Part 5/9:
Unlike CVS, which has diversified successfully into other sectors by acquiring a pharmacy benefits manager (PBM) and an insurance company, Walgreens has struggled to branch out effectively. The company made significant investments in the primary care sector through its venture in Village MD; however, these efforts have not yielded substantial returns or growth. With healthcare revenue accounting for only 6% of total sales, and losses being reported in this segment, Walgreens may need to revisit its strategy to remain competitive in a changing healthcare landscape.