4 thoughts on “Why is the economic benefits of Chinese tobacco so strong?”

  1. Isn’t your question asking about it? When an industry has a huge consumer group and is in an absolute monopoly, can economic benefits be bad?
    Hang everyone knows that Chinese tobacco is currently the best economic benefits in my country. For example, in 2018, Chinese tobacco has a total profit and tax of more than 1.1 trillion yuan. This profit is more profitable than China. There are more profits. Chinese tobacco is really rich and enemy, and China Tobacco has always been one of the best economic benefits.
    I as for why the economic benefits of Chinese tobacco are so strong, it is actually very simple.
    First, there is a huge basis of smokers.
    The population of 1.4 billion, while the number of smokers exceeds 300 million people, the number of smokers is equivalent to the population of a American population. This is a very large consumer market. With such a huge consumer group, no matter what the industry’s potential market opportunities are very large.

    It, smoking is a rigid need.

    The obvious difference between smoking and other industries, that is, smoking is a rigid need. For example, some people can not buy clothes or mobile phones, and if there is any addiction, he can not buy smoke. Therefore, even in reality, even if you save money, save money to buy cigarettes.
    In smoking is a rigid need, and the frequency of purchases is very high. For example, some smokers can smoke two packs of cigarettes a day, smoke six or seven hundred packs of smoke a year, and the turnover of the Chinese tobacco contribution to China in a year alone. More than 10,000 yuan.
    It, Chinese tobacco is in a monopoly position.
    In theoretically, there are 300 million smokers in China, and the market size is very large. The corresponding enterprises that provide tobacco services should be very good, but because of the particularity of tobacco, my country implements a tobacco monopoly system. At present, my country can produce in China. Only Zhongyan Group sells tobacco, so Zhongyan Group’s tobacco industry in my country is in a monopoly position.

    On the one hand, it has a huge consumer group, and on the one hand, it is in an absolute monopoly position. This industry is still in the industry. difficult.

    The technical threshold in the tobacco industry is relatively low.
    This to the tobacco industry is relatively low compared to other industries. It does not need to be developed from generation to generation like the communication industry, and it needs to invest hundreds of billions of R

  2. Because Chinese tobacco is a state -owned enterprise, and the control of tobacco is very strict, private companies cannot participate in this industry. So there is no competition and good benefits.

  3. The reason for the high economic benefits of Chinese tobacco is because on the one hand, the number of smokers in China is huge, and on the other hand, Chinese tobacco is a monopoly enterprise.

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