Title: 1. Analyze the five forces acting on BP. Which of them appear to bring the greatest threat to the company?
|Date:||November 21, 2014|
|Length:||2 / 410|
|No of views:||0|
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That indicates a low degree of buyer power. Even though the brand awareness is high, because of the extreme budgets for marketing and advertisement of oil companies, brand loyalty is low. Product differentiation is low. Considering the many existing players on the market, this makes the buyer bargaining power moderate...
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The leading corporations are large and they do everything from the fuel supply chain. There is a high degree of forward integration within the industry.
Threat of substitutes (low)
Threat of substitutes of oil at the current moment is really weak mainly due to the high prices of such. Solar panels and other alternative energy include high switching costs and long waiting time, which makes them unattractive to the consumer...
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