CVS Caremark to stop the sale of cigarettes and tobacco products

CVS Caremark recently announced that it will discontinue the sale of cigarettes and other tobacco products. CVS Caremark is a well-known pharmaceutical chain whose primary focus is a reinventing pharmacy to help people on their path to better health.

The news comes as a shock to many of its consumers with plans to affect 7,600 stores by October 2014. Not only is this going to affect tobacco users it will ultimately cause the company to lose approximately 2 billion dollars in annual revenue. I will say that I a m in agreeance with CVS with making this drastic decision as it will eventually enhance the company’s mission statement as stated by President and Chief Executive Officer, Larry Merlo, “inconsistent with our purpose-reducing chronic disease…cigarettes and tobacco products have no place in a setting where health care is delivered.

DiscussionCVS will be setting an example to other pharmaceutical companies because the change will be steps taken to aid in the decrease of illnesses and diseases caused by tobacco use. Even though the company is projected to lose billions in the long run it will help to decrease healthcare costs, which goes to show the company in a positive and un-selfish light. The company will become the first to enforce this type of ban on the sale of cigarettes and tobacco products. Along with the ban the stores will be offering smoking cessation programs and pharmacists will offer information that may also aid in the non-use of tobacco products.

The decision was made final after several years of research and pressure from groups known as the American Medical Association and the American Pharmacists Association. CVS Caremark became serious about their health care efforts when their chief medical officer, Troy Brennan was asked,”’The question we get from health care providers is, How serious are you about health?”’ and his reply was, “’This decision indicates exactly how serious we are.”’ (Park, A., 2014). Not only was the decision favored by CVS CEO and President Larry Merlo, but also by President of the United States Barak Obama.

This really means a lot to the company and its supporters being that President Obama is a former smoker and shows how much of an example and inspiration this decision is. CVS is not only evolving as a company but as a leader in providing the best health care possible, according to Opposing Viewpoints All Things Considered (Feb. 2015), CVS only makes up about four percent of cigarettes sold compared to gas stations who make up an approximate fifty percent of sales. With that being said the company is hoping that the two billion deficit will not have a huge impact on its overall profit.

There have been questions as to why the company chose to stop the sale of cigarettes and tobacco products and keep chocolate and alcoholic beverages, as they are also addictive products. I can definitely see where this question is valid.

CEO Larry Merlo commented in (All Things Considered Feb 2014), “those products chocolate, or wine, in moderation they don’t have the same health effect as tobacco. I agree with the reply and do feel that the bigger issue at hand is the cigarettes and tobacco products should be banned. I am sure that this will be the first of many questions that are ahead. Conclusion and Future Study

Overall I think that the CVS Caremark decision to stop the sale of cigarettes and tobacco is a great thing and feel that this will be to the benefit of the company and its customers. Many are only looking at the financial loss of the company, but helping and providing better health care will outweigh it all.

I look forward to following the progress and outcome of the decision and how it will benefit the customers and help to continue to show the company in a positive light. Many pharmaceutical companies fail to but the interest of the consumer in mind when doing business, they merely focus on the profit and I commend CVS for its efforts.