BP (British Petroleum) is an oil and gas exploration, trading, refining, and extraction British multinational company. The company started its oil and gas business in 1909. Today, we’ll discuss the SWOT analysis of BP (British Petroleum); it outlines strengths and weaknesses; opportunities, and threats that the company has to face; as a business strategy analysis example company.
The products and services portfolio of BP
- Oil
- Gas
- Lubrications
- Wind power
- Natural biofuels
Subsidiaries of BP
- Jio BP
- Castrol
- BP Connected
- Arco
- Aral
- Amoco
Statistical facts and figures of BP
- Annual revenue: 210.10billion USD (2023)
- Net income: 15.88billion USD (2023)
- Employees: 88000
- Asset net worth: 280.29billion USD (2023)
Competitors of BP
- Chevron Corp
- Valero Energy
- Exxon Mobile
- Shell
- Engie
- SHV Energy
- Koncern Naflowy Orlen
- Mol Group
- Eni
The SWOT analysis of BP (British Petroleum) would analyze the internal strengths and weaknesses of the company; and external opportunities and threats that the brand has to face. Here’s BP SWOT analysis as a business strategy analysis example company as follows;
Strengths of BP
Some of the main internal strengths in the BP SWOT analysis example company as business strategy analysis are as follows;
Large Network
BP (British Petroleum) has established a very large network of approximately 18700 service stations in roundabout 100 countries across the world. The worldwide network of oil and gas service stations amplifies the customer’s market reach, influence, network, and market share.
Brand Portfolio
BP (British Petroleum) has multiple subsidiary brands operating their business and operations under the BP umbrella. They comprise brands like Jio-BP, Castrol, BP connect, ARCO, ARL, and others. It allows the company to diversify the risk factors and stabilize its revenue, market share, and profitability.
Market Leadership
BP (British Petroleum) has achieved the status of market leadership position in the oil and gas market. The company has a strong legacy and a long history of more than a century of operating its business in the oil and gas business. For instance, BP is the largest oil and Gas Company in the UK, and it plays a dominant role in the global energy market.
Loyal Customers
BP (British Petroleum) has established a very large database of loyal customers in various countries across the world. It is because of years of quality service and top fuel that their vehicles and automobiles perform excellently.
Strong Finances
BP (British Petroleum) has a strong financial position of approximately 280 billion USD of assets net worth. The strong financial position helps the company to take on multiple new projects; easily handle any type of market crisis, and shift its business into new areas without any disruptions.
Weaknesses of BP
Some of the main internal weaknesses in the BP SWOT analysis example company as business strategy analysis are as follows;
Unethical Activities
BP (British Petroleum) has been involved in various types of unethical activities like oil spillage into the sea and higher carbon emissions. These types of unethical activities and scandals are negatively impacting the company’s reputation to a great extent.
Scandals
There are multiple scandals and rumors of oil leakage in various regions and countries across the globe. They resulted in the form of destroying marine creatures and other beings.
Limited Non-Energy Share
BP (British Petroleum) has also been operating its business in the non-energy sector and renewable energy. However, the company’s market share in the non-energy sector is very low; over-reliance on the oil and gas area is not a good market strategy for the brand.
Opportunities for BP
Some of the main available opportunities in the BP SWOT analysis example company as business strategy analysis are as follows;
Market Expansion
BP (British Petroleum) should consider expanding its business into new regions, markets, and countries across the globe. The developing countries hold a strong growth potential; expanding their business would not only create job opportunities but also increase the company’s revenue and growth.
Renewable Energy
BP (British Petroleum) should expand its business into renewable energy sources like wind turbines and solar energy. It allows the company to keep up with the growth trends of environmental sustainability and decrease the carbon emission rate.
Strategic Alliance
BP (British Petroleum) should develop strategic alliances and partnerships with other energy and petroleum companies across the world. The joint venture and sharing of knowledge and resources would help the company to further strengthen its brand and market position.
Threats to BP
Some of the main potential threats in the BP SWOT analysis example company as business strategy analysis are as follows;
Tough Competition
BP (British Petroleum) is facing tough competition from competitive brands like ExxonMobile, Chevron Corporation, and Valero Energy. They have established a strong market position and their market share is negatively impacting the company’s revenue and profitability.
Environmental Concerns
BP (British Petroleum) is operating its business in the petroleum industry and causing significant damage to the environment. The world’s governments and consumer markets have become highly cautious about environmental sustainability and decarbonization.
Conclusion: BP SWOT Analysis Example Company |SWOT Analysis of BP |Business Strategy Analysis
After an in-depth study of the swot analysis of BP (British Petroleum); we have realized that BP is the world’s leading oil and gas British company. If you are learning about BP SWOT analysis example company; then you should keep in mind the abovementioned internal strengths and weaknesses; external opportunities and threats as brand strategy analysis.
Ahsan Ali Shaw is an accomplished Business Writer, Analyst, and Public Speaker. Other than that, he’s a fun loving person.
