Business Wars CVS vs. Walgreens | The Doctor is In | 4
13 snips
Nov 1, 2023 In 2013, CVS's CEO Larry Merlo contemplates a bold move to remove cigarettes from store shelves, sparking an ethical debate. Meanwhile, Walgreens faces pressure as CEO Greg Wasson navigates a major acquisition that could change its future. The rivalry intensifies with CVS's commitment to health over profits and Walgreens' struggle to adapt to a shifting market. The podcast also highlights the strategic merger that reshapes the retail pharmacy landscape, setting the stage for a battle between two giants in healthcare.
AI Snips
Chapters
Transcript
Episode notes
CVS Quits Tobacco
- Larry Merlo proposed eliminating tobacco sales at CVS, despite a $2 billion loss.
- He argued that this was necessary for growth in healthcare partnerships.
Walgreens' Tobacco Dilemma
- Walgreens faced pressure to stop tobacco sales after CVS did, but the situations differed.
- Unlike CVS, Walgreens didn't have a PBM to recoup losses through health plan sign-ups.
Walgreens Tax Inversion
- Investors urged Greg Wasson to move Walgreens' headquarters to Switzerland for tax benefits.
- Wasson resisted due to potential political backlash and negative consumer perception.