British American tobacco plc is a multinational tobacco leading group. They have more than 55000 employees work for this mighty company. They deal with brands in more than 180 markets all around the world. The company founded in 1902 when the United kingdom's Imperial tobacco company and the American Tobacco company. And they also agreed do not trade is each other domestic territory. Mr James Buck Duke became CEO after the collaboration.
The key functions performed by the business such as accounting/ finance, human resources marketing and operations these all functions measured by the different departments e.g . Accounting and finance measured by the Audit Department where they perform check and balance in the current stage Audit committee of British American Tobacco plc has four members Robert Lerwill (chairman), Anthony Ruys, Kieran poynter and Ann Godbehere. The motto of the Audit is to monitoring the integrity of the groups Financial statements and any formal announcement relating to the company's performance and also keeping under the review the consistence ff the accounting policy and monitoring the internal and external audit effectiveness. Where as human resource is department inside the organization which give work training to the employees and their rights according to their employment. This department runs by the professionals who are trained. Marketing is a function inside the organizations which is has more influence than the other part of the business functions because now days more important to globalize your self and capture the global markets as well where the organization needs to create influential market policies. British American Tobacco plc has a great marketing reputation they deal all around the world suc...
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...sion no weather the company is profitable or has to much debt. Therefore the British American Tobacco plc has to share its financial information to its external stakeholders such as banks and those who has the right to see the information. Before getting into detail on financial reporting and what that entails it is essential to understand who exactly those external stakeholders are. External stakeholders are composed of investors, lenders, supplier and customers, Government agencies, competitors and labor unions, supporters are and opponents, just to name a few. These are essentially people or companies that may have interest in what goes on with known businesses or companies. Stakeholder’s main interest are profit growth and dividends because their goal is to get a return on the money they have invested. “Investors are stakeholders that buy shares in a company.
Stephen King’s short story "Quitters, Inc." involves a smoker trying to kick the habit, and getting results no matter the means. Dick Morrison meets Jimmy McCann, an old friend, in the bar of the Kennedy International airport. McCann has stopped smoking, gained a promotion, and become physically fir since the last time they met. He tells Morrison about an agency that helped him quit smoking and gave him a business card for Quitters, Inc., which Morrison just put in his wallet. A month later he sees the card fall out of his wallet and decides to go see them. Upon going to Quitters, Inc., Morrison meets Vic Donatti, the man in charge of his case. Morrison signs a contract saying that he won’t reveal anything they do in the course of his treatment. Donatti tells Morrison that he will never smoke again after that day. When he goes back for his next appointment, Donatti starts by punching the cigarettes Morrison had on him whilst still smiling. Donatti then reveals how much they know about their clients by referencing Morrison’s handicapped son who he told them nothing about. Donatti tells him that he is a pragmatist, or someone who is oriented towards the success or failure of something through practical means. Donatti shows Morrison that a rabbit can be taught that eating food will cause an electric shock to occur and therefore after enough aversion training the rabbit will starve itself to avoid the shock. Donatti then explains the various ways they discipline their clients for slipping up, the tenth and last being death. They guarantee you won’t ever smoke again. After a series of non-smoking, Morrison slips up, his wife is kidnapped, and he is called in to watch her get electrocuted for thirty seconds. Afterwards she tells him that she understands what they are trying to do. After months of not smoking Morrison gains weight and Donatti says that if he can’t lose it they will cut off his wife’s pinky finger. After that Morrison passes on the Quitters, Inc business card to a man known only as Crony, and tells him they changed his life. Years later Morrison and his wife meet McCann and his wife at a theatre. When he shakes the hand of McCann’s wife he notices something is wrong. Later the realization hits him that she only had four fingers; her pinky was missing.
Dr. Jeffrey Wigand is one of the most famous whistle blower’s in the United States. His testimony against the Brown and Williams Tobacco Corporation (B&W) revealed unethical tactics used to delude the American public against the cancer causing additives and the addictiveness of nicotine in tobacco. Wigand was born on December 17, 1942 in New York City. He was one of five children in a strongly devout Catholic family. His early childhood was spent in the Bronx and when he was a teenager he moved to Pleasant Valley, New York. His parents were strict disciplinarians who gave little affection to their children. Little is known about his mother but his father was a mechanical engineer. Wigand had aspirations of becoming a doctor and worked part time as a scrub nurse at a local hospital. In 1960 he attended the Dutchess Community College in Poughkeepsie where he excelled in chemistry and biology and was an avid cross-country runner.
The tobacco industry seems like a beneficial addition to our economy. It has basically been a socially acceptable business in the past because it brings jobs to our people and tax money to the government to redistribute; but consider the cost of tobacco related treatment, mortality and disability- it exceeds the benefit to the producer by two hundred billion dollars US. (4) Tobacco is a very profitable industry determined to grow despite government loss or public health. Its history has demonstrated how money can blind morals like an addiction that is never satisfied. Past lawsuits were mostly unsuccessful because the juries blamed the smoker even though the definition of criminal negligence fits the industry’s acts perfectly. Some may argue for the industry in the name of free enterprise but since they have had such a clear understanding of the dangers of their product it changes the understanding of their business tactics and motives. The success of the industry has merely been a reflection of its immoral practices. These practices have been observed through its use of the media in regards to children, the tests that used underage smokers, the use of revenue to avoid the law, the use of nicotine manipulation and the suppression of research.
This report explores E-cigarettes. First, it introduces E-cigarettes, their market information, and their special characteristics. Second, the report will state their market structure, market competitions and government regulations. Then, the report will explain why E-cigarettes should be normal goods and how the suppliers could increase demand. Next, the report will analyse the development of this market, its opportunities for new entry and whether it is sensible to open a new business. Finally, it will make the conclusion about them. The report will introduce what is E-cigarette first.
The oversight responsibilities of the board, the CAE lacking of expertise or broad understanding of financial controls and responsibilities, and the understaffed internal audit functions lacking of independence and direct access to the board of directors contributed to the absence of internal controls. To begin with, the board should be retrained to achieve financial literacy to review financial reporting. Other than attending formal meetings, the board of directors should be more involved with the management. For the Audit Committee, the two members who were recruited as acquaintances to Brennahan need be replaced with experts who are more sufficiently knowledgeable about accounting rules beyond merely “financially literate”. Furthermore, the internal audit functions need to expand with different expertise commensurate with the expanded activities of the organization, testing financial reporting rather than internal controls from an operational perspective. The CAE should be more independent and proactive to execute audit plans, instead of following orders from the CFO, and initiate a direct and efficient communication between internal audit and audit
According to the conceptual framework, the potential users of financial statements are investors, creditors, suppliers, employees, customers, governments and agencies, and the general public (Financial Accounting Standards Board, 2006). The primary users are investors, creditors, and those who advise them. It goes on to define the criteria that make up each potential user, as well as, the limitations of financial reporting. The FASB explicitly states that financial reporting is “but one source of information needed by those who make investment, credit, and similar resource allocation decisions. Users also need to consider pertinent information from other sources, and be aware of the characteristics and limitations of the information in them” (Financial Accounting Standards Board, 2006). With this in mind, it is still particularly difficult to determine whom the financials should be catered towards and what level of prudence is necessary for quality judgment.
James Duke was a successful business leader in the tobacco industry and other diversified industries, hydroelectric power and textile industries. James Duke grew up in the South on a farm. His family turned to the tobacco crop and subsistence farming because so much tobacco was destroyed in the South during the Civil War and once the fighting stopped the demand for tobacco skyrocketed. Knowing tobacco’s market potential Duke’s father sold their farm and set up a business in a tobacco factory. James joined the family business, W. Duke and Sons, after completing business training school at a New York school. James began seeking creative ways to promote and improve the family business. He developed many innovative marketing and production techniques that lead his family business to
Each year 440,000 people die, in the United States alone, from the effects of cigarette smoking (American Cancer Society, 2004). As discussed by Scheraga & Calfee (1996) as early as the 1950’s the U.S. government has utilized several methods to curb the incidence of smoking, from fear advertising to published health warnings. Kao & Tremblay (1988) and Tremblay & Tremblay (1995) agreed that these early interventions by the U.S. government were instrumental in the diminution of the national demand for cigarettes in the United States. In more recent years, state governments have joined in the battle against smoking by introducing antismoking regulations.
Stakeholders are those groups or individual in society that have a direct interest in the performance and activities of business. The main stakeholders are employees, shareholders, customers, suppliers, financiers and the local community. Stakeholders may not hold any formal authority over the organization, but theorists such as Professor Charles Handy believe that a firm’s best long-term interests are served by paying close attention to the needs of each of these stakeholders. The modern view is that a firm has responsibilities to all its stakeholders i.e. everyone with a legitimate interest in the company. These include shareholders, competitors, government, employees, directors, distributors, customers, sub-contractors, pressure groups and local community. Although a company’s directors owes a legal duty to the shareholders, they also have moral responsibilities to other stakeholder group’s objectives in their entirely. As a firm can’t meet all stakeholders’ objectives in their entirety, they have to compromise. A company should try to serve the needs of these groups or individuals, but whilst some needs are common, other needs conflict. By the development of this second runway, the public and stakeholders are affected in one or other way and it can be positive and negative.
middle of paper ... ... the market is controlled by just 2 firms, there are substantially high entry barriers, and there is an evidence of collusion in the same market in the past. However investigations are still being carried out, and I have tried to apply my knowledge and research to show that there is and always have been tobacco cartels not only in UK market but other world-wide cigarette industries. There are many ways to reduce the incidence and severity of co-ordinated interaction, but in this case none of them would be relevant, because smoking kills, and bringing competition, thus more tobacco firms to an industry, will lead to expansion of such products.
The tobacco industry has developed a rather large array of products. Companies such as Philip Morris, Lorillard, RJ Reynolds, and Brown and Williamson, as well as the other smaller competitors, all provide the same product- cigarettes. The tobacco industry is filled with fierce competitors. But underneath the brand names and images, the product is relatively the same. All tobacco companies produce an inhalant that is made with tobacco, tar, and nicotine. These materials are rolled in a special kind of slow-burning paper for longer smoking time.
...ness operations to monitor and identify any business opportunities and threats in the market. For any business sustainability, it is crucial to sustain and maintain with the market strategies of the competitors (Contreras). Electronic cigarette has several competitors in the form of tobacco and other forms of cigarettes. The market is limited and achieving a sizeable market niche should be a driving force. This is only possible through an aggressive and up-to-date market research analysis.
“What is a marketing audit? Quite simply, it is a detailed analysis of the elements that constitute or influence a company’s efforts to profitably market its products- today and in future when both market and products may undergo radical change” ( John, Alexander, & Theodore, 1969). The marketing audit helps to understand the fundamentals of a company’s marketing planning process. Auditing is not only conducted not only at the planning stage and also conducted during various stages until the implementation of the marketing plan.
The tobacco industry is a very unethical industry, due to the long term effects of tobacco on humans. The industry also does not assess the ethical and social responsibility the best way that it should. There are many factors that make the industry unethical; some of the reasons are the way the cigarette companies around the world Advertise, the way governments and cigarette companies make a huge profit from the sales of cigarettes, and the labeling health risks. I do believe however that there is something that the tobacco companies can do to better their strategy as far as their ethics go. I think that they should, always be looking for the best interest on their consumers, as well as advertise strictly on the effects that the cigarettes and what the people are getting for their money.
The fundamental duty of an external financial auditor is to form and express an opinion on whether the reporting entity’s financial statements are prepared in accordance with the relevant financial reporting framework. In discharging this duty, the auditor must exercise “reasonable skill, care and caution” (Lopes, J. in Kingston Cotton Mill Co 1896) as reflected in current legal and professional requirements.