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Lmao Amazon should already be tried for antitrust laws as it is… if this ever happened our govt failed us
I don’t know that I necessarily agree with that regarding Amazin.
Amazon is already lightly in medical device distribution and haven’t been able to find a meaningful hold. Drugs are more complicated and the Big3 serve the market well.
They’d have to rename themselves something like, MoMeta
McKesson, Cardinal, and AMB have less than 1% profit margins and routinely have low ops margins. I don’t see why Amazon would take on that, looks like a lot of headache with low upside.
There are a few areas in particular that operate with higher margins than standard drug distribution. This isn’t to say they are high margin like drug manufacturers or software make but higher than 1%.
It’s not a high margin but if you take McKesson technology which offers pharmacy software and dispensing equipment, that operates with a higher margin including professional services.
When McKesson operates as a manufacturer making its private label generics and then distributing, it has a similar margin to distributors but has an advantage of a better fmdemand signal to make and carry the right amounts.
Then if a manufacturer wants to ship directly to the NRDC in Olive Branch, they may pay tens of millions in fees so they can save on shipping to spokes anf instead go primarily to the hub.
These are just some use casss where margins are better than 1%. I’m not saying it’s high margin but McKesson has higher margins in the way AWS has much higher margin than Amazon fulfillment or CVS which has lower margin in pharmacy dispensing while their PBM model is much more profitable.