Why are Costco and Best Buy models of smart growth companies?
Ed: Costco is a smart growth company because its management team understands its job is to build an enduring business. Management courageously stands up to pressure from Wall Street by refusing to take actions to generate more short-term revenue that it believes in the long-run will destroy its customer and employee value proposition. Costco understands the inter-relationship between high employee engagement, high customer satisfaction, and profits. It understands that certain kinds of business decisions that produce short-term results may in the long-term destroy its differentiator and brand. Best Buy is a smart growth company because it has built an internal Growth System that links in a consistent self-reinforcing manner its strategy, culture, execution processes, HR policies, leadership models, measurements and rewards to drive value-creating employee behaviors. Best Buy understands that many growth ideas come from customers and line employees. Management is paranoid about the comm
