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Brand as a Factor of Non-price Competition on the Cigarettes Market

Student: Fedorenko Vadim

Supervisor: Vladimir Karacharovskiy

Faculty: Faculty of Economic Sciences

Educational Programme: Economics (Bachelor)

Year of Graduation: 2017

Without a shadow of doubt, there are a myriad of tobacco companies in Russia Federation who are interested in expanding the influence all over the world. It is next to impossible to imagine the situation that they are going to prosper without having sufficient amount of loyal consumers, especially in existence of harsh business environment and tough competitions between them . In other words, a brand loyalty connotes their increasing success. In the context of a war against smoking only maintaining the sufficient amount of supports of their brand is a task at hand. Besides that, because of the lack of understanding of this brand equity by Russian companies, the main goal of this work is to shed some light on the issue, considering and making research in order to identify the most important characteristicы of people, who are diehard fans of a particular brand, which can help us understand the most key aspects of the brand of tobacco. After analyzing our broad data, we have understood the fact that such demographic characteristics like age, level of education, religion and existence of some respiratory diseases are indispensable factor of smoking. On the other hand, we have measured the tobacco brand using such characteristics, like flavor, design, influence of kin, friends or famous people. Having done this research, we have managed to understand the most important aspects of tobacco brand among some the most dominated tobacco firms in Russia, such as “Kent”, “Parliament”, “Camel” and “ Marlboro”. For instance, the most important characteristics of the Kent’s brand are influence of relatives and friends, flavor, design; for «Parliament» - flavor and design; for «Marlboro» - influence of famous people, flavor and design; for «Camel» - flavor and design.

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