Walmart: Pharmacy powerhouse just got stronger

Pharmacy programs administered through traditional employer-sponsored health insurance programs will need to find more ways to be cost-competitive, now that Walmart is moving into the mail-order pharmacy business. The $4 generic-drug template already turned the business on its ear a few years ago, and competitors like Target and Walgreens were compelled to follow suit. The mail-order program should also draw more traffic to Walmart’s website and could drive more purchases into shoppers’ carts.

This continues to be good news for consumers, even though it may not be good news for high-margin pharmaceutical providers. Walmart has proven in business after business that its low-cost and low-margin formula is a market share winner.


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