British Petroleum (Bp) Case Study Essay

Oil covered everything: beaches, animals, plants, bottoms of boats. Approximately 205.8 million gallons of oil leaked into the ocean and toward the Louisiana shoreline. To put the amount in perspective, that oil could be used to drive a Toyota Prius around the earth 184,181 times (Repanich). All of this pollution and destruction because of one singular company: British Petroleum. Needless to say, the image of BP was tarnished because of this. What can a company do to come back from such a serious setback? This was the question that was faced by the company in 2010 (when the spill occurred), and is still being wrestled with today. By analyzing BP’s “Commitment to the Gulf” ad campaign, the brand’s desired identity is made very apparent. When it comes to oil, nearly all consumers are involved. However, BP does take specific steps in order to narrow down a target audience when it comes to advertising its product. Despite the hardships faced by BP stemming from the spill, consumers still have an addiction to oil. BP, the fourth largest oil company in the world (“Biggest Oil”), has such a firm hold on consumer society that it is a necessity in today’s consumer landscape. By pushing the brand’s identity to its target audience, BP used branding to overcome a severe controversy and rebuild the image it hoped to convey to consumers.

The oil spill in the Gulf of Mexico occurred because “oil from the well shot up and out of the drill column under high pressure, extended on the drilling rig and exploded (wikipedia)”. The rig set on fire and later sank. BP, Transocean, along with government agency employer, all worked hard to avoid further spread of the oil.

7 Years ago, in the Gulf of Mexico one of the worst catastrophes that has happened in modern history, happened. Moreover, in the United States. The “BP” Gulf oil spill as you might of hear it called. Although, British Petroleum has made every possible attempt to rename the mishap. Years later this incident has had a huge impact in the local infrastructure. Furthermore, this was a compounding effect on the Gulf, 5 short years since Hurricane Katrina leveled the coast. This was just another hit to the gulf residents. The public relations of BP and this catastrophe were atrocious in the since that BP ran away from the camera while they had no possible answer as to how they were going to stop the massive spill. Another impact was sustained by the

USDC (2012) reports that on April 20, 2010 examinations of the world concentrated on an oil platform in the Gulf, around 50 miles off the Louisiana coastline. The mobile drilling unit Deepwater Horizon, which was being made used to drill an experimental well for BP Exploration and Production, Inc. (BP), violently blew up, ignited and at some point sank, tragically eliminating 11 employees. However that was just the start of the catastrophe. Oil and various other compounds from the rig and the well started streaming unabated around one mile below the area. Preliminary efforts to cap the wells were not successful, and for 87 days oil ejected unmonitored and uncontrolled into the Gulf. Oil soon enough covered a huge location of hundreds of square miles, and held by the tides and currents reached the coastline, contaminating beaches, bays, estuaries and marshes from the Florida panhandle to west of the Mississippi River delta. At the height of the spill, around 37 % of the open water in the Gulf was closed to fishing.

As you are aware, on April 20, 2010, explosions occurred in the Gulf of Mexico sinking the Deepwater Horizon oil rig and tragically killed 11 people This oil spill is now considered the worst oil spill in United States history. During the search and rescue, an underwater camera was discovered which revealed a leak in the BP pipeline. Because the well is located approximately 5,000 feet beneath the deep, dark sea with temperatures just above freezing and extremely high pressure, it made it almost impossible to repair the leak. It wasn’t until July 15, 2010, that divers were able to cap the well, however, by this time approximately 3 million barrels of gas and oil had already leaked into the Gulf.

On April 20, 2010, the Deepwater Horizon oil rig exploded. It was positioned over the Macondo oil well when a burst of natural gas broke through the concrete core that had been used to seal off the oil well for later use. Once released by the fractured core the gas made its way up the riser and onto the platform, where it ignited killing eleven workers and injuring seventeen others. The highest-ranking BP supervisors on board the oil rig known as “Well site leaders” observed indications that the well was not secure, but did not take appropriate actions in order to remedy the problem. If the supervisors had done something, they may have been able to save the eleven lives lost that day. A similar accident happened to the Caspian Sea at another BP oil well in September 2008. Both cores were too weak to withstand the pressure because the concrete mixture contained Nitrogen gas used to accelerate the curing process (Brennan, 2013). Two days later the rig capsized and in the process knocked over the riser they had filled with drilling mud in order to stop the flow of gas and oil. Now with nothing holding it back the oil, it began pouring out of the hole. The oil that was being released everyday peaked at around 60,000 barrels of oil in one day. The well discharged oil for eighty-seven days before their attempts to repair the hole were successful. In the end, nearly five million barrels of oil were released into the Gulf of Mexico.

The Deepwater Horizon oil spill has been recognized as the one of the worst environmental disasters, if not the worst, in U.S. history. On April 20, 2010, an offshore oil rig leased by British Petroleum’s (BP) in the Gulf of Mexico exploded in a ball of flames on, killing 11 employees. While much of the nation was riveted by the attempts to cap the mile-deep well, the hidden tragedy was the cloud of tens of millions of barrels oil that was slowly creeping toward land. BP and others would work for over a year to clean up the beaches and wetlands affected by the spilled oil. The impact of this was felt by costal wildlife and those who made their business working in the Gulf and along the shore.

BP tends to make bets that others don’t which is most likely why the disastrous deep water horizon oil spill occurred in the Gulf of Mexico five years ago. The fire burned for 36 hours while hydrocarbons leaked into the gulf before the well was sealed, unfortunately eleven individuals died. It has been difficult for BP to be the best company right now since this falling and they have been in reparation mode since this catastrophe. However, BP is now incorporating high safety and showed everyone that they are very reliable on the recovery of this hardship of BP trying to mix oil with water. BP came together to control the situation, cleanup, and diminish as much contamination as possible into the gulf. In addition, they are devoted long term to improve the Gulf of Mexico’s bionetwork and promise to be more careful so this will not happen again.

On April 20, 2010, the Deepwater Horizon oil rig, located in the Gulf of Mexico exploded killing 11 workers and injuring 17. The oil rig sank a day-and-a-half later. The spill was referred to as the Deepwater Horizon oil spill, BP oil spill, Gulf of Mexico oil spill, and BP oil disaster. It was first said that little oil had actually leaked into the ocean but a little over a month later the estimate was 12,000-19,000 barrels of crude oil being leaked per day. Many attempts were made to stop the leak but all failed until they capped the leak on July 15, 2010, and on September 19 the federal government declared the well “effectively dead.” In the three months that it took to finally put a stop the leak, 4.9 million barrels of oil were

British Petroleum is an organization with stakeholders all around the globe, so when something as big as the Deepwater Horizon spill happens; stakeholders all over the world are impacted. Key publics that were impacted include British Petroleum’s board of directors, employees, local businesses in the surrounding areas, and the environmentalists that got involved. The goal of our audience analysis is to analyze and predict the different behaviors and preferences among key publics in order to better communicate and effectively mitigate the effects of the Deepwater Horizon crisis. Throughout this audience analysis, we at British Petroleum aim to move our key publics through the stages of public development.

The backlash came hard and swift. The view from the general public seemed that BP did not do enough in the initial response of the oil spill. It seemed like the company had a systemic systematic approach to business that resulted in myriad environmental and worker safety violations (Citizen.org, n.d). British Petroleum was a repeat corporate criminal and the consensus seemed to believe this company would take shortcuts and risk human safety for business profit. It seemed as though this company did not have categorical imperative to act with responsibility to the environment or its worker’s safety. Some blame the company’s lack of business ethics came from an ethical relativism that resides from the company’s home country of Britain. In today’s global

BP (British Petroleum) is one of the leading companies that are delivering energy products and services to the people around the world. In this report, we studied BP’s risk management plan for preventing oil spill. The main reason for choosing BP and its oil spill preparedness plan is that the oil companies have become increasingly vulnerable to unwillingly cause disasters and BP is one of them. An event that highlighted this vulnerability and subsequently drew attention to the need to investigate, is the BP oil spill in 2010 was one of the worst oil disasters that affected environment adversely. Issues such as these have been a serious concern for the oil companies around the world.

The BP Oil Spill An Introductory Background - One of the most controversial ecological disasters in recent history focused on multinational British Petroleum and their Gulf of Mexico Operations. The Deepwater Oil Disaster began on April 20, 2010 with an explosion on the Deepwater Horizon Oil platform, killing 11, injuring 17. It was not until July 15th, however, that the leak was stopped by capping the wellhead, after releasing almost 5 million barrels (206 million gallons) of crude oil, or 53,000 barrels per day into the Gulf of Mexico. It was not until September 19th that the relief well process was complete and the U.S. Government, EPA, and Coast Guard agencies declared the well breach effectively stopped (Cavnar, 2010).

BP has several weaknesses. Currently they are holding a large percentage of liability. Some of that liability is due to the Gulf oil spill and the other is tied in the uncertain and sure-to-fail dealings to get a foothold in the Russian oil market. Additionally, the Gulf oil spill has marred the reputation of BP to the United States, BP’s largest customer. This has resulted in dwindling sales and halts to new drilling within the US and its waters. BP also has had a track record for cutting costs that have resulted in two other large accidental spills only five years ealier. In 2005, a refinery in Texas caught fire and in 2006 a section of the Alaskan pipeline burst (Bryant, 2010). These events showed neglect on the part of BP and lead to the record sized fine imposed on them.

Deepwater Horizon oil Spill: BP’s drilling platform in the Gulf of Mexico had an explosion in April 2010, causing the “largest oil spill catastrophe in the petroleum industry history”. It caused the death of 11 men and injury to several others. “More than 150,000 barrels of crude oil gushed into the sea, every day, for almost 5 months and up to 68,000 square miles of the Gulf 's surface were covered” (1).