The beginning of the year is usually the time for predictions, but rather than focus on what might happen, I am going to focus on what is happening. Specifically what is happening that is really irritating me.
Smoking bans. Among all the issues and problems that states and cities face, are smoking bans the place where legislators should be focusing their time and energy? Smoking bans are in place or nearly in place in close to half of the states in the country. I was recently in South Carolina, and warned of a potential $1,000 fine for smoking in a public building that was not even a building, but a non-enclosed market. Smoking bans are particularly irritating in the northern states, forcing smokers into the cold. All of this activity related to smoking bans is irritating, and I believe excessively harsh on the 21 percent of the U.S. population that has elected to use tobacco. The silver lining may be tobacco outlets offering smoking refuges for all the smokers that are driven onto the streets by these bans.
State taxes. How random have state taxes become? Every state has their own perspective on tobacco, and every legislature has its own level of tax pain it is willing to inflict. There is no consistency or predictability about state tax levels. Even cities have gotten into the tax act, adding an extra level of taxation. The unplanned consequence of this is the movement of product across state and county lines, which is to the advantage of some and the disadvantage of others. I never thought I would say this, but I would actually prefer a higher, yes higher, federal tax that would bring consistency to product pricing if you could simultaneously create a uniform state tax, or better yet, no state taxes.
Presidential campaigning and polls are another irritant. It used to be that this all began about six months prior to the first primary. We have already had a year of campaigning and polls, and we are just now seeing our first primary voting.
The stock market. Where is it going? One week it is up 500 points and two weeks later it is down 500 points. The stock market has been a rollercoaster ride for the entire year, and it looks like this will continue. This is another source of my irritation. I know that we have entered a time when things move faster, but the speed and steepness of the stock market moves are creating a lot of uncertainty in the money markets, in the lending markets, and in pension assets.
Unfortunately many of the above impact our businesses and all are things beyond our control. However, there is one thing that you can control, which is your ability to adapt, change, and learn how to address these conditions. One place to do that is at the annual Tobacco Plus Expo that will take place in Las Vegas on April 25–26. Join your industry peers there so that we can share ideas and experience to overcome the irritants facing us all. •