5min chapter

Acquired cover image

Costco

Acquired

CHAPTER

Success, Expansion, and Cash Conversion Cycle

This chapter discusses the success and expansion of Saul and Price Club, highlighting the differences in capital dynamics. It explains Price Club's cash flow cycle and how they achieve a negative cash conversion cycle. The chapter also explores the unique aspects of Costco that enable them to achieve the same, including standard payment terms, instant product availability, and a low SKU count.

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