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Pharmaceutical Goods Company

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The concept of the merger immediately took notice because of the inevitable benefits provided by the strategy. Most mergers have expanded their operations and surpassed the achievements that the observers have predicted.
Primarily, Alliance Boots is wholesaler and retailer of pharmaceutical goods. The company controls a wide chain of pharmacy spread all across Europe. At present, the company maintains 17% of its total target market (BBC News, 2005). Moreover, Alliance Boots is the largest pharmaceutical wholesaler in the UK covering 40% of the market. Its wholesaling and retailing activities are undertaken by subsidiary UniChem. With its vast operations, the company employs approximately 100,000 workers in more than 3,000 retail stores in which 2,700 have pharmacies. In addition, the firm has established 380 retail depots to boost its operations. This has made Alliance Boots one of the largest retailers in terms of retail space (Alliance Boots, 2006).
Boots Group Prior to the merger, Boots is bannered by Boots the Chemist, which was regarded as a dominant retail pharmacy operating in the UK. Most of the company’s outlets are situated in high streets and in highly urbanised areas. From a traditional pharmacist, the company has expanded its business portfolio and ventured to photo processing, opticians, and selling of home appliances. The increasing pressure caused by competition has limited the chances of Boots to improve its performance. It was evident that the company illustrated signs of stagnation and such weak showing eventually created the drawing board that led to the inevitable merger with Alliance UniChem.
Alliance UniChem In terms of operational scope, UniChem was bigger and its more established reputation has enabled the firm to occupy markets in Europe.