The Lemon Fool

I've expressed this before. I am of the opinion that the "baccy" firms are actually in the addiction business and will therefore prosper, regardless of the trajectory of tobacco consumption.

I hold.
Chris

csearle wrote:I've expressed this before. I am of the opinion that the "baccy" firms are actually in the addiction business and will therefore prosper, regardless of the trajectory of tobacco consumption.

I hold.
Chris

I'm afraid I don't see that this follows. What other addiction businesses are there? Alcoholic and caffeinated beverages - lots of brand loyalty to get past. Gambling - it has become a technology space which the tobacco companies have no experience in. Vaping - too likely to attract Chinese gadget makers into the market place.

MrFoolish wrote:

csearle wrote:I've expressed this before. I am of the opinion that the "baccy" firms are actually in the addiction business and will therefore prosper, regardless of the trajectory of tobacco consumption.

I hold.
Chris

I'm afraid I don't see that this follows. What other addiction businesses are there? Alcoholic and caffeinated beverages - lots of brand loyalty to get past. Gambling - it has become a technology space which the tobacco companies have no experience in. Vaping - too likely to attract Chinese gadget makers into the market place.

Cannabis:

https://www.bbc.co.uk/news/business-44645569

FD

MrFoolish wrote:
What other addiction businesses are there?

Every business that has to keep paying a dividend, in a way...

csearle wrote:I've expressed this before. I am of the opinion that the "baccy" firms are actually in the addiction business and will therefore prosper, regardless of the trajectory of tobacco consumption.

I hold.
Chris

I have a slightly different take on this. I think the baccy firms are in the business of branded legalised recreational drugs.
I think the overlap between cannabis and vaping represents a major opportunity for them.
The prize might go to the one who can establish their vaping delivery system as de facto standard for delivery of multiple recreational drugs.

TUK020 wrote:

csearle wrote:I've expressed this before. I am of the opinion that the "baccy" firms are actually in the addiction business and will therefore prosper, regardless of the trajectory of tobacco consumption.

I hold.
Chris

I have a slightly different take on this. I think the baccy firms are in the business of branded legalised recreational drugs.
I think the overlap between cannabis and vaping represents a major opportunity for them.
The prize might go to the one who can establish their vaping delivery system as de facto standard for delivery of multiple recreational drugs.

The Daily Mash view of festive activities:
https://www.thedailymash.co.uk/news/lif ... 1203214957

TUK020 wrote:I have a slightly different take on this. I think the baccy firms are in the business of branded legalised recreational drugs.
I think the overlap between cannabis and vaping represents a major opportunity for them.
The prize might go to the one who can establish their vaping delivery system as de facto standard for delivery of multiple recreational drugs.

While I agree with the possible connection between vaping and cannabis I cannot see why the advantage of this 'delivery system' should pass to a tobacco company. Just consider how relatively simple it is to produce a vaporiser, and how many are already on the market, for example:

https://www.totallywicked-eliquid.co.uk/electronic-cigarette-kits

RC

funduffer wrote:

MrFoolish wrote:

csearle wrote:I've expressed this before. I am of the opinion that the "baccy" firms are actually in the addiction business and will therefore prosper, regardless of the trajectory of tobacco consumption.

I hold.

I'm afraid I don't see that this follows. What other addiction businesses are there? Alcoholic and caffeinated beverages - lots of brand loyalty to get past. Gambling - it has become a technology space which the tobacco companies have no experience in. Vaping - too likely to attract Chinese gadget makers into the market place.

Cannabis:

https://www.bbc.co.uk/news/business-44645569

Agreed that medical cannabis products are slowly becoming more acceptable to governments and companies like Imperial are starting to move into the area. But especially after the opioid addiction problems there have been in the USA, they're going to be facing uphill battles getting significantly-addictive cannabis products approved for the mass market...

Not saying they won't eventually succeed, but expect there to be significant hurdles along the way.

Gengulphus