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Costco Wholesale Case Study

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Costco Wholesale in the Business World Today Costco Wholesale, the leading-edge company in selling products in bulk. Ever growing, expanding to sales all over the world, entering into new markets, and altering their services to best meet the needs of their customers. Today I will be focusing on their recent partnerships and severances. First, I will discuss Costco’s partnership with a market leading grocery provider named Instacart. Second, I will discuss their partnership with a successful pharmaceutical company, EnvisionRX. Third, I will discuss the severance of a long-lived partnership between American Express and Costco Wholesale. Instacart Costco Wholesale in October of 2017 unveils their game changing partnership with Instacart …show more content…

Costco has been working alongside EnvisionRX to progress Rx90, a vital role in reducing and improving healthcare costs (“EnvisionRX”, 2017). Rx90 is a 90-day maintenance medication network, in fact it is the largest in our nation. With Costco participating in this program their consumers now can fill prescriptions at any of their U.S. stores, through Envision Pharmacies’ mail service, or all other participating pharmacies in the U.S. (“EnvisionRX”, 2017). This partnership adds a sense of convenience for Costco customers and may even bring more in to their store. Today it seems that prices are increasing all around us especially when it comes to purchasing prescriptions from the pharmacy. Soaring prices then lead to poor health or at least decreased access to good healthcare which can then lead to a worsened health condition. The Rx90 program is a step in the right direction when dealing with prescription costs the average client saves around 2-7% annually (“EnvisionRX”, 2017). When it comes to these two companies decreasing costs and providing their members with extraordinary savings is their operational philosophy (“EnvisionRX”, 2017). As time goes on I hope to see this partnership thrive not only for the good of the company but also for their …show more content…

This opportunity has more in store for Costco than just their contract. It is much easier for credit card users to be approved for a card with this new company, increasing the possible numbers of Costco credit card holders. Visa offers rewards cards and when card holders shop at Costco they will be given additional incentives, which should lead to increased spending at Costco (Team, 2016). Small businesses can get 2% cashback on all Costco purchases with their Capital One Spark Cash Visa Card (Team, 2016). When we decide to get a credit card we look at incentives, rates, and where they are accepted Citi-Visa cards tend to be accepted virtually everywhere that can process a credit card, giving customers yet another reason to go with the new Costco credit card. This new credit card agreement displays promise of remarkable sales increases for

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