Walgreens years by growing earnings at an annual rate

Walgreens
Boots Alliance is a retail pharmacy company in the food and drug stores
industry which is the first globally-led health and wellbeing enterprise. Walgreens
is a company that was founded at 2014 and is located in Deerfield, Illinois
even though they were founded in the Unites States that is run by the chief
executive officer, Stefano Pessina. Their community pharmacy care and health
care services dates back to 10 decades with destinations all over the United
States and Europe. Walgreens mainly focuses on helping people across the world in
order to lead them to a healthier and a more fulfilling life through their health
care services. Their vision is to become the first choice around the world for pharmacy
drugs, wellbeing and beauty care products. They value being a dedicated and a trustworthy
company that cares for their customers. They also value being an innovative
organization which partners with other similar companies.

The
company’s size is large; as they have hired over 360,000 employees at 13,200+
stores in more than 25 countries. In addition, Walgreens are one of the leading
and most trusted global pharmaceutical in wholesale and delivery networks with
almost 400 supply centers distributing to more than 230,000 locations including
their target markets which are hospitals, private health centers, independent
doctors and pharmacies. Overall, their sales range around 116.08 billion
dollars. Walgreen’s scale and experience will also support them by expanding the
stock of prescription drugs and address the rising cost; this will help to
broaden their company size even more than their current situation. As for their
future growth, the company is planning to grow within the next five years by
growing earnings at an annual rate of 10.13% with a noticeable profitability increase.
This year, experts are analysing forecasting and expecting an increase in their
earnings of 8.59% over the previous year. They also expect the earnings to grow
by 8.68% over this year’s current forecasted earnings.

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Walgreens
Boots Alliance operates through Retail Pharmacy USA which operates in
pharmacy-led health and beauty retail businesses. They also sell their products
under brand names ‘Walgreens’ and ‘Duane Reade’. The pharmaceutical wholesale
segment supplies medicines, healthcare products such as ‘No7’, ‘Botanics’,
‘Soap & Glory’ and etc.

 

 Every company has many internal and external
environmental factors that can influence the organization. On one internal
hand, their internal factor is their known and recognized presence restricted
to a few market. In addition, their social media and marketing skills are poor
and innovative. On the other external hand, changing consumer buying from
behaviour from online channels. Secondly, they can grow strengths of local
distributors.

 

 

Internal
factors: (weakness)

1.    
Low investment in research and
development

2.    
Product range gap

3.    
Integrating firms with different
work culture

 

External factors: (Threats)

1.    
Intense competition

2.    
No regular supply of
innovative products

3.    
Changing consumer buying
habits (online channel)