BUSINESS STRATEGY ASSIGNMENT 2022

An analysis of the main frameworks covered in class (the most important element of the frameworks will be the ‘so what’ which is the key takeaway from the analysis). Main Frameworks: PESTLE Framework Porters Five Forces Model Scenario Planning Strategic Group Maps Competitive Intelligence Key Success Factors (KSF’s) Other Tools: EFE Matrix and CPM Matrix

Running Head: Business Strategy
Business Strategy
Name of the Student:
Name of the University:
Author’s Note

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Table of Contents
Introduction................................................................................................................................1
Discussion..................................................................................................................................1
Chosen Organisation- Saudi Aramco, Saudi Arabian Oil Company.........................................1
Main Frameworks:.....................................................................................................................1
PESTLE Framework..........................................................................................................1
Porters Five Forces Model.................................................................................................2
Scenario Planning...............................................................................................................3
Strategic Group Maps........................................................................................................3
Competitive Intelligence....................................................................................................3
Key Success Factors (KSF’s).............................................................................................4
EFE Matrix and CPM Matrix.............................................................................................4
Conclusion..................................................................................................................................4
Reference....................................................................................................................................5

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Introduction
In the following assignment the aim of the essay is to explain various framework that
are attached with the functioning of the organisation. The chosen company for this
assignment is Saudi Arabian Oil Company (Al-Tammaret al, 2014).The purpose of the essay
is to incorporate the different frameworks like PESTLE, Porters Five Forces Model, scenario
planning and many more. It will further highlight theunderstand of the meaning of
Competitive Intelligence and key success factors of Saudi Arabian Oil Company. The key
factors of the essay is highlighted on the attributes that are determined on the factor of sale
volume, material, labor and so on. The contribution made by the organisation is classified
within different framework (Krane 2015).
Discussion
Chosen Organisation- Saudi Aramco, Saudi Arabian Oil Company.
Main Frameworks:
PESTLE Framework
The PESTLE analysis of Saudi Aramco is based on the Political, Economic, Social,
Technological, Legal and Environmental factors that area attached to the business. The
PESTLE factor is conducted in the organisation to create an impact in the macro environment
(Rahman 2014). Having said that the Saudi Arabian Oil Company is an international brand
and it implies that the company is enforced of different rules and regulation. The following
factors will highlight the reason of the analysis in Saudi Aramco:
Political- the political factors are restrained to the policies of Middle East King’s
administration.

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Economical- the economic factor is based on the reason of conflict between the distributors
of all the oil in the line of Saudi Aramco, Saudi Arabian Oil Company. The policies of
pricing factors is increased due to the impact of competitors in the market. There are even
chances of sharp fluctuation in the current market situation.
Social-the social factor s taken into consideration and there is a growing demand of premium
Korea (S-Oil) that enhances the downstream operations.
Technological- the development of integrated supply chain must be initiated and leveraging
the “people data center must understand the customer behavior.
Legal-there is a regulatory delay in the decision making process and in the part of business
growth.
Environmental-action can be taken if the organisation reacts in a harmful manner towards
the environment.
Porters Five Forces Model
The Porters Five Forces Model can be explained in the following points with context
to the Saudi Arabian Oil Company (Hokroh 2014):
 The threat of new entrants
 Bargaining Power of Buyers
 Rivalry Among Existing Firms
 Bargaining Power of Suppliers
 Threat of Substitute Products or Services

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Scenario Planning
The strategic planning of the Saudi Aramco is responsible for planning the
requirement of the customer based products (Alizadeh et al, 2016). The planning includes the
sections of brainstorming section where the opportunity and threat of the organisation is
analyzed. The planning must include the development of several opinions that are related to
the same opportunities. The planning of Korea National Oil Corporation with Saudi Aramco
had planned to reserve oil around 600 million barrels and reserved gas around 10 billion. The
scenarios of the Aramco are useful as it forms as an integral part of the strategic planning
process. The scenarios are linked with the activities like the road mapping and intelligence of
the business that is essential for decrease in business and it maximizes the opportunity that is
prepared for the organization (AlShehry et al, 2013). During the course of scenario planning,
the industry can state the art of intelligence and theory that is practiced in the field.
Strategic Group Maps
The strategic group mapping is the technique for looking at the position in the market.
Hence with the concern for Saudi Aramco its position in the market and in the economic
sector it is treated as the world's most profitable company. The Saudi oil company made $111
billion last year. The sprawling state-owned producer, is in the current position of one-fifth in
the world record of oil reserve in the world (Rahatullah 2013). The approach of strategic
group mapping will define the scope of the number of reserve, pumps and the presence in the
top four competitors in oil trade.
Competitive Intelligence
The competitive intelligence of Saudi Aramco, is defined as the action that is
gathered, distributed and analyzed in intelligence about the various customers, environmental
needs and competitors. The strategic decision is taken by the upper level of management that

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plans its application in the form of business information and analyzing the peers of the
competitive market (Anderson 2014). It evaluates the strength and the weakness of the
competitors and identifies the signal of disruption in the Aramco production of oil. In relation
to the S-Oil based in Korea the expansion of the business can be supported by them.
Key Success Factors (KSF’s)
The key success factors are inclined with the combination of work delegated by S-Oil
and Aramco. Not only the organisation but also the country itself receives a revenue in return.
The government success is highlighted in the economic development goals and will grantee
the achievement of the strategies and maintaining sustainability. Whereas the challenges
faced by Aramco also includes the development skills that is based on the global experience
and large resource to exploit (AlShathry 2016). The organisation in relation to S-Oil acquired
greater strategic and operational resourcesautonomy.The government success affects the
increase amount of taxation which does not stands as a smooth process for the organisation to
bear.
EFE Matrix and CPM Matrix
The External Factor Evaluation (EFE) Matrix evaluates the position of the
organisation that is inclined to the external factor and the strategic intents. The external factor
is concerned with the macroeconomic attribute of the Aramco which includes the information
of economic, social, technological, government, political, legal and competitiveness that is
extracted in a deep analysis (Biresselioglu and Yelkenci 2016). Whereas on the other hand,
CPM Matrix stands for Competitive Profile Matrixwhich is considered as a strategic and
powerful tool. The matrix will allow the Saudi Aramco and S-Oil owners, stockholders and
other interested parties to examine the strength and weakness of the competitive market so
that they can sharpen its goals.

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Conclusion
Hence it can be concluded the Saudi Aramco along with S-Oil in Korea are the
emerging market in the world. The aim of the report was clear in formularizing the matrix’s
and the framework that has=d helped in understanding the concept better. The essay has
developed its focus in understanding the meaning of Competitive Intelligence and key
success factors of Saudi Arabian Oil Company. It also known that the history of S-Oil can see
how it started between them till now in milestones in the existing market.

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Reference
Alizadeh, R., Lund, P.D., Beynaghi, A., Abolghasemi, M. and Maknoon, R., 2016. An
integrated scenario-based robust planning approach for foresight and strategic management
with application to energy industry. Technological Forecasting and Social Change, 104,
pp.162-171.
AlShathry, O., 2016. Business process management: a maturity assessment of Saudi Arabian
organizations. Business Process Management Journal, 22(3), pp.507-521.
AlShehry, M.A., Al-Khudiri, M.M., Al-Sanie, F.S., Miyajan, R.A., AlTaiban, A.A., Al-
Zawawi, A.S. and Khakwani, M.S., 2013, March. Upstream Data Standards at Saudi Aramco.
In SPE Middle East Oil and Gas Show and Conference. Society of Petroleum Engineers.
Al-Tammar, J.I., Bonis, M., Choi, H.J. and Al-Salim, Y., 2014, May. Saudi Aramco
downhole corrosion/scaling operational experience and challenges in HP/HT Gas condensate
producers. In SPE international oilfield corrosion conference and exhibition. Society of
Petroleum Engineers.
Anderson Jr, I.H., 2014. Aramco, the United States, and Saudi Arabia: A study of the
dynamics of foreign oil policy, 1933-1950 (Vol. 849). Princeton University Press.
Biresselioglu, M.E. and Yelkenci, T., 2016. Scrutinizing the causality relationships between
prices, production and consumption of fossil fuels: A panel data approach. Energy, 102,
pp.44-53.
Hokroh, M.A., 2014. An analysis of the oil and gas industry’s competitiveness using Porter’s
five forces framework. Global Journal of Commerce and Management Perspective, 3(2),
pp.76-82.

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Krane, J., 2015. A refined approach: Saudi Arabia moves beyond crude. Energy Policy, 82,
pp.99-104.
Rahatullah Khan, M., 2013. Mapping entrepreneurship ecosystem of Saudi Arabia. World
Journal of Entrepreneurship, Management and Sustainable Development, 9(1), pp.28-54.
Rahman, A., 2014. Entrepreneurship in Saudi Arabia: Opportunities and Challenges for an
International Business. Business Journal for Entrepreneurs, 2014(4).