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The Different Downstream Oil Sectors in UK

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Added on  2020-05-01

The Different Downstream Oil Sectors in UK

   Added on 2020-05-01

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Introduction
There are different downstream oil sectors in UK which are mainly of 200 companies that are
mainly for the refining, distribution and then marketing of the petroleum products. The
companies range vary depending upon the supermarket chains and how the different independent
retail groups are able to map with the industry association as well. The oil market in UK are
commercialised and retail which involves the power generators, government and the public
services (Conaway, 1999). It includes the defined approaches which are mainly related to the
fuels that are for the filling stations of petroleum. The petroleum filling stations (pfs) are from
20000 between 1990-2016. Here, they are also subjected to increased competition with the entry
of the supermarkets.
Key Business Drivers in UK petroleum
For matching with the groups of consumers, suppliers, competitors and government, the basic
focus is on the diversified nature which includes the business driver who need to be evident
about the behaviour with the association to the consumers with the pfs. Along with this, there are
major convenience and the prices which demands for the fuel depending upon the price. The
gross sales statistics are mainly by the companies around £99 billion sales which are in 2012. In
2010-13, it has been seen that the price hiked with the records at the average rate of 11% in a
year where the declining of the prices is in 2013 (Delloitte, 2012).
The Different Downstream Oil Sectors in UK_1
Reference: http://www.bbc.com/news/business-39932653
As per the survey, the price factor with availability standards are important to meet the filling car
ranks that are for preferring towards a convenience of fuel refilling importance which is more
than the price. Along with it, there are other characteristics which are for the consumers to focus
on additional offerings. With this, there is a proper focus on the different pfs which includes the
consumers who tend to offer the differentiated products where the general trend is about working
on the prices related to the oil increment. The general trend is about how the consumers are able
to focus on changing demands for the fuel which is completely inelastic. The focus is also on the
storage and the distribution of the fuel suppliers where the price of the oil tends to increase. The
distribution costs depend on the distance with the different factors that help in working over the
choice of fuel supplier (UKPIA). Here, there are different types of contracts and the payment
The Different Downstream Oil Sectors in UK_2
terms where the wholesale pricing of the fuel is completely based on the logistics arrangement.
There are limitations related to the working and handling the spot prices which affect the retail
price response of the pfs. Here, the refined approach is to handle the sale price risks.
The competition level with brand loyalty is considered important for UK where the retail market
consumers tend to exercise over the hypermarket entry with increased competition. It has been
seen that the statistics work on Ukpia where 1534 supermarket filling stations are recorded. It has
been seen that there is a distance and the time that is important for reaching the alternative pfs
where the availability and the size is to match the different companies that are operating in a
particular area (Herkenhoff, 2013). This tends to affect the pricing competition in the petroleum
retail market where the important aspects are related to match with 24*7 fuel service to the
customers. Here, the sales are recorded with the different non-fuel sales like the sales of the
engine oil, tobacco etc. The consumers work over the refuelling of the cars with the pfs that tend
to offer the non-fuel services for the same here, the standards are set to match the customer
preference where the fact is mainly to seek for the extra benefits for different commodity. The
levels are defined with competition that depends on the increased pfs where there is a need to
make sure of the retail market standards as well as access to parking with different sites.
1. Demonstrate the ability to analyse the factors affecting the present size and
structure
a. The needs of the consumers where the price and convenience are important for the
consumers to choose the PFS. With this, there is a need of the customers to travel where
they get cheap price fuel. The situation is based on the consumers who generally focus on
driving towards the pricing. The location is also important for the customers where the
options of PFA are set at the time of driving. The market survey has been about how
The Different Downstream Oil Sectors in UK_3

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