A global pharma supply chain as Walgreens and Alliance Boots combine forces

An article in Forbes (September 24,2012) describes a merger between Walgreens in the US and Alliance Boots in Europe to create a global supply chain serving “170,000 pharmacies, doctors and health clinics” globally. Analysts claim that providing a supply of non counterfeit goods in emerging markets will provide healthier margins, enable private label products and hedge against margin decreases as government pressure drops prices in the US and Europe. But will scale and reach enable a global Walgreens to compete more effectively ? Will the complexity of complying with country specific rules prevent the projected efficiencies ? Will growth come from Walgreens serving as a drug wholesaler or retailer ?

About aviyer2010

Professor
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