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CVS Case Study Final Essay examples

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A Strategic Management Case Study on
CVS Caremark Corporation

By: Carter Vaillancourt, Megan Land, and Emily
Michaud
UMFK

Company Overview
•A brief history of CVS
•Existing Mission and
Vision
•Existing Strategies
•New Mission and Vision

Overview

External Assessment
•Industry Analysis
•Opportunities and
Threats
•EFE Matrix
•CPM Matrix

Internal
Assessment
•Organizational Structure
•Strengths and
Weaknesses
•Financial Condition
•IFE Matrix

Strategy
Formulation
•SWOT Matrix
•Space Matrix
•Grand Strategy Matrix
•Matrix Analysis
•QSPM Matrix

Evaluation
Balanced Scorecard
CVS Caremark Update

Implementation
•Projected Financials

Strategic Plan for the Future
•Objectives
•Strategies

Company Timeline
 The CVS name was used for the
first …show more content…

It is estimated that there could be a dearth of 200,000 healthcare professionals and
800,000 nurses by 2020
2. Potential government intervention in health care after election in 2012
3. Imminent introduction of generic brands lowering the margin
4. CVS’ is behind Wal-Mart by nearly $140 billion in market cap.
5. CVS’ additional competitor Walgreens is behind them by a market cap of roughly $10 billion. 6. Walgreens increased the number of prescriptions filled in 2010 by 7.5% , whereas ours decreased.
7. In the next 5 years, 9 out of the top 10 best-selling drugs in the world will go off patent, resulting in an expected loss of sales
8. Extensive regulation has increased the time from drug discovery to approval from 6 years in the 1970s to 13.5 years in the 2000s.
9. Pharmaceutical companies struggle to develop new drugs as R&D costs become high, on average between $4 billion to $11 billion per drug

CPM

Critical Success factors

CVS

Walmart

Walgreen

Weights Rating Weighted Score Rating Weighted Score Rating Weighted Score
0.0 to 1.0 1 to 4

1 to 4

1 to 4

Advertising

0.08

3

0.24

4

0.32

2

0.16

Product Quality

0.12

3

0.36

4

0.48

3

0.36

Price Competitiveness

0.10

2

0.20

4

0.40

3

0.30

Finanical Position

0.10

3

0.30

4

0.40

3

0.30

Customer Loyalty

0.14

3

0.42

4

0.56

2

0.28

Global Expansion

0.11

3

0.33

4

0.44

2

0.22

Market Share

0.07

3

0.21

4

0.28

2

0.14

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