Posted on 07/22/2005 7:17:48 AM PDT by TaxRelief
... Some Wall Street analysts assert that CEO Jim Sinegal is overly generous not only to Costco's customers but to its workers as well.
Costco's average pay, for example, is $17 an hour, 42 percent higher than its fiercest rival, Sam's Club. And Costco's health plan makes those at many other retailers look Scroogish. One analyst, Bill Dreher of Deutsche Bank, complained last year that at Costco "it's better to be an employee or a customer than a shareholder."
Mr. Sinegal begs to differ. ...Good wages and benefits are why Costco has extremely low rates of turnover and theft by employees, he said. And Costco's customers, who are more affluent than other warehouse store shoppers, stay loyal because they like that low prices do not come at the workers' expense. "This is not altruistic," he said. "This is good business."
...Costco's stock price has risen more than 10 percent in the last 12 months, while Wal-Mart's has slipped 5 percent. Costco shares sell for almost 23 times expected earnings; at Wal-Mart the multiple is about 19. Mr. Dreher said Costco's share price was so high because so many people love the company. "It's a cult stock," he said.
(Excerpt) Read more at nytimes.com ...
It's called sarcasm, you idiot.
Personally I don't approve of businesses contributing to either political party. That is what got us our current situation where the politicians are all bought and paid for. The Republicans who should be in favor of: law and order, national security including secure borders, and American first policies are instead totally beholden to the cheap labor business interests who fund their ridiculously expensive campaigns and as a result are putting their selfish interests in front of the clear will of the American people.
"Get a life! They do not sell cheap crap! Is RoundUp cheap crap? All hardware stores, nursery's, Lowes, Home Depot, etc., sell it. Is it cheap crap there? Does the bottled water at WalMart give you cancer or contains sewage? Do the screws, nuts, bolts, and nails break or bend to easily? WalMart sells the same GE lightbulbs at the grocery stores - is it cheap crap in the grocery stores? They sell the same Avery paper products as Staples - is it cheap crap at Staples? They sell Kodak and Fuji film - is that cheap crap in other stores? They sell Everyready and Duracell batteries - is that cheap crap in other stores?"
I'd have to second this guy's opinion that Walmart sells cheap crap. From Wagner airless spray guns... to garden hoses. Most everything you buy there falls apart in 15 minutes.
Just did a search. Lowes and Home Depot both sell Wagner. Is it cheap there? I have had a Wagner spray painter for years. Always works good for me. I bought three garden hoses from WalMart years ago. Still have them.
Excellent article. This proves the lie that American businesses cannot be competitive and turn a profit without shafting their employees.
"It's called sarcasm, you idiot."
It's good to see that you clearly identify your intent.
Just as you stick with board rules and avoid ad-hominem attacks. (sarcasm intended there).
You know what they say about stock investment advice: Use your own best judgement.
Personally, although I will shop at Costco, I would not own stock in Costco. I would own stock in Walmart on the other hand.
Everyone has to make their own investment decisions based on the available information.
LOL...either I'm jinxed or your lucky.....take your pick.
Have you sent your complaint to FR yet? You should before you injure yourself. LOL - you made my day!
True, but keep in mind that Costco has an upscale clientele. While the economy is good, Costco will prosper. Any downturn in the economy will hurt Costco and boost Walmart.
My typical Walmart shopping list:
meat
sausage
tropicana orange juice
milk
eggs
cheese (Vermont, does that count?)
bread
salami
lunchables
cereal
frozen pictsweet vegetables
California Avocados
Georgia onions
Maine lobster
frozen raspberries
Saltines
Lysol
Wisk
Clorox
Cascade
Hanes socks
Hanes undergarments
Crayola Crayons
Knex
These things are cheap, but they don't fall apart. OK. I admit it; The crayons do break.
"You've learned how to spell a new word - ALLOT!!!!"
I made a mistake, I admit imperfection, it seems you have a problem in that regard.
In the context of your post... "allot" doesn't fit. If you're telling me you meant that:
"Walmart and Costco get allot of their stuff from Communist China."
Was what you meant to say, you're telling us China allocates what those two vendors get?
And...
"In fact allot of it is the SAME stuff and Walmart "
Means the allocation is the same?
If that's what you meant, at the very least it's poor grammar. I dinged you because you did it twice. It was lighthearted, at first.
Don't bother with the dictionary, you know all that you can be taught.
"Ah, another thin skinned closest liberal."
The voracity and number of your replies tells me more than I want to know about you. Fortunately, I'm not nearly as spun up as you are. I don't allow those of lesser capacity to bother me. You even went to the trouble of directing me to one of your favorite sites. Bless your little heart.
Forgive my correction. I now understand you are at the upper limit of your ability. Keep posting, perhaps someone will even care what you have to say one day.
Well, I can see that Mr. Sinegal is a true Demonrat because he is stupid.
I have two giant bottles of Heinz ketchup from Sam's Club sitting in my pantry right now.
No Costco around here--Sam's Club is just fine for me!
But prior to the election, 95% of the books on their tables were RAT-based, mooreish tripe. They refused to show books as those from the right as "Unfit to Command." I complained but they did not remove the books until after the election. They were very heavy with the Clintoon books and tapes.
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