Action, Reaction, Consequence.

Every Action has a reaction and this is something that should become the way we think on a daily basis. For example, businesses are generally started by Entrepreneurs for various reasons. They take risks and build their businesses to sustain their needs. When the business gets bigger, they take on staff and further responsibilities. To maintain their profit levels they need to keep costs in check. If they have investors, there is even further pressure to be profitable in order to pay their shareholders the return that they expect. If costs are increased, either prices of products need to rise, cuts have to be made or less profit needs to be expected. If it is your business are you happy with less money in your pocket? It is you who has taken the risk and made sacrifices to set up and run your business. With the latest legislation coming into the marketplace with regards Health Care, steps to reduce costs and maintain profitability or even survival have to be taken. Read what is happening in the restaurant sector. Action, reaction and consequence. 

Merger

A merger between Boots Alliance and Walgreens is set to become the worlds largest healthcare retailers. The synergies between the two companies is set to or should I say hope to equate to more than the 2 separate companies. This should result in increased market share, higher turnover and profits. A greater number of retail outlets, sharing of products resulting in a wider product range, shared development costs, distribution costs and many more. This could also mean diseconomies in scale with regards  to communication and job losses as restructuring takes place. Could there be potential derailment if the culture and leadership of these two companies are not aligned. Article