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KMID : 1231220120030010001
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Journal of the Korean Society for Research on Nicotine and Tobacco
2012 Volume.3 No. 1 p.1 ~ p.9
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Prediction of South Korea’s Tobacco Industry and Market by Analyzing Transnational Tobacco Companies’ Activities in the US
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Lee Sang-Kyu
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Abstract
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Given the adoption of stricter tobacco control regulations, the U.S. tobacco market has become "darker." In 2009, the U.S. government enacted the Family Smoking and Prevention Tobacco Control Act to enforce tobacco control policies and measures. In response to this, the U.S. tobacco industry is developing more sophisticated marketing practices in an attempt to preserve its current and future market shares. The U.S. tobacco companies are attempting to circumvent the existing regulation by engaging in indirect tactics, of which corporate social responsibility is an important component. New tobacco products are also being introduced: "harm-reduced" tobacco products such as Snus have been developed and being marketed with underlying messages that they are safer, free from second-hand smoking concerns, and can be smoked even in non-smoking areas. These strategies mirror those that are seemingly currently being employed as well in South Korea’s tobacco market. The South Korean government has made efforts to enforce tobacco control measures; in turn, the South Korean tobacco industry is transforming its marketing strategies. South Korea seems poised to be targeted for the same type of radical market transformation that tobacco companies are attempting in the U.S. By reviewing the U.S. companies’ behaviors within the strict market environment, this paper predicts that the South Korean tobacco companies, and in particular BAT Korea and PM Korea, will adopt harm-reduced products and will also exert efforts to engage supportive audiences in circumventing the existing tobacco control policies. The observation and monitoring of the U.S. tobacco companies’ current behaviors and marketing tactics offer lessons to South Korea regarding the enhancement of its future tobacco control policies.
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KEYWORD
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Harm reduced tobacco, Corporate social responsibility, Snus
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