...Kencana Petroleum Berhad 1.0 INTRODUCTION A core competency by definition is a unique ability that a company acquires from its founders or develops that can make a significant contribution to perceived customer benefits of a product or services and it is difficult for a competitor to imitated. Core competencies are what give a company one or more competitive advantages, in creating and delivering value to its customers in its chosen field (Anonymous). According to Fred (2013), core competencies define as a value chain activity that firm performs especially well. When a core competence evolves into a major competitive advantage, it will turn into distinctive competence. Core competencies may include any combination of skills, technologies, processes, knowledge or expertise and are often achieved as a result of long-term development processes and/or experiences (Mayhew, 2010). Competitive advantage on the other hand is defined as a measure relative to rivals in a given industry. Competitive advantage happen when a firm can do something that rival firm cannot do, or owns something that rival firm desire (Fred, 2013). For example, Nestlé core competency is food and beverages that is full with nutrition, health and wellness. By defining own core competencies and SWOT (strength, weaknesses, opportunity and treats) the company will be able to focus on its organisation uniqueness. In this study, I will focus on the core competency for Company SapuraKencana Petroleum Berhad...
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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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...part of the course curriculum, the second year MBA students are required to undertake a study on macro analysis of a particular industry and thereby, prepare a project report on the chosen industry. The objective behind preparing this project report is to relate the management subjects taught in the classroom to their practical application and to get insight into practical situation. Petroleum Industry is considered to be the back bone of an economy because this is the main source of energy till date. Any economy around the world would fail to advance a single step in the absence of Petroleum Industry. The Petroleum Industry is divided into two segments namely Upstream Sector consisting of Exploration and Production of crude oil while the Downstream Sector consists of Refining, Processing, Storing, Marketing and Distribution of petroleum products. The most important part of the Petroleum Industry is the Petroleum Refining Industry which refines the crude oil to convert it to the usable fuel. It also derives many derivative products out of the crude petroleum like natural gas, naphtha, etc which can be used in various ways. Hence, for these reasons, we have chosen the Downstream Sector of the Indian Petroleum Industry for our Macro Analysis project. As this is a Macro Analysis project, we have concentrated on the Indian Petroleum Industry and that too focusing on the Downstream Sector for our study and not gone into the in depth analysis of the various players and their...
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...2 3 4 5 6 711 8 J. International Business and Entrepreneurship Development, Vol. 3, No. 1/2, 2006 Sustaining competitive advantage in the global petrochemical industry: a Saudi Arabian perspective Salem M. Al-Ghamdi Department of Management and Marketing, King Fahd University of Petroleum and Minerals, P.O. Box 667, Dhahran 31261, Saudi Arabia E-mail: sghamdi@kfupm.edu.sa M. Sadiq Sohail* Department of Management and Marketing, King Fahd University of Petroleum and Minerals, PO Box 210, Dhahran 31261, Saudi Arabia E-mail: ssohail@kfupm.edu.sa E-mail: sadiqsohail@hotmail.com *Corresponding author Abstract: This paper analyses the competitive advantages of Saudi Arabia in the global petrochemical industry. Porter’s model is used for this purpose. Saudi Arabia, a leading producer of oil, is also the largest worldwide producer of a number of petrochemical products. Competitiveness in the global market demands an examination of comparative advantages and is the reason why Saudi Arabia is yet to succeed in the global market. This paper is an attempt to analyse the industry and to provide strategic alternatives. Keywords: petrochemical; Porter; Saudi Arabia; strategy. Reference to this paper should be made as follows: Al-Ghamdi, S.M. and Sadiq Sohail, M. (2006) ‘Sustaining competitive advantage in the global petrochemical industry: a Saudi Arabian perspective’, Journal for International Business and Entrepreneurship Development, Vol. 3, No. 1/2, pp.4–17. Biographical notes:...
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...market in the world. Some energy companies trade in fossil fuels (coal,gas and petroleum) while others supply electricity or fuel to end users.Many of the products derived from petroleum, like plastic, chemicals and fertilizers are essential components or ingredients for industry. As petroleum reserves become scarcer this drives up oil prices and encourages companies and governments to develop alternative or renewable energies .Increasing energy consumption is creating pollution and causing global warming. An increasing number of petroleum geologists have warned that official estimates of available global oil reserves are dangerously exaggerated. For energy companies, proven oil and gas reserves are their primary indicator of economic health. There may be considerably less oil in the world than the oil-producing countries and energy companies claim and it would be logical to expect that oil production could peak far sooner than predicted. For economy still reliant on fossil fuels the effects would be catastrophic. All major players In the oil business insist that there will be enough oil to last well through the 21 st century. The optimistic oil-reserve estimates also fail to take into consideration one vital question what will happen if global demand for energy continues to rise? The consequences of overestimating the global oil supply would be devastating. In the best case> industry would recover by turning to less efficient and more polluting fuels. Energy sources...
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...participates in three very profitable industries: Mining/Crude-Oil industry, Petroleum Refining, and Chemicals. Exxon Mobil is a multinational oil and gas corporation. They have evolved over the past 125 years as a regional marketer of kerosene in the U.S. to the largest publicly traded petroleum and petrochemical enterprise in the world. Today Exxon Mobil operates in most of the world's countries and is best known by their familiar brand names: Exxon, Esso and Mobil. They make the products that drive modern transportation, power cities, lubricate industry and provide petrochemical building blocks that lead to thousands of consumer goods. Exxon Mobil was founded by John Rockefeller and his associates in 1870 originally named standard oil company. By 1882 Standard Oil Company was renamed Standard Oil Company of New Jersey (Jersey Standard) and the Standard Oil Company of New York (Socony). Standard Oil broke up into 34 unrelated companies after a U.S. Supreme Court ruling, including Jersey Standard, Socony, and Vacuum Oil. After 100 years in business the company went through yet another name change to Mobil Oil Corporation. In 1972 Jersey Standard becomes Exxon Corporation. In November 30, 1999, Exxon and Mobil join together to become Exxon Mobil Corporation. The merger increased their ability to be a more effective global competitor in the volatile economy and in an industry that is very competitive. In 2005 both Exxon Mobil and Qatar Petroleum with joint venture partners expanded...
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...Top 10 NGO’s 1. Ushahidi- 2. Danish Refugee Council- 3. Médecins sans Frontières- 4. CARE International- 5. PATH- 6. Oxfam- FMCG companies in India 1. Hindustan Unilever Ltd. 2. ITC Limited 3. Britannia Industries Ltd. 4. Nestlé India- 5. Godrej Group 6. Tata Global Beverages 7. Parle Agro 8. Nirma 9. Cavin Kare 10. GCMMF (AMUL) 11. Cadbury India 12. Procter & Gamble Hygiene and Health Care- 13. Colgate-Palmolive (India) Ltd 14. Gillette India Ltd. 15. Johnson & Johnson 16. Amul India 17. Godrej Consumer Products Ltd 18. Marico Industries Military vehicle manufacturers 1. Alvis Car and Engineering Company Ltd 2. Alvis plc 3. Armored Motor Car Company 4. Ashok Leyland 5. Ashok Leyland Defence Systems 6. Automotive Industries 7. Automotive Technik 8. Birmingham Small Arms Company 9. Clews Competition Motorcycles 10. Crossley Motors 11. Defense Land Systems 12. ELBO 13. Eurocopter 14. FAMAE 15. Fanaero-Chile 16. Force Protection Europe 17. Force Protection Inc 18. Groen Brothers Aviation 19. Howaldtswerke-Deutsche Werft 20. Krauss-Maffei 21. Land Rover 22. Land Systems OMC 23. Lürssen 24. Mahindra & Mahindra 25. MAN SE 26. Manitowoc Cranes 27. Manitowoc Shipbuilding Company 28. Mowag 29. Nordseewerke 30. Ordnance Factory Medak 31. Oshkosh Corporation 32. Patria (company) 33. Plasan 34. RUAG 35. SNVI 36. Supacat 37. Tata Motors 38. Thornycroft 39. ThyssenKrupp 40. ThyssenKrupp Marine Systems 41. Timoney Technology...
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...Rising competitive pressures will force Banking industry to differentiate itself more aggressively, whether through its product mix, market focus, or branding proposition. Restructuring will focus on entrenching existing areas of strength, not developing entirely new ones. Cost-efficiency will remain key factor. Expect a further acceleration in the outsourcing of non-core functions and greater emphasis on performance improvement as the bank will seek to increase the efficiency of back-office processes. POSTED BY MYBLOG AT 12:02 AM NO COMMENTS: Post a Comment LINKS TO THIS POST Create a Link Newer Post Home Subscribe to: Post Comments (Atom) USEFUL INFORMATION ANALYSIS OF THE GLOBAL CAPITAL MARKET Learn Excel Quick & Easy MBA Quick Reference MY HEADLINES FUTURE OF OIL AND RISING OIL PRICES Blood and oil: How the West will profit from Iraq's most precious commodity 7/17/2008 The 'IoS' today reveals a draft for a new law that would give Western oil companies a massive share in… Oil for War 7/17/2008 After invading one of the most petroleum-rich countries on earth, the U.S. military is running on empty. Napoleon famously… Future of Iraq: The spoils of war 7/17/2008 How the West will make a killing on Iraqi oil riches Iraq's massive oil reserves, the third-largest in the world,… Headlines by FeedBurner FUTURE OF OIL AND RISING OIL PRICES ↑ Grab this Headline Animator SUBSCRIBE NOW: GOOGLE Add to Google Reader or Homepage ...
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...discussed Indian Oil Corporation (IOC), which ranking 18th in top petroleum corporations and 105th in largest corporations globally with a tuner over of more than 48 billion Euros. The case discussed in detail IOC’s problem in profit decline due to borrowing money and line of credit issues. The case reveled the root and causes of these problems, which turned out to be the intervention of the Indian Government through its subsidies policy. These subsidies adjusted oil prices to suit the general public regardless of how it may negatively affected the oil corporations. General environment’s seven segment include: Economic, Physical, Sociocultural, Global, Technological, Political/Legal, and demographic. Economic segment includes: inflation rates, interest rates, trade deficits or surplus, budgeting deficits or surplus, personal savings rate, business saving rate, and gross domestic product (GDP). Physical segment incorporates: natural resources (finite supply), sustainable technologies, advocacy groups, increasing demand (conflict of interest), waste reduction, and environmental risk management. Sociocultural segment includes: women in the workplace, workforce diversity, attitudes about the quality of work life, concerns about the environment, shifts in work and career preferences, and shift in preferences regarding product and services characteristics. Global segment: important political events, critical global markets, newly industrialized countries, and different cultural and...
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...MARKET LIBERALIZATION: THE REDISTRIBUTIVE EFFECT OF PETROLEUM PRICE LIB. THE ROLE OF PETROLEUM PRICE LIVERALIZATION IN THE PROCESS OF FINANCIAL AND ECONOMIC DEVELOPMENT OF NIGERIA PETROLEUM PRICE DEREGULATION IN NIGERIA: AN INTRODUCTION TO THEORETICAL, INSTITUTIONAL AND POLICY ISSUES. Nigeria once flush with oil boom revenues, is now a country of unfinished petrol station construction sites, ghost refinery depots, abandoned petrol stations, an unintended monuments to unrealized expectations. It is therefore not a surprise that in such an environment the appetites for risk should naturally abate often such catastrophic losses and situation. ORIGIN OF FREE MARKET IDEOLOGY IN NIGERIA Overview/introduction A careful study of Nigeria’s economic… reveals that… Economic policies in Nigeria have in the last two decades reflected a drive for accelerated economic development through economic and financial liberalizations. The outcomes have been largely disappointing, even in the honest estimates of their designers. Both urban and rural livelihood has become more insecure, and the expected economic development and growth has rarely materialized. Social and political insecurity are etched into the growth pattern. Ironically, the same liberalization policy that has been so deeply adverse to many sectors of the economy, somehow provided new opportunities to some individuals and groups that have the absorptive capacity to embrace, absorb and integrate both the policy and transfer...
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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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...stressful; all of economy activities are difficult. A lot of big and small companies fall into bankruptcy. Therefore, in order to maintain and develop the business, companies need to have reasonable strategy and also consider about the internal factors, external factors around the company. British Petroleum is one of the biggest oil companies in the world, it is also affected by the economic crisis. Hence, Bp should understand about the current situation of company to give more strategy which help develop the firm in the future. This report was carried out through the BP website, books and newspapers what relate to the BP’s information. Moreover, the report also provides more information of BP such as vision, mission, goal, value, objectives, BP's environmental and economic situation in the UK. Besides that, this information what was given in this report: * Evaluate the extent BP what it has achieved the objectives of stakeholders * Responsibility of Bp with the factors around the company * Analyst policies in UK what influence to run business * Evaluate economy system allocation of resources and way to use. Introduction British Petroleum- England’ petroleum multinational company ( BPPLC). British’s office in London, England. The company started doing business since 1954, base on the foundation of Anglo – Iranian Oil Company with 85.900 employees. British company came to Vietnam in 1989 with a lot of ideas and turned all ideas become reality. The main purpose...
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...“Ratio Analysis and Comparative Study of Financials of IOCL with its Competitors” Submitted for partial fulfilment of the Award Of Master of Business Administration DEGREE (2011-2013) Submitted By ArushiBhutani 1103270034 UNDER THE GUIDANCE OF Internal Guide:JayaPandey School of Management ABES ENGINEERING COLLEGE, GHAZIABAD (ISO 9001:2000 certified) AFFILIATED TO MAHAMAYA TECHNICAL UNIVERSITY, NOIDA Candidate’s Declaration/Certificate I “ARUSHI BHUTANI” hereby declare that the work which is being presented in this report entitled “Ratio Analysis and Comparative Study of Financials of IOCL with its Competitors” is an authentic record of my own work carried out under the supervision of Ms. “JAYA PANDEY”. The matter embodied in this report has not been submitted by me for the award of any other degree. Dated: ARUSHI BHUTANI MBA Department This is to certify that the above statements made by the candidate are correct to the best of my knowledge. Prof. Rakesh Passi JAYA PANDEY Head of Department Designation: Date: Department: Date: ACKNOWLEDGEMENT “Interdependence is a higher value than independence” Some says “Managers are born and some says managers are made”. I was also in some dilemma before commencing my Summer Internship Project. But after the successful completion of my summer internship project, I came to know that managers are made if they are guided...
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...Assess the relative importance of named players in the global supply of energy. (15 marks) Energy supply is the delivery of fuels or transformed fuels to point of consumption. It potentially encompasses the extraction, transmission, generation, distribution and storage of fuels. There are a number of players involved in global energy supply including TNCs (Transnational Corporations), organisations such as OPEC (Organisation of Petroleum Exporting Countries), governments and consumers. All of these players are stakeholders in the energy market and have varying degrees of importance and influence. Energy resources are not evenly distributed across the globe, certain factors such as geographic location/relief of the land, economic ability for extraction, technology available and demand for said resource. The Middle East and Africa are the richest regions in Oil, the Middle East, Europe and Eurasia are richest in gas, and North America, Pacific, Europe and Eurasia are richest in coal. OPEC, the organisation of Petroleum Exporting Countries, is a very important player which controls the price and supply globally. It controls 3rd of the world's oil reserves, making it a very powerful player. It is a powerful cartel which has a lot of influence over global energy markets. It aims to regulate oil prices and make the price of oil more stable. However, it is accused of holding back oil in order to increase the price of oil. Dramatic rises in the price of oil from 2002 onwards were...
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...Your Excellencies, distinguished guests, ladies and gentlemen, good afternoon. At Saudi Aramco, we are committed to powering global economic development with adequate and affordable energy and a low carbon future. Better yet, we firmly believe that these era-defining objectives are not mutually exclusive. We employ a multi-pronged strategy that addresses both the production of petroleum and its consumption: through an unwavering commitment to environmental stewardship beyond mere compliance; by instilling operational excellence all along the petroleum value chain; and, most critically, by leveraging innovation and technology. When it comes to the production side of the equation, at Saudi Aramco we’ve already come a long way. Over the past four decades, we’ve reduced our CO2 footprint six-fold, despite rising activity levels; and we’ve reduced gas flaring to well below 1% of annual gas production today. Our multi-faceted efforts continue, as we are about to start a sizeable demonstration project for CO2 from one of our large industrial plants. Looking at the consumption side, great progress has been made. Although the transport sector is responsible for only 13% of global greenhouse gas emissions, innovation and technology could make this even smaller. For example, hybrid vehicles are able to double the average miles per gallon. This is on top of ongoing efforts to increase the efficiency of conventional internal combustion and diesel engines. For example, at Saudi Aramco...
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