external analysis on petron 
Chapter 4
External Analysis on Petron Corporation
Submitted by:
Amurao, Andrea
Diaz, Marco
Mendez, Hannah
Mosquisa, Jono
Santos, Claire
4-BLM
submitted to:
Prof. Zernan De Ramos
A. General Environment
General Environment is also called External Forces, which can be divided to five broad categories: (1) Economic Forces; (2) Social, Cultural, Demographic, and Natural Forces; (3) Political, Governmental and Legal Forces; (4) Technological Forces; and (5) Competitive Forces.
Changes in external forces translate into changes in consumer demand for both industrial and consumer products and services. External Forces affect the types of products developed, the nature of positioning and market segmentation strategies, the type of services offered, and the choice of businesses to acquire or sell. External forces directly affect both suppliers and distributors. Identifying and evaluating external opportunities and threats enables organizations to develop a clear mission, to design strategies to achieve long-term objectives and to develop policies to achieve annual objectives. (David 2010)
1.) Economic Forces
Economic forces refer to the nature and direction of the economy in which business operates. Economic factors have a tremendous impact on business firms. The general state of the economy, interest rate, stage of the economic cycle, balance of payments, monetary policy, fiscal policy, are key variables in corporate investment, employment, and pricing decisions.
1.1) Organization of Petroleum Exporting Countries (OPEC) Policies. An organization consisting of the world's major oil-exporting nations. The Organization of Petroleum Exporting Countries (OPEC) was founded in 1960 to coordinate the petroleum policies of its members, and to provide member states with technical and economic aid. OPEC is a cartel that aims to manage the supply of oil in an effort to set the price of oil on the world market, in order to avoid fluctuations that might affect the economies of
External Analysis on Petron Corporation
Submitted by:
Amurao, Andrea
Diaz, Marco
Mendez, Hannah
Mosquisa, Jono
Santos, Claire
4-BLM
submitted to:
Prof. Zernan De Ramos
A. General Environment
General Environment is also called External Forces, which can be divided to five broad categories: (1) Economic Forces; (2) Social, Cultural, Demographic, and Natural Forces; (3) Political, Governmental and Legal Forces; (4) Technological Forces; and (5) Competitive Forces.
Changes in external forces translate into changes in consumer demand for both industrial and consumer products and services. External Forces affect the types of products developed, the nature of positioning and market segmentation strategies, the type of services offered, and the choice of businesses to acquire or sell. External forces directly affect both suppliers and distributors. Identifying and evaluating external opportunities and threats enables organizations to develop a clear mission, to design strategies to achieve long-term objectives and to develop policies to achieve annual objectives. (David 2010)
1.) Economic Forces
Economic forces refer to the nature and direction of the economy in which business operates. Economic factors have a tremendous impact on business firms. The general state of the economy, interest rate, stage of the economic cycle, balance of payments, monetary policy, fiscal policy, are key variables in corporate investment, employment, and pricing decisions.
1.1) Organization of Petroleum Exporting Countries (OPEC) Policies. An organization consisting of the world's major oil-exporting nations. The Organization of Petroleum Exporting Countries (OPEC) was founded in 1960 to coordinate the petroleum policies of its members, and to provide member states with technical and economic aid. OPEC is a cartel that aims to manage the supply of oil in an effort to set the price of oil on the world market, in order to avoid fluctuations that might affect the economies of