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I'm in Brazil, where I among other issues have to talk smoking policy with the head of our site out here – there are very mixed feelings about implementing a non-smoking policy to the entire company… I may have to wear a bulletproof vest or my running shoes :)
It brings several benefits for the non-smokers: More space in the canteen, less queueing, better indoor climate etc.
However, this could contribute to a negative side-effect which is an increase in absence from lectures due to the fact that student-colds will go up (everyone smokes outside). Which could lead to a decline in student performance = lower grades, which contributes to a weakening reputation = less applications = worse budget.
...or just an environment for the survival of the fittest ;-)
Maybe attendance will go up since the non-smoker will not be at home with chronic bronchitis from passive smoking?
2) Lowering the incentives, makes it impossible.
3) :-)