...IRANIAN OIL AND GAS INDUSTRY COMPETITIVENESS NAME: INSTITUTION: CHAPETR ONE: INTRODUCTION 1.0 Introduction This study’s rationale is based on the deductions from the available literature that there is a dire need to understand the Oil and gas industry competitiveness in Iran (Michael E. P. 1990). This study thus uses Porter’s model of competitive advantage of nations to analyze Iran’s oil and gas industry’s competitiveness in the global market. This study will also focus on the factors that affect the industry’s competitiveness. In the past decade, there has been a progressive increase in world oil demand due to increase in the global economic growth (Hooman 2000), (Narsi, 2001). With the global demand for energy projected to rise in the future coupled with the exponential reduction in oil reserve discovery from the majority of non-OPEC (Organization of Petroleum Exporting Countries) countries, there is a significant demand for oil from OPEC countries, such as Iran. Moreover, unless there is a feasible alternative, the influence of Iran and other OPEC countries will be more prevalent. This, therefore, means that the energy sector in OPEC countries faces fierce competition (Fereidun 2016). Iran is the oldest oil-exporting country in the Persian Gulf region. With the continued discoveries of new oil fields, its current reserves have exceeded domestic consumption and exports. Being the founding member of the OPEC, Iran has also...
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...Gas Highlights * We model two major oil and gas companies. * We examine causes of Climate Change * Increase in further research may produce other alternative to exist source of energy * Combined efforts will help to meet carbon reduction target ABSTRACT Playing a major role in the world, the oil and gas industry is faced with the challenge of climate change. This paper establishes the fact that climate change troubles our planet today. In establishing this fact the paper examines the causes of climate change, the relationship between climate change and the oil and gas industry through CO2. It further evaluates the various methods available to reduce CO2 emissions and the challenges the companies have in implementing the methods. This paper uses two major oil companies as case studies, to establish the above stated facts and concludes that oil and gas companies need to be involved in more research and development of alternative supply of energy, in order reduce CO2 emissions, in collaboration with other sectors of the economy in achieving the targets made regarding climate change, environmental laws and policies. Keywords: CO2, Climate Change, Industry, Oil and Gas. 1. INTRODUCTION Climate change is a global topic that is continually deliberated on by companies in the oil and gas industry. The oil and gas industry is accountable for six per cent of global CO2 emissions, but the dispute over reduction of global greenhouse gases (GHG) related with climate...
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...Global Business and Economics Research Journal ISSN: 2302-4593 Vol. 2 (5): 102 - 115 The impact of petroleum on economic growth in Nigeria Michael Baghebo Niger Delta University, Bayelsa State, Nigeria baghebomichael@yahoo.com Timothy Okule Atima Niger Delta University, Bayelsa State, Nigeria Abstract The study examines the impact of petroleum on economic growth of the Nigerian economy. Data covering the period 1980-2011 was collected from the Central Bank of Nigeria Statistical Bulletin, and transparency international Agency annual publications and analyzed using econometric approach. The stationary status of the time series data was examined using Augmented Dickey Fuller test. The regressand is Real Gross Domestic Product (RGDP), The regressors are Foreign direct investment (FDI), Oil revenue (OIL), Corruption index (CI), External debt (EXDEBT). The series attained stationary after differencing. The Johansen cointegration test was conducted to ascertain the long run equilibrium condition of the variables in the model. The variables were cointegrated because four cointegrating equations were found. The Parsimonous model was established to account for the short run dynamic adjustments required for stable long run equilibrium. It was discovered that the variables: oil revenue and corruption index impacts negatively on Real GDP, while FDI and EXDEBT have positive impact on the growth of the economy. This means that the resource curse theory is proven to be true in Nigeria. The...
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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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...Pump & Valve Industry – Overview & Opportunities About Singhi Advisors Your Partners in Growth . . . Private & Confidential Singhi Advisors Advantage Singhi Two Decades of delivering Success… Full service Investment bank with strong capabilities in M&A, PE & India Entry Strategy Many Services…One Goal MERGERS & ACQUISITIONS INDIA ENTRY STRATEGY PRIVATE EQUITY One of the top ten Investment Bankers and winner of the M&A Atlas Awards – Deal of the Year 2011, ACQ Global Award 2009 for ‘Corporate and M&A Advisory firm of the year-India’ o Co po ate a d & dv so y o t e yea da Multi–dimensional focus, covering all major sectors and industries Current focus with mid market and growing Corporates, while having strong relationships with top business houses in the country E Experienced & S bl M i d Stable Management, l di leading a team of >35 f 35 professionals, 70% of the team averaging 6+ years with Singhi Strong relationship and confidence from existing clients with 60% repeat business and 80% strike rate Live relationship with >250 Corporates, resulting in >800 ve e at o s p w t 50 Co po ates, esu t g 800 completed assignments. CORPORATE RESTRUCTURING DEBT SYNDICATION CORPORATE ADVISORY Global Reach Exclusive Indian Member of “Mergers-Alliance”, a leading international network of independent Investment Banking Firms and Corporate Finance advisory firms offering seamless services on mid-market transactions With the successful closure of more than 90 transactions...
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...SUBSIDIES TO OIL AND GAS INDUSTRY 6 Canada's Oil and Gas Industry's Lack of Initiative to Reduce GHG Emissions Supported by Government Subsidies CANADA'S PERVERSE SUBSIDIES TO OIL AND GAS INDUSTRY 6 The lack of reduction in greenhouse gas emissions, as required in the Kyoto Protocol, by Canada's Oil and Gas industry can be blamed on the “perverse” subsidies provided by the Canadian government. According to the Canadian Association of Petroleum Producers (CAPP), in 2011, Canada is rated as “... the third largest producer of natural gas... and the seventh largest producer of crude oil in the world.” Since Canada's Oil and Gas industry is a major supplier in the world market, government subsidies that support the exploration of new methods of extracting resources as they become more inaccessible and scarce is justifiable; but according to Ecojustice (2010) Canada supplies billions in subsidies to the Oil and Gas industry annually while greenhouse gas emissions skyrocket. This violates the requirements set out in the Kyoto Protocol as well as affects Canada's reputation in the global marketplace as organizations such as the OECD question this government practice. The government of Canada supports a global-scale industry at the expense of its taxpayers; which given the amplitude of the industry, it is highly unnecessary for such a government policy to exist. Basic statistics provided by CAPP show that the oil reserve...
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...(Course) (Date) Oil Industry 1. Describe the industry and explain the general pattern of change of the particular market model. The oil industry is a global industry that carries out its activities all over the world. The global community depends on the oil industry for nearly half of its activities (see diagram 1), which shows increasing demand of oil over the past years. Studies by Yizraeli (1) show that between, 1979 and 1985, Saudi Arabia pursued an aggressive and active policy with the intention to shape the world oil market. In the beginning, the company experienced an increase in the oil prices, but this effect was mostly felt by Saudi Arabia because of the market position it occupies. Some of these factors include a pricing policy that is moderate the size of the oil reserves and the company’s position in the world market. The Saudi Arabia government at that instant came up with laws to reduce the possibility of other entrants into the trade. It is not likely that Saudi will ever control the production of oil mainly because of two main factors; one being the role played by the country and impact of oil in the world economy are both experiencing a decline. The development of OPEC back in 1960, however, changed the scene of the oil industry to an oligopoly oil industry characterized by cartels. This is an institution characterized by few productive members who control the product price. When it comes to OPEC, the treaty between the groups controls how much oil each company...
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...INTERNATIONAL OIL COMPANY Name: Course: Lecturer: Date: Contents Introduction 3 Background of Shell Global 3 Evaluation of Strengths, Weaknesses, Opportunities and Threats at Shell 4 Strengths 4 Brand image and market leadership 4 Strategic business model 4 Environmental and social responsibility 5 Technology and innovativeness 6 Weaknesses 7 Decline in hydrocarbon production 7 Misconduct leading to legal intervention 7 Opportunities 7 Investments and acquisitions 7 Increasing demand for liquefied gas 8 Threats 9 Changes in laws and regulations 9 Hostile operating environments and political instability 9 Competitive forces 9 Fluctuation in financial market conditions 10 Conclusion 11 References 12 Introduction The oil industry is one of the most lucrative industries globally, with demand in energy expected to rise with about 1.5% annually, up to a point of 60% in the year 2030. The increase in demand will due by rise in incomes in low and medium economies and increase in world wide oil reserves, (Finley, 2012). The industry impacts all and sundry with products such as fuels for transportation, heating, electricity, lubricants, propane, and clothing amongst others. The industry impact both global security and politics, (Inkpen & Moffet, 2011). In addition to the financial benefits derived from this industry, the industry further benefits economies in terms of employment to individuals across the globe. In the US alone, the Oil and Gas industry contributed...
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...Article summary The article I looked at was... Oil and the world economy The new grease? How to assess the risks of a 2012 oil shock This was from the 10th of March online Print edition of the Economist The article looks at increasing oil prices, reasons for the increases and the effects on individual countries and the global economy. Next slide High oil prices have become the latest source of worry for the world economy, and the four main questions everyone is asking in assessing the dangers posed by more expensive oil are: What is driving up the oil price? How high could it go? What is the likely economic impact of rises so far? And what damage could future increases do? The article starts by explaining that the price of Brent crude increased by more than $5 a barrel on March 1st, to $128, after an Iranian press report stated that explosions had destroyed a vital Saudi Arabian oil pipeline. After the Saudis denied the claim, the price fell back to $125, however this is still 16% higher than at the start of the year. Next slide It goes on to discuss reasons for the increase in oil prices such as a move by investors who are now investing into hard assets especially oil, increased global prospects which have increased expectation for oil demand and disruptions in supply. The article concludes that supply shocks, do more damage to global growth than higher prices that are the consequence of stronger demand. Next slide Even though this chart shows Saudi Arabia is...
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...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 partially due to...
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... It is in the Oil and Gas Drilling and Exploration Industry. In the oil and gas industry ONGC does a lot of research and development as well as refining and marketing. In 2007 they entered the energy field researching and developing alternative fuels. The company is currently recognized as the “Best Oil and Gas Company in Asia”, by the ‘Global Finance’ magazine. In 2007 it was ranked 369th by the Fortune Global 500 list of largest corporations by turnover. This is only a small measure of their performance thus far. By looking at this and many other achievements it is obvious that ONGC is not slowing down any time soon. When taking into account that it is doing business in what will soon be the most populated country in the world, they will only be growing from here. Our analysis will look at the internal and external factors that affect the business. It will show how strong they are in the Oil Industry but also focus on what they need to do to stay competitive. Strategic Profile ONGC is not only the number one Exploration and Production Company in Asia today, but is also the number 3 E&P Company in the world. It is in the Oil and Gas Drilling and Exploration Industry. In the oil and gas industry ONGC does a lot of research and development as well as refining and marketing. In 2007 they entered the energy field researching and developing alternative fuels. The company is currently recognized as the “Best Oil and Gas Company in Asia”, by the ‘Global Finance’ magazine...
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...(Course) (Date) Oil Industry 1. Describe the industry and explain the general pattern of change of the particular market model. The oil industry is a global industry that carries out its activities all over the world. The global community depends on the oil industry for nearly half of its activities (see diagram 1), which shows increasing demand of oil over the past years. Studies by Yizraeli (1) show that between, 1979 and 1985, Saudi Arabia pursued an aggressive and active policy with the intention to shape the world oil market. In the beginning, the company experienced an increase in the oil prices, but this effect was mostly felt by Saudi Arabia because of the market position it occupies. Some of these factors include a pricing policy that is moderate the size of the oil reserves and the company’s position in the world market. The Saudi Arabia government at that instant came up with laws to reduce the possibility of other entrants into the trade. It is not likely that Saudi will ever control the production of oil mainly because of two main factors; one being the role played by the country and impact of oil in the world economy are both experiencing a decline. The development of OPEC back in 1960, however, changed the scene of the oil industry to an oligopoly oil industry characterized by cartels. This is an institution characterized by few productive members who control the product price. When it comes to OPEC, the treaty between the groups controls how much oil each company...
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...Table of Contents 1. Executive Summary 2. Introduction 3.1 Company Background 3.2 Purpose of the study 3. External Analysis 4.3 General Environmental Analysis 4.4.1 Demographic Segment 4.4.2 Economic Segment 4.4.3 Political/Legal Segment 4.4.4 Socio-Cultural Segment 4.4.5 Technological Segment 4.4.6 Global Segment 4.4.7 Summary of the General Environmental Analysis 4.4.8 Industry Driving Forces 4.4 Industry Analysis 4.5.9 Description of the Industry 4.5.10 Industry Dominant Economic Features 4.5.11.1 Market Size 4.5.11.2 Market Growth Rate 4.5.11.3 Industry Trends 4.5.11 Five Forces Analysis 4.5.12.4 Threats of New Entrants 4.5.12.5 Power of Suppliers 4.5.12.6 Power of Buyers 4.5.12.7 Power of Substitutes 4.5.12.8 Intensity of Rivalry 4.5.12.9 Summary of Industry Analysis 4.5 Competition Analysis 4.6.12 Industry Competitors 4.6.13 Rivals Anticipated Strategic Moves 4.6.14 Summary of Competitive Analysis 4.6.15 Key Success Factors 4. Internal Analysis 4.1 Organizational Analysis 4.1.1 Corporate Values and Mission 4.1.2 Products and Services 4.1.3 Leadership 4.1.4 Organizational Culture 4.1.5 Current Organizational Structure 4.1...
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...and opportunities into results Exploring the top 10 risks and opportunities for global organizations Oil and gas sector Contents Introduction Executive summary Part 1: Risks Ernst & Young sector risk radar The top 10 risks 1. Access to reserves: political constraints and competition for proven reserves 2. Uncertain energy policy 3. Cost containment 4. Worsening fiscal terms 5. Health, safety and environmental risks 6. Human capital deficit 7. New operational challenges, including unfamiliar environments 8. Climate change concerns 9. Price volatility 10. Competition from new technologies 1 3 6 7 8 8 10 12 14 16 18 20 21 22 23 24 25 26 26 28 29 30 32 34 36 38 39 40 42 Part 2: Opportunities Ernst & Young opportunity ladder The top 10 opportunities 1. Frontier acreage 2. Unconventional sources 3. Conventional reserves in challenging areas 4. Rising emerging market demand 5. NOC-IOC partnerships 6. Investing in innovation and R&D 7. Alternative fuels, including second generation biofuels 8. Cross-sector strategic partnerships 9. Building regulatory confidence 10. Acquisitions or alliances to gain new capabilities Methodology Introduction While risk continues to dominate the business agenda, competition is also becoming just as dominant a feature. Market volatility, pricing pressure, variations in market performance, demanding stakeholders — all have contributed to a global economy that encourages competitive drive. And with that drive comes opportunity...
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...Mohamed Ahmed Mohamed Student ID Number: H00032634 Chapter 1 Introduction History of British Petroleum (BP) Company British Petroleum is one of the oldest companies in the oil industry. According to BP Global (2010b), the company was founded in the year 1909 in the UK under the name Anglo-Persian Company. Later, in the year 1954, the company changed its name to British Petroleum (BP). Being in the gas and oil industry, BP conducts various operations including exploration and refining of oil among others. According to BP Global (2010), Bp is the largest energy company globally with presence in over 100 countries. Overview of the Deepwater Horizon Accident In the year 2010, BP experienced a Deepwater Horizon oil spill disaster which involved gas release and subsequent explosion in the Gulf of Mexico. According to Webb (2010), the fire lasted for 36 hours and this was followed by leaking of hydrocarbon into the Gulf for eighty-seven days. BP admitted responsibility explaining that the accident occurred following loss of control related to pressure within the well blowouts in which a special type of is designed to keep constant pressure. Impacts of the Deepwater Horizon accident This tragedy impacted immensely on various BP stakeholders i.e. local communities, global customers and the company’s stakeholders among others. According to Harlow and Brantley (2011), one of the major impacts of the disaster was that it caused damage to the brand image. This...
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