Introduction
CVS is a public owned company is a sole service provider of pharmaceuticals in United States. It was founded as a merger of CVS pharmacy and Caremark in 2007. The company is based in Woonsocket, Rhode Island, U.S, however its services headquarters are based in Nashville, Tennessee. The main area in which CVS Care is dealing includes retail of pharmaceutical products, and pharmacy benefit management.
Strengths
• It has a wide spread coverage which has been gathered under three main roofs that are, CVS pharmacy, Care mark pharmacy services, and a walk in Clinic.
• The CVS pharmacy segment has a diverse network with 7, 152 Long drug stores and pharmacy stores generating 68 % of the total revenue.
• One of the largest retail loyalty programs with more than 500 million card holders through its extra care program.
• Leading a head of other Pharmacy benefits companies through its care mark pharmacy services.
• The walk in clinics initiated by the company has demographic locations in almost 25 states with 570 outlet units.
• Almost 200,000 employees are providing their excellent services at different segment of CVS Company.
• The company ranking has been magnificent in Fortune 500, being at 18th position in year 2010.
• The revenue generated by the company is greater than $99 billion with the operating income of $6.438 billion, and the net income is almost $4 billion.
• The company ranks first in specialty pharmacy and prescription providence.
• Over 60,000 pharmacies participate in a national retail pharmacy network with 11 mail pharmacy services.
• The company provides the biggest platform for the nurse practitioners.
• A well managed online website is always active to make the customers up to date with new inductions as well as the safe use of its products.
• Active and efficient customer care centre.
• Heavy investments are made time to time on the current technology and its implementation.
• Charitable networks by the company are supporting the un attended children and families suffering from the lethal diseases.
Weaknesses
• Turnover held by the company are very insignificant.
• Government involvement is very peculiar in nature and the company is supposed to change the policies with changing government tactics.
• Store experiences vary from time to time being very inconsistent.
• Its demographic locations are not comparable to the real estate of Walgreen.
• Security check at the CVS stores is not efficient and ill organized as many cases of armed robberies have been reported.
Opportunities
• The company has been making certain acquisitions and mergers that have positively affected the company stability, after merger with Caremark, the place from where the company history has started; it has acquired Long Drug Stores, Eckerd, Savon and Osco.
• The beauty 360 stores by CVS Caremark adjacent to pharmacy locations are in process of extension to more locations.
• U.S market has grown tremendously for generic drugs as well as anti aging drugs.
• Photographic market at the entrance of the stores has proved to be a charm for certain number of customers.
Threats
• Incompetent web services as online orders are not entertained.
• Market competition with other pharmaceutical industries like Walgreen and Pfizer.
• Huge revenue required for importing the drugs, especially from Canada.
• Lack of experienced pharmacists along with instability in growth of the company.
References
• Berlinski, Peter. (February, 2006). "Ryan Preaches PL to CVS Team". Private Label Magazine.
• CVS Caremark. "CVS to Postpone Shareholder Meeting to Vote on Caremark Merger". Press release. Retrieved on Line from http://phx.corporate-ir.net/phoenix.zhtml?c=183405&p=irol-newsArticle&ID=962787.
• Dorfman, Brad (November 15, 2007). "CVS focused on integrating mergers". Reuters.
• Jessica Wohl (November 3, 2008). "CVS to open Beauty 360 store; dozens more in ’09". Reuters
• "CVS Caremark Charitable Trust". CVS Caremark. Retrieved from http://web.archive.org/web/20080213121627/http://www.cvs.com/corpInfo/community/charitable_mission.html.