Research and Markets: Tobacco Manufacturing Report: Insight into 100 Companies with Combined Annual Revenue of Nearly $40 Billion
* Reuters is not responsible for the content in this press release.
DUBLIN--(Business Wire)-- Research and Markets (http://www.researchandmarkets.com/research/d0bb58/tobacco_manufactur) has announced the addition of the "Tobacco Manufacture" report to their offering. The tobacco manufacturing industry includes about 100 companies with combined annual revenue of nearly $40 billion. Major companies include Philip Morris USA, Reynolds American, Lorillard, UST, and Vector Group. The industry is highly concentrated: the 50 largest companies hold nearly 100 percent of the market. Competitive Landscape Demand is driven by discretionary consumer spending and awareness of the health effects of smoking. The profitability of individual companies depends on effective marketing. Large companies have advantages in economies of scale in manufacturing and product loyalty. Small companies can compete effectively through heavy discounting, clever branding and packaging, and by exploiting niche categories such as pipe tobacco and additive-free cigarettes. The industry is highly capital-intensive: average annual revenue per worker for a typical company is $1.5 million. Products, Operations & Technology Major consumer tobacco products include cigarettes, chewing tobacco and snuff, and cigars. Cigarettes account for 90 percent of all US-produced tobacco products, chewing tobacco and snuff for 6 percent, and cigars for 2 percent. Tobacco processing, an initial step in the production process, is a $1 billion industry. Tobacco is an annual plant with leaves that are hand- or machine-cut and then cured. Curing removes all moisture from the leaf and enhances flavor. Flue-curing takes about a week; air-curing takes two months. Cured tobacco is cleaned and sorted in tobacco processing plants, where stems are removed in a process called threshing. Key Topics Covered: Industry Overview Quarterly Industry Update Business Challenges Trends AND Opportunities Call Preparation Questions Financial Information Industry Forecast Website and Media Links Glossary of Acronyms For more information visit http://www.researchandmarkets.com/research/d0bb58/tobacco_manufactur Source: First Research Research and Markets Laura Wood, Senior Manager, press@researchandmarkets.com U.S. Fax: 646-607-1907 Fax (outside U.S.): +353-1-481-1716 Copyright Business Wire 2009
Comments (0)
This discussion is now closed. We welcome comments on our articles for a limited period after their publication.
Follow Reuters