In our book, Intelligent Fanatics Project, we highlight Sol Price, founder of Fed-Mart and Price Club, and the pioneer of the Warehouse Club industry. He was an innovator and almost every retailer stole ideas from Sol.
“I guess I’ve stolen – I actually prefer the word borrowed – as many ideas from Sol Price as from anyone else in the business.” – Sam Walton, Founder of Wal-Mart
It wasn’t just Wal-Mart, but Home Depot, Sam’s Club, BJ’s Wholesale, and yes even Costco. Jim Sinegal worked under Sol Price for many years before co-founding Costco in 1983. Jim Sinegal himself said the goal was to “clone Price Club”.
A newspaper reporter called me and said: “Gee, you knew him (Sol) that long, ya know, since 1954? You must have learned a lot. My response was: “No, that’s inaccurate. I didn’t learn a lot. I learned everything, everything I know.” – Jim Sinegal
Costco would acquire Price Club in 1993. The student bought out the teacher.
Today we all know Costco to be a huge success story. It’s a great business built on simplicity, efficiency, reducing pain points and passing on savings to the customer [Scale Economies Shared].
In 2016, Jim Sinegal made a presentation at the LMU Fred Kiesner Center for Entrepreneurship entitled "The Entrepreneurial Journey of Jim Sinegal, Co-Founder and Board Member of Costco Wholesale Corporation.” He highlights his journey, the history and core values of Costco, as well as some impressive facts, figures, and statistics from today.
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