Head of Sales

Question about British American Tobacco ( squelch racket): BAT Bangladesh looks interesting based on recent ROE, assuage cash-flow and dividend performance. just now as your colleague Shahnewaz observes, BAT suffers from the drawbacks of higher(prenominal) measurees, rising health thought among consumers, and the remotion of g any everyplacenment incentives for baccy plant cultivation. The company in like demeanor does non seem to be exporting raw tobacco or cut rag: I am non an agronomist, notwithstanding would I be right in earth that Bangladesh has too much fallfall to have competitive receipts in tobacco production? Increased sales revenue is indeed expected to have an effect on record growth in FY2012. However, the silver lining for BAT is that truly low-end cigarettes (cigarettes priced BDT 1 or lower) and biri (a very low-end and hand-made tobacco product) are doing well, not being subjected to the same sales tax. BAT, by the way, also has over 90% o f the high-end cigarette market place. As for rising health awareness - there are advocacy groups at work notwithstanding increasing migration to cities, nationwide ban on alcohol, and a nation median age of 22 - probably cumulatively compensate.

As for BAT, in 2010, the company invested heavily to improve efficiency - the airstream of which has been a significant improvement in the YTD performance ( to a greater extent than 3% improvement in gross and operating margins). Traditionally, tobacco has been civilized in the northern region of Bangladesh, especially the greater lemanderin area. However, over the last few years, farmers scattered across t! he country are reverting to tobacco cultivation a great deal at the expense of rice nation. Moreover, to offset effects of rain and removal of government incentives, companies like BAT offer fiscal allowance to farmers. Here is an article from IRIN, a UN-sponsored news service, that suggests tobacco farming increased by 68% in 2007-2009 alone. disquisition more broadly about the Bangladeshi equity market: 1. Consumer companies: which new(prenominal) listed companies you would...If you want to get a full essay, order it on our website: OrderCustomPaper.com

If you want to get a full essay, visit our page: write my paper