1. Threat of Substitute In Porter’s model‚ substitute products refer to products in other industries. The price elasticity of a product is influenced by substitute products. As more substitutes become available‚ the demand becomes more elastic since customers have more alternatives. Generally‚ substitute is able to reduce demand for a particular product because there is a threat of consumers switching to the alternatives. (Porter M. 1980) Chains of convenience stores are emerging in the market
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Petroleum is an oily‚ thick flammable liquid‚ a mixture of various solid‚ liquid and gaseous hydrocarbons. Hydrocarbons are molecules that comprise of Hydrogen and Carbon. Petroleum is the general term for "unprocessed" crude oil. It is present beneath the Earth’s surface (Lithosphere) and forms when trapped‚ decomposed dead organisms buried in the sedimentary rock‚ and are heated under the immense pressure of new sedimentary layers over time (fossil fuel). The heat and pressure distilled the organic
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journey in the Petroleum Industry began. Post Independence‚ Oil India Limited was formed which was a joint venture involving the Indian Government and the British owned Burmah Oil Company (presently known as BP) whilst the Indo-Stanvac Petroleum Project in West Bengal was between the Indian Company and the American Company SOCONY-Vacuum (presently known as Exxon Mobil). This changed in 1956 when the government adopted an industrial policy that placed oil as a “Schedule A Industry” and put its future
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successful a bargaining unit will be in negotiations. Intra organization is when each respective in a particular bargaining unit works towards a consensus. The inability to agree within ones bargaining unit slows down the process and can create dysfunction. Negotiating starts within each bargaining unit during pre-bargaining preparation. This is where discussion and negotiations begin within each bargaining unit to decide what is most important to least importance. Once the pre-bargaining preparation
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BARGAINING POWER OF SUPPLIER • Bargaining power is the ability to influence the setting of prices. • The more concentrated and controlled the supply‚ the more power it wields against the market. • Monopolistics or quasi-monopolistic suppliers will use their power to extract better terms (higher profit margins or ) at the expense of the market. • In a truly competitive market‚ no one supplier can set the prices. Aggregation of Supply • Suppliers can group to wield more bargaining power. • This
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specialized in petroleum engineering. Therefore I submit my application for the position of MSc Degree in Petroleum Geoscience for Reservoir Development and Production‚ University of Manchester. I am confident that I have the technical qualifications to meet the course requirements as I strongly believe by completing this course will serve my goal of a career in Oil and Gas industry or involved in research oriented organization. I have completed a four years Degree of engineering in Petroleum at UTM and
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Analysis of the British Petroleum (BP ) industry environment 2007 Page : 1 Introduction BP Petroleum operates in different countries . It faces many threats according to Porter ’s Five Forces Model . The threats according to Porter comes from suppliers bargaining power ‚ buyers bargaining power ‚ threat of substitutes ‚ threat of new entrants in the market and threat of competition . These forces vary in its power and depend in different time periods for the same industry and the significant
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EMERGING NANOTECHNOLOGY APPLICATIONS IN PETROLEUM INDUSTRY Introduction Nanotech applications & Nanoparticles have been successfully used in drilling mud for the Last 40-50 years. Recently the other disciplines of the oil industry‚ such as exploration‚ primary and assisted production‚ monitoring‚ refining and distribution‚ are approaching nanotechnologies due to its immense Potential for Confronting challenges‚ performance improvement & cost. Especially in ultra-deep water and artic environments
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Assignment On Power Sector in India INDEX Executive Summary 3 Introduction 4 History of Indian Power Sector 5 Classification of Power Sources 6 Current Scenario and Opportunities Ahead 8 Michael Porter’s 5 Forces 10 Barriers to Entry 10 Bargaining power of Buyers 11 Bargaining power of suppliers 12 Rivalry among Competitors 13 Threat from Substitutes 14 Annexures I – Classification of Power 15 II- Percentage of sectors generating power 15 III- Percentage
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Bargaining power is the ability to influence the setting of prices. Buyer power refers to the ability of customers of the industry to influence the price and terms of purchase. The bargaining power of customers is also described as the market of outputs. The ability of customers to put the firm under pressure‚ which also affects the customer’s sensitivity to price changes. Bargaining power of buyers occurs when leverage is given to the buyer and demand for lower prices‚ increased quality and more
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