Exxon Mobile

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Exxon Mobile

  1. 1. M.A.C.K. Attack Marcos Velasquez Objective Determine the viability of locating ExxonMobil in Trinidad and Tobago.
  2. 2. Business Model of ExxonMobil <ul><li>Value Proposition </li></ul><ul><li>Customer Problem: Any need of gas for transportation and other gas powered equipment at a convenient and reasonable price in rural and urban areas. </li></ul><ul><li>Product/Service: Exxon Mobil has gasoline and shopping convince to offer their customers at reasonable price in accordance to where they live. </li></ul><ul><li>Value: The value is high. </li></ul>
  3. 3. Business Model of ExxonMobil <ul><li>Differentiation Strategy – ExxonMobil offers numerous superior products. </li></ul><ul><li>ExxonMobil is also committed to chemicals, while most oil companies exiting from the business. </li></ul>Competitive Strategy
  4. 4. Business Model of ExxonMobil <ul><li>Target Segments </li></ul><ul><li>Marine Transportation </li></ul><ul><li>Privately funded transportation </li></ul><ul><li>Locals </li></ul><ul><li>Tourists </li></ul><ul><li>Advertising </li></ul><ul><li>Billboards </li></ul><ul><li>Radio </li></ul><ul><li>Television </li></ul><ul><li>Public transportation </li></ul>
  5. 5. Business Model of ExxonMobil <ul><li>3 Main Divisions </li></ul><ul><li>Upstream: Exploration </li></ul><ul><li>Downstream: Retail </li></ul><ul><li>Chemical Company </li></ul><ul><li>Lead the world in </li></ul><ul><li>Profits: $40.6 Billion </li></ul><ul><li>Market Value: $460 Billion </li></ul>Revenue Generations and Margins <ul><li>Revenue is up 2% from last year to $404.5 Billion Dollars. </li></ul><ul><li>Profit Margin is about 7.6% of Revenues earning about 9.2 cents per dollar. </li></ul>
  6. 6. Business Model of ExxonMobil <ul><li>Competitors </li></ul><ul><li>Chevron Corporation </li></ul><ul><li>TOTAL S.A. </li></ul><ul><li>ConocoPhillips </li></ul><ul><li>Sunoco </li></ul><ul><li>BP </li></ul><ul><li>Valero Energy Corp. </li></ul><ul><li>7-Elevan </li></ul><ul><li>Complementors </li></ul><ul><li>“ On the Run” food stores </li></ul><ul><li>Tobacco Products (Marlboro, Camel, ect.) </li></ul><ul><li>Beer Products </li></ul><ul><li> (Miller, Budweiser, ect.) </li></ul><ul><li>Newspapers and Magazines </li></ul>
  7. 7. Trinidad and Tobago Culture <ul><li>Research finding </li></ul><ul><li>Famous for Pre-Lenten Carnival </li></ul><ul><li>When invited to someone's home it is customary to take a gift </li></ul><ul><li>Local business customs reflect those of the U.S.A </li></ul><ul><li>What this means to ExxonMobil </li></ul><ul><li>Attract more customers </li></ul><ul><li>ON THE RUN could be a quick stop </li></ul><ul><li>No changes to business customs </li></ul>
  8. 8. Trinidad and Tobago Competition/Community Impact <ul><li>Stopping the spread of polio, malaria, and AIDS is a major concern </li></ul><ul><li>They have programs already set up to help stop the spread of these diseases. </li></ul>Research Findings What this means to ExxonMobil
  9. 9. Trinidad and Tobago Competition/Community Impact <ul><li>The Basic Education Project. This is to enhance the quality of education. </li></ul><ul><li>ExxonMobil supports programs that improve education around the world. </li></ul>Research Findings What this means to ExxonMobil
  10. 10. Trinidad and Tobago Competition/Community Impact <ul><li>There are three main oil companies in Trinidad and Tobago. </li></ul><ul><li>ExxonMobil does not have a lot of competitors to compete with. </li></ul>Research Findings What this means to ExxonMobil
  11. 11. Trinidad and Tobago Economic & Political Environment <ul><li>Research Findings </li></ul><ul><li>Growing GDP up 12% </li></ul><ul><li>$20.9 Billion. </li></ul><ul><li>Port of Spain for imports & exports. </li></ul><ul><li>In the 2007 election, all 3 parties support increased foreign investment. </li></ul><ul><li>What this means to ExxonMobil </li></ul><ul><li>Buy our gas, products & services, and wash their cars. </li></ul><ul><li>Convenient for receiving and shipping products. </li></ul><ul><li>Expansion of ExxonMobil in the Caribbean. </li></ul>
  12. 12. Product /Service Marketability <ul><li>The Price ($0.50/L) </li></ul><ul><li>Product (Gas) </li></ul><ul><li>This is Significant to Exxon mobile because they will be able to make a profit </li></ul><ul><li>This is significant to Exxon mobile because this a service that is needed for all transportation needs. </li></ul>
  13. 13. Product /Service Marketability <ul><li>Promoting (T.V, Radio, News Paper) </li></ul><ul><li>Place (Port of Spain, in a busy cross street) </li></ul><ul><li>This is significant to Exxon mobile because this will allow them to be more recognized leading in higher sales. </li></ul><ul><li>This is significant because location can drive or kill a business. </li></ul>
  14. 14. Labor Conditions <ul><li>Research Findings </li></ul><ul><li>Child labor laws do exist </li></ul><ul><li>No government enforcement of these laws exist. </li></ul><ul><li>What this means to ExxonMobil </li></ul><ul><li>This could cause bad legal and press issues </li></ul><ul><li>A caution to human resources to carefully verify all employees age. </li></ul>
  15. 15. Labor Conditions <ul><li>Research Findings </li></ul><ul><li>Minimum Wage is TT$10 (US $1.66) </li></ul><ul><li>What this means to ExxonMobil </li></ul><ul><li>Low cost labor means higher profits. </li></ul><ul><li>Ability to pay higher wages causes more money in the community to spend at Exxon. </li></ul>
  16. 16. Labor Conditions <ul><li>Research Findings </li></ul><ul><li>89% of children attend school </li></ul><ul><li>Most achieve equivalent of a high school degree </li></ul><ul><li>What this means to ExxonMobil </li></ul><ul><li>When hiring employees less likely to have literacy barriers. </li></ul><ul><li>Also reading and understanding advertisements will not be an issue. </li></ul>

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