Strategic Management for Altria Group of Companies Essay Example

allows them to attract customers. When journeying through developing nations, the Marlboro brand is regarded as a symbol of luxury and prestige. I am confident that as these countries' economies improve, there will continue to be a demand for high-end American brands. This disparity will bring significant value.

By allowing KFT, Altria USA, and Altria Worldwide to focus on their respective markets and operate efficiently, the proposed strategy will not only decrease the risk of litigation but also increase overall earnings. This alignment resembles a safer investment in a bank, except with higher dividends compared to interest rates offered by banks (Money and Investing, 2007). In 2007, operating companies income rose by 5.5% to $8 billion due to factors such as higher pricing, favorable currency exchange of $471 million, productivity and cost savings. These gains were partially offset by the impact of the 2006 gain on the Dominican Republic transaction, increased marketing expenses, and premiums in Research and Development. Ultimately, operating companies income witnessed a growth of 12%.

According to Altria (2008), PMI's market share performance improved in many markets in the year 2007 when adjusted for the impact of the Dominican Republic transaction and other items. The improvement amounted to a 5% increase for the full year.