Comments on: Sam’s Club and Costco Run Out of Rice? http://www.creditwithdrawal.com/wordpress/2008/04/25/sams-club-and-costco-run-out-of-rice/ Helping You Kick the Credit Habit, One Good Idea at a Time Thu, 31 Dec 2009 04:56:04 -0700 http://wordpress.org/?v=2.8 hourly 1 By: philip http://www.creditwithdrawal.com/wordpress/2008/04/25/sams-club-and-costco-run-out-of-rice/comment-page-1/#comment-1774 philip Mon, 28 Apr 2008 15:06:50 +0000 http://www.creditwithdrawal.com/2008/04/25/sams-club-and-costco-run-out-of-rice/#comment-1774 I can see, and agree that their business model is based on membership fees mostly; however, why are they unable to raise prices? I know consumers would not like it, but if their costs increase then it gets passed on and still cheaper than others. Secondly, you point out that they have long term contracts to presumably to lock in set prices, therefore the price they are paying for the rice should not be rising, and not losing profits. I do still agree that this is in reality a small problem, and affects very few people, but the media loves this kind of stuff. BTW, I have a membership to Sam's Club simply because my Dad's business account allows another free membership, otherwise my consumption would not justify that cost. I can see, and agree that their business model is based on membership fees mostly; however, why are they unable to raise prices? I know consumers would not like it, but if their costs increase then it gets passed on and still cheaper than others.

Secondly, you point out that they have long term contracts to presumably to lock in set prices, therefore the price they are paying for the rice should not be rising, and not losing profits.

I do still agree that this is in reality a small problem, and affects very few people, but the media loves this kind of stuff.

BTW, I have a membership to Sam’s Club simply because my Dad’s business account allows another free membership, otherwise my consumption would not justify that cost.

]]> By: Adam http://www.creditwithdrawal.com/wordpress/2008/04/25/sams-club-and-costco-run-out-of-rice/comment-page-1/#comment-1761 Adam Sat, 26 Apr 2008 05:17:23 +0000 http://www.creditwithdrawal.com/2008/04/25/sams-club-and-costco-run-out-of-rice/#comment-1761 Glad you enjoyed the post. I always enjoy your well written articles :) For some reason Akismet decided your comment was spam until I rescued it. I apologize for my site's rudeness ;) <em><strong>Adam's last blog post..<a href='http://zmod.org/?p=80' rel="nofollow">Two thousand Visitors!</a></strong></em> Glad you enjoyed the post. I always enjoy your well written articles :) For some reason Akismet decided your comment was spam until I rescued it. I apologize for my site’s rudeness ;)

Adam’s last blog post..Two thousand Visitors!

]]> By: Randall http://www.creditwithdrawal.com/wordpress/2008/04/25/sams-club-and-costco-run-out-of-rice/comment-page-1/#comment-1760 Randall Fri, 25 Apr 2008 23:52:19 +0000 http://www.creditwithdrawal.com/2008/04/25/sams-club-and-costco-run-out-of-rice/#comment-1760 @Eric, I don't know about ALL the profits, but I have read multiple sources that say it's the vast majority of their profit. Not a bad business model really, since no one thinks about the annual fee very much after they pay it. A little disgruntlement once a year, and the rest of the year getting good prices leaves a lot of happy customers. @Eric, I don’t know about ALL the profits, but I have read multiple sources that say it’s the vast majority of their profit. Not a bad business model really, since no one thinks about the annual fee very much after they pay it. A little disgruntlement once a year, and the rest of the year getting good prices leaves a lot of happy customers.

]]> By: Eric http://www.creditwithdrawal.com/wordpress/2008/04/25/sams-club-and-costco-run-out-of-rice/comment-page-1/#comment-1759 Eric Fri, 25 Apr 2008 23:35:02 +0000 http://www.creditwithdrawal.com/2008/04/25/sams-club-and-costco-run-out-of-rice/#comment-1759 Oh no! What am I going to do without my 5th bag of rice? Hmmm... Maybe I will send in my friends to buy up the remaining bags. I had not thought about the business model for BJs, Costco, etc before, but you make an interesting point. But do you think memberships really cover all the profits? <em><strong>Eric's last blog post..<a href='http://www.deepmarket.com/stock-market/prosper-loan-listing-review/' rel="nofollow">Prosper Loan Listing Review</a></strong></em> Oh no! What am I going to do without my 5th bag of rice? Hmmm… Maybe I will send in my friends to buy up the remaining bags.

I had not thought about the business model for BJs, Costco, etc before, but you make an interesting point. But do you think memberships really cover all the profits?

Eric’s last blog post..Prosper Loan Listing Review

]]> By: Are you stockpiling rice? | Natural, Personal Finance http://www.creditwithdrawal.com/wordpress/2008/04/25/sams-club-and-costco-run-out-of-rice/comment-page-1/#comment-1753 Are you stockpiling rice? | Natural, Personal Finance Fri, 25 Apr 2008 23:07:49 +0000 http://www.creditwithdrawal.com/2008/04/25/sams-club-and-costco-run-out-of-rice/#comment-1753 [...] times the return! Even with this data, I really don’t plan to stockpile any of these items. Credit Withdrawal links to a study that shows that rice yields are expected to increase and that the U.S. actually [...] [...] times the return! Even with this data, I really don’t plan to stockpile any of these items. Credit Withdrawal links to a study that shows that rice yields are expected to increase and that the U.S. actually [...]

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