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#107 Sol Price (Costco)

Founders

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Limited Selection and Efficiency in Retail Operations

Having a limited selection of items leads to efficiency in retail operations as it reduces labor hours throughout the supply chain, from ordering to checkout. This translates to cost savings, as dealing with fewer items significantly decreases operational costs compared to managing a larger variety of products. Limited selection can result in an intelligent loss of sales, especially when considering that payroll and benefits represent around 80% of retailers' operational costs.

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