The following sample essay on “Bp Strategy” describes how the organization is an important member of the climate coalition that is fighting for the development of renewable energy sources.
Indeed, the company was a member of the Global Climate Coalition, a group of 50 corporations and trade association partly denying the global warming and struggling against reductions in greenhouse gas emissions for its potential negative consequences on industries’ economic performances and employment. This coalition was developed after the United Nations created the Intergovernmental Panel on Climate Change (EPIC) in 1 989 whose members were governments.
ICC activities consisted in aggressive lobbying at international climate negotiation meetings raising concern about unemployment that would result from emissions regulations.
It tried to influence journalists and had a great influence on US government, particularly n 1 992 during the Earth Summit at ROI De Jeanine. In 1997 it went as far as launching an advertising campaign in the united States in response to the international warming treaty against any agreement in favor of greenhouse gas emission.
In 1997, BP changed drastically its position since it withdrew from ICC after BSP chairman announced to the world its decision to accept that climate change was occurring and its intention to get involved in reducing Up’s contributions to It.
He emphasized that the time to react was not once the link would be proven. This way, he totally broke with the oil industry’s position on greenhouse gas emissions and global climate change. Then, BP announced a strategy for reducing such emissions across the worldwide operations of the company.
Policy options including energy taxes, carbon emissions trading, and joint implementations were proposed. BP began to form the contraction position and decided to be an actor of change implementation in the environment field. The company invested in renewable energies and research to improve technologies and thus reduce energy consumption.
BP is became a member of the pew research whose role insist in producing analyses of key climate issues, leading research on topics such as economic and environmental impacts and practical domestic and international policy solutions, informing policy makers and encouraging the business community to search for solutions. Then BP decided to improve its brand image focusing on its involvement in environmental issues and changing its name into “beyond petroleum” to claim its new position as an active player in the struggle against climate change and an involved company in the environmental stakes.
It created BP alternative energy and is investing important amount of money in renewable energy. Many factors could have driven this strategy. First, the increasing pressure under the diverse industry put by environmental associations such as green peace in the ass. Then, the dramatic break with other oil companies on the issue of global warming provided a diversion as well as a needed refurbishment for a reputation under attack on human rights grounds since in 1996 BP was accused of human rights violations in Colombia.
With this first mover position, BP could earn a reputation of environmental friendly in a “diabolic” industry and gain a competitive advantage. – Evaluate the recent changes in the environmental strategy of BP from the point of view sustainability. How would you asses their beyond petrol campaign? First of all, the scope of sustainability being very wide , it could be necessary to start from a definition of sustainability appropriate to the case in order to evaluate the changes in Up’s environmental strategy.
The features of sustainability are: to maintain the overall quality of life to maintain continuing access to natural resources to avoid lasting environmental damage to consider as sustainable a development which meets the needs of the resent without compromising the ability of future generations to meet their own needs BP being an oil company, it is difficult to point out the actions of the company that would be called “sustainable compliant”.
However, BP recent change in environmental strategy, although far from being fully satisfying considering its core business contributes to reduce its impact on environment and most significantly influences other companies to follow the trend and get involve in the topic . First of all, BP recognized its impact on the environment and the link between economic activities and climate change which and certainly rigged a general will to think and implement solutions limiting industries contribution to climate change.
Then BP management decided to invest in several fields among which renewable energies which could be a solution to the resources depletion and as a result a good action in favor of future generations. It did reduce its emission Of GIG and the company sets new objectives which goal is to reduce its impact on environment. It also plays an important role in the development of carbon capture and storage process which involves the capture of carbon dioxide generated by the combustion of fossil fuels to provide energy. As a result it is one of the ways allowing reducing GIG emission.
BP was also the first corporate sponsor of international public/private collaboration to develop a global energy technology strategy. More generally, BP encourages partnership aiming at saving resources through joint implementation. Lastly by being an active participant to the climate change policy debate, BP emphasized the role of government and institutions in environmental issues and the necessity for companies and governments to work hand to hand. Indeed, the main barrier to the implementation of action by companies comes from the cost of the sustainability’ in a first time.
This cost may discourage decision to invest into this field by creating a disadvantage in comparison with other industries. Therefore, BP is acting for sustainability, particularly by its leadership and influence on the alternative energy issues. It encourages companies to invest and find solutions to the climate change by alternative energies and this way, it further knowledge. Finally, it plays an active role in searching solution to incentive companies to be involved in sustainable development issue which is a good way to convince business man to move.
Through its beyond trolled current campaign, BP promoted its new identity as a leader in making companies and benefiting the world’s climate and the global community. But BP still remains the second largest oil company in the world and consequently a distributor of a non renewable and polluting energy. It also prides itself on being the leader in producing Natural gas but it remains a burning fossil fuel! BSP massive fossil fuel production is responsible for a substantial portion of global carbon emissions, and therefore, climate change.
BP still generates the majority of its revenues from the oil and gas equines and has about 18 000 service stations. By using the words “Beyond petroleum” the company seems pretend that the company’s core product is to disappear. Thus, in my opinion, although efforts from BP can be acknowledged and welcome, think that BP campaign may be exaggerated and is likely to question the real objectives of BP regarding environmental issues and could damage its credibility. 3- BP and renewable energy: What is the role of BP in the market of alternative energy?
What is the strategy of the competitors in this field? Support your argument with relevant data. Would like to specify that I had mom difficulties to find figures about renewable energy. It seems that not all players on the market are using the same tool to measure there renewable. Therefore; it makes the comparison between BP and its competitors quite difficult, even if it is says that BP is the leader of the market. When entering the renewable energy market BP alternative energy was awarded for being to the new market entrant which has had the biggest impact on the renewable energy market.
Indeed, in 2006, BP Alternative Energy was named “Most Enterprising New Market Entrant of the Year” in Rooney and Ernst & Young Global Renewable Energy Awards. BP is an important player in the renewable energy. BP proposes solution aiming at encouraging the use of alternative energy. It calls for stronger economic incentives such as taxes on energy or the use of licenses for harmful materials to encourage companies to play more important roles in protecting the environment and using clean energy.
For instance it advocates the introduction of emission caps and that market mechanisms, such as emissions trading, encourage companies to reduce their emissions among other thanks to alternative energy. More precisely, it suggests that incentive should be implemented in the field of renewable energy like in Spain or Germany such as fixed prices of the energy or subsidies from the state. BP is one of the leaders in the field of alternative energy and contributes to boost competition.