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WalMart's $4 drug plan

Posted by mgroothand on October 28, 2006 - 12:12 PM

I am curious about the new WalMart plan to sell drugs for $4. I will assume (yeah, I know what that spells) that drug stores such as CVS, Walgreens etc. rely on prescription drugs as a profit center. Smaller, non-chain drug stores, selling mostly OTC and prescrips have a much larger dependence on drugs to stay alive.
I well realize that one of WalMart's prescriptions (pun intended) is to immobilize small businesses with their purchasing power and drive them out of business.
Personally, I spend about $140 per month on prescription meds and all of my meds are on the list with WalMart, bringing my cost to $20. Should I look a gift horse in the mouth?
No, I'm not complaining but I can't believe that all of the meds listed will become loss-leaders and only a means to bring in more foot-traffic to WalMart.
If that is true and profit can still be made on $4 than the profit that is made on an $80 drug is obscene. Is this a WalMart scheme to drive all drugstores out of business? Is WalMart in cahoots with the Feds' Medicaid/Medicare drug plan because the Feds' plan isn't working? Or is WalMart now in the philanthropy business making them seem warm and fuzzy against unionism? A combination of all?
Of course I can ask WalMart or Walgreen but I'll get a biased opinion. What say you out there?

Submitted by gimpel on October 29, 2006 - 7:50 AM.

Henry Ford purposely payed his factory workers much more than the prevailing wage, so they could afford to buy his cars.
This caused other companies to increase their wages.
I imagine Wal-Mart did a study on how much money each potential customer was spending on prescriptions. They realized that money would be more profitably spent on other things in their store.
So they pulled a Henry, and focused our purchases on other things.
No proof, just a guess.
I do like their program, though.
And, I like the unseen benefits from Walmart.
I mean, our government has limited diplomacy powers.
But Walmart, buying so much stuff from China, now that is real power. Perhaps the Walton family should get China to persuade North Korea to give up their stupid antics.


Submitted by jewelry on October 29, 2006 - 11:33 AM.

My question is how can Wal-Mart afford to sell these drugs for this price? I'm sure they are not losing any money. SO..why are all the other "drug stores" charging 40 to 80 dollars for something that cost $4? If this is the case, then they should be put out of business. Most of our elderly people can not afford their medications. SO...if Wal-Mart can do some good, especially for the elderly, then I say go for it and let the "drug stores" suffer.
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Submitted by mgroothand on October 29, 2006 - 12:10 PM.

Ah...altruism sells!


Submitted by sabinuta on October 11, 2007 - 12:07 PM.
Maybe they have the logistics and man power and advertising resources who knows. canadian pharmacy drug

Submitted by smcgahee on November 02, 2006 - 12:33 PM.

Being in the healthcare field (somewhat) I am privy to the actual costs of medicines and let me tell you - the drugs stores are really ripping people off. Wal-mart will most certainly make a little profit on these meds but not much. I agree with Gimpel's remark above that maybe they are helping the consumer save $$ on Rx so they can spend on other merchandise in their store - if that's the case, fine by me! I am excited about the prospect of saving money on the meds I take. I would like to give you another piece of advice -- if you must get a costly medication filled that is not available under your insurance or any other plan, I would recommend visiting an independent pharmacy, like Martinez Apothecary. The independent's must offer competitive prices to keep their businesses thriving and the consumer can really save $$. Just to give you an example -- I was prescribed a medicine that is not covered by insurance and is normally quite expensive. I called Walgreens to see how much it would cost. Their response was $70 for Brand (30 day supply) or $42 for Generic. Martinez Apothecary - $22 for Generic. Folks, that is 1/2 the cost of Walgreens!! Now I'm not saying that you'll save that much on every prescription but you will most likely never pay MORE at an independent pharmacy than you would at a chain store. Give it some thought next time you need to get a refill. Call around and find the best deal - there's no harm in that! (BTW - I do NOT work for Martinez Apothecary or any other pharmacy - this is a "laypersons" opinion.)


Submitted by terrieo on November 02, 2006 - 7:35 PM.

I think that it is a good thing what Wal-mart and Peach Orchard Drugs are doing. Especially for the people who have no insurance. I will gladly be transfering all my prescriptions to Peach Orchard Drugs on Peach Orchard Rd. I visited them today and the people were so friendly and 5 out of my 6 prescriptions were covered by the $4.00 cost. Thank God for Pharmacies who still care.


Submitted by g_dog_blog on November 03, 2006 - 9:54 AM.

So, if they've been overcharging all this time, why isn't there a federal investigation? When gas prices went up a $1.50 per gallon you heard people crying for an investigation all over the place. Why aren't the Democrats blaming President Bush for this one? Could it be that politicians knew about it?

I'm grateful that this is happening when I spend over $200.00 per month on meds, my co-pay, but at the same time it really ticks me off that I've had to pay that much all this time. On a couple of my meds that is a 1150% over what would have appeared to be a reasonable charge. People are ready to complain about high gas prices, calling it gouging but think Wal-Mart is great because now they have stopped gouging.

If the insurance companies are so worried about high prices, why did they allow this to happen? I suspect there is a huge kickback from the pharmacies to the insurance companies.


Submitted by mola4ever on October 15, 2007 - 8:26 AM.
Medical costs are increasing for the common person and he can't even afford to pay his bills because health comes first. I haven't got no medical exam life insurance for example.

Submitted by gordman on January 15, 2008 - 5:20 PM.
The way I see things drugs sell for private companies are a real business. Now, why am I not surprised? Considering the troubled health system I think private drug companies are a direct consequence. I admit that I also buy prescription drugs from such companies and I always let my medic have the final word.