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Business Wars

CVS vs. Walgreens | Powerful Medicine | 1

Business Wars

Wondery

History, Business, David Brown, Management

4.613.2K Ratings

🗓️ 11 October 2023

⏱️ 41 minutes

🧾️ Download transcript

Summary

It’s 1895 and Chicago’s a boom town that’s overflowing with pharmacies. But one drugstore is about to emerge from the city’s mass of small-time drugstores and become a national force. 


It’s name is Walgreens and by the late 20th century it will be spreading nationwide and looking unbeatable.


But then a multi-billion-dollar shoe company bets everything on a little New England drugstore chain called CVS.

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Transcript

Click on a timestamp to play from that location

0:00.0

It's 2008 in a CVS pharmacy in Los Angeles. A pharmacist in a white coat narrows

0:14.2

her eyes in suspicion at the man standing at the counter. He's wearing a tank top two

0:19.8

sizes too big. His cheeks are sunken and his teeth stained. But it's his jitteryness

0:26.9

is the real giveaway. The way he keeps looking around is if someone's coming for him. This

0:32.2

guy's definitely a meth addict. He scratches his chest and then glairs at the pharmacist.

0:38.2

Yo, you getting my cold medicine or what? The pharmacist crosses her arms. He wants a packet

0:44.8

of CVS brand Sudo-Affedrine. It's a cold and cough medicine. It's also a raw material

0:51.2

for making methamphetamine. Law enforcement calls people like him smurfers. They spend

0:57.7

their days buying cold and cough medicine for illegal meth labs that extract the Sudo-Affedrine

1:03.0

to make meth. You don't seem like you have a cold. Maybe if you describe your symptoms,

1:10.4

I could advise... You ain't no doctor. I said I had a cough. See? Irritation flashes

1:18.0

on the man's face. Hmm. I need to check with our computer. Federal law says we can't

1:24.6

sell you more than 3.6 grams of Sudo-Affedrine a day. And I'm pretty sure I saw you in here

1:31.1

just a few hours ago. Nah, wasn't me. The pharmacist checks the man's

1:37.1

details on the computer. But she already knows you will say to sell him what he wants. And

1:42.9

that's because CVS only tracks how much Sudo-Affedrine individuals buy in states where there's a monthly

1:49.0

cap and California's not one of them. She's under orders from CVS head office to do what the

1:55.9

computer says. And the smurfers know it. Across Southern California, smurfers are exploiting CVS's

2:03.6

flawed controls to load up on the medicine being used to flood the streets with meth. The computer

2:10.8

confirms it's okay to sell the man the medicine. The pharmacist slaps a packet of CVS Sudo-Affedrine

2:17.4

on the counter. The guy smiles. Wait, I got a loyalty card. Hang on. Yeah, of course you do.

2:27.1

But as they wait for the snaking receipt to print, they don't notice the undercover DEA agents

...

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