...3103-015 Critical Analysis Paper: 1 E-CIGARETTE Big tobacco companies are betting on e-cigarettes. Why are tobacco companies investing in a product that will directly compete with their most profitable product, cigarettes? With the use of these analytical frameworks it will help us to better understand this situation. PEST PEST Analysis of Global Trends – 2011-2016 Political * Increased emphasis in healthcare | Economic * Recovering/Growing | Social * Health conscientiousness | Technological * Battery life advances * Material utilization * Portability | Beginning with the PEST Analysis we can get a macro perspective on the trends. There has been a global emphasis on healthier lifestyles and pharmaceutical companies have already taken advantage. As a social trend it is increasingly popular to look good and be healthier. Food industries are staying away from synthetic ingredients and gyms are packed. The economy has slowly recovered and is now growing. With recent advances in cellphones batteries longevity and size has drastically gotten better and more efficient. Technology has made it easier to extract, mold and use material to our benefit. And with all these advances technology has gotten increasing more portable. Next we will analyze the e-Cigarette industry and try to understand why big tobacco companies want to join. Porter’s Six Forces Analysis Porter’s Six Forces Analysis of the E-cigarette Industry ...
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...plan written on introduction of e-cigarette in Malaysia. E-cigarette is a new form of cigarette being used to replace the existing since it produces less harm than the conventional one. To date, there is not only no known side effect caused by consuming e-cigarette, but significant acceptance of this new product to substitute conventional cigarette was found among western countries. The business was started by developing Vision and Mission of the company formed in order to provide clear direction for the company in future development. The business is carried out under TOP Cigarette Sdn Bhd with a Vision to become the first leading e-cigarette in Malaysia by ensuring high quality of our cigarette. It is also attached with an analysis concerning on the external environment that could affect our business through Political, Economical, Social and Technological (PEST) analysis. The analysis found significant environmental factors that are favour operation of e-cigarette in Malaysia. Political environment of Malaysia create a great opportunity for the business to expand since the conventional cigarette seems to be governed more strictly through various new implementations to discourage people from smoking. Viewing from economical factor, constant increase in cigarette’s prices had possibly forcing the smoking population to look for other alternative to satisfy their wants. Besides, we also found interesting facts on price spent to buy cigarette was as high as RM 178.80 per month...
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...International Inc. REFERENCE CODE: 2DC85131-EA8B-49A3-8340-D00D9F5733D7 PUBLICATION DATE: 10 Oct 2014 www.marketline.com COPYRIGHT MARKETLINE. THIS CONTENT IS A LICENSED PRODUCT AND IS NOT TO BE PHOTOCOPIED OR DISTRIBUTED. Philip Morris International Inc. TABLE OF CONTENTS TABLE OF CONTENTS Company Overview..............................................................................................3 Key Facts...............................................................................................................3 SWOT Analysis.....................................................................................................4 Philip Morris International Inc. © MarketLine Page 2 Philip Morris International Inc. Company Overview COMPANY OVERVIEW Philip Morris International Inc. (PMI or 'the company') is one of the world's leading tobacco companies. It is engaged in the manufacturing and sale of cigarettes and other tobacco products. The company markets its products in more than 180 countries. It is headquartered in New York City, New York and employed about 91,100 people as of December 31, 2013. The company recorded revenues of $80,029 million in the financial year ended December 2013 (FY2013), an increase of 3.4% over FY2012. The operating profit of the company was $13,515 million in FY2013, a decrease of 2.5% compared to FY2012. The net profit was $8,576 million in FY2013, a decrease of 2.5% compared to FY2012. KEY FACTS Head Office ...
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...Communications Plan Learning Team A, MKT/571 October 15, 2010 Communication Plan Developing an integrated marketing system is important to the organization. Because there are different ways consumers can experience an organization advertisement, it is important that the communication be clear and reliable. Developing appropriate lines of communication, especially with a new product is vital to an organization. In this discuss, Team A will expand on the effective marketing and communication, the advertising and promotion program, helpful technology trend, and the marketing communication strategies for domestic and international markets. Evaluating Marketing factors Today’s concept of marketing varies from this, Marketing like many other business functions, involves dealing with customers. Building relationships with customers based on perceived value and customer satisfaction are core elements or the modern definition of marketing. The goal of marketing is to attract new customers by promising better value through a better-quality product and to retain customers while gaining new ones is a familiar concept, keeping and generating new customers through customer satisfaction is different from traditional theory. In today’s competitive business arena, companies need to utilize all potential avenues to maximize profitability and growth. Organizational decision makers need information in order to decide what products and services to introduce...
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...Exotic Smokes Cigarette Company Consumer Behavior Outline Competition and Current Information There are several tobacco companies leading the industry internationally. The companies in turn maintain several brands of tobacco products. The leading tobacco companies are Phillip Morris, British American Tobacco, Japan Tobacco International, Altria Group, Imperial Tobacco Group, Reynolds American, ITC, Lorillard, KT&G, and Gudang Garam ("Statista", 2013). Looking at the tobacco products developed by these companies flavored tobacco fillings for cigarettes, cigars, hookah, and chewing are available but not many ready-made cigarettes. R.J. Reynolds Tobacco’s Camel delivered an Exotic Blend cigarette line from 1999 to 2003 introducing fruity and sweet flavors (HARRIS, 2015). Due to the regulations and backlash R.J. Reynolds Tobacco discontinued manufacturing the Exotic Blend cigarette line. There are presently electronic vapor companies that fabricate flavored e- cigarettes. The United States Food and Drug Administration have not ruled against these products. Examples of flavors produced by these companies that may be similar to the Exotic Smokes Cigarette Company are cantaloupe, apple, peach, strawberry, and mango ("VaporFi", 2015). The top five Vapor companies are as follows VaporFi, Halo Cigs, Migs Cigs, Apollo E-Cigs, and South Beach Smoke ("Quit Smoking Community", 2015). There is no competition for flavored cigarettes within the United States, but there are laws prohibiting...
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... 4 IV. SWOT Analysis 5 V. Unique Selling Proposition (USP) 6 VI. Pricing and Positioning Strategy 7 VII. Distribution Plan 8 VIII. Promotion Strategy 8 IX. Online Marketing Strategy 8 * Keyword Strategy 10 * Search Engine Optimization Strategy 10 * Paid Online Advertising Strategy 10 * Social Media Strategy 10 X. Referral Strategy XI. Financial Projection XII. Conclusion EXECUTIVE SUMMARY Electronic cigarettes or e-cigarettes are the most popular form of electronic nicotine delivery systems (ENDS) that take the form and shape of a cigarette but are operated by a battery and involve heating a concoction of chemicals, usually called e-liquid or e-juice, to produce a...
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...E-‐cigarettes: miracle or menace? Networks, Organizations and Society Introduction The electronic cigarette or ‘e-‐cigarette’ is a rechargeable battery-‐powered device designed to resemble a conventional tobacco cigarette. The e-‐cigarette does not contain tar and the nicotine cartridges seem to be a much safer alternative to traditional cigarettes, which contain a much higher number of notoriously harmful chemicals. Nonetheless, nicotine is addictive and is classified as a poison (Cancer Research UK, 2013). The issue has attracted heated debate, but the question remains: “Should e-‐ cigarettes be classed as general consumer products, tobacco products, medicines or drug-‐delivery devices?” 2 In attempting to answer the above question, this paper discusses the evolution of e-‐ cigarettes through the lenses of technological...
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...Indian Institute of Management, Lucknow ITC Ltd: A Strategic Analysis Submitted to: Prof. Arun K Jain In partial fulfillment of the requirements of the course Strategic Management I Submitted by Saurav Goswami (ABM08012) Anuj Saraf (PGP27204) Kaushal Mathur (PGP27219) Sudhanshu Chawla (PGP27255) Section “D” Group 1 Letter of Transmission TO: Prof. Arun K. Jain, Strategy Group Indian Institute of Management, Lucknow FROM: Group 1, Section D Strategic Management Class DATE: March 23, 2012 SUBJECT: Strategic Analysis of ITC Ltd. Dear Sir, You had entrusted us with a project to analyze the strategy of any company of our choice using the frameworks given in the prescribed textbook. We chose ITC Ltd. for this project as it is one of India’s oldest and most diversified companies. This report begins with analyzing the strategic direction of the company which emanates from its vision & mission statements. It then looks at the decisions that the company has taken to achieve its vision by analyzing the environment it operates, the value chain and the core competencies that it has developed over the years and the key factors instrumental in its success. We end by commenting on its future prospects based on our analysis. We are grateful to you for providing us this opportunity to learn the strategic issues in contemporary businesses and giving us the necessary guidance in completing the project. We would also like to thank the entire...
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...INTRODUCTION Electronic cigarette (e-cigarette) use, or vaping, in the worldwide is increasing. Less than a decade ago, the e-cigarette was an obscure product marketed as a safe, tobacco-free alternative to conventional cigarettes by a single company in China. Seven years ago, the electronic nicotine delivery device entered the US market. Today, health officials, policy makers, and researchers are all scrambling to keep up with a rapidly expanding, wildly controversial, and largely unregulated $3 billion global industry that has, at last count, 466 brands, 7,764 flavors (bubblegum, cherry crush, bacon, java jolt, menthol), and slick, youth-oriented Big Tobacco marketing designed to create the perception that e-cigarettes are not only safe, but cool. Non-nicotine, but an abundant amount of toxic chemicals produced by the combustion of tobacco are the cause of well-known health problems. E-cigarette vapor contains no or only minimal quantities of potentially harmful substances. Hence it can be assumed that vaping in adults is much less harmful than smoking of cigarettes. Furthermore, no data exist that e-cigarettes will encourage youngsters to become cigarette smokers. E-cigarette vaping has the potential to reduce the daily number of cigarettes smoked or facilitates cessation of smoking in heavily nicotine-dependent smokers, who keep on smoking despite a structured smoking cessation program. Health professionals should be aware of this type of nicotine substitution, since the...
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...INTRODUCTION Are electronic cigarettes (E-Cigs) dangerous? Some say yes, e-cigs are not only dangerous but they are also being marketed towards an adolescent demographic. Others side with the argument that these devices help traditional tobacco smokers stop smoking. Substantial evidence backing both sides of this debate have been analyzed. An electronic cigarette is a battery-powered device designed to resemble a regular tobacco cigarette. Almost every e-cig is composed of the following key components: a mouthpiece for inhaling vapor and holding the cartridge of juice, an atomizer which acts as a heating element, and a rechargeable battery to power the device (M. Johnson, N. Pennington, 2014 #612). “The use of the electronic cigarette simulates the act of smoking, and the colored light emitting diode even simulates the glow of tobacco. However, no actual smoke is generated with this device” (M. Johnson, N. Pennington, 2014 #612). Because there is no tobacco combustion in e-cigs, they are a much lower risk alternative when compared to traditional cigarettes. This also means that the absence of tobacco results in minimal regulation of the product (M. Johnson, N. Pennington, 2014 #612). Electronic cigarettes are available in stores and online to anyone regardless of age. Consumers of this product range from smokers trying to quit, to the nation’s youth who have never smoked before. Flavors such as gummy bear, cookies, and bubble gum get the attention of a youth market and poses...
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...Behavior 1. Introduction A. Target demographics/ Target markets I. Attract customers 18 – 25 year olds B. Market analysis I. Competitors, in-depth consumer behavior study 2. SWOT analysis – Strengths, Weaknesses, Opportunities, and Threats A. Environmental scan B. Internal analysis I. Strengths II. Weaknesses C. External analysis I. Opportunities II. Threats D. SWOT matrix 3. Research on flavor cigarettes products A. Current products in market B. Current competition C. Current locations flavored cigarettes are sold D. Volume of sales of flavored cigarettes by location E. Consumer perception on flavored cigarettes I. Likes / Dislikes II. Within demographics/ market segment F. Current top selling flavors G. Consumer affect/ cognition H. Consumer behavior I. Consumer environments 4. Project definition – marketing strategies A. Stimuli I. Products II. Brands III. Packaging IV. Advertising V. Coupons VI. Smells of product VII. Health concerns – electronic cigarettes/ e-cigarettes 5. Marketing Objectives A. Market share I. Total II. By segments III. By channel ...
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...Electronic cigarettes, or e-cigarettes, have gained a considerable amount of popularity in the United States since its introduction. These hand-held, battery-powered devices initiate the appearance and function of a conventional cigarette. This is done when the atomizer heats up the solution and provides a nicotine vapor, instead of smoke, to the user (Mayo Clinic, 2013). Many of the manufacturers of electronic cigarettes boast the safety of these products although there are little evidence supporting that claim. Nevertheless, people continue to purchase them, and it is important to start implementing stricter policies on them. The Family Smoking Prevention and Tobacco Control Act of 2009 gives the FDA authority to regulate the marketing, manufacture and sale of tobacco products (Products, 2013), but the original intent of the FDA is to regulate electronic cigarettes as therapeutic drug delivery devices because of the contents of the liquid. In 2010 the United States District Court of Appeals declares that electronic cigarettes should be considered tobacco products (Grana, 2013). Unfortunately, since this declaration, the FDA has not exercised regulatory authority over electronic cigarettes. A main reason for this is partly due to the government shutdown in October. Prior to this, the FDA has taken steps to provide a proposed rule to the Office of Management and Budget, which is currently reviewing it (Staff, 2013). In the absence of FDA regulation many states, localities...
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...Poster 5-11, Society for Research on Nicotine and Tobacco (SRNT) Dublin, April 30, 2009; updated 27 May Ruyan® E-cigarette Bench-top tests Murray Laugesen MBChB FNZCPHM Health New Zealand Ltd, Christchurch NZ. www.healthnz.co.nz laugesen@healthnz.co.nz Figure 1. Toxic emissions score, adjusted for nicotine. Toxic cigarettes v. E-cigarette 1,4 150 100 50 134 126 109 100 0 0 NZ Holiday Extra-mild Marlboro Red Regular NZ Holiday regular Canadian regular brands Ruyan V8 ecigarette Background Electronic cigarettes, without tobacco, flame or smoke, claim to be cigarette substitutes and to deliver nicotine safely, without smoke toxicants. Are these claims justified? Aim To assess the Ruyan® e-cigarette and its mist for safety, emissions, and nicotine dose. Figure 2. Nicotine per puff 120 micrograms 103 Nicotine per puff ISO Nicotine per puff Intense 60 48 8 9 10 0 Marlboro Red regular Ruyan Jazz Ruyan V8 Classic ecigarette Participating laboratories, methods, materials 1) Environmental Science and Research, Porirua NZ. Cartridge liquid: Monoamine oxidase inhibition (Kynur-amine substrate method); Nicotine (GCMS); Heavy metals (by ICP-MS) 2) Hill Laboratories, NZ. Mist: GCMS, Type II ATD, qualitative. 3) Hort Research, NZ. Liquid for 34 PAHs, by GCMS. 4) Labstat International ULC,Canada. Liquid: TSNAs, by LC-MS/MS. Mist: 14 PAHs and azarenes, Vinyl Chloride, acetamide, 7 volatile TSNAs. 5) Lincoln University, NZ. Liquid: HS-SPME & GCMS, qualitative...
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...Demographics and Ethical Dilemma for Marketing Professional in a Connected and Diverse Society Jahangir M. Kabir Wilmington University What are the connections among demographics, marketing and ethics? Well, they are deep and potentially detrimental to society, if certain ethical standards are not met. According to Grewal and Levy (2011), firms use segmentation, targeting and positioning to develop marketing strategy and segments its customers in many ways and one of them is demographics (Grewal & Levy, p. 232). Demographic (age, gender, race, income, education etc.) segmentation puts consumers into groups according to easily measured objective characteristics such as age, gender, income and education (Grewal and Levy p. 232). Now lets look at some examples of the use of demographics to market products and services to consumers. I was never an Amazon fan until one day in 2011 I received an email with free Amazon Mom subscription for six months. I signed up immediately because it would make me eligible for free two-day shipping and 20% discount on diapers and baby formulas. Amazon targeted me solely because of my wife being nine months pregnant. Now, I am a loyal Amazon customer shopping for almost anything and everything. Grewal and Levy (2011) gives an excellent example of the use of gender as a marketing strategy to market products and service to men and women (p. 233). For example, TV viewing habits very significantly between men and women. Men tend to channel...
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...Rusterucci September 30 2012 Research paper Electronic Cigarette What are electronic cigarettes? E-cigarettes are battery-powered devices that heat a liquid nicotine solution in a disposable cartridge and create a vapor that is inhaled. “E-cigarettes are not currently regulated; therefore, there is no way to know if they are safe or effective," Engel said. "They are available in shopping malls and online, and are sold with no age restriction, so they can easily be purchased and used by children and teens." In no way is this safe for kids and from what the FDA has to say proves a lot of why people shouldn’t be using this product. Are Electronic Cigarettes bad for your health? This electronic cigarette is starting to become known all around. This fake cigarette was made in china and transported to the USA. While the FDA has not been able to do any further investigation. They have found that many young people appeal to this new looking way to smoke. “The FDA is concerned about the safety of these products and how they are marketed to the public,” said Margaret A. Hamburg, M.D., commissioner of food and drugs. They are concerned because the product does contain nicotine the FDA believes that it could appeal even to people who do not smoke and thus getting addicted to the nicotine. “The FDA’s Division of Pharmaceutical Analysis analyzed the ingredients in a small sample of cartridges from two leading brands of electronic cigarettes. In one sample, the FDA’s analyses detected diethylene...
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