2006-06-20 08:21:16 · 10 answers · asked by Cheri 1 in Business & Finance ➔ Corporations
At last a question that I can answer with some authority.
As a rule of thumb in development you want to build a retail store in a corner location with the highest traffic count, most rooftops and best demographics.
Walgreen's and CVS (used to be Eckerd's) have been in competition with one another for years for hard-corner locations. If either Walgreen's or CVS got to a particular location before their competitor, the company with the most money for land acquisition in their budget won. These companies will pay an astronomical amount of money to get the location that they want, even if it means displacing families and rezoning a location from residential to commercial development.
Since, in most cases, the same seller does not own every corner of an intersection and therefore cannot offer a pharmacy deed restriction, the loser would then seek to purchase another corner in the same location in an effort to steal the competitor's customer's.
It is really just a great big game of retail chess to see which company can capture the most prime locations and have a store up and operational in the shortest amount of time in an effort to buy customer loyalty prior to their competition getting their store open.
2006-06-20 08:35:13 · answer #1 · answered by Plain_Common_Sense 4 · 3⤊ 0⤋
I would think that's just plain ol' competition. Haven't you noticed the same thing goes with gas stations. Whenever you're at an intersection there's a different gas station on each corner? No matter how many Wallgreens they put next to a CVS, I'll still always choose Wallgreens
2006-06-20 08:26:22 · answer #2 · answered by graciefaith1 4 · 0⤊ 0⤋
It's generally because the location is good for a retail pharmacy. Certain criteria msut be met (number of cars that pass daily, population, corner roads, etc) and both chains have similar criteria.
In most areas it always seems like CVs is following Walgreens since Walgreens is no 1 in the majority of markets. In otehr areas (NE in particular) it seems the opposit
2006-06-23 19:27:14 · answer #3 · answered by Apple Walnut Salad 3 · 1⤊ 0⤋
It's called competition. And usually, it's Walgreen's that builds next to CVS (and Osco, which are slowly becoming CVS's)
2006-06-20 08:24:55 · answer #4 · answered by Bubba 2 · 0⤊ 2⤋
For the same reason Burger King builds next or near a McDonald's.
2006-06-21 05:14:03 · answer #5 · answered by Anonymous · 0⤊ 0⤋
Maybe it's bad
2016-07-27 02:56:10 · answer #6 · answered by ? 3 · 0⤊ 0⤋
maybe for some competition i know i live by a mall were target and costco and walmart are together. thats some hard core competition.
2006-06-20 20:12:02 · answer #7 · answered by Anonymous · 0⤊ 0⤋
I was wondering much the same thing
2016-08-23 00:12:24 · answer #8 · answered by Anonymous · 0⤊ 0⤋
https://www.youtube.com/watch?v=jILgxeNBK_8
2016-04-08 04:52:34 · answer #9 · answered by Ian 1 · 0⤊ 0⤋
I don't know either, but thanks for asking because i'd love to know the answer.
2006-06-20 08:24:26 · answer #10 · answered by jay 7 · 0⤊ 0⤋