January 27th, 2012 Vida Love Griffin Dr. Grace Onodipe ECO 550

Assignment 1: Market Models Patterns of Change.

The Tobacco Industry

Describe the industry.

Unit 1: History & Economics of Tobacco: History of Tobacco states that, “Tobacco has a long history in the Americas. The Mayan Indians of Mexico carved drawing in stone showing tobacco use. These drawings date back to somewhere between 600 to 900 A.D. Tobacco was grown by American Indians before the Europeans came from England, Spain, France, and Italy to North America. Native American smoke tobacco though a pipe for special religious and medical purposes. They did not smoke every day. Tobacco was the first crop grown for money in North America. In 1612 the sellers of the first American colony in Jamestown, Virginia grew tobacco as a cash crop. By the 1800s, many people have begun use in small amounts of tobacco. Some chewed it. Others smoked it occasionally and a pipe or they hand rolled cigarette or cigar. On the average, people smoked about 40 cigarettes a year. The first commercial cigarettes were made in 1865 by Washington Duke on his 300-acre farm in Raleigh, North Carolina. The American tobacco Company was the largest and most powerful tobacco company until the early 1900s. In 1902 Phillip Morris Company came out with its marble brand. They were selling cigarettes mainly to men. Everything changed World War