...first part, we will discuss the macro environmental factors that will affect BP (British Petroleum), when they have to consider their future strategic decision in order to regain their market position in the USA. In second part, we will suggest a marketing plan for BP to consider to recover from this ‘‘marketing disaster’’. The disaster is the Gulf of Mexico oil platform (which is the Deepwater Horizon) explosion occurred, millions barrels of oil have been leaked in the region for a few months. That infiltration is the largest environmental disaster in U.S. history. The goal of macro environment analyse is to see that marketing opportunity and threats were given by changes and trends in macro environment. Focusing on them for marketers helps to take decision and modifies their strategies and plans. The marketers wish to know which elements of macro environment affect their planning and how they influence future strategies. We will see the strong point and factors of macro environment which are the social and cultural environment, political and legal environment, economic environment, technology environment and demographic environment. And we will consider the “how these factors influence the decisions.” That assignment begins with the definition of the company which is BP. The company is active in the field of fuel all over the world. And that assignment includes SWOT analyse and elements...
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...3.1. British Petroleum (BP) British Petroleum is a company, which focuses mainly on petroleum, but has some interest in alternative energy. It is one of the world’s largest oil and gas companies, which serves over 13 million consumers in more than 100 countries. The market of alternative energy is not as well developed, nor as profitable as oil, but it is a good future investment with the recently raising environmental concerns. BP recognized this on time and entered the solar market in the year of 1973.( History of BP Solar ) 3.2. Background Formed in 1908, The British Petroleum Company was originally called The Anglo-Persian Oil Company. The current name was given in 1954. BP adopted a re-positioning strategy in 1997 and the group chief executive, Lord John Browne, addressed the threat of global warming. Even though the oil industry does not have a good reputation in taking responsibility, BP was put first on the list of Fortune Magazine’s Global 100 Companies on Corporate Strategy. (“Changing the Game.” Stanford Social Innovation Review ) 4. British Petroleum SWOT analysis 4.1. What is SWOT analysis? SWOT analysis is a useful tool for decision making and understanding a certain business. SWOT is an acronym for Strengths, Weaknesses (internal for a corporation), Opportunities and Treats (external for an organisation). SWOT analysis is functional for strategic planning, business planning, marketing, business and product development, as well as research...
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...The Petroleum Institute Eisa Mohammed Al Nuaimi 200504377 Cohort - 06 Introduction Over the past four decades, companies and organizations in the UAE aimed to strengthen their competitive advantage by applying state of the art methods, practices, and heavily trading with other countries. This interaction led to the integration of markets and technologies and is defined by Globalization. The Organization of interest to the research is the Petroleum Institute a University & a Research Centre which was established in Abu Dhabi in 2001[i] and one of its aims is to become a renowned institution in engineering education and research hub for the energy industry. The importance of the oil industry in UAE is of significant importance because the UAE ranks as the 6th largest proven oil reserves[ii]. This report aims to look closely on how Economic Integration affects the oil industry as a whole and the Petroleum Institute in specific by applying a S.W.O.T. Analysis to the PI to stress several issues regarding its competitiveness in the regional and international economy. Background The Petroleum Institute is a private university located in Sas Al Nakhl, Abu Dhabi, UAE. The P.I. was established in 2001 by the Emiri Decree of H.H. Sheikh Khalifa bin Zayed Al Nahyan. The institution started with sponsoring from Abu Dhabi National Oil Company (ADNOC) and four international oil companies which are British Petroleum, Japan Oil Development Company, Shell and Total[iii]. The...
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...creation-BP is in the mature stage of its life cycle, has been involved in multiple mishaps over the years. They have lost focus of their duty to the environment, the public, and its shareholders. 1) SWOT analysis Strengths-they have alot of money that can be reinvested in enhancing/repairing their image and focusing on the environment, their connections (with the British government and Navy), alternative energy (wind, solar, biofuels), infrastructure, carbon footprint toolkit, they were the first energy company to acknowledge global warming/environmental awareness Weaknesses-image, oil spills, poor ethics (price gouging,wire/mail fraud, etc.) Opportunities-technological opportunities (alternative energies, improved drilling capabilities, jumping onto the environmentally sustainable movement-and is also a threat to their original business model) Threats-politics (policies/regulations), economics (supply and demand fluctuation, improved commodities markets), competition, natural disasters 2) Problem Analysis (this should be clear and to the point-a few sentences is all that is necessary): Their image is tarnished, so they are concentrating on rebuilding this. They started this process by changing their name from British Petroleum to simply BP (Beyond Petroleum-suggesting that they will focus their efforts on multiple energy sources). Why is their image tarnished? What led to this occurring? What measures have they taken to address this issue? 3) Develop...
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...British Petroleum What we know today as British Petroleum is the result of several companies being bought and sold over many years. One of the companies, Standard Oil Company was created in 1870 by John D. Rockefeller in Cleveland Ohio. By 1892, while still not selling gas products, Standard Oil companies was providing lubricating products to keeps parts on horse drawn wagons moving friction-free. One of the other companies, the Angelo-Persian Oil Company was formed in 1905. By 1908 they were producing gas products and in 1912 they discovered a way to double the output of gasoline produced from a barrel of oil. At the same time they were able to find a way to increase the octane level of the gasoline produced. Industry Analysis Today, British Petroleum is one of the largest energy companies in the world. They provide their customers with fuel for transportation, energy for heat and light, retail services and petrochemical products for everyday household use. British Petroleum is involved in exploring for oil and other natural resources that can be converted into power. British Petroleum is committed to finding fuel sources that reduce green house gases and reduces the carbon footprint. They hope to accomplish as they research and refine alternative fuel sources such as fossil fuels, solar power, wind power, hydrogen, and natural gas. Competition in the oil and energy industry is furious. British Petroleum competes with companies like Exxon-Mobil and Chevron in three...
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...The Hess Corporation is a leading pioneer in the energy industry sector, which conducts Marketing and Refining (M&R) as well as Exploration and Production (E&P) operations in 23 countries. They have a concentrated focus in the exploration, production, purchase, transportation, and sale of crude oil and natural gas as well as markets refined petroleum products, natural gas, and electricity. This company owns thousands of Hess gas stations, which include small convenience stores or Dunkin Donuts stores, throughout the East Coast of the United States to hundreds of thousands of acres of land in the North Dakota Bakken oil shale play. Internationally, Hess Corporation owns many other hundreds of thousands of acres in land where they conduct other exploration and production of crude oil and natural gas. Hess Corporation currently has a net income of $1.7 billion and transports more than 700,000 barrels of crude oil and other products daily via tankers, barges, pipelines, and production platform sales. However, there have been some important market changes and trends, which companies like Hess Corporation must pay close attention. Adapting to change is essential in the world of business. During today's economy and competitive environment, organizations can be certain of uncertainty. Change is occurring everywhere and is forcing business executives to review how the evaluate markets, technology, human resources, and competitiveness. For example, prior to the invention of the...
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...Business Analysis III - Anadarko Petroleum Corporation Leonard VanBerkel MGT/521 October 15, 2012 Kirk Davis Business Analysis III - Anadarko Petroleum Corporation Anadarko Petroleum Corporation (Anadarko); head office in The Woodlands, Texas, employees 4,800 people and is a Fortune 500 company with recorded revenues of $13.967 billion for fiscal year ending 2011. This represented an increase of 28% over 2010. Anadarko posted record sales volume in 2011. Contrasted against Anadarko is Exxon, which had reported revenues over the same period of $452.926 billion and was ranked number one for most profitable companies, realizing profits of $41.060 billion (CNNMoney, 2012). Anadarko is ranked 192nd whereas Exxon is ranked 1st. The most glaring difference financially between the two companies is not just the large revenue gap, but the difference in profitability. Despite achieving record sales numbers and double digit growth, Anadarko recorded a net loss of $2.649 billion for fiscal year ending 2011 (CNNMoney, 2012). There are a large number of companies in the petroleum industry that realized large profits on varying degrees of revenues in 2011, yet Anadarko showed large losses. The question that arises is why did Anadarko lose money, while so many other companies in the same industry were profitable? A SWOT (strengths, weaknesses, opportunities, threats) analysis has been performed on Anadarko to determine if it is worth investing in this company, or consider it another casualty...
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...Industry Analysis Oil Company Table of Contents I. Introduction and Background 3 II. Dominant Economic Characteristics 4 Market Size 4 Scope of Competitive Rivalry 5 Market Growth Rate 5 Numbers of Companies in the Industry 6 Customers 7 Degree of Vertical Integration 8 Easy of Entry/Exit 9 Technology/Innovation 9 Product Characteristics 10 Scale Economies 10 Experience Curve Effects 11 Capacity Utilization 11 Industry Profitability 11 III. Six Forces of Competition 11 Force 1: Buyer Bargaining Power 12 Force 2: The Threat of Substitutes 12 Force 3: Supplier Power 12 Force 4: Rivalry among Existing Firms 12 Force 5: The Threat of Entry 13 Force 6: Relative Power of Other Stakeholders 13 IV. Competitive Position of Major Companies and Competitor Analysis 14 Royal Dutch Shell 15 ExxonMobil 17 British Petroleum 19 Chevron 20 Total 22 ConocoPhillips 24 V. Key Success Factors 26 Oil Demand 26 Prices 26 Technological Advancements 27 Maintaining Partnerships 27 Industry Matrix 28 VI. Industry Prospects and Overall Attractiveness 28 Trends 28 Potential Threats 29 VII. Conclusion 29 References 31 I. Introduction and Background What is crude oil? Crude oil is a dark, sticky liquid which, scientifically speaking, is classified as a hydrocarbon. This means crude oil is a compound containing carbon and hydrogen, with or without non metallic elements such as oxygen and sulfur...
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...creation-BP is in the mature stage of its life cycle, has been involved in multiple mishaps over the years. They have lost focus of their duty to the environment, the public, and its shareholders. 1) SWOT analysis Strengths-they have alot of money that can be reinvested in enhancing/repairing their image and focusing on the environment, their connections (with the British government and Navy), alternative energy (wind, solar, biofuels), infrastructure, carbon footprint toolkit, they were the first energy company to acknowledge global warming/environmental awareness Weaknesses-image, oil spills, poor ethics (price gouging,wire/mail fraud, etc.) Opportunities-technological opportunities (alternative energies, improved drilling capabilities, jumping onto the environmentally sustainable movement-and is also a threat to their original business model) Threats-politics (policies/regulations), economics (supply and demand fluctuation, improved commodities markets), competition, natural disasters 2) Problem Analysis (this should be clear and to the point-a few sentences is all that is necessary): Their image is tarnished, so they are concentrating on rebuilding this. They started this process by changing their name from British Petroleum to simply BP (Beyond Petroleum-suggesting that they will focus their efforts on multiple energy sources). Why is their image tarnished? What led to this occurring? What measures have they taken to address this issue? 3) Develop...
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...Kiani Lane and Chelsea Carey October 28th 2015 Deepwater in Deep Trouble Summary: On April 20th 2010, the United States faced not only on of its largest environmental disasters but the biggest offshore oil spill in its history. Off the Gulf of Mexico a large oil rig, Deepwater Horizon, operated by British Petroleum, exploded killing 11 employees and leaking an estimated 4.9 million gallon of crude oil into the ocean. Furthermore, the explosion caused a subsequent fire resulting in the ultimate sinking of the Deepwater Horizon. Although this disaster was accidental there were many warning signs that BP neglected which could have prevented it. To begin with, the construction of the underwater drilling pipelines were shoddy and a vital valve was installed backwards. Consequently the pipelines became brittle, full of cracks, and flooded. In addition, equipment readings, internal documents from BP engineers, and other red flags warned that the rig wasn’t operating correctly and that there was potential for a dangerous explosion. However, all these signs were ignored and not addressed as threats by managers. In an effort to avoid incurring costs and to maximize profit, BP cut corners and underestimated the importance of safety. After initial investigations it became clear that BP not only missed significant signs but staff did not have proper training, maintenance of the rig was inferior, and overall BP lacked formalized emergency responses and a safety culture. As a result BP...
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...(ExxonMobil, 2012). ExxonMobil provides services and products under brands names Mobil, Esso, and Exxon. ExxonMobil is recognized as one of six of the largest oil refineries in the world. They own subsidiaries, such as the imperial oil limited in Canada and the sea river maritime a petroleum shipping company. The company is divided into different operating categories, such as upstream, downstream, and chemical. ExxonMobil has been successful because of their adaptation to change, its diversity, and desire to eliminate barriers. To remain successful in every aspect of the oil industry they must be at the leading edge of the competition. For this to be possible ExxonMobil must require the corporations operational, financial, human, and technological resources be evaluated frequently and used wisely. ExxonMobil makes every effort to improve productivity through learning, implementing best practices, sharing, and improving efficiency. ExxonMobil also strives to achieve superior operating and financial results as they adhere to the quality stands of business and ethical conduct. Their commitment to developing proprietary technologies gives them the ability to provide a competitive edge (ExxonMobil, 2012). This analysis will outline the strategic initiatives taken by ExxonMobil relative to organizational and operational adaptation to changing markets, economic trends, adapting to a recession, strategic goals and how...
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...Recently the United States had the worst oil spills ever in history, and yet we continue to keep drilling and harming human life, animal life and nature as we know it. I do however understand that accidents do happen, but this was a 100% preventable accident. I am curious what the government and British Petroleum are doing to prevent a further situation like this from happening. I do understand that unfortunately this country is so depend on crude oil. However, I think that is the problem to begin with, we rely too much on crude oil. There are many other alternatives in the environment that can be further researched but I think the government is more worried about the dollar figure than our eco system. The United States is one of the biggest and most dependent countries to oil. History itself has shown us the affects of drilling offshore, yes they are rare but, they are very deadly. Oil spills can kill within a matter of minutes. It can take years or even decades to clean up and see rebuilding of its affects. We could put a man on the moon, make cell phones which talk, watch 3D television, but yet we cannot find another source or way to free ourselves from the dependency on oil. My viewpoint on life has always been the same, human life, animal life or even plant life deserves a chance to survive. As a child I was always worried about the environment and our eco system, what will happen to the next generation? If we don’t take care of it now what will it be like when I have...
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...British Airways Timeline. 1998: British Airways orders 59 aircraft in the Airbus A320 family and 16 Boeing 777s. 1999: British Airways opens its new World Cargo Centre. 2000: British Airways completes a 9 per cent acquisition of Iberia. 2001: Heathrow Terminal 5 is given the go-ahead by the UK Government. 2002: British Airways becomes the world’s first airline to take part in a scheme to reduce greenhouse gas emissions. 2003: Concorde makes its last commercial flight. 2004: British Airways becomes the first airline in the UK to enable passengers departing from Heathrow to print their own boarding passes online for selected flights. 2005: A new voluntary scheme is launched to enable customers to offset the carbon dioxide emissions from their flights by making a contribution to an environmental trust. 2006: British Airways unveils its next generation business class cabin, offering greater comfort, more space and storage. 2007: British Airways places an order for 12 Airbus A380 aircraft and 24 Boeing 787 aircraft. 2008: British Airways’ first flight from Terminal 5 departs to Paris on March 27, 2008. Introduction. British Airways is the UK's largest international scheduled airline, flying to over 300 destinations at convenient times, to the best located airports. Their principal place of business is Heathrow...
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...Royal Dutch Shell Exxon Mobil Team #1: EXECUTIVE SUMMARY Exxon Mobil Corporation (ExxonMobil) is an oil and gas company. It is the world’s largest integrated oil company. The company carries out the exploration and production of oil and gas; refining, transportation and marketing of oil and natural gas; and manufacture and sale of petroleum products. ExxonMobil also has interests in petrochemicals and electricity generation facilities. The company operates through three reportable business segments, namely, Upstream, Downstream and Chemical. It offers products and services under various brands such as Exxon, Esso and Mobil. ExxonMobil has presence in Americas, Europe, Asia-Pacific, Australia and Africa. ExxonMobil is headquartered in Texas, the US. Royal Dutch Shell Plc commonly known as Shell is an independent company with its registered office located in London, UK and headquartered in The Hague, Netherlands operating in the oil and gas industry globally. It is the second largest oil company in the world. The operations of the company are divided into three main segments including: Downstream, Upstream and Projects and Technology. The Upstream segment combines activities involved in the search for and recovery, liquefaction and transportation of oils and natural gas and wind energy. The Downstream segment is engaged in the activities of manufacturing, distributing and marketing of chemicals and oil products. Finally, the Projects and Technology segment includes all the...
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...different case studies are taken under consideration. Step by step all three cases are described. These cases are about projects which had to face failure. Therefore, the reasons for failure of projects are identified and recommendations are given to ail failing projects. First case study is about British Petroleum which is oil and Gas Company had to face situation which was not just critical but new for any oil company. The incident occurred due to explosion in the deep-water horizon while BP technical staff was trying to drill a well. Moreover, BP was not able to stop oil flow for three months. Second case is about Chrysler and Fiat. Both were automobile companies and had to face failure. Marchionne was the one who saved both companies. The main focus of this case is merger of these two companies and the challenges faced by CEO due to organizational change after merger. Third case study is about Millennium Dome, one of the controversial projects in the history of construction projects because of number of reasons. With the help of case study we will be able to learn the causes of failure of this project. Further recommendations to ail failure are given. Key Words Project Failure, British Petroleum, Chrysler and Fiat, Millennium Dome, Success. embark upon more initiatives than they probably should, causing over worked and often unhappy team members....
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