BP Plc: A Struggling Company in 1909 to the 6th Largest Today

3119 words - 12 pages ✓ Expert Reviewed
VIEW DOCUMENT
Preview

On April 20, 2011, an oil rig in the Gulf of Mexico exploded on British Petroleum’s (BP) Deepwater Horizon. As a result, of the 126 BP crew members aboard, 11-15 were reported missing. Six days later, underwater robots reveal at least two leaks are dumping 1,000 barrels of oil into the Gulf per day. Consequently, this would become one of the worst oil spills in the history of the United States and perhaps the petroleum industry. This recent Oil Spill portrays one of many dilemmas BP has faced as it scrambles to expand and globalize itself as a transnational corporation in the world economy against other oil and gas companies. Although this disastrous event has affected BP negatively, the company has found a way to overcome it, while still becoming the 6th largest in the world; it continues to do this by offshoring, outsourcing, and merging with other oil and gas companies, three key strategies BP has been using since its establishment in 1909.
Globalization as Matthew Sparke defines, "is the extension, acceleration, and intensification of consequential worldwide interconnections” (2013, p. 3). In others words, globalization integrates social, economic, and political factors that shape the world. Globalization can be thought of as a great phenomenon; similarly, it can be thought of as quite the opposite. This paper will explain when, where, how and why BP Plc. has become a transnational corporation through globalization by offshoring, outsourcing, and merging with other companies. In addition, this paper will discuss the successes and consequences caused by globalization through BP’s three key strategies.
Like many others who start out, BP Plc. was a small company struggling to succeed after experiencing almost two bankruptcies. Before it was established, finding oil was hard and one of BP’s main founders, a Briton named William Knox D’Arcy was on the brink of giving up. On May 31, 1908, D’Arcy received the good news by his driller, George Reynolds of oil being found in Persia (now Iran). A year after this tremendous discovery, BP Plc. under the name of Anglo-Persian Oil Company opened and began selling oil to consumers.
In 1914, Anglo-Persian Oil Company almost went bankrupt due to Europe and the Americas having majority control of the oil market. Additionally, high prices of cars hindered most people from buying cars, hence, not many people were buying oil. With World War I and their oil-powered vessels, the Britons needed oil and they couldn’t look for any better oil company to purchase it from. Winston Churchill, the Prime Minister of the United Kingdom began advocating for the British government to purchase from the Anglo-Persian Oil Company. Soon enough, “UK government became a major shareholder in the company” (BP.com) ending its cash problems. This was the beginning to success of the Anglo-Persian Oil Company. In 1917, the British government seized control of the Germany firm brand British Petroleum (located in Britain) now that the...

Find Another Essay On BP Plc: A Struggling Company in 1909 to the 6th Largest Today

Explain Why Siny Plc May Make An Effort To Discriminate On Cost And Advise The Company On The Conditions Necessary For Implementing The Strategy.

2511 words - 10 pages are cost variations in supply.Not all firms can price discriminate. For a firm to practice price discrimination three conditions must apply. First the firm must not be a price taker and it must have some market power. Even the slightest market power shows that the firm faces a negatively sloped demand curve for its product. Price discrimination can occur under oligopoly and monopolistic competition as well as pure monopoly. Siny PLC...

The Largest Earthquake In History: Chile 1960

569 words - 2 pages are pushing under the SouthAmerican plate.People building in Chile are being very precautions not to build on a cliff, and tobuild sturdy buildings to keep safe in case of an earthquake. There is not much an areacan do to protect themselves from an earthquake.The 9.5 catastrophic earthquake that occured on May 22, 1960, in Chile was thelargest recorded earthquake. There was a lot of damage. This earthquake did not onlyaffect Chile but it also affected different areas in the world....

My Summary For "To Kill A Mocking Bird" (6th Grade) - Attached Orginal Doc

832 words - 3 pages . Atticus knew that the woman's father, who gets drunk often and who lives on welfare really beat her. Tom Robinson dies trying to escape the prison where he did not belong, because he was innocent. After a school pageant, Scout and Jem walk home in the dark. While they were walking, a man suddenly attacks them. Scout was saved by her hard costume that she was wearing from the knife the man tries to thrust at her. Jem also...

The Consequence Of A Struggling Economy Regarding The Auto Industry

1399 words - 6 pages with bondholders to restructure its debt collapsed [5]. The bankruptcy wiped out Cerberus’ 80.1% stake in Chrysler, marking the largest collapse of a private equity-backed company in U.S. history [6]. Some point lack of industry experience as the root of failure [7]. The appointed CEO Bob Nardelli, was a great money-manager, but he had no auto experience. On June 10, 2009, the new Chrysler-Fiat alliance emerged out of bankruptcy with a union...

Reykjavik The Largest City In Iceland Features A Rich History And A Rugged Environment. -Torist Atractions,Brief History, Cultural Aspects

527 words - 2 pages ReykjavikReykjavik, the biggest city in Iceland, features a rich history and an exciting environment. Reykjavik hosts the worlds largest seaport. People come from all over the world to see its massive glaciers and its interesting culture. It is large enough to house over half of Iceland's population. Most people are attracted by its extreme climate which ranges from 42...

Stakeholders Are In A Company And What The Businesses Responsabilities Are To These Stakeholders.

563 words - 2 pages comply with all of the specified government regulations. Any company has a great number of groups which it needs to satisfy, this is a difficult task to do, and often times is impossible to fully do, but as long as the business is making its best effort, none of these specified groups can earnestly ask more.In their credos and mission statements most companies claim to strive to satisfy all of their stakeholders. In the end striving is all...

Computing Technology Industry Association A Report In Regards To The Company And The Industry

1213 words - 5 pages the IT and Computer Engineering industry such as; educated professionals, exams to test many people to see if they have the skills to obtain a job in the IT and computer engineering industry. The computer engineering field is constantly changing with the way technology progresses today and that also means that more people are needed to fill up the jobs when people leave of retire. With companies who offer certification exams like CompTIA and...

"To Kill A Mocking Bird" Author (Harpor Lee)'s Biography (6th Grade) - Attached Orginal Doc

724 words - 3 pages , and even though it took her a long time, and a lot of effort, it was all worth it for her. Today, thirty years after the publication and publishing of To Kill A Mockingbird, Harper is still managing the ongoing enterprises related to her novel, as a full-time job! To Kill A Mockingbird was her only novel, but Harper Lee enjoyed, and wrote several essays which got published, in the 1960s at least three essays by Lee were...

If Life And Rascism In The Early 1900's Remains A Relevant Factor Today. To Destroy A Mockingbird

559 words - 2 pages Boo Radley suffered from a psychiatric illness. Towards the end of the book Scout and Jem realized that Boo Radley helped them over the years, and saved their lives. Today many people are scared of people with psychiatric illnesses, not knowing how to react to them. The tolerance Atticus Finch showed to everybody is as relevant today as it was in 1932.When Scout approached the mob of white men outside Tom Robinson's...

Hewlet Packard/Compaq: The Largest Technological Merger in History

1430 words - 6 pages Introduction Hewlett-Packard (HP) and Compaq Computers pulled off the largest technological merger in history. In September 2001, Carleton (Carly) Fiorina announced that HP will acquire Compaq’s stock transaction that will value at $25 billion (Hoopes, p. 4). The idea of the merger came up during a telephone conversation by HP’s CEO Fiorina and Compaq’s CEO Michael Capellas during June 2001, the original purpose of the telephone call was to...

Life In The 1950's Compared To Today

1996 words - 8 pages Life today is very fast-paced. Everyone is in a hurry to get somewhere and will push you out of the way to get there, like it's some kind of race. In our personal lives, we have our cell phones, and maybe a home phone, scheduled play dates for our kids, microwaves, satellite TV, home security systems that don't involve dogs, solar landscape lighting...

Other BP Plc: A Struggling Company in 1909 to the 6th Largest Today Essays

Struggling To Succeed: An Assessment Of Black Company

3140 words - 13 pages      If one were to take a look at the American business world today, much as if one were to look at it a hundred or more years ago, one fact would be easily noticeable. The majority of positions of power and authority in most American businesses are white males. In fact, white males outnumber all other races n these positions far more than they outnumber the actual populations of these other people in our country...

The Azusa Street Revival Of 1906 To 1909

2527 words - 10 pages revival was perceived. In conclusion, the revival drew praise and criticism from a variety of contemporaries at the time. Many portrayed the events of 1906-1909 as a supernatural legend in which the power of God came down to earth and empowered the church as if for the first time, especially with the gift of tongues. This started as a result of the spread of oral culture , and the use of media in particular newspapers. It was also...

Struggling Veteran in the Odyssey by Homer

1185 words - 5 pages The Odyssey by Homer is an epic about a man’s return home after fighting in war. The protagonist of the epic is Odysseus, but interactions with and stories of his fellow veterans abound. The story of Agamemnon’s death upon returning home is retold and referred to numerous times and serves as a warning to Odysseus of the dangers that could exist for him in Ithaka. The ghost of Agamemnon is encountered by Odysseus in the land of the dead and is...

Shutting The Gap For 6th Grade Math Pupils In Oklahoma

2525 words - 10 pages Closing the Gap for 6th Grade Math Students Today, schools in Oklahoma are being graded largely on their students’ achievement levels in four core curriculum subject areas (Oklahoma State Department, 2014). If a student fails to gain the knowledge needed in only one content area each year, then by the end of 5th grade he or she could possibly be behind in six content areas or be six years behind in one area. A number of students come into...