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MARKETING TOBACCO PRODUCTS AROUND THE WORLD

i Should tobacco manufacturers be allowed to market their products around the world? Slow growth pluslegal and regulatory fights have made the domestic market less profitable in recent years. Hencethe search by tobacco companies for more profitable opportunities by targetingoverseas markets to meet their short-term objectivesand long-term goals.

5 Philip Morris, which markets Marlboro, holds 17 percent of the world cigarette market.

British American Tobacco, which markets Lucky Strike, holds 16 percent of the world cigarette market. Winston's maker, R.J. Reynolds, is also a principalplayer in the outputof tobacco on globalmarkets. Japan and Europe are the largest international markets for U.S. tobacco products, although developing countries, where Western brands have particular status,are also

10 being targeted. In Malaysia and the Philippines, for instance, television ads projectthe joys of smoking American-made cigarettes. In China, where billboards featuring cigarettes are everywhere, consumption is double what it was a few years ago.

Critics charge that the tobacco makers are imposing new technologyand unethical advertising on consumers to make an unhealthy product attractive. Despite the fact that

15 tobacco product-manufacturers are excludedfrom communicatingtheir message on television commercials in the United States and Europe, they face fewer mediaadvertising restrictions in many developing countries. The tobacco companies argue that their products are entirely legal and that they use advertising to encourage adultsmokers to change brand labels,not to attract new or underage smokers. However, the overall statisticsin some developing countries imply

20 that the cycle of smoking is increasing, with the emergenceof added physicalproblems attributedto this habit.

Clearly, the tobacco companies face more legal pressure in the United States than overseas. Some tobacco manufacturers have been successfully sued under internalproduct-liability laws. In contrast,few product-liability cases are filed in Japan or Europe where the codesof law tend to



Essential Academic Vocabulary


favor corporations. This concerns experts, who fear that consumers in other countries have little apparentlegal recourse against unhealthy products such as cigarettes.

Specifyingthe health dangers of smoking, the "World Health Organization has called for the global removalof tobacco advertising and international controls on tobacco. Meanwhile, the tobacco makers continue to concentratetheir efforts on international markets. Thus, the ethicalissue remains: Should cigarette makers be allowed to target global markets?

Adapted from William M. Pride, Robert J. Hughes, and Jack R. Kapoor, Business, 7th ed. (Boston: Houghton Mifflin, 2002), 361.

1. Vocabulary in Context

Determine how the words in column A are used in the reading. Then choose the word in column that is closest in meaning.


S

7 8

9 10 11

12. 13.

14, 15.




Column A

hence (line 3) goals (line 4) global (line 8) instance (line 10) excluded (line 15) statistics (line 19) imply (line 19) emergence (line 20) physical (line 20) attributed to (line 21) internal (line 23) codes (line 24) removal (line 28) concentrate (line 29) ethical (line 29)


Column B

a.example

b. data

c. appearance

d. direct

e. health

f. therefore

g. domestic
h. purposes

i. worldwide j. elimination

k. prevented I. moral m. suggest

n. rules

o. resulting from


Chapter 8 • Marketing 81

2. Reading Comprehension

Getting the Facts

Complete the sentences to make statements that reflect the content of the text. Use the words and phrases in the box.


una

European and Japanese laws international markets Japan


Lucky Strike-Malaysia Phillip Morris


ihe U.S. market

the World Health Organization

U.S. and European laws


1. 77?e World Hearth Organisation promotes international restrictions on tobacco

advertising.

2. __________________________ controls 17 percent of the global market in cigarettes.

3. ------------------------------------------ has experienced reduced profits because of legal issues

and a smaller number of smokers.

4. tend to be on the side of businesses.

5. prohibits direct tobacco advertising on television.

6. __________________________ is one of the countries with the biggest markets for

tobacco products from the United States.

7. __________________________ allows television ads that promote the status attached to

smoking U.S. brands of cigarettes.

8. __________________________ provide greater opportunities for tobacco manufacturers

to make profits.

9. __________________________ has experienced a doubling of the number of cigarette

smokers in recent years.

10. __________________________ is marketed by a British American company.


82 Essential Academic Vocabulary

Bl Making Inferences

1. What could be the legal and regulatory fights that are mentioned in line 2 of the text?

2. Why are Western brands of cigarettes considered status symbols? (line 9)

3. What type of physical problems might be emerging in developing countries because of the increase in smoking? (line 20)

4. Explain what is meant by a. product-liability law. (line 23)



 


 


5. What kinds of regulations could the World Health Organization promote to reduce the health dangers of smoking? (line 27)


To avoid becoming confused,do not try to learn similar wordsat the same time.


. « » # * * " > :

3. Dictionary Skills

Study the dictionary entry for the different forms and meanings of concentrate and use the information to complete the following sentences. You may need to change the form or tense of the verb. Include a preposition if necessary.

COn*cen*trate (kon'san trat') v. con^cen^trat^ed, con#cen#trat#ing, con»cen*trates. -intr. 1. To keep or direct ones thoughts, attention, or efforts: It's hard to concentrate on writ­ing a letter with the TV on. 2. To come toward or meet in a common center: The migrating geese concentrate at ponds and streams, -tr. 1. To draw or gather (sthg.) toward one place or point; focus: For centuries the population of Europe has been concentrated in large cities. 2. To make (a solution or mixture) stronger, -n. [C; U] Something that has been concentrated; orange juice concentrate.

COn*cen»tra*tion (kon' san tra'shan) n. 1. [U] The act of concentrating; giving close undi­vided attention: The secret of doing your work in less time is complete concentration. 2. [C] A close gathering or dense grouping: Lights shone brightly from the concentration of houses in the new development. 3. [C] The amount of a particular substance in a given amount of a mixture: the concentration of salt in seawater.


Chapter 8 • Marketing 83

1. The marketing efforts of cigarette companies are currently___________ developing

countries.

2. My____________ this television program is not very good because advertisements keep

interrupting the show.

3. Roadside advertisements tend to be____________ urban areas.

4. Some students can____________ studying even with the TV on.

5. You can figure out how to answer this question if you really___________

6. This advertisement for lemon____________ is very effective.

7. You will only be successful if you make a__________ effort.

8. According to the advertisement, the____________ of minerals in this bottle of mineral

water is quite high.

9. There is a____________ of marketing companies in New York.

10. Right now I'm____________ getting a better score on my final exam in marketing.

4. Word Forms

m

Write the appropriate word form from each group in the numbered blanks in the text.

1. emerge, emergence, emerging

2. apparent, apparently

3. global, globalization, globally, globe

4. concentrate, concentrated, concentration

5. implication, imply, implicit

6. communicate, communicates, communications, communicative

7. statistical, statistically, statistics

8. removal, remove, removed

9. specific, specifically, specifics, specify
10. impose, imposed, imposing, imposition



Essential Academic Vocabulary



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