Com petitive and Macr oen vir on m en t Factor s
Purdue University Global Introduction
to Management MT140
2
Com petitive an d Macr oen vir on m en t Factor s
In tr oduction
This report provides an analysis of the competitive and macroenvironmental factors
impacting CVS Health Corporation. The report includes an overview of the company, its
competitors, and the various factors effecting its business. The report concludes with a vote of
confidence that CVS Health Corporation will continue to be successful, while facing these
competitive and macroenvironmental factors.
Im pact on CVS Health Co r por ation
, CVS Health Corporation has the largest drugstore chain in the United States, the leading
pharmacy benefits manager and serves an estimated 35 million people with medical insurance.
The company has been successful for over half of a century, but faces many challenges in the
current environment.
Com petitive En vir on m en t
There are five competitive factors that influence business and CVS Health Corporation is
not an exception to their influence. Rivalry, new competition, suppliers, customers and
substitutes all factor in to their business plan. CVS Health touches every aspect of health care for
the consumer, from providing coverage for medication and services to providing the actual
services; leaving the door open in many areas of competition. CVS Health Corporation is well
established in all areas of business, but continues to look for innovation in serving the consumer
and keeping their spot in the top five of America’s Health Care Insurers.
New competition is often bought by this company if they see value in the resource.
Within the past twenty-five years CVS Health Corporation started buying and incorporating
many businesses to add to the value of their company. Examples of this are between 1999 and
2004 when they bought seven different pharmacy chains who provided specialty drugs to