Wal-Mart cuts generic drug prices

Wal-Mart has announced that it has rolled out a pilot program that will cut the prices of about 300 generic prescription drugs to just $4. This is well below the average cost of generic drugs, which run $10 to $30 for a 30-day supply. The pilot program will start in 65 Tampa, FL stores and will be expanded across the whole state in January. Wal-Mart could expand the program to more stores next year. "Competition and market forces have been absent from our healthcare system, and that has hurt working families tremendously...We are excited to take the lead in doing what we do best--driving costs out of the system--and passing those savings to our customers and associates," CEO H. Lee Scott, Jr. said in a press release.

Historically, business hasn't been at its best in Wal-Mart pharmacies, and this move could attract droves of customers to the store. But it could also have a significant long-term effect on both the generic drug and healthcare industries. Wal-Mart--the nation's largest employer--uses its size to push down prices. Imagine the effect that could have if the retail giant chose to exert its influence on the healthcare industry.

For more on Wal-Mart's move:
- see the company press release

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