Walgreen established their presence in internet by cooperated with Peapod (the service allowed a customer to order groceries over the internet and have them delivered to the home). Walgreen supplied Epode’s distribution centers with over-the-counter health and beauty products for inclusion in Epode’s internet offering. C.V. Acquired Soma. Com, the first online pharmacy, and renamed it C.V.. Com to become the first fully integrated online and brick-and-mortar pharmacy offering to consumers. Rite Aid established a partnership with drugstore. Com in June 1999 allowed customers of
Rite Aid to place medical prescription orders online for same-day, in-store pickup. 3. An my own opinions, in whole picture the approaches adopted by Walgreen ,C.V., and Rite Aid more or less are the same. The different is the ways their get involved In internet. Walgreen through strategic alliance, C.V. used acquisition and Rite Aid by partnership. It Is really hard to say which one Is the best approach to establish presence in cyberspace, each one of them also have pro and cons, its depend on to many variable for example the business condition, management style, financial condition and so on.
But by referring the exhibit 3 (seeps-Junk), Is about the statistics on drugstore website visits, Arterial Is leading other competitors. 4. Barrier to Entry: Medium, Consolidation that Is creating large players with deep resources Government and state laws and regulations. Threat of substitutes: Drug: Low, Few alternative choices, General Merchandise: High, Supermarkets are large threats. Bargaining power of buyers: Moderate, but thinning profit margin. Bargaining power of suppliers: Moderate, The large retailers purchase directly from several suppliers, strong relationship.
Rivalry among existing competitors: High, Both Internal and external sources, Including other drug store chains or Independent drug stores, supermarket chains, mass merchandisers, on-line retailers and mall order pharmacies. 5. 1 thinks It will mess the Industry and made the Industry value chain more complicated. Consequences? Probably will push those family operations to the brink of extinction. Ha finance By illumination and Rite Aid more or less are the same. The different is the ways their get involved in partnership. It is really hard to say which one is the best approach to establish notation and so on.
But by referring the exhibit 3 (seeps-Junk), is about the statistics on drugstore website visits, Retired is leading other competitors. 4. Barrier to Entry: Medium, Consolidation that is creating large players with deep resources strong relationship. Rivalry among existing competitors: High, Both internal and external sources, including other drug store chains or independent drug stores, supermarket chains, mass merchandisers, on-line retailers and mail order 5. 1 thinks it will mess the industry and made the industry value chain more