Price Club

“So they decide as they're getting started that in order to keep the operations really tight and realize the maximum benefit, Ben, of everything you were describing of how these warehouses operate, they're only going to stock about 3000 of the highest volume it…”

“Price Club goes public in 1979, three years after founding. And I say go public, not in an IPO, not in a direct listing. They don't list anywhere. They don't raise any money because they don't need any capital. So what happens is There's so much buying and sel…”

“So at the time, Walmarts and Kmarts had on the order of about 50,000 SKUs and even FedMart had Probably close to that many at the time.”

“If you're operating a wholesale warehouse, you don't have to operate any logistics. The manufacturers deliver the product right into your warehouse. You don't need to run trucks. You don't need to operate other warehouses. You don't need to move stuff around t…”

“Also in 1982, Saul gets a call from his old buddy Sam Walton... Saul tells him all about Price Club, how the model works, the cash flow dynamics, everything. Sam, of course, goes back to Bentonville, and within 12 months, guess what pops up? Ben Gilbert: Sam's…”

“Right around the same time, another person comes out to San Diego to visit Saul and Price Club. A guy named Bernie Marcus... Saul has him out to San Diego. He shows him the Price Club warehouse. He gives him the playbook and he says, look, Bernie, You've got a…”