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Costco Wholesale in 2022: Mission, Business Model, and Strategy
Academic Integri
Costco Wholesale in 2022: Mission, Business Model, and Strategy
Academic Integrity:
WARNING: The paper you submit must be your own work. WRITE EVERYTHING IN YOUR OWN WORDS. Do not use AI-generated content. Do not plagiarize. Do not copy anything from anywhere.
I will check your paper using multiple electronic detection methods to detect plagiarism and AI-generated content. If there is any evidence of plagiarism or the use of AI-generated content in any part of the assignment, you will receive a ‘0’ on the entire assignment, and at my discretion I may assign you an ‘F’ for the entire course and report you to the University’s Office of Student Accountability for disciplinary action. There are no valid excuses for cheating.
You may use tools such as Grammarly ONLY to check for spelling, grammar, punctuation, and other writing errors. Again, your writing must be your own original work. (This is now the 2nd time I’ve said this).
If you have questions regarding how to avoid academic dishonesty, feel free to ask me in advance while you are working on the assignment. There’s nothing to lose by asking, and I promise to offer friendly, supportive, and judgment-free guidance if you are sincerely trying to do the right thing.
I recommend you review Academic Integrity and Professionalism.
Overview of Assignment:
The purpose of the case analyses is to evaluate your analytical and critical thinking skills and your ability to apply strategic management tools and concepts you are learning in the course.
You will read and analyze the case, “Costco Wholesale in 2022: Mission, Business Model, and Strategy.” This case can be found in the textbook following Chapter 10.
This is a lengthy case. I strongly recommend you start reading it well in advance.
I have no objection to you discussing the case with other students in the class while you are working on your analysis. However, the paper you submit must be your own work. (This is now the 3rd time I’ve said this).
Time Period for Analysis and Information Sources:
Stick with events at the time the case was published. Anything that happened after the case was published is not relevant to your analysis.
Other than drawing from relevant concepts in the textbook chapters, you should use only the information presented in the case for your analysis. You do not need any references or other information external to the case. Again, the paper you submit must be your own work. (This is now the 4th time I’ve said this).
Content of Your Paper:
Do not include a cover page with your name/course/date/professor’s name/etc. (Canvas automatically adds your name to files you submit).
Your analysis should be based on the following three parts, in a minimum of one page (up to 1.5 pages is okay). It should be single-spaced, using 1-inch margins and Calibri 10 pt font. Use section headings to identify each part clearly. Your paper will not be graded if section headings are not included. Do not copy and paste the below questions into your paper. Instead, just use the one-word header for each part shown in blue font below (Strategy, Competition, and Performance).
Strategy:
What are the key elements of Costco’s strategy?
How does Costco keep its costs low? Be specific.
Competition:
Using the five forces model (Ch. 3), identify which competitive force is the strongest (i.e., exerts the most competitive pressure) in the North American wholesale club industry and explain why.
Using the five forces model (Ch. 3), identify which competitive force is the weakest (i.e., exerts the least competitive pressure) in the North American wholesale club industry and explain why.
Performance:
How well is Costco performing financially? Using the income statement (Exhibit 1) in the case, discuss their performance from 2019-2021 (fiscal years). At a minimum, include revenue (net sales and membership fees), operating income, net income, and net profit margin. Show and interpret the numbers to form a conclusion about Costco’s financial performance during this time period.
When presenting financial data:
Pay attention to how financial data is reported in case exhibits. For example, is data reported in thousands or millions? MANY students report financial data incorrectly from income statements because they simply copy numbers and don’t think about how the numbers are reported in the statement. THINK BEFORE YOU MINDLESSLY COPY NUMBERS!!
???? Note: There is an error in Exhibit 2 in the case. At the top of the exhibit, it should read “in millions of dollars”, not “in billions of dollars.”
Report currency figures as shown in these examples:
Billions: $4.3B
Millions: $5.4M
Thousands: $72.8K
Your analysis should be tightly focused on the three parts above. Do not include detailed case background or company history, and do not repeat or narrate what the case already says. Present your ANALYSIS of the CASE, not your personal opinions of the company or your personal experiences with the company’s products/services. In addition, everything you write should be in YOUR words, not AI-generated content or someone else’s analysis that you happened to find somewhere on the Internet. (This is now the 5th time I’ve said this).
Formatting and Writing Guidelines:
One page, single-spaced, using 1-inch margins and Calibri 10 pt font.
Submit a Word document; other formats are not accepted.
Remember to use section headings for each of the three parts of the paper, not the questions copied/pasted.
Use short, focused paragraphs. Do not write lengthy paragraphs.
Delete all hedging language such as “I think,” “I feel,” “I believe,” or “In my opinion.”
Ensure that your paper is clearly organized and well-written. Proofread spelling, grammar, punctuation, sentence structure, and word usage.
Do not copy text, tables, charts, or anything from the case, textbook, or any external source. Do not directly quote anything – not even one sentence – from the textbook, case, or any external source, even if you cite/reference it. Write everything in your own words.
Checklist Before Submitting Your Paper:
Is everything written in your own words? (Yep, that’s right, it’s the 6th time I’ve said it).
Did you demonstrate a good understanding of the case? Is your analysis solid and convincing? Did you use data from the case to support your responses? Did you apply relevant course concepts?
Did you include all three parts of the analysis, using section headers?
Did you follow all instructions?
Submission
See How do I upload a file for an assignment? Links to an external site.
You are responsible for confirming that your file has been uploaded prior to the deadline. There is no grace period; the deadline is 11:59 pm.
If more than one file is submitted, I will grade the most recently uploaded file.
Grading:
Papers will be graded using the below rubric as a guideline.
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