BP Analysis

Topics: Petroleum, Natural gas, Peak oil Pages: 27 (6916 words) Published: June 18, 2014


BP plc (British Petroleum)
February 2, 2014
University of Mount Olive

Table of Contents
Title Page ……………………………………………………………………………………….. 1 Table of Contents ………………………………………………………………………………... 2 Introduction …………………………………………………………………………………….... 3 External Environment …………………………………………………………………………... 3

Economic Trends………………………………………………………………………… 4
Political/Legal …………………………………………………………………………… 5
Demographics …………………………………………………………………………… 6
Technological Trends …………………………………………………………………… 6
Socio/Culture …………………………………………………………………………… 7
Global …………………………………………………………………………………… 7 Industry Analysis of Porter’s Five Forces ……………………………………………………… 8
Barriers to Entry ……………………………………………………………………….. 8
Suppliers Bargaining Power ……………………………………………………………. 9
Buyers Bargaining Power ……………………………………………………………… 9
Substitute Product Threats …………………………………………………………… 10
Competition ……………………………………………………………………………. 10 Firm’s Strategies ……………………………………………………………………………… 10
Business Strategy …………………………………………………………………… 10
Corporate Level Strategy ………………………………………………………………. 11
Technology ……………………………………………………………………………...11 Firm’s Competences …………………………………………………………………………….12
Intangible Resources …………………………………………………………………… 12
Value- Added Chain …………………………………………………………………… 16 Competitive Advantage Factor ..………………………………………………………………. 17 SWOT Analysis ………………………………………………………………………………. 18
Strengths ……………………………………………………………………………… 19
Weakness .……………………………………………………………………………. 20
Opportunities. …………………………………………………………………………. 21
Threats ………………………………………………………………………………… 21 Conclusion …………………………………………………………………………………… 22 Recommended Strategic Actions …………………………………………………………….. 24 References …………………………………………………………………………………….. 25

Introduction
William Knox D’Arcy founded BP plc, formerly known as British Petroleum, in 1909, they are a global company specializing in oil and gas, headquartered in London, England. BP has continued to grow since its inception, and now employs over 80 thousand people in 70 countries worldwide (Company History,N.D.para1). According to CNN money BP is ranked number six among other global 500 companies (Fortune Global 500.BP.n.d.). Its key strengths are in oil and gas exploration and production; the refining, marketing and supply of petroleum products; and the manufacturing and marketing of chemicals. It supports all its businesses with high quality research and technology (Company History, N.D.para3). External Environment

Economic Trends
Knowledge is power and the more aware you are of trends within the economy, the more successful you will ultimately be. BP is just one of many companies in the oil and gas industry making an impact on environmental trends. A common goal amongst competitors within this industry is to locate oil and bring it to consumers, due to some of the economical trends this goal is also shifting. The economy is more favorable to lower gas prices, lower carbon emissions, and fuel efficiency. Companies within this industry have to balance the needs of development and the needs of the economy while trying to protect the environment.

BP has two main areas of operation, one being the exploration and production of oil and the other being refining and marketing (BP,PLC(BP), N.D.para1) Currently BP like many others in the industry are focusing on ways to lower carbon emissions, and finding new resources of low-carbon energy. One of the ways BP is helping bring these goals and trends into fruition is the utilization of shale oil. Shale oil resources are being discovered all throughout the United States. Shale oil has helped lower gas prices (Oil and Gas,2013.,para3). BP recently purchased Chesapeake Energy Corp’s position in the Woodford Shale-gas play in Oklahoma for 1.75 billion; with this purchase they can expand into shale gas and are hoping to add 200 million cubic feet into...
Continue Reading

Please join StudyMode to read the full document

You May Also Find These Documents Helpful

  • Ethics in Bp Essay
  • British Petroleum BP case study Essay
  • Bp and Stakeholder Mismanagement Essay
  • Bp- Pest Analysis Essay
  • Case Analysis
  • History of Bp Oil Spill Research Paper
  • BP Response Essay
  • Bp history Research Paper

Become a StudyMode Member

Sign Up - It's Free
Biglietto ed sheeran Roma prato gold | Secumar Jump Pro Schwimmweste Schwimmhilfe 30kg-120kg neongelb | Flight of the Conchords