this post was submitted on 02 Nov 2023
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Costco loses a good amount of money on the food. The CEO has principles.
The food court and samples is a loss leader, also it anchors people to the perception that Costco is cheap.
They loose money on the hotdog, but gain money on the foot traffic. It’s good for business at the end of the day.
Lose. They lose money.
No, no, you misunderstand, see: they spend all their lose change and while that causes them to loose money on the food, they gain in the long run.
Ahhh. This is what an aneurysm feels like.