Tobacco Companies: Reynolds American Inc.

1608 WordsJul 10, 20187 Pages
Reynolds American Inc. is a holding company with multiple subsidiaries like R. J. Reynolds Tobacco Company, American Snuff Company, Santa Fe Natural Tobacco Company, and Niconovum. Reynolds American Inc. also manages various licensed brands like Dunhill, Captain Black, and State Express 555. The company and its subsidiaries operate in manufacturing and selling of many tobacco products in United States and international markets. Each of the subsidies has their own brand of products that they manage. The RJR Tobacco manufactures cigarettes under the brand names of Camel, Pall Mall, Winston, Kool, Doral, Salem, Misty, Capri, and Camel Snus, a smoke-free tobacco product. The American Snuff segment provides smokeless tobacco products, such as…show more content…
With anti-smoking movement progresses, the cigarette sales are on the decline, Reynolds American coped with this decline through smokeless tobacco products with the American Snuff Company. As the charts below portray, the decrease in the smoke cigarette revenue is offset by the increase in smokeless tobacco and e-cigarette revenue. (Refer to Appendix Figure 2 and 3). The Tobacco manufacturing and sales industry is highly regulated due to high taxes and health problems smoking would cause. These regulations and laws limited the marketing capabilities of Tobacco manufacturing companies as a whole. But almost all of them handled these delicate situations in one way or another. Reynolds American Inc. states on the company’s website that they market responsibly through three main guidelines: Standards and Safeguards, absolutely certifiable and responsible advertising and promotion. The company explains these points by stating that, they do not market to consumers without confirming their ages to be above 21, training their employees on how to approach only existing tobacco consumers and not to encourage consumers who do not consume tobacco products to engage in its consumption. Also, the company mentions straightforward and transparent approach to marketing their products, for example “Cigarette smoking is harmful to your health. No additives in our tobacco do NOT mean a safer

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