Cigarette manufacturers

Essay by jeremysmoken May 2004

download word file, 4 pages 3.0

Cigarette manufacturers such as the Philip Morris U.S.A and the Native American Trading Company offer different brands of cigarettes to all parts of the countries. Due to the all the health issues, competitors, government taxation of exports, doctors' warnings, and banning etc. These manufacturers are still able to maintain their high market sales over the long years although the Business Environment has affected their business.

Health issues

Due to the overwhelming of medical and scientific consensus that cigarette smoking causes lung cancer, heart disease, emphysema and causes pregnant women in fetal injury, premature birth and low birth rate.

(1) Consumers have become more aware of their rights to be heard and informed and to choose.

(2) Economic will also be affected by their purchasing powers by then if people are more concern of their health and buy less of the product. The purchasing power of the consumers will thus reduced.

(3) Cigarette packages warnings and advertisements has try to

Persuade consumers to use less and quit smoking.


Government issues

Laws and procedures:

(1) Banning of smoking in theatres, restaurants, and hotel lounges, especially those with air-conditioned environment are restricted.

(2) By raising awareness compliance of these laws, fewer cigarettes will be sold to minors such as those customers who are under 18 years of aged. Public advertising is helping to build awareness of minimum-age laws.

(3) Proposing the increasing of federal cigarette tax on per pack of cigarettes. Thus it will cost jobs, as higher taxes mean fewer sales, and fewer sales translates into lost jobs in core and related industries.

(4) Prevention of "Gray Market" is another issue from the government. "Gray market" refers to products that are bought into the country...