Chevron is an American based multinational vitality organization, set up in 1879. After different mergers and securing, in 1984, the organization was named Chevron Corporation. From that point forward, it has procured two noteworthy organizations Texaco and NGDC Corporation. Chevron Corporation is perceived as a one of the enormous five oil organizations on the planet principally as a result of its worldwide nearness and solid money related condition. Different organizations incorporated into huge five incorporate Exxon Mobil, British Petroleum, Royal Dutch Shell, and ConocoPhillips. But ConocoPhillips, all the staying four organizations have their nearness in about hundred organizations around the world. Moreover, they have assets in practically every landmass of the world. Each of these organizations has their own focused position in the market. This review is composed from the viewpoint of Chevron Corporation with the end goal of breaking down its focused position, its present techniques, and destinations. The center vision of the organization is to wind up distinctly the most appreciated organization as for its kin, accomplices, and execution.
Chevron's headquarter is in San Ramon, California. It is operating a business in more than 115 countries. Chevron is involved in exploration & production, manufacturing, marketing & transportation, chemical manufacturing and sales, geothermal and power generation of oil and natural gas. It invests in renewable and advanced technologies too. Chevron is having diversity in its workforce.
By the end of 2007, Chevron had a worldwide refining capacity of more than 2 million barrel oil per day. It produced 2.62 million barrel of oil per day in 2007. Approximately 70% of production comes from more than 20 countries outside of the United States. With this, there are 15 power generating facilities in the United States and Asia in which Chevron has invested. Chevron uses new technologies to increase its growth chances in developing hydrogen fuel, biofuel, and renewable resources of energy. Chevron is aiming to become the global energy company by delivering world-class products to its customers. It considers laws and some ethical values, which direct it for business. Integrity, trust, partnership, diversity, ingenuity, high performance and protecting people and environment are the values by which Chevron is guided (Company Profile, 2008). SWOT Analysis
Organizations go for a SWOT (strengths, weaknesses, opportunities, and threats) analysis to distinguish the prospects and challenges residing in their internal and external environment. SWOT is classified into internal factor analysis and external factor analysis and defines the goals and objectives of the organizations. . Internal Factor Analysis
It comprises of an organization's internal strengths and weaknesses that assist the organization to determine the viability of the business. Strengths
Strong earnings and cash flow: The Company has attained record profits in the last five years consecutively. It will assist the company in rendering dividends to its stakeholders and in running a robust capital funding program (Ramon, 2008). Product quality and brand strength: The Company is focusing on maintaining long-run refineries and possesses major capital projects for fulfilling the energy requirements of the customer's worldwide. It is working in high growth markets concentrating on providing quality products with a specific brand name (Ramon, 2008). Marketing and technical feasibility: The Company has a strong marketing operations channel and technological feasibility for operating in a diversified market. Marketing and technological feasibility assist the company in international development and production of gas and oil. Strong Track Record and Resources: Chevron has a strong track record in the oil and natural gas industry. Chevron has become the world's fourth largest company in the world. It has high market potential and a large number of assets. It is the second largest energy producing company in the US. It possesses a rich resource basis. Weaknesses
Lack of disaster management: Due to hurricanes in the Gulf of Mexican region, there is declination in production. This implies that the company has not developed short term plans for handling disastrous situations. Fail to keep with the pace of changes in gasoline prices: The Company has been earning large profits with its refining and marketing operations, but it is not able to cope up with the changing gasoline prices in the market. External Factor Analysis
Strong Position in Asia: After acquiring Unocal Corporation in 2005, Chevron has made a strong position in Asia also. Reserves of Unocal Corporation are in Caspian, Southeast Asia and in the Gulf of Mexico, which have enhanced the assets of Chevron and its position in this region. This is a high growth region with enough gas to fulfill the demand of the Asian region. The region for acquiring Unocal Corporation was growth potential. Chevron has got an ultra-deepwater drilling technique from Unocal Corporation.
Chevron: Indian Opportunity (2006, June). Retrieved August 27, 2008, from http://seekingalpha.com/article/11444-chevron-indian-opportunity-venzuelan-risk-cvx
Company Profile (2008). Retrieved August 27, 2008, from www.chevron.com
Ecuadorian president to meet with Chevron over environmental damage (2008, August 17). Retrieved August 27, 2008, from http://www.iht.com/articles/2008/08/17/business/chevron.php
Paulson, A. (2008, May). Chevron to Lay-Off 1,100 Employees. International Business Times. Retrieved August 27, 2008, from http://www.ibtimes.com/articles/20080509/chevron-lay-off-100-employees.htm
Ramon, S. (2008, May 28). Chevron Highlights Record-Setting Year at Annual Meeting of Stockholders. Retrieved August 27, 2008, from http://www.chevron.com/News/Press/release/?id=2008-05-28
Chevron is the world's fourth largest company in the oil and natural gas industry. But in recent years, due to some threats and weaknesses, their profits have declined. Chevron is opting for cost reduction by merging. It is eliminating the repeat services and facilities for this purpose. Still, Chevron has enough opportunities to grow in remaining areas of the world.
Existing Visin, Mission and Objectives
Advantages and Disadvantages of Alternative Strategies