Boston, MA 01\/31\/2014 (wallstreetpr) – Rite Aid Corporation (NYSE:RAD) future has been thrown into shreds amidst CVS Caremaker announcement that that it intends to launch a new Vitamin Centre. The new project will be implemented online intended to encourage customers to buy Vitamins and supplement due to their nutritious value. CVS which is a fierce competitor to Rite Aid has in the past started acquiring a good market size in the market\u00a0 with its site locations growing by 7.7%\u00a0 from 6,923 to 7458 between 2008-2012, the increase in locations has also resulted in its sales increasing over the given time frame.<\/p>\n
This is a complete contrast to Rite Aid Corporation (NYSE:RAD) which has seen its count fall 5.7% from 4,901 to 4,623 over the past five years. Sales at Rite Aid have also been tumbling, falling by 3.4% from $26.3 billion to a low of $25.4 billion. In the past five years Rite Aid has been posting net losses almost every year with GNC recording improved sales of 123.1 billion an increase of 40.8% from $87.5 billion. Rite Aid has been paying more attention on cost reduction and management policies while GNC has focused entirely on boosting its growth in sales thus the new venture online.<\/p>\n
Rite Aid Corporation (NYSE:RAD) <\/b>move to cut on costs of operation by closing unprofitable ventures has resulted in its profit margin dropping from highs of 3.8% to lows of 3.1%. A dismal performance in the quarters has caused Rite Aid to be trimmed to a neutral mark in the markets. 2013 was Rite Aid year in the market with its stocks soaring by up to 3 times this leaves a lot to be desired in terms of sustainability and stability in the coming months amidst increased competition from GNC. Their needs to be a change in strategy on the way the company operates if it is hold on to its grip in the market<\/p>\n","protected":false},"excerpt":{"rendered":"
Boston, MA 01\/31\/2014 (wallstreetpr) – Rite Aid Corporation (NYSE:RAD) future has been thrown into shreds amidst CVS Caremaker announcement that that it intends to launch […]<\/p>\n","protected":false},"author":13,"featured_media":14107,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"rop_custom_images_group":[],"rop_custom_messages_group":[],"rop_publish_now":"initial","rop_publish_now_accounts":{"twitter_2902945987_2902945987":""},"rop_publish_now_history":[],"rop_publish_now_status":"pending","footnotes":""},"categories":[264],"tags":[1952,1951],"stock_ticker":[],"class_list":["post-14106","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-health","tag-nyserad","tag-rite-aid-corporation-nyserad","entry"],"acf":[],"yoast_head":"\n