Cardinal products to pharmacies, hospitals and pharmaceutical makers

Cardinal Health Inc. is a large Healthcare Company based in the United States. It is a major supplier of health products to pharmacies, hospitals and pharmaceutical makers within the United States and abroad. The company is guided by the principle of a better, safer healthcare delivery.

The policy upon which the company is based appreciates the existence of cultural difference in various societies. It is also committed to fostering an inclusive working environment where no one is discriminated on basis of race, religion, sex or any other social grouping. This company has maintained a steady growth even in the face of economic downturn that hit the country.

Company’s Strategy

Cardinal Health Inc has a group of intelligent and very dedicated managers who have ensured that the company’s growth is maintained. The company’s vision and mission statements are keenly reflected in the activities that they do. The company has developed to become the preferred provider of healthcare products to companies within the United States and abroad.

They have successfully adopted the use of internet to conduct most of their business transactions. This has enabled the company reach out for customers located in various regions outside the United States. The integration of Information Technology into its system has also increased its service delivery to its current customers.

Significant Problems

Although this company has experienced a relatively good working environment that has enabled it realize a continued growth over the years, there are some challenges that has made the working environment very challenging. The negative economic growth that was witnessed in the United States of America and other parts of the world, especially in Europe had negative impact on this company. The purchasing power was significantly reduced and the company had to maintain its current employees even in the face of reduced output level.

The market within which this company operates is not closed and therefore competition is rife in this industry (Giddens 19). This company experiences serious competition from emerging economies like India and United Arabs Emirates.

Even though the Healthcare bill 2010, popularly referred to as Obamacare was seen as a boost to such companies, its implications have as negative effects as it has the positive ones. Inasmuch as the company would be assured of increased sales of their products because of this law, the company, as a corporate entity, and its employees are subjected to increased taxation to fund this government policy.

Financial Information

This company is relatively large, with its operations covering the entire continent of North and South America, Europe, Asia and parts of Africa. It has a huge financial base which has consistently been on the rise for the last three decades. According to a report by Ernst and Young audit firm, this company has managed to maintain a positively inclined financial growth since 1983. It is estimated that the company’s share capital grew by about 7000% from 1983 to 2000.

Currently, the company’s common shares are valued at $ 44.66 per share. By 2000, the company had a market value of $31 billion, making it the largest healthcare unit in the United States. Pharmaceutical distribution accounts for about 75% of the company’s revenue. However, the expenses of the company are equally large. The taxation, employee’s salaries, shareholders interests the cost of buying supply among other overheads has been on the increase almost on a daily basis.

Analysis and Evalutations

Cardinal Health Inc. has had a prosperous growth for the last several years. In their mission statement, this company purposes to help customers across healthcare industry- both manufactures and the final providers of healthcare services to patients- find solutions to their healthcare needs.

So far it has succeeded in this because it has successfully provided these services to many such firms within and outside the United States. The company believes in a collective collaboration with customers as the best way to generate new ideas in this industry.

The company’s measure of performance is based on the ability to identify and exploit on the opportunities created by advancement of healthcare. In regard to this, it would be said that the company has achieved much of its strategic goals. Currently, it is one of the largest suppliers of healthcare products to pharmaceuticals, hospitals and other healthcare units within the United States and other countries abroad.


Cardinal Health Inc. is a success story in this industry. However, it has not been able to fully achieve its full potential. The following are some of the recommendations that this company should consider in its operations:

The company should consider specifying locations that they can serve best and concentrate on them, other than covering large geographical locations which create constrain in their operations.
It is important that they give their marketing approach an outward in strategy. They should design their product with customers’ demands in mind.
It would be advisable to motivate employees through such acts as increasing their basic pay in order to boost their morale.

Works Cited

Giddens, Adams. The consequences of modernity. Malden: Blackwell Publishers. 2009. Print.


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