Exxon Mobil Resources and Capabilities Essay

Words: 1915
Pages: 8
Open Document
Exxon Mobile is one of the most successful companies in the oil and energy industries today. But what makes them so successful? In an effort to answer this question, a thorough internal investigation can be helpful in determining what aspects of this company are making it an industry leader. Two aspects of this internal analysis of Exxon Mobile are the company’s resources and capabilities.
Resources
One of the most reputable resources that Exxon Mobil has today is a strong brand name. Exxon Mobil operates all over the world and is recognized in every part of the world (Datamonitor, 2008). When people all over the world know who a company is, what they do, and where they are located, the company gains a unique competitive advantage over …show more content…
Some companies have R & D departments, but they don’t posses the funding for such expertise and capabilities within these departments like Exxon has in its Upstream Research Center (Annual Report, 2007). This makes the breadth of their scientists and engineers and rare resource among it competitors.
Following the VRINE Model, inimitability is the next aspect to analyze. I believe that it would be very difficult for any company to gain the human expertise capital that Exxon has. Exxon pays particular attention to its scientists and engineers by providing opportunities to use their knowledge to help solve every day problems that the company is facing. Many of these scientists and engineers had PhDs in their respective fields, thus making their ideas more credible and valuable to the company (Annual Report, 2007). This make the human expertise capital an inimitable resource because it makes it hard for other companies to replicate the magnitude of the distinguished human capital that Exxon possesses.
The next step in the VRINE Model is nonsubstitutability. It would be nearly impossible for a competing company to substitute an equally effective team of engineers and scientists. The cost would be too great for the company. Exxon is leading the way in Research and Development trends, and substitutes for the quality of employees that Exxon has would be very difficult for other companies, making the nonsubstitutability of Exxon’s
Show More

Related Documents: Exxon Mobil Resources and Capabilities Essay

Case Analysis Of Wal-Mart

strengths. Wal-Mart, much like Apple, displays the key attributes of an XBD. And in just the way that Apple succeeded where Napster failed, Wal-Mart's size, brand appeal, strong finances, and resources should help it overcome resistance from hospitals, drug companies, and insurance providers. Given its legendary capability to innovate and execute, Wal-Mart may emerge as a superb XBD. Judging from the comments of the business press and analysts, G.E. has a problem similar to Wal-Mart's: It’s too big. The…

Words 758 - Pages 4

Essay about Disruptive Innovation

1 Introduction This assignment provides the study on Disruptive Innovation using Clayton Christensen’s framework. Apart from this, this assignment also tells how the companies should react to the upcoming technologies and what should be the course of action for the same. 1.1 Innovation There is no specific definition for innovation as such. But, according to me, innovation is creating something new or changing the old to achieve the competitive advantage and meet the increasing customer demands…

Words 4642 - Pages 19

Web Research Essay

deliver quality goods and services [Stolovitsky]. With this omnipresence and ubiquitous collaboration comes a global reaching capability of some of the largest Multi-national Companies (MNC) in the world. Rank | Company | Revenues ($ millions) | Profits ($ millions) | 1 | Wal-Mart Stores | 421,849 | 16,389 | 2 | Royal Dutch Shell | 378,152 | 20,127 | 3 | Exxon Mobil | 354,674 | 30,460 | 4 | BP | 308,928 | -3,719 | 5 | Sinopec Group | 273,422 | 7,629 | 6 | China National Petroleum |…

Words 2047 - Pages 9

A Brief Note On Multinational Enterprises

INTERNATIONAL BUSINESS ASSIGNMENT Contents Item Page Introduction What is a Multinational Enterprise? What is a Small to Medium Enterprise? Current Dynamics Foreign Direct Investment The Triad Licensing Franchising Product Life Cycle Coasion Approach Eclectic Paradigm Meishi Conclusion References Tables Table 1 – Growth table Table 2 – Top 10 MNE’s Table 3 – Impact of MNE’s on host nations…

Words 2277 - Pages 10

Assignment About Tce Essay example

| | | | | | | | |[pic] | |…

Words 1918 - Pages 8

Mr Li Essay

Services Career Path: Human Resources Introduction Career Services (CS) created the Career Path series to assist students with the career search process. Each Career Path handout examines a common business functional area in which Stephen M. Ross School of Business graduates pursue jobs each year. The first four steps of CS’s recommended career search process are detailed for each specific business field. Human Resources Overview The field of Human Resource Management (HRM) focuses on…

Words 3022 - Pages 13

Convincing A Nation Built On War Not To Go To War

use the armed forces of the United States against Iraq (CNN) with 65% of the public supporting the war (Olive 2008). This was in response to allegations that Iraq was supporting terrorist group Al Qaeda and was actively seeking nuclear weapons capabilities (CNN). 9 days before congress would grant their approval Obama, a democratic Illinois state senator at the time (whitehouse.gov), gave a speech opposing the Iraq war which was delivered in Chicago at what was dubbed to be an anti war rally (cnsnews…

Words 4447 - Pages 18

32 Opportunities In International BusinessLearning Objective1 Essay

(such as patents, trademarks, copyrights) in exchange for royalty fees. Here’s how it works: You own a company in the United States that sells coffee-flavored popcorn. You’re sure that your product would be a big hit in Japan, but you don’t have the resources to set up a factory or sales office in that country. You can’t make the popcorn here and ship it to Japan because it would get stale. So you enter into a licensing agreement with a Japanese company that allows your licensee to manufacture coffee-flavored…

Words 2776 - Pages 12

British Petroleum (Bp) Case Study Essay

Findings 2.1. Analysis Performing PEST analysis, we found following key factors: From political perspective, we would like to mark, the most important recently happen event that after long discussion with some oil companies, such as Shell, Exxon Mobil, Chevron and BHP Billiton received permission to continue their drilling work in The Mexican Sea. Moreover, BP also received that permit; however, after other companies and with different limitations and strict rules. Nevertheless, companies can…

Words 5552 - Pages 23

OPEC Oil Economic Development and Research Paper

amounts for petroleum producers; thus an efficient, economic and systematic source of petroleum to specific consumerist nation-states. Members of OPEC have stated the formation of a “Very Exclusive club” (Seven 4). The members of OPEC to this day resource and supply amounts of the worlds oil as large as 40% and occupy 78% of the worlds oil reserves. (Sampson 173) I am going to discuss the global ripple effect that OPEC had not only in fuel but also the production of the world. To this day we question…

Words 6595 - Pages 27