Sign Up Now
Get instant access to over 1 million+ study documents
OR
Already registered? click here to login
By creating your account, you agree to our terms of service, privacy policy and student honor code.
Beverage & Tobacco
Beverage and Tobacco Industry Analysis
Opportunities
Although the beverage and tobacco industry face mounting obstacles to their success, there are also an infinite number of possible opportunities. One clear opportunity is provided by emerging markets. The numbers of individuals who have greater levels of disposable incomes are increasing exponentially in the developing world. This represents a tremendous opportunity for corporations in the beverage and tobacco industry to tap into these emerging markets. Another opportunity for this industry can be thought of in terms of a localization initiative. There are growing concerns in industrialized nations which are centered...
Thus the beverage and tobacco industry stands the potential to innovate based on the consumer demands. They could create a diversified product portfolio that was catered to the needs of the specific market.
Threats
There are a growing number of potential threats that plague the beverage and tobacco industry. The first is the trend that is emerging in many of the industry's primary markets which is that the consumers are becoming more health conscious. Thus consumer demand for tobacco products and unhealthy beverages that contain ingredients such as high fructose corn syrup are diminishing rapidly. Many consumers are dedicated to living more healthy lifestyles and as a consequence…
There are a growing number of potential threats that plague the beverage and tobacco industry. The first is the trend that is emerging in many of the industry's primary markets which is that the consumers are becoming more health conscious. Thus consumer demand for tobacco products and unhealthy beverages that contain ingredients such as high fructose corn syrup are diminishing rapidly. Many consumers are dedicated to living more healthy lifestyles and as a consequence they are shunning products that are not consistent with this preference. Another threat that is driven by consumer preference but represent an entirely different level of threat is that many health considerations are actually the subject of increasing regulations. For example, many cities have chosen to ban smoking from public spaces as well as prohibit unhealthy beverages being sold at places such as schools.
Suppliers
There are a countless number of manufactures and suppliers in this industry. Phillip Morris is one of the world's largest tobacco companies which name was officially rebranded in 2003 under a new name known as Atria. Atria also holds a significant stake in Kraft foods and also subsidiaries that operate in the wine industry. PepsiCo is one of the largest food and beverage companies and the largest U.S. based firm in the industry. InBev is one of the largest alcoholic manufactures and distributors in the world and operates in over one hundred thirty different countries. It recently purchased Anheuser-Busch in 2009 which significantly increased the size of the operations. To complete the deal, the United States required that InBev quit importing certain brands of beers to the U.S. market so that InBev would meet anti-trust regulations.
Ironically, those opposed to smoking used the very same medium to help kill smoking in public places, restaurants, and even cars when children are present (as is the case in several states now). Smoking and tobacco products are a pariah now - no longer the universal symbol of cool, no matter how much money the companies spend on advertising. The alcohol and gambling industries, on the other hand, have clearly taken
4. Was it ethical for the tobacco industry to continue to market cigarettes, even after evidence emerged that smoking caused lung cancer and other illnesses? Purely from a rule utilitarian and personal rights perspective, it is difficult to justify so-called vice legislation, because governmental paternalism conflicts with individual freedoms of adults to make choices for themselves. From a more general functional utilitarianism perspective and general principles of justice in society, certain
Smoking Ban Tobacco smoke should certainly be considered a toxic chemical, and its risks to human health have been well-known for decades. Any reasonable person -- or indeed anyone who is even slightly familiar with the medical and scientific evidence -- would certainly know this today. Forty years ago, the federal government banned tobacco advertising from radio and television and put warning labels on tobacco products, while class action lawsuits have
Marketing Tobacco Marketing: Get Them Young or Not at All The tobacco industry has been in a battle to capture the youth market for decades mainly because of the degree of brand loyalty that is characteristic of cigarette smokers. Cigarette companies have a lot at stake in making sure that their brand is one of the first tried by the young smoker. In its bid to obtain young smokers, R.J. Reynolds created
6%, Nebraska -- 17.6%, Illinois -- 17.5%, Delaware -- 17.4%, Colorado -- 17.2%, Montana -- 17%, South Dakota -- 16.9%, Ohio -- 16.9%, Massachusetts -- 16.9%, District of Columbia -- 16.6%, Alaska -- 16.3%, Missouri -- 16.2%, Michigan -- 16.1%, Wyoming -- 16.1%, Vermont -- 16.1%, New Hampshire -- 16%, Texas -- 15.6%, Arizona -- 15.5%, New York -- 15.2%, Maine -- 14.9%, Connecticut -- 14.8%, California -- 14.7%, New
To cope with the FDA uproar, Cocaine was forced to add a "humorous slogan…explaining that the beverage did not contain the illegal drug cocaine" (Thompson 2012: 1). But although government regulations have occasionally thwarted Cocaine, other developing conditions have enhanced its appeal. It has a vibrant social media presence. Its ability to engage with users, posting pictures of people getting Cocaine under a Christmas tree or making edgy status updates