By Jamie Barrie T here is a reason why Amazon is one of the largest retail companies out there and that is they are not afraid to expand into new and different sectors and aggressively go after market share using the companies amazing e-commerce, logistics, payments, hardware, data storage, and media platforms to capture sales and customers. Amazon is said to be considering moving into the drug space, which has many drug distributors and retail pharmacies looking to erase millions from their market value. However, pharmaceutical companies have a much different tone wel- coming Amazon in to the drug space, saying that the giant could offer increased distribution efficiencies to the sector. Amazon is expected to make a decision on entry into the drug space as soon as the end of November. As news the company had secured wholesale pharmacy licenses in 12 states to support Amazon’s existing business in medical equip- ment sector, it does open the door for opportunity and a ton of speculation by retailers like CVS, Walgreens and Rite-Aid and drug distributors; McKesson, AmerisourceBergen and Cardinal Health about the companies intentions. Many experts say that the pharmacy space is too complicated and heavily regulated, which could deter Amazon from pursuing it as they are currently looking to get out of the wine shipping business because it has proven to have too much regulation. However, other experts argue that is why Amazon could successfully enter the sector because of the experi- ence they have gained with their wine business.
One thing we do know is, if there is an opportunity, Amazon is not one to shy away from going after it, which means more than the turkey has to be nervous this Thanksgiving holiday.
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SPOTLIGHT ON BUSINESS MAGAZINE • NOVEMBER 2017
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