Costco Case Study Analysis

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Pages: 2

1. The biggest challenges Costco will experience in trying to expand globally is adapting to local cultures and minizine risk. It’s important for any organization who wants to grow overseas to adapt to the cultures. Costco is in a good position to overcome this since it sources 2/3 of their products on its shelves. However, in countries that don’t usually package in bulk so this may be a problem.
2. Costco attempted to avoid ethnocentric, polycentric, or geocentric attitudes by portraying a global mindset. They wanted to be open and aware of diversity across cultures and markets. Their sourcing most of their products from the country where it’s located. They speak with locals in the area and employs them. It also relies on “word-of-mouth” marketing