STRATEGY DEVELOPMENT IN THE GLOBAL OIL, GAS AND PETROCHEMICAL INDUSTRY

Strategy Development in the Global Oil, Gas and Petrochemical Industry



Abstract

The paper concerns critical analysis regarding the BP and Shell. The paper focuses on different aspects and strategies that are implemented at British Petroleum. After the crude oil was established as an significant raw material for the transportation the oil investigation and petroleum industry evolved rapidly. The Industry can be split up in to following worth chain. There have been land oil wells in Europe since the 1920s. It wasn't until the 1960s that investigation in the North Sea actually started, without success in the early years. (Karl, 2008)They eventually struck oil in 1969 and have been discovering new fields ever since. The subsequent development of the North Sea is one of the greatest investment projects in the world. The development of the offshore oil industry in hostile waters has been made possible by numerous achievements comparable with the space industry. Many fields are established far from land and they are getting farther away. New fields are being discovered in ever deeper and wilder waters, like the Atlantic Ocean west of Scotland. The North Sea oil basin in 1960 has put the UK on the peak position of world oil producers. UK's petroleum industry, though very new but has high promise recently.

Table of Contents

Abstract2

Introduction4

1.Critical analysis about BP and Shell4

2. “The competitive environment is also changing, with natural oil companies seeking greater participation in the global10

3 Recommendations14

References18

Strategy Development in the Global Oil, Gas and Petrochemical Industry

Introduction

The UK downstream oil business comprises over 200 companies engaged in the perfecting, distribution and trading of petroleum products. They variety from large multinational oil companies, which are members of UKPIA, supermarket chains, unaligned retail groups, through to the unaligned retailer with one site. (L'Espagnol, 2006)

The market for transport fuels in the UK amounts to about 46 million tones per year and this is split into financial and retail markets. The financial market includes power generators, industrial, transport and agriculture customers, unaligned fuel distributors, the Government and its agencies, public services and the military. The retail market covers fuels mostly sold from loading stations. (Mintzberg, 1998)

Critical analysis about BP and Shell

Corporate Governance issues

It is analysed that BP highly considers its shareholders such that they adhere to some plans to be careful of them. For example, the location has cited that the board have been taking steps to recognise with the preferences of the shareholders. This permits the business to understand how they care for their shareholders and how they worth their input to the organisation. In alignment to take the topic of business governance farther, the business have instituted a means of commanding itself through the company's Combined Codes. In this mode of interior command, managing assemblies are conceived to handle review and security, ethics and natural environment promise matters for the company. It is these managing assemblies that ascertain the capability of the business and its standing with quotation to their respective ...