THE IMPACTS OF SMOKING ON REVENUES OF SMALL AND MEDIUM FOOD AND DRINKS ENTERPRISES
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Abstract
The two objectives of this research were (1) to develop an approach to estimate the impacts of smoking on revenues of enterprises; and (2) to apply the developed approach to measure the impacts of smoking on revenues of enterprises in food and drinks industry. The results of reviewing 16 relevant literatures on the loss of productivity caused by smoking and the impacts on revenue of the smokers in eight countries showed that smoking caused the revenue of the smoker to be decreased by about 2 to 10 percent in the developed countries and by about 20 percent in the developing countries. The estimation of the impacts on the enterprises in this study used the data from 1,040 enterprises in order to create the business competency indices of the enterprises and the smoking levels of the enterprises and then take them to estimate the impacts of smoking by using the Propensity Score Matching (PSM) method. It was found that when other related factors between the control group (no smoking or smoking at the low level) and the experimental group (smoking), the loss of revenue would be highest in enterprises with low capability amounting to 353 baht to 497 baht per employee per month; while in enterprises with high capability, the loss of revenue would be about only 78 baht per employee per month.
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