Costco’s business model is pretty different from other stores. While you can just walk into a store like Walmart or Best Buy, Costco requires something special before entry: a membership card.
Unlike other stores, which make money by selling goods, a majority of Costco’s net operating income comes from memberships. This means that, by buying a membership, shoppers are subsidizing not only the chain’s low prices, but other beloved features like its open return policy.
