CH.7 : Problem Recognition and Information Search

Costco focuses on providing the best possible service for its consumers which means they are on top of their problems with persistent information research. One problem that Costco has always had is its long lines due to popular demand. Even though Costco has so many registers available they have always struggled with maintaining them. Costco recognized this problem and provided an amazing solution to it which is self-checkout! With self check-out being available customers are able to scan their products at a much faster rate. Customers will be able to get in and get out without having to wait through those long lines. 

           

As we all know Costco is primarily membership-based. This means people who don’t sign up for the membership can not enter or purchase anything within the warehouse. Costco relies on the membership program, which is why they won’t allow nonmembers to shop. However, as of recently, they have been allowing nonmembers to purchase merchandise using another member's card. Costco is becoming less strict with their rule of members-only which gives others an opportunity to see what Costco is all about. Also, to add to the solution, Costco’s website allows nonmembers to purchase their bulk items as well, however, there is going to be a 5% surcharge. This allows nonmembers to have access to Costco’s items but with an additional charge. This is great problem recognition on Costco’s part as it benefits both the company and others outside of the membership program.