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BP - MOBIL and the Restructuring of the Oil Refining Industry

By Karel Cool,  Jeffrey Reuer,  Francesca Gee,  Ian Montgomery
Published 12 Jan 1999
Reference 4868
Topic Strategy
Industry Oil & Energy
Region Europe
Length 32 page(s)
Language English
Inspection copy
Teaching note
6.00
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Summary

The case offers an analysis of the oil industry and BP and Mobil's decision to bring together their refining and marketing resources in a pan-European joint venture. The case considers the competitive dynamics of the industry and the alliance's uncertain future.

Teaching objectives

The case introduces students to unique aspects of restructuring alliances, the choice between joint ventures and acquisitions, and the role of competitors in influencing alliance stability. The case explores the attractiveness of alliances to address conditions of industry overcapacity.

Keywords
  • AR1999
  • STRATEGIC ALLIANCE
  • JOINT VENTURE
  • ACQUISITION
  • INDUSTRY ANALYSIS
  • RESTRUCTURING
  • OVERCAPACITY
  • COMPETITOR REACTION
  • ANTITRUST ISSUES
  • RD1199
About the authors
Cool

Karel Cool

Professor of Strategic Management

Jeffrey Reuer

Francesca Gee

Ian  Montgomery


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