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May
2014

Differing cigar distribution channels

The characteristics of cigars present a range of different requirements due to them being, multi-standard, multi-style, multi-shaped packaging, and small quantities; as well as a small volumes to a minority, personalized, place of consumption, warehousing, distribution, and supply and information systems. The issue now in China is that the current distribution system focuses on the characteristics of cigarette marketing, and businesses lack knowledge and experience of cigars, giving both the products and sales channels many problems. However, there isn’t a better way to promote cigar culture and brands. For the domestic tobacco companies, the investment cost is currently to high when compared to the profit they might attain. The must invest in humidors and stock, and the sales volumes are currently too low for them. …

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