Cvs/Pharmacy Case Study
With over 9,500 stores in 48 states, CVS/Pharmacy is one of the subsidiaries of CVS Health a pharmaceutical company headquartered in Woonsocket Rhode Island (CVS Health.com, 2016). CVS Health was founded in 1963 and today is comprised of CVS/pharmacy, CVS/Caremark, CVS/MinuteClinic, and CVS/specialty each fulfilling a diverse role in supporting patient health. The CVS/Pharmacy distributes healthcare products, child care products, medical supplies and equipment, cosmetics and other such products (CVShealth.com, 2016). CVS/Pharmacy is a company that believes in their employees and takes pride operating as a team as their 225,000 employees service over 5 million customers daily, 1.7 billion prescription annually, and specialty drug revenue in excess of $31 billion (CVShealth.com, 2016). They strive to recognize and reward the efforts and contributions of every employee as they help their consumers to a path of better health.
CVS Pharmacy articulates their …show more content…
Focus on beauty. Approximately 4,500 stores display a wall of cosmetics that feature enhanced cosmetic lines and facial care areas (Loeb, 2015).
3. Personalization. CVS is developing “My CVS” initiative tailoring a more personal floor plan, new signage and revamping merchandising, making these stores more accommodating to their customer (Loeb, 2015).
4. Store brands are important. In 2014, CVS/Pharmacy introduce the CVS Health brand to their line of products and it appealed to their customers. The products were seen as high quality and valued savings and are now a major part of the products offered (Loeb, 2015).
5. Medication adherence. The goal is to educate and ensure their senior-citizen customers adhere to the prescribe dosing established by their doctor (Loeb, 2015).
6. Shareholder value. CVS/Pharmacy’s management strategy is to drive the shareholders’ value through strong earns and cash flow using disciplined capital allocation (Loeb, 2015).