Home > Corruption, Human rights, Papua New Guinea > British American Tobacco’s corporate greed

British American Tobacco’s corporate greed

January 19, 2012 Leave a comment Go to comments

BAT sells on average per month 100 million sticks of tobacco and annually 1.2 billion sticks of Tobacco. It is estimated that in Papua New Guinea the adult smoking population is approximately 3 million out of a population of 7 million. If you do the math, this is really scary.

BAT’s overall goal and objective is to grow volume through increased distribution, they do this by making cigarettes available in every outlet, street market, and clubs, with no concern for the exposure it has on our children.

The real reason why prices of cigarettes went up in December and in early January was because management had decided to hold back stock, because they had already hit their final year end Target in November 2011, which guaranteed them Fat bonuses. They also held back the stock because they wanted to manage their shareholder expectations down in Australia. If they had gone over target, this year 2012 shareholders will be putting more pressure and demand more from them, hence no guarantee for another fat bonus.

Because of Corporate Greed they have gone ahead and violated the basic rights of consumers in PNG, after getting them hooked on the drug.

The ICCC and IRC must investigate this because the lives of Papua New Guineans are at risk from this greedy corporate giant, and if worse comes to worse a class action in courts is possible.

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  1. Karsie
    January 20, 2012 at 5:36 am

    This article is too general. Can you provide some facts/figures to give substance to it. For example, how did you arrive with approximately 3million out of the 7 million PNG’s smoke? What references did you draw these figures from?

  2. Jon deliodio
    January 20, 2012 at 2:57 pm

    Your article is a little confusing, first you are talking about them being greedy and selling smokes everywhere they’d can and then you telling us they don’t want to??? As a non smoker I think the more they don’t sell the better for our country, what I know about smoke companies is they want sell MORE not less so I don’t think you are getting your facts right. Sounds like you have a bitch against this company rather than worried about the smoking issue.

  3. Quit Now
    January 21, 2012 at 12:42 am

    this article is confusing, in one way you are saying that they sell smokes everywhere they can and then you suggest they are trying to hold sales??? So what is the truth. From what I see of tobacco companies around the world they want to sell more and more smokes so what you suggest they are doing does not seem right. I have not seen a lack of smokes in the markets of recent weeks so where are you getting your information from? Smoke prices are the same as they were a month ago. i am one of the few people who want to stop smoking in our country but I have not seen anything that seems to be slowing it down in fact smoking is getting bigger in PNG. The health department does nothing, the government does nothing. I am afraid that as our country gets richer we will have more smokers. You also dont make sense about higher prices from BAT, they want to sell more so why try to hold stocks off? I think it is more a case of greedy market sellers in the festive season, we see this across our country with many goods at this time of the year, not just with smokes. If you want to make a noise about smokes then make noise to government to ban them, not about it seems some revenge from a disgruntled employee, which seem your information comes from

  4. hosea malana
    January 24, 2012 at 8:50 am

    I am still confuse as who is telling lies here. BAT is no longer care about peoples health thats for sure.

    They do not cooperate/sponsor anymore social events like in the past.

  5. Naiko
    January 27, 2012 at 5:35 am

    The message is simple! JUST QUIT SMOKING NOW! I have!

  6. Taufua
    August 23, 2012 at 8:31 am

    I can see the logic here. I see there was no real reasons for the delay in stock. No offical word. And prices went sky high overnight. They did manage expection well.

  7. Cleo
    March 26, 2015 at 4:04 pm

    What the writer is saying in my view is that the management are greedy. They had already reached their yearly target hence their bonusus was gurenteed.
    remember that they do want to sell but they also want to make profit. BAT has shareholders and if the shareholders know that they have sold beyond target then they will have to pay incresed dividens.
    to avoid that they with held stock to slow down sales. By withholding the stock there is less supply in the market causing demand to increase and also price to increase.
    The writer is saying that that is against the law because BAT should not withhold stock and make customers pay more than the real value of the smoke.
    At the end of the day the managers win. They get their big bonus. The share holders and the smokers loose.

    Most of the time the managers themselves are non smokers. they make money from people who dont give a shit about their own lives. especially for PNG the government does not have the facilities to cater for the growing number of different diseases related to smoking. Unhealthy habbits leading to unnecesary burden on the government.
    by now every one should know the effects of smoking.

    Be responsible for yourself and stop passing the bark and blaming others.

  8. kipkipkali
    September 20, 2016 at 10:28 am

    I have been wondering why this corporate giant does not provide an email address for contact. I would like to know why only certain people are allowed to buy cigarettes in bulk (outer) and not the public, regardless of whether you are a licensed wholesaler/retailer, or whether you have a million kina to spend. I inquired over the phone and someone was telling me I have to be a consistent buyer to gain the confidence of the company before I qualify to purchase in bulk. How weird and disgusting!!! I have never seen a company operate like this anywhere. Can someone enlighten me on how this works.

  1. May 22, 2012 at 10:39 pm

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