Analysis of an International OrganizationNature of the OrganizationCostco's business strategy is different from its competitors in the wholesale and retail industry because its focus is to reduce overhead costs and pass the savings on to its customers. They do this by choosing not to advertise, selling fewer brands, and taking an innovative approach by having their own manufacturing facilities for a variety of merchandise. Costco does not market its warehouses and their marketing is done through word of mouth from current customers who must also be members to shop at Costco. Compared to Walmart, Costco sells four brands of toothpaste and Walmart sells sixty brands of toothpaste. Costco can buy more for less from the manufacturer of the four toothpaste brands and pass the savings on to its customers. Costco's strategy is to sell a limited number of items because, according to (Lutz, 2013), this strategy "increases sales volume and helps generate discounts." Because of Costco's profitability in the retail market, they have managed to continue to be profitable even in a downtrodden economy. Costco focuses on high-end customers indicated by some of the brands they carry, such as Coach Handbags. Costco offers three different membership levels and is only open to subscribed customers. Costco's philosophy is that they do not advertise or mark up items more than 15% in order to save their customers' money. These practices reduce overhead costs and continue to pass the savings on to the customer. Costco is an international company and has (Costco Wholesale Corporation, n.d.) “462 locations in 43 U.S. states and Puerto Rico; 87 locations in nine Canadian provinces; 25 sites in the United Kingdom; 10 sites in Taiwan; 9...... middle of paper ......the-gender-discrimination-lawsuit-for-8-million/Gullo, K., & Fisk, MC (May 16, 2009 Karen Gullo and Margaret Cronin Fisk) . Costco sued by worker for false imprisonment after stores closed. Retrieved from Bloomberg: http://www.bloomberg.com/apps/news?pid=newsarchive&sid=arFyn8XqNe4gKeahay, M. (June 24, 2013). Costco manager files age discrimination lawsuit. Retrieved from Southeast Texas Record: https://setexasrecord.com/news/286696-costco-manager-files-age-discrimination-lawsuit Lutz, A. (November 7, 2013). Costco's unorthodox strategy for surviving the big-box apocalypse. Retrieved from Business Insider: http://www.businessinsider.com/costcos-unorthodox-business-strategy-2013-3?op=1#!HLSsMSANTOS v. COSTCO WHOLESALE, INC. (July 9, 2003). Retrieved from Leagle: http://www.leagle.com/decision/2003836271FSupp2d565_1789.xml/SANTOS%20v.%20COSTCO%20WHOLESALE,%20INC.