CNBC reported late Tuesday that Jeff Bezos’s multifaceted company has been taking on pharmaceutical talent. That includes both the hiring of a general manager to lead a potential unit and other prospects from the pharmacy sector, according to sources.
For Amazon, it’s a lucrative market that would require navigating a variety of existing players. For consumers with a high dollar deductible, Amazon could someday be a go-to destination to shop for drugs, the CNBC report further stated.
From a distribution standpoint, difficulties breaking into industry include a complex Healthcare system, warehouse operations that need to be tailored for pharmaceutical handling (temperature control, etc.), a complicated billing system, and a consolidated industry, say Morgan Stanley experts.
CVS and Walgreens don’t have reason to worry just yet, though. Amazon hasn’t committed to moving forward into the pharmacy market at this point.
For Amazon, the pharmacy sector is a lucrative market that would require navigating a variety of existing players
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