Mall-Wart..

[Bigmack]

Yes... I know... Big Box Store Kills Local Merchant...

but...

better a BBS that treats it's people like human beings! The article is mostly about the CEO, but his management practices should be industry-wide.
- - - -
snip..

"Get what you pay for"

Costco, which raised its hourly wage this year by $1, has an average wage of $17.60, nearly 40 percent higher than the national average in retail. At Sam's Club, the average wage is $10.78 an hour, according to Wal-Mart Stores Inc.

Costco managers, who typically are promoted from within, make six-figure incomes by running warehouses that on average generate $130 million a year in revenues. Costco also covers 90 percent of an employee's health care cost and makes contributions to employees' 401(k) plans.

Sinegal said treating customers and employees well would result in long-term growth, which rewards shareholders.

The company's stock price has increased 26.9 percent this year while the S&P 500 average has increased 3.6 percent.
http://seattlepi.nwsource.com/business/341749_costco30.html

[wtmusic]

1. But...but...you can't be profitable and treat employees fairly

that would fly in the face of everything Reagan taught us

[madokie]

2. I read this about this same time last year

don't know if its the same exact story but if its not it pretty much says the same thing.

There's a sear and roebuck email going around now that made the news last year about the same time. that is saying how good sears is because they keep right on paying the employees who are in the national guard and in the war zone, something to that effect. Due to these examples I wonder if maybe the intent is actually advertizing rather through a feel good story:-)

[LakeSamish706]

3. I've always had a fondness for Costco and there staff and products...

My question is, why can't Walmart treat there employees and customers with the same regard that Costco does?

[madrchsod]

5. walmart distribution centers pay a very good wage with benefits

the one near here starts at over 12 and if one works overtime plus incentives the pay is close to 21. one can work various hours , a standard weekly schedule or a 3 day weekend shift that pays as much as a 5 day.

they pay this wage because it`s the standard rate for big box distribution centers across the country

[iamahaingttta]

6. "Can't"??

Wrong question.

Won't.

Because that would cut into their obscene profits.

[Cirque du So-What]

4. I'm moving to Ohio soon, and there's a Costco within driving distance

in Columbus. I've looked forward to getting my goods directly from a Costco warehouse for quite some time, and now it's becoming a reality.