Phillip Morris Part II
Phillip Morris International as discussed in part one of this paper series is "the leading international tobacco company with products sold in over 180 countries" (Phillip Morris International. About Us. 2011). The organization concerns itself with a dual track philosophy "provide high quality and innovative products to adult smokers, and reduce the harm caused by tobacco products" (Phillip Morris International. Company Overview. 2011). While in many ways there is a certain cognitive dissonance to this corporate mission; the firm has been successful in generating quality outcomes for their shareholders with "total shareholder return (TS) for the year 2010 a strong 27.2%, well ahead of their peer group (up by 8.7%) and the S&P 500 (up by 15.0%)" (Phillip Morris International Annual eport. 2011.). The company's success stems from their ability to generate consistent operating cash flow which is used for a variety of purposes including: logistics, supply…...

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References

Phillip Morris International. (2010). Annual Report. Phillip Morris International.

Retrieved July 4, 2011 from  http://media.corporate-ir.net/media_files/irol/14/146476/ar10/about-pmi.html 

Phillip Morris International.com. (2011). About Us. Phillip Morris International.com.

Retrieved July 4, 2011 from  

Phillip Morris International- What recent strategic choices made top folks organization company competitive? Can categorize choices Porter's generic strategies? Explain. From SWOT perspective developed previous modules, successful strategy 1.
Philip Morris International ecent strategic choices

Philip Morris International was traditionally part of the Altria Group, but in 2008, it separated from the parent company in a major strategic effort and managed to become an independent organization. This strategy proved highly successful for the firm, which managed to increase its sales levels and became the sole decider as to how investments would be made. Since its rupture from the Altria Group, Philip Morris International has substantially developed.

The split between PMI and Altria is an important strategic choice marking the recent past of the international tobacco company, and it is highly successful from the competitive standpoint, propelling the company as the international leader of the industry, with an estimated share of 27.6 per cent;…...

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References:

Philip Morris International 2010 Annual Report,   last accessed on July 5, 2011http://media.corporate-ir.net/media_files/irol/14/146476/ar10.pdf 

Website of Philip Morris International,   last accessed on July 5, 2011http://www.pmi.com 

Phillip Morris Human Resources
What do you know about Phillip Morris' "international HRM" strategies?

Phillip Morris has been using international human resource strategies (HRM) to influence the views of management for newly acquired companies. What happens is they will strategically locate those corporations that are considered to be market leaders. Then, purchase them to help grow their overall bottom line results. Even though the management of the former company; may often have hostilities after the announcement of the merger. The HR department of Phillip Morris will engage in policies that will change these views. (Rea, 1998, pg. 109)

One of the most noticeable examples of this can be seen by looking no further than, with the company allowing the acquired corporation to keep their current management and brand name. The basic ideas with this approach, is to let everyone know that they will continue to be part of the new entity due to:…...

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Bibliography

Comparison of HR Practices at Phillip Morris. (2011). Download Reports. Retrieved from:  http://download-reports.blogspot.com/2011/05/comparison-of-hr-practices-at-philip_03.html 

Rea, P. (1998). Strategic Planning. New York, NY: Wiley.

(PMUSA)
Locations of the Organization and Business Operations

The U.S. unit has various facilities within the country, such as its Center for esearch & Technology (CT), and its manufacturing, processing and also its support facilities in the ichmond, Va., area; in Chester is situated its Park 500 plant and in York its Manufacturing facility near Williamsburg; another manufacturing facility in located in Cabarrus County, N.C.; and its sales offices are crisscrossing both the U.S. And the Commonwealth of Puerto ico (PMUSA Website)

egarding Philip Morris International, it owns in total 51 factories in 42 countries. Following the spin-off, its corporate HQ is in New York City, while the company's Operations Center is situated in Lausanne, Switzerland. Officially, Philip Morris International is a U.S.-based entity incorporated in Virginia. (PMI Website)

Philip Morris position towards environmental, political, social, economic, legal and labor forces of the international economy

Given the social, legal and political pressures the tobacco…...

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References

Adbrands.net, (2008), Marlboro: Brand Profile, Retrieved April 28, 2008 at  http://www.mind-advertising.com/us/marlboro_us.htm 

Altria Group, (2008), 2007 Business Review, Retrieved April 28, 2008 at  http://www.altria.com/download/pdf/investors_2007_AnnRpt_BusReview_section4.pdf 

BBC News, (2007, July 20), Philip Morris lights up in Mexico, Retrieved April 28, 2008 at  http://news.bbc.co.uk/2/hi/business/6909498.stm 

Cordeiro, Anjali (2008, April 23), 2nd UPDATE: Philip Morris 1Q Net Up 29%, Boosts EPS Outlook, Retrieved April 28, 2008, from CNN Money Web Site at  http://money.cnn.com/news/newsfeeds/articles/djf500/200804231204DOWJONESDJONLINE000860_FORTUNE5.htm

The company has done research on the product and has known for quite a while that tobacco is not only dangerous, it is also addictive as well. Although the company denied knowledge of these facts when first questioned, management personnel eventually admitted to manipulating the addictive nicotine levels.
The beer industry has directed the marketing of malt liquor to "inner-city gang cultures and subtly associated the beer with feelings of being powerful and masterful (unknown)." Malt liquor contains a higher alcohol content, and while the beverage may make a person feel better about him or herself, it can ultimately result in greater incidences of cirrhosis of the liver, gang violence, and drunken driving deaths.

The food industry may be utilizing technology to genetically engineer and preserve its products, however, there is the chance that these procedures could prove harmful. The company also produces foods that taste good due to the high…...

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Works Cited

Unknown. Phillip Morris' Troubles. Ethical Principles. Pp. 157-163.

Philip Morris Acquires Kraft: An Overview
(1)When Philip Morris, Inc. moved to acquire Kraft, Inc., it did so for several reasons: first and foremost, PM has made a lion's share (80%) of its fortune in tobacco and tobacco products. Putting aside for the moment the obvious (and numerous) health problems that such products are known to cause, and seemingly despite them, PM continues to manufacture the leading brand of cigarettes, Marlboro-and continues to sell its products internationally at a greater rate than ever before. But its management was not totally naive about the future, either: in America, tobacco has fallen at least somewhat out of favor, and may in fact someday be completely illegal. Therefore, much like R.J. Reynolds and other major tobacco companies have done and continue to do, PM leadership looked around for an even "surer thing" than tobacco and found it-in food. It's an obvious choice. As Hamish…...

Philip Morris International explain strategic plan selected company pursues regard business countries.
Company: Philip Morris International

Phillip Morris, one of the leading international tobacco companies, is split into two divisions: Phillip Morris International and Phillip Morris USA. The reason for this bifurcation is not administrative, but legal. Officially, Phillip Morris USA proclaims that there is no safe cigarette, and admits that quitting smoking is difficult. Its CEO recently proclaimed: "Because tobacco use is addictive and can be very difficult to quit, our tobacco companies help connect adult tobacco consumers who have decided to quit with cessation information from public health authorities" (Galuszka 2011). Phillip Morris USA must also comply with U.S. regulations banning televised cigarette advertisements and cigarette advertisements aimed at minors.

Internationally, however, smoking is far more acceptable socially than it is in the U.S. While consumption of cigarettes is going down in the U.S., it is actually escalating abroad. Because Phillip…...

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References

Galuszka, Peter. (2011). Philip Morris and Alice in Wonderland. Style Weekly.

Retrieved June 1, 2011 at  http://www.styleweekly.com/TheReportersNotebook/archives/2011/05/27/philip-morris-and-alice-in-wonderland

Philip Morris International
As a leading international company producing top cigarette brands, the need for the effective and professional management of international FX and finance risks at Philip Morris International cannot be overstated. In this text, I concern myself with the individual tasked with the international financial management of the firm, his background and the approach he uses in the management of foreign risks.

Waldemer, Hermann

As Philip Morris International's C.F.O., Hermann Waldemer is the individual squarely in charge of all the financial and FX transactions at the cigarette firm. Though he joined the company (before its spin off from the Altria Group) back in 1987, it was not until 2008 that Mr. Waldemer assumed the role of C.F.O. Over the years, Mr. Waldemer has held a number of positions at Philip Morris including acting as head of the company's divisions in Germany and France. It can however be noted that his skills…...

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References

Jacob J. (2011). E-trading at Philip Morris' Treasury. Retrieved July 3, 2011, from 360T Website:  http://www.360t.com/cnt_about360t/press_2011_jun.php 

Madura, J. (2008). Financial Markets and Institutions. Cengage learning.

Restructuring itself for a better fit with its environment, the company established a Youth Prevention Department, staffed by a senior vice-president in Philip Morris, U.S.A. To look for ways to help reduce smoking among teenagers" (Glover 2008).
The relative lack of sincerity of these claims and the transparent dishonesty of Philip Morris' claim to stop youths from smoking is manifest in the fact that the company recently filed a suit in federal court to overturn a San Francisco ordinance that would ban the sale of tobacco products in convenience drug stores. It proclaims this proudly on a September 2008 press release on its website: "Philip Morris USA sues to overturn controversial San Francisco sales ban on tobacco products." However, teens are more likely than other consumers to use these venues to purchase cigarettes than other consumers. Philip Morris defends its actions as the promotion of freedom for adult consumers, given…...

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Works Cited

About Altria. (2008). Official Website. Retrieved December 8, 2008 at  http://www.altria.com/about_altria/1_2_companiesandbrands.asp 

Fisher, Laurie (2000, April.) "Divestment in the tobacco industry." Cancer Causes & Control.

Glover, Willa. (2008). "An exploratory study of key factors of self-organization in organizational systems." Human and Organizational Systems: Fielding Graduate Institute.

Retrieved December 8, 2008 at http://www.geocities.com/cmogata/wwglover.html

The primary reason to own Altria is its dividend. The current dividend, $1.28 per year, results in a dividend yield of 8.34%. Given that Altria's EPS is only $1.54 per year, it is evident that the company pays out most of its profits to its shareholders. Despite the declining business, the company is well-positioned to maintain relatively stable revenue streams that will enable it to maintain this dividend. As a result, the company is suited more for long-term income investors than for short-term investors driven by capital gains. Altria's slow growth, difficult operating environment and other challenges make it a poor buy for investors seeking anything other than a relatively stable income stream.

Apple

Apple (Nasdaq: AAPL) is a designer, manufacturer and marketer of computers and related paraphernalia, both hardware and software. The firm markets desktop computers, laptop computers, portable music players (iPod), portable communications devices (iPhone) and the software packages to…...

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Works Cited

Company financials from Reuters. Retrieved December 13, 2008 at    http://www.reuters.com/finance/stocks/overview?symbol=MO.N http://www.reuters.com/finance/stocks/overview?symbol=AAPL.Oand 

Stock performance information from Yahoo Finance. Retrieved December 13, 2008 at    http://finance.yahoo.com/echarts?s=AAPL#symbol=AAPL;range=3m http://finance.yahoo.com/echarts?s=MO#symbol=MO;range=3mand 

Altria Group 2007 Annual Report. Retrieved December 13, 2008 at  http://www.altria.com/download/pdf/investors_AltriaGroupInc_2007_AnnualRpt.pdf 

No author. (2008). Goldman downgrades the U.S. Tobacco Sector. Reuters. Retrieved December 13, 2008 at  http://www.reuters.com/article/companyNews/idUKN1138501420081211?symbol=MO.N

They still continue to handle the shareholders who own Kraft Foods stocks as to best help them (Official Website of the Altria Group, 2008).
The Altria Group currently has three major components: Phillip Morris USA (PM USA), Phillip Morris Capital Corporation and Phillip Morris International. Each one of these components has the ability to influence the managerial and ultimate business outcome of the group. "Phillip Morris USA is the largest component of the company, with its focus on domestic sales of cigarettes and smokeless tobacco products" (the Altria Group 2007 Annual eport). A most recent and relevant way in which they influenced the management of the group was of having them allow and fund the purchase of John Middleton Incorporated, a leading manufacturer of machine-made large cigars.

The Phillip Morris Capital Corporation is the financial subsidy of the Altria Group, which handles portfolio operations. They influence the managerial operations in the…...

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References

The Altria Group 2007 Annual Report, Retrieved at   September 8, 2008http://www.altria.com/investors/2_4_1_annualreport.aspon 

Official Website of the Altria Group, accessed on September 8, 2008http://www.altria.comlast

S. operations. "The joint venture, now known as MillerCoors is designed to create cost savings in the U.S., where SAB is the second biggest brewer and Molson the third behind Anheuser Busch" (Herman 2007). Thus, the SABMiller arm of Altria is also falling into line with the general acknowledgement for the need to cut costs in terms of business operations in the U.S. This is good news for Altria as well because it ensures that the product lines in which it still possesses an interest extend beyond the realm of tobacco are likely to cut costs and may improve their market showing in upcoming months. Given that beer is less expensive than many other alcoholic beverages, even during a recession it is more likely that people will consume beer than more expensive wine or spirits, and alcohol is more socially acceptable from a health standpoint than cigarette smoking in the…...

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Works Cited

About Altria overview."(2008). Altria Group. Retrieved 11 Aug 2008 at  http://www.altria.com/about_altria/1_0_AboutAltriaOver.asp 

Corporate restructuring." Altria Group. Retrieved 11 Aug 2008 at  http://www.altria.com/investors/2_2_corprestructuring.asp 

Herman, Robin. (18 Jan 2007). "Reanalysis of cigarette content confirms tobacco companies have increased addictive nicotine 11% over recent seven-year period." Harvard School of Public Health. Retrieved 11 Aug 2008 at  http://www.hsph.harvard.edu/news/press-releases/2007-releases/press01182007.html 

Our companies and their brands." (2008). Altria Group. Retrieved 11 Aug 2008 at  http://www.altria.com/about_altria/1_2_companiesandbrands.asp

Market Structure and Managerial Decision Making
The objective of this paper is to discuss the concept game theory in the competitive market environment where there are two or more firms competing against one another. The paper cites the examples of Nash equilibrium, prisoner dilemma, and dominant strategy. Moreover, the paper discusses the theory of perfect competition, monopoly, monopolistic market and theory of oligopoly. (Bhat, and au, 2008).

Game Theory

The game theory is a type of situation where the rewards or payoff given to any player depends on the action of the other players. The interdependence between two or more firms is referred as a game theory, and the rewards earned by a firm is known as a payoff, and the payoff matrix assists in analyzing the interdependence between firms. A duopoly is an interdependence between two players that may result in a game theory. However, a relationship between two players can lead…...

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Reference

Bhat, M.S., and Rau, A.V. (2008). Managerial Economics and Financial Analysis, Hyderabad, IND BS Publications, ProQuest ebrary. Web. Retrieved April 20, 2016, Chapter 4: Market Structures, pp. 85-107.

Krugman, P. & Wells, R. (2012). Economics and Microeconomics (Third Edition). Worth Publisher.

Mjmfoodie. (2011). Episode 29 Monopolistic Competition [Video File]. Retrieved from  https://www.youtube.com/watch?v=T3F1Vt3IyNc 

Links to Government Regulation of Monopoly

battle against cigarettes and tobacco has been around for a long time. As the authors A. Lee Fritschler and James M. Hoefler point out in their book Smoking and Politics there has always been a tug of war over the "golden leaf," the paradox that strict regulation of the business meant a windfall for the government.
Concern about the health consequences of smoking predates the "modern era" by nearly four centuries. In 1604, for example, King James I of England lambasted smoking as, "a custom loathsome to the eye, hateful to the Nose, harmeful to the braine, dangerous to the Lungs, and in the blacke stinking fume thereof, nearest resembling the horrible Stigian smoke of the pit that is bottomless" (as quoted in Sullum, 1998, p 18). King James subsequently raised the tax on tobacco by 1000%, deriving significant revenues for his coffers. This illustrates the profound dilemma that has…...

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Bibliography

American Cancer Society, et al. (2002) "Critical Elements of Any Legislation to Grant FDA

Authority to Regulate Tobacco Products." Viewed online on 11/25/2002 at  http://www.tobaccofreekids.org/research/factsheets/pdf/0181.pdf 

Center for Disease Control: National Center for Chronic Disease Prevention and Health

Promotion (2002) "Chronology of Significant Developments Related to Smoking and Health." Viewed on 11/27/2002 at  http://www.cdc.gov/tobacco/overview/chron96.htm

Embedded Communication in Advertising
"There is no evidence that advertising can get people to do things contrary to their self-interest." -- JI Fowles, in Advertising's Fifteen asic Appeals

"Good advertising does not just circulate information. It penetrates the public mind with desires and belief." -- Leo urnett, Advertising Executive and Creator of the Marlboro Man

"The ability to attract new smokers and develop them into a young adult franchise is key to brand development." 1999 Philip Morris report

When the preceding collection of opinions regarding the influence of modern advertising are considered in conjunction with the iconic advertising image shown above, it becomes quite clear that, much like advertising itself, forming an informed position on this ubiquitous aspect of modern marketing is simply a matter of perception and perspective (elch 120). Corporate conglomerates and other private enterprises ascribe tremendous value to the persuasive power of advertising, bombarding the general public with television commercials, radio…...

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Bibliography

Altman, David G., Michael D. Slater, Cheryl L. Albright, and Nathan Maccoby. "How an unhealthy product is sold: Cigarette advertising in magazines, 1960 -- 1985." Journal of Communication 37, no. 4 (1987): 95-106.

Belch, George E., Michael A. Belch, and Angelina Villarreal. "Effects of advertising communications: Review of research." Research in marketing (1987).

Bovee, Courtland L., and William F. Arens. "The Indictments Against Advertising." Writing and Reading Across the Curriculum. Laurence Behrens and Leonard J. Rosen. New York, NY: Pearson Higher Education, 2008. 685-691. Print.

De Gregorio, Federico, and Yongjun Sung. "Understanding attitudes toward and behaviors in response to product placement." Journal of Advertising 39, no. 1 (2010): 83-96.