Tobacco Industry
Professor Senft
August 11, 2015
Christopher Wadsworth
Table of Contents
History ……………………………………………………………………………………………………………………………….. 1
Corporate stakeholders ………………………………………………………………………………………………………. 2
Role of Tobacco Industry ……………………………………………………………………………………………………. 3
Domestic ethics …………………………………………………………………………………………………………………. 4
International Ethics …………………………………………………………………………………………………………… 5
Ecological Resources …………………………………………………………………………………………………………. 6
Natural Resources …………………………………………………………………………………………………………….. 7
Social Issues ………………………………………………………………………………………………………………………. 8
Rating of industry in relation to social responsiveness ………………………………………………………. 9
Rating of Industry in relation to Saint Leo Core Values ……………………………………………………… 10
Reference ……….…………………………………………………………………………………………………………………. 11
History
Tobacco today is one of the leading industries in today’s society, despite the effect that it has on the end result of everyone’s health. Nicotine in tobacco is very addicting and it creates the urge to continue buying the products. It is a multi-billion dollar industry. In 2014, the tobacco industry paid $9 billion dollars to advertise its products to its consumers. This equates to roughly $1 million dollars per hour. To express the magnitude of numbers, the leading manufacturer, Philip Morris, brought in $31 billion dollars in sales in 2012 for tobacco sales. Medical conditions or illnesses caused by tobacco cost
Tobacco consumption is the number one cause of preventable deaths in the United States. In the United States, cigarette smoking is responsible for more than 480,000 deaths per year. That is around one in five deaths annually only because of smoking. On an average, the person who smokes dies ten years earlier than a non-smoker. These statistics are not mere numbers but speak about the gravity of the situation. The United States government should portray a more negative view on Tabaco to save the lives of many people worldwide (Centre for Disease and Prevention, second paragraph).
According to the CDC, in 2012 cigarette and smokeless tobacco companies spent more than $9.6 billion on advertising and promotional expenses in the United States alone. This is an extremely atrocious amount of money to spend on a product that has been proven to harm or even kill its consumers. In addition, the world lung
Smoking is the single highest cause of preventable death in America and puts users at significantly greater risk for disease compared to the rest of the population. Tobacco use costs the U.S. more than 289 billion dollars annually in medical expenses and lost productivity (Surgeon General, 2014). The problems associated with smoking are due in part to its addictiveness. Nicotine is the addictive substance found in tobacco and its chemical dependence is as strong as heroin, cocaine, or alcohol (CDC, 2014). Getting all smokers to quit entirely is not realistic due to nicotine’s addictive characteristics.
In Vanguard’s documentary, Sex, Lies, and Cigarettes: Secrets of the Tobacco Industry by director, Alex Simmons, Vanguard sends correspondent, Christof Putzel to Jakarta, Indonesia to investigate the tobacco industry there. The documentary talks about how America no longer allows cigarette and tobacco ads and commercials, instead the country focuses scare tactic ads that stop people from smoking or keeps them from starting. The tobacco industry is losing millions of dollars in America so they’re moving overseas to poorer countries like Indonesia to make their money there. Putzel goes to see what all the tobacco industry is doing and how they’re corrupting the young people like ‘the smoking baby’, Aldi, as well as students of the country.
Now, more than ever, more and more people are beginning to look at tobacco use as a major public health concern. It is nineteen ninety nine, and the number of smokers is rising while the average age of smoking initiation decreases. There are those that believe using tobacco of any type should be illegal, or at least restricted. Others believe it is up to the person to choose whether to use tobacco products or not, however most of these people believe tobacco companies should warn their customers of their products harmful affects.
In 1985, many efforts started to raise commissary tobacco prices, the US Navy goal to become smoke-free by 2000, and to have healthy military forces, this led to the development of opposition.
The use of tobacco products is just one of many factors that influence the price of insurance. Unlike some other deciding factors of insurance prices, people choose to use tobacco products. There is plenty of information about the dangers of tobacco products. Tobacco products’ packaging warns that use of the products will have negative effects on a person’s health. There are also numerous public service announcements circulating on television and the internet warning people to stay away from tobacco. Many systems are also available, often paid for by insurance companies, that will help a person quit using tobacco. These vary widely, from patches that a person wears, to nicotine gum. The increase in the cost of insurance for tobacco users
This enables tobacco companies to raise their price on their products. Advertising is one of the ways they get people to use their products. Luckily, the U.S. Food and Drug Administration (FDA) were given authority to control the regulation of tobacco products. Smoking may also pose serious risks to your body that will eventually continue of you do not stop the deadly habit. One of the many ways tobacco companies target people is through women. They target woman through slim, attractive, and athletic models. Another way tobacco companies get people to but their product is through and taste. May teens fall victim to this advertising technique and start abusing the drug illegally early on. The cost of smoking is a big issue. The economic costs of smoking are huge. Smoking-related illness in the United States costs more than $300 billion each year. Surprisingly, nearly $170 billion for direct medical care for adults and more than $156 billion in lost of productivity, including $5.6 billion in lost productivity due to secondhand smoke exposure. Tobacco advertising really works during 2014; nearly 264 billion cigarettes were sold in the United States. Smoking causes addiction so people need to satisfy their crave people will pay for several packs a day. The costs of a cigarette pack can range from $4.84 from West Virginia to $12.50 from New York. Not only are the
The US smokeless tobacco industry is characterized by low power of threat of new entrants. The market’s leader, UST Inc., has the market’s largest share and is its dominant force. The major barrier to entry of the US smokeless tobacco industry is low appeal of the practice to the society. Overall, chewing tobacco is considered an antisocial practice. Another barrier is the need for substantial investment to compete with the monopolist power of UST Inc. Also, the company boasts high brand recognition, which prevents new players from entering the market.
World-wide efforts have increased to alarm people of the danger in consuming tobacco products, both first hand and second hand. In recent years, reports have proven a decline in smoking. However, there are still millions of people that smoke in the United State of America. As a result, the effect of smoking has become a major health risk. According to the Centers for Disease Control and Prevention (CDC), tobacco use is the leading preventable cause of death, disease, and disability in the US.
How is the tobacco industry doing with all these acts and laws being put in place? Well a lot better than one would think with what has been happening to the industry with the government. The industry is using its First Amendment, new pricing strategy, and tobaccos power of addition. The tobacco industry is using the First Amendment to their advantage, "The tobacco industry often challenges tobacco control laws and regulations on the grounds that such measures violate its First Amendment right to freedom of speech, and interfere with its ability to communicate information about its products to consumers" (You Don't Say? Tobacco & the First Amendment). The tobacco finds a lope hole with the first amendment which is "Congress shall make no law
Tobacco has more than 4000 substances in it. Nicotine is one of these chemicals in tobacco, which makes its user addicted to it. Also, Nicotine can affect the human body by speeding up the nervous system. Smokers feel more energized due to smoking tobacco. When people try to quit smoking, they experience the withdrawal effect. Many health problems are associated with smoking due to the fact that it alters how the body is working. There are about 480,000 deaths related to smoking every year in the United States. Smoking can lead to health problems with the human lungs and heart. Tobacco is against the pharmaceutical stores’ mission to help people’s health. CVS Health’s decision to stop selling tobacco indicates its dedication to human health. Although people find smoking helps them cope with stress, its dangers surpass its benefits.
Tabaco use is a major health issue that affects adolescents and young adults today. “The use of tobacco products represents one of the most widespread, high-risk health behaviors for this group” (SITE). Tobacco usage in adolescents and young adults is a big deal due to the fact that “The vast majority of people become dependent on nicotine develop that dependency before the age of 18”(SITE). Those that smoke less than five cigarettes daily experience some type of withdraw faster and more often than adults (SITE). Nicotine dependency is extremely high causing the “first time to cigarette” to be shorter, increasing the need/want. This trend has little financial impact in the beginning, however health care costs overall would increase over time.
The use of tobacco is a very controversial topic here in the United States. The harmful side effects of tobacco are well known and consequently, many believe that it should be outlawed. Though this has not yet occurred, constant regulations on the industry and
Nicotine use is a leading preventable cause of death in the world, directly and indirectly responsible for 440,000 deaths per year. The health problems that result in tobacco use tally an annual of $75 billion in direct medical costs (Slovic 36). That money spent on medical problems for smokers should be used to pay for more important things in our society such as schools, libraries, childcare, etc.