Philip Morris
Remarks by Michael A. Miles Chairman and Ceo Philip Morris Companies Inc. Union League Club Public Affairs Forum New York City Thursday, 920625
Fields
- Author
- Miles, M.A.
- R, J.G. <Ramsay, J.G.>
- Area
- RAMSAY,JIM/OFFICE
- Type
- SPCH, SPEECH, PRESENTATION
- Named Organization
- Cbs
- Coca Cola
- Congress
- Cpc Intl
- Egri
- Entenmanns
- Epa, Environmental Protection Agency
- Epidemiology
- General Foods
- Indoor Air Quality Panel
- Jacobs Suchard
- Kgf
- Kgf Miller PM US Cross Company Sales Te
- Kodak
- Kraft Foods
- Lenders
- Magnificent Seven
- Maxwell House
- Miller Brewing
- Natural Resources Defense Council
- Oscar Mayer
- Pepsico
- Science
- Science Advisory Board
- Tabak
- Teledyne
- Toblerone
- 60 Minutes
- Coca Cola
- Named Person
- Asimov, I.
- Bradley, E.
- Dulles, J.F.
- Lippmann, M.
- Miles, M.A.
- Reilly, W.
- Sahl, M.
- Streep, M.
- Bradley, E.
- Recipient (Organization)
- Public Affairs Forum
- Union League Club
- Document File
- 2024007390/2024007885/Miles
- Author (Organization)
- PM, Philip Morris
- Request
- Stmn/R2-039
- Litigation
- Stmn/Produced
- Site
- N334
- Master ID
- 2024007503/7548
Related Documents: - Date Loaded
- 05 Jun 1998
- Brand
- Benson & Hedges
- Chesterfield
- L&M
- Lark
- Marlboro
- Merit
- Parliament
- Virginia Slims
- Chesterfield
- UCSF Legacy ID
- ppt25e00
Document Images
In our beer business, that same strategy
has been evident in Miller's brand building
marketing programs over the years: the
creation of Miller Time; Lite Beer from
Miller, the first light beer in the industry; and,
more recently, Miller Genuine Draft, now
the fastest growing product in the U.S. beer
business.
And, in the food industry, Philip Morris'
acquisition program has resulted in the
creation of what is perhaps the strongest
branded food portfolio in the world as well.
It it
The list includes such familiar market
leaders as Kraft cheese, Maxwell House
coffee, Oscar Mayer meats, Jell-O gelatins
and Kool-Aid soft drinks, as well as Miracle
Whip toppings, Velveeta, Lender's bagels,
Entenmann's baked goods, Toblerone
chocolates, -- and many more.
Our objective is to ensure that every
brand we offer is a leader in its category.
[pause]
Our second strategy is to grow all parts
of our business -- food, beer and tobacco --
in all geography around the world where we
see opportunity for that growth to be
profitable.
This strategy reaffirms our conviction
that the long-term health of the company
depends on the real unit volume growth of
the goods we sell.
Accordingly, we seek growth through
investment in new products, line extensions
of existing products, acquisitions, and
strategic joint ventures.
The recent focus of our acquisitions has
been on international markets -- particularly
central Europe.
_ In May, for example, we acquired
majority interest in the Czechoslovak
cigarette manufacturer Tabak.
In Hungary, the majority interest we're
acquiring in a company called Egri gives us
opportunities not only in tobacco, but also in
the distribution of some of our Jacobs
Suchard coffee and confectionery products.
[pause]
Our third major strategy is to emphasize
productivity and synergies in and between
all of our businesses.
13.
Our productivity and synergy initiatives
include major ones, like the consolidation of
Kraft's and General Foods' respective
headquarters and the integration of all Kraft
and General Foods operations outside of
the United States, as well as smaller, but
equally energetic local efforts, like the KGF,
Miller, PM-USA cross-company sales
teams in the Syracuse area who created a
very successful joint promotion for some of
our food, beer and tobacco products on
Memorial Day.
All of these efforts, large and small, are
saving the company literally hundreds of
millions of dollars. Today we're taking
further steps to combine our distribution,
customer service, sales operations, and
sales accounting, with further significant
savings in prospect.
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14. 14.
[pause]
Our fourth major strategy is to
emphasize total quality management in all
of our business units and staff departments.
Now I know that total quality
management, or "TQM," has become
something of a buzz phrase recently, and is
therefore suspect in some quarters.
The fact is, however, that Philip Morris
was practicing total quality management
long before business school professors
began writing books about it, just because it
made good busi ness sense to do so.
15.
The quality emphasis in all of our
businesses is one of the primary reasons
for the strength and leadership positions of
our brands. We will continue that quality
emphasis in the years ahead.
[pause]
Our fifth and final major strategy is to
manage Philip Morris as a global company
i n eve ry respect.
Among other things, this means that on
the product side, we're looking to elevate
more of our packaged goods into truly
global brands.
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16. 16.
Today there are just a few brands that
truly qualify for membership in that elite
group -- Coca Cola, Kodak film, perhaps
Nescafe, and a few others.
Also among them are some important
and growing Philip Morris brands --
Marlboro, Philadelphia brand Cream
Cheese, and Toblerone chocolate. We
want to lift other entries up to global status
as well.
[pause]
Now, those of you who know Philip
Morris will recognize that these strategies
are pretty much the same ones that the
company has applied over the years.
They have enabled Philip Morris to grow
each of its operations in existing markets, to
penetrate new markets successfully, and to
adapt to changing market conditions. I'm
confident that these same strategies will
serve us well i n the futu re.
In summary, then, PM is today a global
company, with a track record of some
success, with strategies we believe are
working, and with a good outlook for the
futu re.
[pause]
Now, having heard me go on for several
minutes about the growth of our company,
the scope of our businesses and the
opportunities we see ahead, you may be
asking yourselves "What, no worries?"
The answer, of course, is that, , we
do have our share of worries. We worry
about the competition, which is tough in all
of our businesses. We worry about the
economy which is weak in many of the
countries in which we do business.
We worry about price wars. We worry
about escalating consumer excise taxes on
our products.
And we worry about social pressures on
the use of our products, driven by special
interest groups who zealously believe they
know what is best for everyone else.
One of the most troubling tactics these
groups use is the shotgun dissemination of o
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questionable scientific research. o
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19. 19.
