CEPSA
Country Analysis
Juan Planillo
11/03/2014Executive summary
This report will analyze and evaluate how the Compañía Española de Petróleos S.A.U (CEPSA) can develop a country selection process Executive summary 2
Introduction 4
Company Background 5
Motivations to enter in new markets 6
Country analysis 8
Russia 8
Saudi Arabia 11
France 14 Introduction
Company Background
CEPSA is a Spanish oil and gas company, the company headquarters is located in Madrid, Spain. CEPSA is the second major oil company in Spain with a market share of almost 15% (Invertia 2014) the main business of CEPSA include the upstream, downstream and exploration of alternative energies which have operations in over 16 countries around the world (CEPSA 2014).
From the
Motivations to enter in new markets
If we analyze the different motivations CEPSA could have to enter in new markets these could be classified in the following groups.
Minimize Risks
Acquire
Resources
Increase
Sales
According to CEPSA´s strategic plan, the company is planing to increase its activity in crude oil exploration and production. Moreover, CEPSA also seeks to reduce portfolio risk and diversify the Company´s position technically and geographically (CEPSA 2013). Therefore, CEPSA´s main reasons to reach new markets could be summarized on the following groups, the Acquisition of resources and the minimization of risks.
Taking into account CEPSA´s strategy and the current situation of their operations
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