Exxon Mobil Resources and Capabilities Essay

1914 Words Oct 13th, 2008 8 Pages
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
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Another important resource that Exxon possesses is the presence of human expertise capital throughout the company (Datamoitor, 2008). Exxon employs many scientists and engineers that are researching and finding new ways to gain access to more energy resources and make the new innovations less harmful to the environment (Annual Report, 2007). This human capital has proven to be a very important resource for the company as shown by their development of new ways to increase liquid natural gas supplies and “enhancing heavy oil recovery” (Annual Report, 2007). Using the VRINE model again, I will assess this resource.
In analyzing the value of the human expertise capital, again we must consider whether this resource helps the company meet market demand and can eliminate some uncertainty. In this case, I believe that the unique research department that houses these scientists and engineers is one that gives the company a great capability to compete in the market, and even excel within the industry. I believe it also eliminates some uncertainty because while the company is researching and developing cutting edge technology, it keeps them knowledgeable about all the new innovations and ideas that are throughout the industry. This makes the resource very valuable.
Next, the rarity of the resource must be analyzed. I believe that this resource is rare because of the entire department (the Upstream Research Center)

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