Analysis Of The Electronic Cigarettes Market

2291 words - 9 pages


This report explores E-cigarettes. First, it introduces E-cigarettes, their market information, and their special characteristics. Second, the report will state their market structure, market competitions and government regulations. Then, the report will explain why E-cigarettes should be normal goods and how the suppliers could increase demand. Next, the report will analyse the development of this market, its opportunities for new entry and whether it is sensible to open a new business. Finally, it will make the conclusion about them. The report will introduce what is E-cigarette first.

Introduction of E-cigarettes
In 2003, E-cigarettes were developed in Beijing, China by a 52 years old pharmacist, inventor and smoker named Hon Lik. (The Consumer Advocates for Smoke-free Alternatives Association, n. d.).
According to Knight (2013), ‘E-cigarettes look like real cigarettes and usually consist of a battery, a cartridge containing nicotine (the addictive ingredient in tobacco), a solution of propylene glycol or glycerine mixed with water, and an atomiser (a device that turns the nicotine solution into a fine mist or vapour)’.
Then, the report will state the market of E-cigarettes in details.
Market details of electronic cigarettes
In this part, it will talk about geographical location first and describe some special characteristics of E-cigarettes. The report will state them through key facts about E-cigarettes.
About the geographical location, the report concentrates on China because it is the origin of E-cigarette, and there are many Chinese smokers which will be mentioned below.

According to Centres for Disease Control and Prevention (2013), smoking is harmful for almost each organ and causes many diseases leads to the health of people will reduce generally. Cigarettes are very dangerous for everyone.
According to the statistic of 2012, in China, there are 301 million smokers, male smokers occupied 52.9% of total male population and there were 12.60 million female smokers. Besides, there were nearly 1 million people died from smoking and more than 100,000 people died of second-hand smoking risk each year (China Today, n. d.). Hence we can understand the damage from smoking is very severe in China. However, E-cigarette can alleviate this situation.
‘A new study is likely to influence the discussion surrounding electronic cigarettes and whether they can be effectively used as a quit-smoking aid. Researchers in New Zealand found that e-cigarettes were about as effective as nicotine patches in helping people in the study quit smoking’ (Simon, 2013). This is most important characteristic of E-cigarette because it shows that E-cigarettes are helpful in cutting the number of smokers.
Then, according to Health Guide (n. d.), E-cigarettes can alleviate damage from cigarettes. ‘Electronic cigarettes are non-polluting, non-flammable and non-carcinogenic’, and ‘The state-of-the-art micro-electronic technology provides the...

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