How in the h-ll do you miss count 20 pills by accident..You stand inline 10 mins to drop off a scrip,you stand inline 15 mins to pick it up and now they have to create a new line to count your medicines before you leave the store.. How long will people put up with this #$%$..I don't own this stock long or short,but its going down because its way over price..They are also getting caught over charging people on co pay..
Sentiment: Strong Sell
Its all over Google about walgreens stealing,is this how they made their Q. How long can they get away with this theft. I have people counting their medicines on cam..when their caught its to the police station the person goes..Will be ohhhhhh we just miss counted..This is a short sell stock for sure..
Sentiment: Strong Sell
If one retailer buys a competitor that operates in the same neighborhoods, the parent is essentially buying the competitor’s customers and can eliminate the duplicate fixed costs of multi- pharmacy's that serve neighboring customers.
Here the critical acquired resource is not the stores, Staff or Rx offerings which the company does not need to serve the new customers; it is the customers themselves, and they are plug-compatible with the parent’s resources, processes, and profit formula. That’s why the deal will lower the acquirer’s costs.
But if the Pharmacy retailer purchased a similar firm in a different Country, the acquisition would replicate the parent’s cost position in a new geographic area..... not reduce it in either one.
There might be some overhead efficiencies of saving from purchasing, of administrative functions, but costs would be lowered far less because the Pharmacy retailer would need the acquired company’s locations, Pharmacists & staff to service to its new customers.
Dream on Investors, because the Facts are exposed, Walgreens is overpaying for Alliance Boots and revenue projection are lower..
Under the right circumstances, one of those elements—resources—can be extracted from an acquired company and plugged into the parent’s business model. That’s because resources exist apart from the company.
No so with Alliance Boots who is carrying 8 billion in debt .
So a reverse merger emerges as Alliance Boots will be taking cash from Walgreens ..
As announced by Walgreens CFO,Tim, 1 Billion dollars in Spending cut is going to happen at Walgreens..
The first, most common one is to boost your company’s current performance—to help you hold on to a premium position, on the one hand, or to cut costs, on the other. An acquisition that delivers those benefits almost never changes the company’s trajectory, in large part because investors anticipate and therefore discount the performance improvements"
From the Harvard Business review
When a CEO wants to boost corporate performance or jump-start long-term growth, the thought of acquiring another company can be extraordinarily seductive. Indeed, companies spend more than $2 trillion on acquisitions every year. Yet study after study puts the failure rate of mergers and acquisitions somewhere between 70% and 90%. Thank You HBR..
That are the facts folks..