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Knowing the right merchandise mix is essential to the success of warehouse clubs because they offer limited choices and product categories in order to maintain their low costs. Before they can determine what products to sell, they must fully understand their target market.
Knowing who your customers are is a key success factor for any business, and this is especially true for warehouse clubs. The opening of these stores requires a tremendous investment of time and capital. In order to maximize this investment companies need to know which products will sell so they do not end up with a warehouse full of useless inventory...
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