Pharmaceutical Business review

Wal-Mart extends its retail power to cheap drugs

The move comes two weeks after the retailer rolled out the low-cost program in Florida, in what would appear a bid to draw in more shoppers into its stores by tempting them with cheap prescriptions.

Reaction from Wal-Mart’s big chain rivals was mixed with Target, the second largest discount store behind Wal-Mart in the US declaring it will match the prices in all the same states.

While drugstore rivals Walgreen and CVS said they would keep their price structure the same.

The move by Wal-Mart is in keeping with the company’s strategy of flexing its buying-power muscles to bring down prices on everyday shopping items to attract more customers.

However, the move has been seen in an ironic light by some of the stores critics who claim the store doesn’t do enough to provide health care to its own employees.

Wal-Mart officials said they plans to expand the program to all 50 states by the end of the year.