“Creating a Global Product”

The film “Creating a Global Product” illustrates how British Petroleum became an extremely successful conglomerate by merging with companies: Amoco, Castrol, and Aral. This tactic of merging with other companies, which was a wise move-in my opinion-by BP managers, is extremely common when international markets in other regions are unknown. Amoco and Castrol are well recognized in the United States, which Americans trust in consuming. Thus, allowing British Petroleum to penetrate the U.S market by using brands that are already well known. British Petroleum also successfully penetrated the Germany market by utilizing the well known brand Castrol and Aral. It’s evident that by merging with these companies BP was able to be successful and adapt to other foreign countries with out investing large amounts of money on in-depth market research and marketing an unknown brand in a foreign market, despite the quality and objective of BP. Companies’ that merge with other companies in order to tap into the foreign market and don’t take the initiative to re brand and develop values usually are unsuccessful because of the differences in culture and political and social uncertainties that come with going international.

However, I found it very interesting that after the merger BP took the initiative to re-brand and develop a foundation of values including performance, progressive, innovation, and green, which later led them to be accepted globally. By encouraging new ideas from employees of all the different companies, BP new how important it was to accept the insights of those already familiar with market. Every time I see a BP commercial it makes me want to buy its stock and invest in the company. You might ask, why? BP’s objective is to provide cleaner fuels in a world where a cleaner environment is becoming more and more of a concern, especially for the younger generation. That’s where the green aspect of their main values comes into play. British Petroleum has dominated the market because of its approach and its strategic international tactics and policies.