Tobacco

This industry cultivates, cures, and processes tobacco leaves to manufacture consumables such as cigarettes, cigars, and smokeless tobacco products.

Why it exists
To commercialize nicotine consumption through regulated delivery mechanisms.

Why it’s necessary (economically)
It persists due to addiction economics, brand loyalty, and government tax dependency.

Key components

• Leaf sourcing

• Product manufacturing

• Regulatory compliance

• Distribution & taxation

How to evaluate businesses
Pricing power, market share stability, regulatory trajectory, free cash flow generation, and transition strategies toward reduced-risk products.

How the industry could be improved (from a systems standpoint)
Accelerated transition to reduced-harm products, transparent health tradeoffs, and restructuring incentive systems away from volume-based dependency.