British Petroleum and Recommendations for Improvement and Success
This paper will look at British Petroleum, BP, one of the largest oil companies in the world. Following the Gulf Oil Spill does BP have sustainability in this market? This paper will examine the early history of the company. It will look at the competitive advantages of the organization by looking at its SWOT analysis. The company’s market strategy will be examined including its growing interest into alternative fuels. Its internal structure will be compared to the persona that BP is trying to convey that they are a globally friendly company with interests in developing low and no carbon emission fuels.
British Petroleum, BP, is one of the largest oil and petroleum companies in the world. With a history spanning more than one hundred years, BP has placed itself among the elite of businesses. Some of the most prestigious names in business and politics have their histories intertwined with BP. Names like John D. Rockefeller and Winston Churchill line the history of this organization. From its start in 1901, BP, then called Anglo-Persian Oil, dedicated itself to finding oil and natural gas where no one expected. Its rise to fame was in the sands of the Middle East. It was the first to find some of the richest deposits of oil the world had ever seen. It was one of the first to tap huge oil deposits in Alaska and build the pipeline that would bring it all down to the lower 48 states. They have huge investments in offshore drilling. They find the juice that keeps the world’s cars moving. Not everything has been rosy for the oil giant. In the early days when cars were just a fad for the wealthy, there was not enough sales of oil to justify the huge expenses incurred in retrieving the liquid gold. The company almost folded on several occasions being saved through various contacts in high places. The company has endured national takeovers of their plants, the loss of drilling rights and disasters, large and small. Before 2010, not many Americans knew what BP was. There were some gas stations on the East Coast, but not much was known about the company. Today, when thinking of BP, the famous Gulf Spill of 2010 is what comes to mind. This made BP a household name for all the wrong reasons. BP had spills in the past, but not one of this magnitude and devastation. When it was all said and done, BP was slapped with the largest federal fine in history. This paper will look at the competitive advantage, marketing strategy, and inner workings of the British Petroleum. It will also present possible ways BP can find improvements. BP is a large company with an even larger past. If it is not careful, BP could be on the verge of losing all of it. Competitive Advantage
BP prides itself on being one of the largest vertically integrated companies in the world. As one of the largest oil and petroleum companies in the world, BP has huge interests in the exploration, extraction, refinement and marketing of oil and natural gas products. BP is headquartered in London, England. The company employs 92,000 employees. The company’s fuel products run under several names including BP, Amoco and Arco. They work in both the wholesale and resale markets. A good place to start is a SWOT (strengths, weaknesses, opportunities, threats) assessment of BP. In the strengths area, British Petroleum is one of the top petroleum companies in the world. Currently, BP holds the ranking of the sixth largest oil company in the world (Helman, 2012). Second to this strength is the history BP holds. BP is more than a hundred years old and has been through some of the worst times in history. They have shown resilience, especially in the early days, through several near bankruptcies. Thirdly, BP is always on the forefront of oil exploration. BP was the first to drill the Middle East and they were the ones to find the rich oil fields of Alaska. They know where the oil is and how to get it....
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