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Jon Talton

Analysis and commentary on economic news, trends and issues, with an emphasis on Seattle and the Northwest.

Category: Costco Wholesale
October 1, 2012 at 10:03 AM

Seattle-area companies make top brands survey

Puget Sound companies put in a respectable showing in the 13th annual Best Global Brands report from Interbrand, a consulting outfit owned by the Omnicom Group. It ranks brands the top 100 brands based on “ongoing investment and management of the brand as a business asset.” Among the criteria: Brand strength (“the ability of the brand to secure the delivery of expected future earnings”); financial performance and the role of brand (“the portion of the decision to purchase that is attributable to brand–this is exclusive of other aspects of the offer like price or feature”).

Microsoft is No. 5 out of 100, followed by Amazon.com at No. 20, and Starbucks at 88. Oregon’s Nike placed at 26. The top spot went to Coca-Cola, followed by Apple.

Amazon was the second biggest brand riser, up from 36 in 2010 and 26 in 2011. The survey comments, “…Amazon has much to celebrate. However, its unfriendly stance toward unions, hardball battles to evade sales taxes in certain parts of the U.S., and a highly publicized story about the harsh treatment of workers in a Pennsylvania warehouse last year have put a dent in the company’s image. To leverage the full potential of its brand, Amazon needs to manage the reputation of its business and work to improve employee relations.”

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Comments | More in Amazon.com, Apple, Consumer products, Consumer spending, Costco Wholesale, Microsoft, Nordstrom, Starbucks, T-Mobile

June 14, 2012 at 9:55 AM

Opportunity and enigma in Mexico

How much can a country stand and still go on with daily life? Mexico is a prime example. An estimated 50,000 people have been killed since President Felipe Calderon began waging an aggressive fight against the drug cartels — which supply our appetites. At the same time, Mexico is building a middle class that is becoming its majority.

So it’s no surprise that Costco Wholesale is buying out its partner in its Mexican division for $760.4 million. With 112 million people becoming a middle-class nation, that’s plenty of customers. Wal-Mart thinks so, too — enough for the company to face allegations of corrupt business practices. Thus the enigma of Mexico: A rapidly developing country, not least thanks to NAFTA and its displacement of American workers, and yet much corruption in government and business.

Mexico accounted for nearly $1.4 billion in Washington exports in 2011 (It is the state’s 13th largest trading partner and America’s second largest, totaling $280 billion. The recession and anti-immigrant hysteria have slowed the illegal immigration rate; in many cases opportunities are greater at home. The U.S. still imports substantial Mexican oil, although the big fields there, especially Cantarell, are in decline.

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Comments | More in Costco Wholesale, Global economy, International economy, Mexico, Northwest companies, Trade


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