PetroChina Marketing Mix: PetroChina is a publicly-traded company of Chinese origin. Its business is limited to its home country of China and is also associated with the oil and gas industry. The company is the largest crude oil manufacturer in China and is traded in New York and Hong Kong.
The company on the mainland was established in 1999. It was a part-time subsidiary company of the subsidiary corporation China National Petroleum Corporation. It is headquartered in the Dongcheng district in Beijing, located in China. According to a report released by Forbes, the company ranked the number. 8 in 2000.
Marketing Mix Of PetroChina
Marketing Mix Of PetroChina is brand-based. In Marketing Mix Of PetroChina, We will Learn About the four key elements of Marketing Mix: products, place, price, and Promotions. By paying attention to the following four components of the marketing mix, a business can maximize its chances of a product being recognized and bought by customers. We will be discussing PetroChina Marketing Mix. Below is the detailed Marketing Mix Of PetroChina.
Let’s talk about PetroChina Marketing Mix.
PetroChina Main Competitors
- Chevron Corporation
- CNOOC Limited
- Sinopec Shanghai Petrochemical Co. Ltd
- China Petroleum & Chemical Corp.
PetroChina official website: www.petrochina.com.cn
Product in the PetroChina Marketing Mix:
PetroChina is the biggest producer and distributor of oil and gas in China. It’s engaged in many operations like exploration, development and production, refining, marketing transmission, storage, and transport of oil products and crude oil. The folio of its service and products includes the following:
- The refined products are gasoline, jet fuel, diesel, and asphalt. They also include fuel oil, asphalt, paraffin, and lubricants
- Chemical products such as derivatives or basic petrochemicals are distributed across various industries, including furniture and footwear, agriculture paint, textile packaging, paper insulation, household items printing, electrical appliances, electronic manufacturing, medical, automotive, and construction. They are sold directly and indirectly through six service centers of sales and technical. Each is responsible for providing after-sales services in place of rubber plastics, fibers, and fertilizers.
- The company has an infrastructure for pipe storage systems and a network that spans 26 autonomous regions and provinces and is, therefore, the biggest service supplier in China of oil and gas.
Place in the PetroChina Marketing Mix:
PetroChina is 86.5 percent owned by the state and boasts extensive and diverse downstream, midstream, upstream, and downstream operations. Natural crude oil and gas are efficiently handled and moved from the exploration centers to points for retail sale. The reserves and assets of PetroChina are located in a single country. Since 2005, an aggressive strategy has been implemented by PetroChina, which has begun buying oil and gas assets around the world.
It has invested a total of 2.6 billion into the Peruvian activities of PBR over the last two years. It also acquired the 1/4th stake in Iraq’s biggest oilfield West Qurna. The company’s share is estimated to be 563,000 barrels of oil daily. Within the United States, it has invested in the Duvernay Formation and Africa through the property of Chad. PetroChina has an area of 594,000 square kilometers and has established an infrastructure to extract natural gas and petroleum products from the earth, refine them, and then sell them to customers.
PetroChina owns 28 refineries and manages all pipelines independently. It has 37 sales organizations located in various locations across China. It markets and distributes its products through 430 distribution channels consisting of wholesalers as well as 1,790 service stations that are owned by a corporation and 1050 franchise-owned stations owned and operated by third-party companies that sell gasoline and diesel from PetroChina.
Price in the Marketing Mix Of PetroChina:
The revenues of PetroChina are enormous; however, it has yet to show an increase in the year 2012. It is heavily dependent on supply contracts. The production of crude oil has grown by 1% every year, while natural gas has increased by 8 percent, leading to lower profit margins. Refinery operations’ revenues are almost constant and totaled the sum of $ 44 billion during this year. PetroChina has kept a price policy that suits its company and shareholders.
Since it is 86.5 percent state-owned, the Chinese government is the main customer. This has led to an open pricing policy that can satisfy its consumers’ needs efficiently since it depends on its sources. In line with recent policy changes, PetroChina will not let its fuel prices fall when crude is less than 40/barrel. To achieve this, it lowered 3.2 percent from the Hong Kong Index.
Promotions in the PetroChina Marketing Mix:
PetroChina’s logo has symbolized the company’s image since 2004. The logo’s design is the rising sun based on petal graphics. The colors used are red and yellow, which are believed to be a sign of luck in the tradition. Under the design is the word PetroChina using black lettering. Since the state owns it, it does not rely heavily on advertising guidelines. It owns its website, which offers all the relevant details about the business to investors and other interested individuals. The promotional activities of a business are carried out through the use of both online and print media.
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