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Aramco and British Petroluem - Essay Example

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As the source of these two energies is significantly limited, the global supply of oil and gas is concentrated into two major suppliers viz. OPEC (Organization of the Petroleum Exporting…
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Aramco and British Petroluem
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Download file to see previous pages Saudi Aramco or Aramco is the national petroleum and natural gas company in Saudi Arabia. As per the reports, the company holds the largest crude oil reserves as well as the highest daily oil production capacity in the world. Observing such large scale operations, in 2015, Forbes magazine has facilitated Saudi Aramco as the largest oil and gas company in the world. Considering British Petroleum Plc, it is one of the six largest oil and gas companies in the world. This vertically integrated London based company concentrates on all segments of oil and gas industry ranging from exploration of energies to its production, refining and distribution in the global markets. From the company brief, it is evident that these two holds a very important position among the few companies in global oil and gas industry. Therefore, analyzing the internal operational techniques as well as global strategies related to corporate governance and leadership is definitely considered to be a critical task. Therefore, for the purpose of analysis, the value chain and strength-weakness, opportunities-threats of these two firms will be evaluated and the corporate and global business strategies of these two companies will also be examined.
In the next segment, global operational strategies of Saudi Aramco and British Petroleum will be analyzed in terms of Value Chain and SWOT analysis. The value chain defines a set of activities as identified by eminent strategist Michael Porter, analyzing which the company can recognize those factors that have enabled it to gain competitive advantage in the industry segment. Such factors can be categorized under primary and secondary activities. SWOT analysis helps an organization to identify the internal strength and weakness of the company as well as the opportunities and threats lying in its external environment.
Saudi Aramco holds a very strong value chain depending upon which the company enjoys huge ...Download file to see next pagesRead More
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