tobacco companies essay

The Tobacco Industry Ethical Nature of a Business Essay

Introduction, reasons to support the tobacco industry, role of capitalism in corporate decision-making, the company’s priorities.

In spite of the public’s concerns, the tobacco industry develops in most high-income countries. This situation provokes a discussion on the ethical nature of a business that offers products that are traditionally considered as potentially harmful for consumers. However, the tobacco industry develops according to the laws of the free trade, and it has the right to participate in the market relations while exchanging the products and material resources with consumers because manufacturers of tobacco products follow the standards regarding the product quality. Furthermore, the potential risks of tobacco products depend on the use, and the presence of the tobacco industry in the market addresses the consumers’ interests regarding the free choice.

According to the Utilitarian view, industries should be oriented to promoting the public’s well-being (Shaw, 2013, p. 88). On the one hand, this principle seems to be opposite to the nature of the tobacco industry. However, on the other hand, the tobacco industry directly addresses this requirement while proposing tobacco-users the products of their choice. The manufacturers of tobacco products can be discussed as responsible in relation to following the standards of quality and fair advertising because of the governmental regulations (Deyton, 2011, p. 168). In this case, consumers receive fair information regarding the product and can decide on choosing it without being impacted by an advertisement. Opponents of this idea state that the main criterion to speak about the industry as ethical and sustainable is the product safety (Fox, 2005, p. ii39).

However, the tobacco industry proposes products which safety depends on the use, as it is in the case of the automobile industry or chemical producers. Therefore, the industry that depends on the government’s regulations and addresses the principles of social responsibility while supporting the community’s life can be discussed as responsible.

Capitalism plays a key role in different industries’ decision-making processes because capitalism provides the rules for the modern development of the free trade area. In this context, each industry, without focusing on its social image, tends to attract more consumers, sell more products, and receive more revenues. Any negative changes in the balance of demand and supply affect industries dramatically, in spite of their ethical status (Shaw, 2013, p. 128). In this context, the tobacco industry plays according to the rules of capitalism, and corporate decisions are usually influenced by the goals to make more profits (Herington, 2010, p. 14). The tobacco industry is among those industries that are highly limited, and it provides potential consumers with more opportunities to assess the consequences of using the tobacco product.

The company needs to follow corporate interests until it does not violate the interests of consumers. Thus, it is important for the company to find balance while playing according to the rules of capitalism because both strategies lead to increases in profits. The focus on consumers is important to increase their number, and the focus on the company’s interests is important to improve its competitive advantage (Friedman, 2009, p. 819). In the case of the tobacco company, it mostly serves the business interests, but it also responds to the interests of the target group of consumers.

In order to survive in the context of the free trade economy, even such “unethical” industries as the tobacco industry focus on balancing the corporate and social responsibility in their decision-making process. Thus, these companies pay more attention to choosing the available tools to address the interests of the target audience and business.

Deyton, L. (2011). FDA Tobacco Product Regulations: A powerful tool for tobacco control. Public Health Report, 126 (2), 167–169. Web.

Fox, B. (2005). Framing tobacco control efforts within an ethical context. Tobacco Control, 14 (1), ii38-ii44. Web.

Friedman, L. (2009). Tobacco industry use of corporate social responsibility tactics as a sword and a shield on secondhand smoke issues. The Journal of Law, Medicine, and Ethics, 37 (4), 819-827. Web.

Herington, M. (2010). Tobacco regulation in the United States: New opportunities and challenges. Health Lawyer, 23 (1), 13–17. Web.

Shaw, W. (2013). Business ethics . New York, NY: Cengage Learning. Web.

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IvyPanda . "The Tobacco Industry Ethical Nature of a Business." June 13, 2020. https://ivypanda.com/essays/the-tobacco-industry-ethical-nature-of-a-business/.

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Ethics, The Big Three Tobacco Companies, Essay Example

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The Big Three tobacco companies represent the largest producers, marketers and distributors of cigarettes in the United States., These companies have failed to act in an ethical manner. This is based on three reasons, firstly, the have failed in the obligation to open communication with their clients. Secondly, they have not acted in a fair and honest manner in the production of e-cigarettes, and there is a conflict of interest in the growing of their companies through the introduction of e-cigarettes.

Fairness and Honesty

Fairness and honesty are character requirements for any given business seeking continuity in the long-run. In order for there to be a level playing field, honesty and fairness is a crucial and required trait. As such, a level playing field would ensure that all players can thrive, but not at the expense of any other given player. The big three tobacco companies have failed to depict this in their introduction of e-cigarettes to the American market.

The big three tobacco companies have failed to honor the stipulation of full disclosure to its clients. Since the entry into the production of e-cigarettes, these companies have failed to produce any concrete evidence that e-cigarettes are any better than traditional cigarettes. While all three companies venture into the production of e-cigarettes, they has been no full disclosure as to the risks pertaining to the use of e-cigarettes. Clients have been left in the dark, most of which use the product oblivious to the side effects they may realize from its use.

The big three tobacco companies ought to conduct a joint research on the probable side effects of the use and prolonged use of e-cigarettes. Such an endeavor would be overseen by government medical agencies that are specialized in nicotine addiction.

Conflict of Interest

Cigarette smoking had become engrained in the American culture by the start of the 20 th century. Cigarette smoking became the definition and measure of social status and a sign of rebellion towards society. This created a smoking society that started to feel its health implications in the middle of the 20 th century. Since the early 1960s, the US government through the health department launched research projects and health initiatives that significantly reduced illnesses and conditions caused by excessive and prolonged smoking of tobacco cigarettes.

This resulted in the significant decrease in the number of smokers in the United States, from 42% of all adults in 1965 to 20.8% in 2013. While the prevalence of smokers varied with other factors such as race, ethnicity and lifestyle, this general decrease in the number of smokers was realized on all levels.

The introduction of e-cigarettes threatens the progress made over the years. E-cigarettes have been packaged and marketed as cleaner and better alternatives to the traditional tobacco cigarettes. The reduction in the number of toxins has been the major selling point for e-cigarettes. However, this does not disprove the possibility that nicotine addiction in its purest form would far surpass traditional tobacco addiction. E-cigarettes would only serve to introduce a more sanitized form of smoking reversing all progress made in the past few decades.

Accessibility to e-cigarettes casts yet another damning shadow to the underlying conflict of interest. It has been found that the number of children who can access cigarettes has increased by 7%, most of which is attributed to e-cigarettes. E-cigarettes contain nicotine, one of the most addictive substances to human beings. Exposing children to such substances would lead to considerable mental and psychological damage hindering growth and development in the brain.

Communication

Communication is key in any successful supply chain. A business that effectively utilizes communication realizes better results. As such, businesses are expected to communicate with their customers in a transparent and honorable manner upholding all elements of trust and respect for human life. This means that businesses are required to inform their clients of any potential negative effects or results of using their products, either by accident or unwisely. This stipulation is a standard that is held on all markets as it reinforces the ethical pillar of fairness and honesty.

The big three tobacco companies fail to meet these standards prescribed for communication. The three tobacco companies have introduced product in the market with no proper communication as to the risks entailed with the use or improper use of their product. While e-cigarettes have significantly less toxins when compared to traditional cigarettes, the workings and mechanism of the e-cigarette battery-powered devices has not been medically proven to be safe. It is not known whether this form of smoked nicotine promotes cancer at a faster rate or not. It is not known whether it causes cancer or not. There are numerous unknown variables that may have a significant impact on the health of e-cigarette users.

In conclusion, the big three tobacco companies fail to meet the standards prescribed for in business ethics. They have conducted business in an unethical manner, failing to meet all requirements before releasing their products. They have been found to have a conflict of interest in their production and following ethical standards.

Works Cited

Esterl, Mike. “Big Tobacco is About to Dive Into E-Cigarettes.” The Wall Street Journal (2013).

Stone, Mary S, et al. Business : A Changing World . London: McGraw-Hill, 2013.

Wieczner, Jen. “10 Things E-Cigarettes Won’t Tell You.” Sunday Journal (2013).

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Home — Essay Samples — Nursing & Health — Tobacco — The Tobacco Industry United States

The Tobacco Industry United States

• Categories: Tobacco Tobacco Use

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Words: 1992 |

10 min read

Published: Aug 30, 2022

Words: 1992 | Pages: 4 | 10 min read

Works Cited

• Bach, Laura. “Our Team.” Campaign for Tobacco-Free Kids, 6 Mar. 2019, www.tobaccofreekids.org/about/our-team.
• Bates, Clive. Tobacco Explained: The Truth about the Tobacco Industry ... in Its Own Word. Tobacco Free Initiative, 2000.
• National Institute on Drug Abuse. “Cigarettes and Other Tobacco Products.” NIDA, www.drugabuse.gov/publications/drugfacts/cigarettes-other-tobacco-products.
• “Tobacco Control Policy: How the Government Fights Big Tobacco.” Tobacco, tobaccofreelife.org/resources/tobacco-control-policy-government/.
• Thomas Riggs 'Tobacco Industry.' Gale Encyclopedia of U.S. EconomicHistory, edited by Thomas Riggs, 2nd ed., vol.3, Gale, 2015, pp. 1327-1329.StudentResources In Context, http://link.galegroup.com/apps/doc/CX3611000903/SUIC?u=j079907005&sid=SIC&xid=e285505e.Accessed 19 Mar. 2019.
• “U.S. Government and the Tobacco Industry.” Online Exhibits Yale, exhibits.library.yale.edu/exhibits/show/selling smoke/government.

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Marlboro Company’s Strategy

Growth options.

Before deciding which growth strategy the company should adopt in the 21 st century, it is worth looking at the potentials and weaknesses of each method of growth if adopted. In fact, it is clear that the company has the potential to apply any growth strategy- organic, cooperative strategy, and acquisitions. For a company that has been in the cigarette market for decades, Philip Morris Inc needs to determine the most potential growth method for its future growth. In addition, the current economic, social, and cultural factors affecting its growth need to be analyzed to determine which of the three strategies are best suited to promote the company’s future growth.

In fact, with increased efforts to decrease the number of smokers and the number of cigarettes smoked in various nations, the company faces a number of social, political, and economic hurdles that limit or affect its future growth. As such, it has become difficult to maintain its growth in America and Europe because the market seems to be reducing every year. In addition, the recent economic crises in America and Europe have affected the company’s growth in these regions, which, together with the efforts to reduce tobacco use in these areas, have really affected the company’s financial performance over the last five years. However, new and emerging potential markets for tobacco are evident in other areas of the world.

As aforementioned, India is increasingly becoming a potential market for tobacco, with various companies eyeing the emergent market as their new point of focus in the coming years. With its Marlboro brand, Philip Morris Inc has the potential to venture into the new markets in India, China, Africa, and other parts of Asia that have promising progress. However, the question is, ‘how should Philip Morris venture into the new markets? What growth strategies should it adopt in these new markets? In addition, what growth strategies should the company adapt in the old markets in Europe and American to improve its performance and develop a healthy financial performance in the future? To answer these questions, it is important to look at the worthiness of each of the growth strategies the company may use in relation to the target areas.

First, organic growth involves a process through which a company expands by using its resources. It involves business expansion through increasing the overall customer base, increase in sales, output per consumer or a combination of these methods. In contrast with mergers and acquisitions and alliances (inorganic growth), organic growth implies that the company has to flex its muscles beyond its current growth status through a strategies application of the resources it has in disposal, including the existing business. There is no point in purchasing existing businesses because a company has its own resources to use in meeting the demands for setting up new departments, offices, production units, sale outlets or other forms of businesses in which the company specializes. In other words, not all other forms of income obtained from the company’s activities in inorganic development are involved. No profits and gains obtained from these activities are included in determining a company’s organic growth at a given period.

Should Philip Morris expansion of its Marlboro products focus on organic growth?

An answer to this question requires an in-depth analysis of the possible weaknesses and strengths the company is likely to obtain when applying organic growth in a given market. As such, organic growth allows the companies to involve and create customer centricity, in which the focus for a company’s growth is on the customer as an important aspect of the business. In this way, a comp any has to ensure that it creates quality in the product to satisfy customer needs in a diverse market.

In case of Philip Morris and its Marlboro product, there is need for the company to apply this form of growth in its new markets. It is worth noting that tobacco industry is largely based on customer satisfaction in terms of taste, product quality and product class. Many smokers are looking for a taste in a given cigarette product as well as the quality in satisfying their need. In addition, consumers are looking for a product that will raise or maintain their esteem and feeling of worthiness in a given society. Marlboro has a long history of being a product that not only meets quality and taste needs, but also attempts to create a class of its own. With its cowboy advertisement, consumers develop a sense of belonging because they feel that they belong to the class of the much chastised cowboy community.

In addition, organic growth ensures that the company focuses on the ability to deliver unique value proposals. With this method, companies are sure of building brands as well as marketing channels that will ensure that they serve their customers with diligence. As such, there is need for the companies to take risks because they involve disciplined focus on growth strategies. Moreover, organizational efficiency becomes an integral part of the business. In the case of marketing Marlboro, Philip Morris need to note that investing in customer satisfaction is the most crucial aspect of the business that is increasingly declining in the western world. There is need for the company to maintain a strategic approach to local markets.

For instance, investing in efforts to encourage people to smoke less number of cigarettes in a day ensures that the company minds the welfare of its clients. On the other hand, this is likely to reduce the number of smokers and thus the market. As such, there is need for the company to ensure that it invests in efforts to ensure that it creates a brand that meets the demands of the consumers in terms of taste, class and price. In addition, it needs to ensure that efficiency in production and distribution is part of business at all times.

With organic growth, Philip Morgan is likely to know its market for Marlboro in and out. In other words, it is likely to have a first hand knowledge of the market, market needs, market dynamism and the effects that they have on the demand curve. As such, with the changing market needs due to public health concerns over cigarette smoking in America and Europe, using organic growth is likely to ensure that the management at Philip Morris takes the advantage of its knowledge in local marketplaces to develop better ways of dealing with changes and to satisfy the consumer needs at a given location.

Should the company use inorganic growth?

Inorganic growth, on its part, includes such strategies as mergers and acquisitions. Since a company acquires an already existing company or unit of company, its ability to reduce competition in the target market is reduced with effectiveness. In addition, the only role that the acquiring company plays is to ensure that it introduces its brands or products to a service line that is already in existence. In this case, the company obtains a better way of reaching out to a pool of customers that is already in existence rather than attempting to create its won customer base. It is also worth noting that the company will benefit from already established channels of marketing, economies of scale, management skills and knowledge of the local market.

It is strongly recommend that Philip Morris, as it attempts to introduce Marlboro in India and other emerging markets, focus on acquisition and mergers with the local companies. This will ensure that Marlboro is only introduced as a new brand to already existing product lines. Advertisement and other expenses will greatly be reduced. For instance, by acquiring already existing companies in the targeted markets, the company will benefit from the existing channels of distribution, advertising and brand communication. In addition, this strategy is likely to reduce competition that would have risen if company decides to enter the market by establishing its own factories, stores and other outlets. In fact, there is a possibility of creating friendly partnerships with the local companies when allowing them to market the new brands rather than creating competition for their markets.

Recommended changes in growth strategies at Philip Morris

In an attempt to market Marlboro, Philip Morris should consider the nature of the target market, its demands and dynamics. For instance, there is little need for the company to expand its growth in Europe and America through mergers and acquisitions because it is not new to the market. In fact, the company should attempt to create stiff competitions by using its vast resources to improve its image among the customers. Consumer demand should be part of the company’s strategy in these areas.

On the other hand, it is necessary for the company to create a strong competitive advantage against both BAT and Benson & Hedges by focusing on mergers and acquisitions as it enters the new markets in India and other areas outside Europe and North America. As these markets are dynamic and promising, there is little need for the company to use its resources to develop its branches in these areas. Rather, there is need for the company to find and access worth and potential partners to develop mergers or acquire them if possible in order to ensure that it saves its resources, decreases costs of establishment and brand communication in addition to reducing competition from local companies.

From this analysis, it is worth concluding that the company would benefit from retaining organic growth in its previous markets, especially in American and Europe, but enter Indian market using inorganic strategies such as joint ventures, mergers and acquisitions.

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• Tobacco Companies and Product Safety

Tobacco Companies and Product Safety - Essay Example

• Subject: Management
• Type: Essay
• Level: Ph.D.
• Pages: 9 (2250 words)
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Landscapers & Landscaping Companies in Elektrostal'

Location (1).

• Use My Current Location

Popular Locations

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• Elektrostal', Moscow Oblast, Russia

Professional Category (1)

• Accessory Dwelling Units (ADU)

Featured Reviews for Landscapers & Landscaping Companies in Elektrostal'

• Reach out to the pro(s) you want, then share your vision to get the ball rolling.
• Request and compare quotes, then hire the Landscape Contractor that perfectly fits your project and budget limits.

Landscapers are professionals who provide a range of services to enhance and maintain outdoor spaces. They may collaborate with landscape architects or designers who handle the initial conceptualization and detailed planning of landscape projects. Here is an overview of what landscapers can do for you in Elektrostal':

• Designing outdoor spaces to enhance their appearance and functionality.
• Choosing and planting various plants, trees, and flowers.
• Building pathways, patios, walls, and fences.
• Creating and installing water features like fountains, ponds, or waterfalls.
• Designing and installing irrigation systems for efficient watering.
• Adding lights to improve the aesthetics and safety at night.
• Maintaining lawns through mowing, fertilizing, and weed control.
• Decorating outdoor spaces with seasonal plants and decorations.
• Upgrading and improving existing landscapes.

Tipping your landscaper is a thoughtful way to appreciate their hard work. While not mandatory, it fosters a positive relationship. The recommended tip ranges from $15 to $50 per person, depending on the size of work and service quality. Consider your budget, job complexity, and any company tipping policies. For the usual amount in Elektrostal' in your neighborhood, you could ask neighbors or the company representatives.

What does an Elektrostal' landscape contractor do?

Questions to ask a prospective exterior landscaping companies in elektrostal', moscow oblast, russia:.

If you search for Landscape Contractors near me you'll be sure to find a business that knows all about the latest trends and styles for outdoor spaces, ensuring garden aesthetics, human enjoyment, safety, and ecosystem-plant community sustainability.

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