British petroleum is one of the largest oil and gas company which is spread within eighty countries and across six continents. In this project we are going to talk about BP on the whole. We will apply frameworks such as pestel, potters five forces, value chain, ansoffs matrix, the bcg matrix and also the SWOT and TOWS matrix to see where BP stands in the market. Will also talk about the competitive advantage it has got and how are they making use of it in the market. BP also dominates in the downstream market and has its own supply chains. The oil reserves are soon declining hence BP is looking into alternative sources of energies. We will also talk about the current strategies of British petroleum and the strategies that make them successful and give recommendations to them about their future strategies.
TABEL OF CONTENT
2. STRATIGIC POSITION OF BRITISH PETROLIUM
3.1. INTERNAL ANALYSIS
3.2.1. STRATEGIC CAPIBILITIES
3.2. EXTERNAL ANALYSIS
3.3.3. VALUE CHAIN
3.3.5. PRODUCT LIFE CYCLE
3.3.6. POTTERS FIVE FORCES
3.3.7. BCG MATRIX
3.3.8. ANSOFF MATRIX
3.3.10. TOWS MATRIX
3. STRTEGIC CHOICE
4.3. CURRENT STRATERGIES BRITISH PETROLIUM IS USING
4.4. SUCCESS CRITERIA
The Anglo Persian Oil Company which is now know as British petroleum was founded in 1908.british petroleum got its name in 1908. It is one of the world’s largest oil and gas company which is spread over 80 countries across 6 continents. Bp is recognised worldwide for its quality gasoline, transport fuels, chemicals and alternative sources of energy such as wind, solar and bio fuels. Their logo Helios symbolises a Greek god that represents all forms of energy.
STRATIGIC POSITION of BRITISH PETROLIUM
Strategic capabilities of BP
| RESOURCES| COMPETETCES|
THRESHOLD| * Platforms * Retail sites * shipping vessels | * Seismic exploration * Supply chain (Crude oil to refineries; distribution of finished products to retailers)| DISTINCTIVE| * Brand * Culture| * Deep water drilling * Losal oil recovery technique |
Political – most of the resources are under the control of the government. The companies have to get permission from the government in order to explore the resources. Sometimes companies cannot extract oil from some countries such as Libiya due to political instabilities. Economical – there has been a high risk investment due to the currency fluctuations and exchange rates. Fuel is generally bought in barrels and is traded all over the world this affects the company as they may get a good rate and generate more profits or else they may get a bad rate of exchange and generate losses. Social – there has been a change in the attitude to the people they are shifting to the usage of alternative forms of energy such as solar energy, bio fuels etc. The reason behind this shift in thought process was that people know that the reserves of fossil fuels in fast declines and by using alternative form of energy they will be able to preserve fossil fuel for many generations to come. Technological – BP has invested eight crores for the development of alternative energies. Technologies such as the blue ocean technology will help the company to extract resources which are hard to explore. Environmental – the oil spill that took place in the Gulf of Mexico spread about 160 kilometres and the oil leak went on for forty five days this affected the sea life and the people living on the coast in a very bad way. Legal – the environmental laws which were introduced in the 1990 to prevent oil spill are forcing the company to clean up all the...