Duane Reade

Walgreens, the nation's largest pharmacy chain unveiled a new flagship store in Chicago that re-imagines the drugstore experience. Among the "unexpected" new offerings: fresh sushi, salon services, more than 700 fine wines and a juice bar. But will we really buy wine with our aspirin?

The beauty business is undergoing a makeover at some of the nation's biggest retailers, as pharmacies and department stores go after shoppers in new and unconventional ways. Sears, CVS, Duane Reade and their cohorts are courting a business that has rebounded well from the recession despite the country's economic malaise.

After years of trying to expand its online presence through organic growth, giant drug store chain Walgreen has decided to buy a bigger Web footprint, acquiring drugstore.com, the country's eighth-largest e-tailer -- and it's paying a premium price.

Drugstore chain Walgreen Co. (WAG) posted earnings of 49 cents per diluted share for the quarter, compared with 44 cents per share a year ago. Sales for the quarter rose 7.4% to $16.9 billion in the quarter ended Aug. 31, the company said in a statement. Comparable store sales, not including...