Business Case Studies, Marketing Strategies / Strategic Marketing Case Study, Walgreens, 2005

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Case Title:

Walgreens in 2005

Publication Year : 2005

Authors: Rekha Ravindran & Bindu Kannan

Industry: Health Care

Region:USA

Case Code: MKS0056B

Teaching Note: Not Available

Structured Assignment: Not Available

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Abstract:
Walgreens was the top drug retailer in the U.S., as of 2005. However, towards the early years of the 21st century, it started facing stiff competition from mail orders. Mail orders gained huge popularity in the U.S. due to the huge price advantage offered by them. Consequently, it became the fastest growing channel for prescription drugs in the U.S. This was a real threat to Walgreens whose major chunk of sales came from the sales of prescription drugs. Though Walgreens launched its own mail order to fight back against other mail orders, analysts were skeptical as to how long they would maintain their lead in the U.S. drug retail market.

Pedagogical Objectives:

  • The state of drug store retailing in the US
  • Strategies of Walgreens in the US
  • Growth of mail orders in the US
  • Mail order threat to sales of prescription drugs.

Keywords : Walgreens, Drug store retailing, Mail orders, PDMA, Pharmacy benefit managers, Advantage 90, Marketing Strategies Case Study, Medco Health Solutions, Snap Fish, Perscription Sales, Non prescription sales, Distribution centres, CVS Rite Aid, Wal-Mart pharmacy, Next Estate Communications

Contents:

  • Drug store retailing in the U.S.
  • About Walgreens
  • Business model of Walgreens
  • Challenges
  • Future Outlook

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