BP strength and weaknesses
SWOT Analysis
S TRENG THS - BP is listed on London Stock Exchange and within the FTSE 100 Index, it is also has a listing on the New York
Stock Exchange. BP is operating globally in 80 countries with different brands. - BP is 4th in the Fortune 500 and 3rd largest energy company worldwide measured by revenue. (CNN Money,) which is also dominant in the European market. - BP also gained competitive edge because the world leading oil related technology. WE AKNESSES - BP made a huge loss in 2010 owing to the oil spills in Gulf of Mexico. The damage to BP’s reputation has been significant compared to other oil companies. - BP seldom has activities in the Middle East, and less confirmed oil reserves than the state-controlled oil & companies e.g. Saudi Aramco.
OPPOR TUNI TIES - There is an increasing demand for gas and oil as well as the refined and secondary products of oil in developing countries such as China and India. - BP is currently launched a series of oil exploration activities, and BP, Shell Canada granted oil exploration rights off Nova Scotia, Canada.
THRE A TS - Decline in oil reserves worldwide in the long term. BP and other oil companies need to develop new types of energy to combat this threat. - The US government has recently blocked BP from bidding for future contracts in the US for the foreseeable future. - Many of BP’s oils producing regions are headed by less stable governments which increases volatility in the business. BP has been involved in a number of accidents over recent years, including the infamous Texas City refinery explosion, Alaska oil spills and recently, the Deepwater Horizon explosion in the Gulf of Mexico. All of them caused human casualties and serious pollution to the environment.
The most recent and controversial accident is the Deepwater Horizon explosion, which caused the world’s largest oil spill. The oil spill covered 580 square miles (1,500 km2) and was only 31 miles (50 km) from the ecologically sensitive
S TRENG THS - BP is listed on London Stock Exchange and within the FTSE 100 Index, it is also has a listing on the New York
Stock Exchange. BP is operating globally in 80 countries with different brands. - BP is 4th in the Fortune 500 and 3rd largest energy company worldwide measured by revenue. (CNN Money,) which is also dominant in the European market. - BP also gained competitive edge because the world leading oil related technology. WE AKNESSES - BP made a huge loss in 2010 owing to the oil spills in Gulf of Mexico. The damage to BP’s reputation has been significant compared to other oil companies. - BP seldom has activities in the Middle East, and less confirmed oil reserves than the state-controlled oil & companies e.g. Saudi Aramco.
OPPOR TUNI TIES - There is an increasing demand for gas and oil as well as the refined and secondary products of oil in developing countries such as China and India. - BP is currently launched a series of oil exploration activities, and BP, Shell Canada granted oil exploration rights off Nova Scotia, Canada.
THRE A TS - Decline in oil reserves worldwide in the long term. BP and other oil companies need to develop new types of energy to combat this threat. - The US government has recently blocked BP from bidding for future contracts in the US for the foreseeable future. - Many of BP’s oils producing regions are headed by less stable governments which increases volatility in the business. BP has been involved in a number of accidents over recent years, including the infamous Texas City refinery explosion, Alaska oil spills and recently, the Deepwater Horizon explosion in the Gulf of Mexico. All of them caused human casualties and serious pollution to the environment.
The most recent and controversial accident is the Deepwater Horizon explosion, which caused the world’s largest oil spill. The oil spill covered 580 square miles (1,500 km2) and was only 31 miles (50 km) from the ecologically sensitive