Well I definitely know Lorillard is anotha Big Tobacco company that raised their prices this week...thus, the higha price for a pack of Newports in Chicago now.
Actually RJR raised their brand prices too. But not as much as PM's raise. I think PM's raise was around 70 cents per pack. RJR raised their prices to 44 cents per pack.
Here's a link to a CNN page for more info on this topic.
BT's raises (including RJR) will certainly backfire with more people getting cigs underground, and of course those who decide to quit. BT probably WILL get extra cash with smokers who stock up on packs and/or cartons. But afta April, I bet we'll actually see a DECLINE in BT sales sfta so-and-so months. There won't be a total decline...cause some people are willing to pay any amount to get their brand.
But in my eyes, most people who wanna keep on smoking will switch to cheapa brands, or even to MYOs as a last resort...although it's true making your own carton will be just about as expensive as a big-name premade carton.
And then you have the die-hard smokers of certain BT brands. I'd certainly call most of the Newport smokers around here die-hards. They won't smoke anythang otha than Newports...they won't even smoke a different menthol. Some die-hard smokers won't mind paying 9-10 bucks per pack. But the otha type of die-hard smokers are the ones that catch my attention more (and a point I bought up before). These smokers won't pay 9-10 bucks, but they'll still do whateva it takes to get Newports.
With more people who decide to stop buying BT cigs period (rememba, tons of smokers hate the new FSCs), more people buying cigs underground, and with people trying to get cigs as part of robberies....yup, there will be a decline in BT sales regardless over time.