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History of the British American Tobacco Company - Research Paper Example

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The current paper highlights that the history of the British American Tobacco (BAT) Company can be traced more than a hundred years back. A business flourishing till date had persisted through several waves and turbulence of war, nationalization, and revolutions…
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History of the British American Tobacco Company
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Download file to see previous pages The name of the hybrid company thus created was derived from the domestic bases of the two individual founding partners, but they initiated their business for trading purpose outside both the U.S.A. and the U.K. The policy helped the company to spread its network all across the continents of Africa, continental Europe, Asia, and Latin America. Over a century’s hard work ultimately did pay off when this company gained enough proficiency while operating locally in amidst of diverse cultural forums. In the early years, from 1902-1932, the company was expanding rapidly with the sole objective in focus that is to seek and establish leadership all across the world wherever a market exists. Operating globally for many years, the company ultimately reached the U.S.A. with the acquisition of a small firm of North Carolina, Brown & Williamson in 1920. After the Wall Street Crash in 1929, the trading situations deteriorated but from the year 1930, it was witnessed that several distributional networks of the company become complete subsidiaries with a spread of consolidation across the nation. In the middle years, firstly World War II, and secondly de-colonization posed rise of several disorders for the BAT. The upheaval of the war caused shrinking of some of the end markets of the company but the global sales continued to grow at a brisk pace. The situation took a new turn when the company started operating in 50 countries by the year 1970. By the end of that year, diversifications were made along with the expansions in the 1980s in the sectors of financial services, which gave way in 1989, and BAT again re-focused itself on the business of tobacco. With the advent of the economic liberalization and breaking up of the state monopolies in the 1990s, new trading opportunities were unleashed in the Far East and the Central and Eastern Europe. BAT took advantage of this and followed the strategy of rapid acquisition and establishing new ventures in countries like Uzbekistan, Hungary, Ukraine, Czech Republic, Romania, Russia, and Poland. ...Download file to see next pagesRead More
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