Abstract:
Dunhill was launched in the premium brand category in December 2005 by
Pakistan Tobacco Company (PTC). Dunhill is British-American Tobacco
Company’s (BAT) well renowned international brand. Dunhill has been
well received by consumers primarily due to its unique fresh taste and
exceptionally smooth smoke.
Benson & Hedges is the largest selling cigarette brand in the premium
brand category. This brand has capitalized on its strong equity based on
consistently superior quality.
The presence of two tobacco brands in the same premium category can
cause cannibalization. Cannibalization refers to the decrease in sales of an
existing brand due to the introduction of a new brand offered by the same
company. The purpose of this study is to analyze whether Dunhill
cannibalizes Benson or Hedges or not.
The report contains hypothesis regarding cannibalization, a survey along
with its results followed a schematic diagram for the theoretical framework
for a successful premium tobacco.
