External and Internal Environments Assignment Example | Topics and Well Written Essays - 2000 words

External and Internal Environments - Assignment Example Since the amalgamation and formation of The ExxonMobil Corporation, growth has been significant and implicit to the outstanding performance and competence in the petroleum field of business. The market leadership performance is relative to investment initiatives by the corporation to improve on the environmental factors with the aim of propulsion towards achieving the target objectives (Cooper, 2006). The following entails Exxon’s general and competitive forces, the future forecasts, the opportunities and threats, strengths and weaknesses and the company’s vale prepositions emanating from the key competences. The economic and technological segments of the general environment in reference to the Exxon Corporation The multinational corporation ranks first among the six petroleum giants across the globe. The continuous performance and unchallenged growth emanates from the direct and successful investment of the corporation’s surplus revenue. In close relation to the investments, the corporation values the other segments in the general environment, for example investing in community welfare programs and initiatives that focus on creating environmentally friendly programs (Hogan & Sturzenegger, 2010). These attributes are propellants to the skyrocketing demand with the corporation investing heavily to the required supply and cater to the demand. The future prospects in relation to inclination of demand and supply of oil products signify a state of inelasticity as the forecasted population by the year 2040 shall total at 9 billion, a factor implicating the demand of fuel and energy. With these forecasts, the corporation insists on a continuous investment program in revamping the petroleum projects throughout the affiliated companies (Cooper, 2006). The petroleum field of production is sensitive to technology in resolution to the growing urge of environmentally friendly programs. With the increased threat of global warming, the world reflects emph ases on industrial operations and goods that cause little or no harm to the environment. The ExxonMobil Corporation forecasts on the future use of energy in accordance to the increased population. Therefore, the corporation indulges in a continuous technological improvement to produce enough of the required petroleum products (Hogan & Sturzenegger, 2010). Production of alternative energy products that reflect to the general environment is the key to Exxon’s penetration to other global economies despite the political, legal, social and cultural constraints. The essence is that the economic and technological approaches of the corporation are implicit of the inclined performance of the multinational’s operations and competence. Forces of competition In accordance to Michael Porter’s competitive forces analyses, the main factors of consideration in relation to competition reflect on the new entrants in the market, extent of substitution, the power of buyers and supp liers, and the existing relations among the present competitors. The petroleum industry stands vulnerable to the threat of competition forces. With the increased demand of petroleum products, manufacturers result into production of bio-fuels to supplement the crude oil levels and production capacity. This factor implicates to the threat of substitution of the crude by the bio-fuel as well as creating a