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Pharmacies are a relatively new addition to Costco Costco has a stated philosophy of marking up merchandise a maximum of 14 percent. When that philosophy

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Pharmacies are a relatively new addition to Costco Costco has a stated philosophy of marking up merchandise a maximum of 14 percent. When that philosophy is applied to prescription drugs, warehouse club prices can be dramatically lower than those of conventional drugstores. Which type of strategy is Costco using to convince consumers to use its pharmacies rather than its competitors

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