ASIGNMENT NO: 3

Name: Enrollment: Class: Subject: Topic:

Mohammad Abdullah 2010-e37 MBA (3rd quarter) Marketing Management Introduction of a Company. List of Product Mix Offered By the Company. Brand Name Strategy of Company with advantages & Disadvantages. Dr. Sana-ur-Rehman 10-08-2011

Submitted To: Submission Date:

INSTITUTE OF MANAGEMENT SCIENCES UNIVERSITY OF BALUSHISTAN QUATTA.

SHELL INTRODUCTION:
Shell is a global group of energy and petrochemical companies. Their aim is to meet the energy needs of society, in ways that are economically, socially and environmentally viable, now and in the future.

The objectives of the Shell group are to engage efficiently, responsibly and profitably in oil, oil products, gas, chemicals and other selected businesses and to participate in the search for and development of other sources of energy to meet evolving customer needs and the worlds growing demand for energy. They believe that oil and gas will be integral to the global energy needs for economic development for many decades to come. Their role is to ensure that we extract and deliver them profitably and in environmentally and socially responsible ways. We seek a high standard of performance, maintaining a strong longterm and growing position in the competitive environments in which they choose to operate. We aim to work closely with their customers, their partners and policymakers to advance more efficient and sustainable use of energy and natural resources. For more than 100 years the word Shell, their Pectin emblem and their distinctive red and yellow colors have identified the Shell brand and promoted their corporate reputation. These symbols have stood not only for the quality of their products and services, but also as 3

very visible representations of their professionalism and values in all of their business activities, and to all of their stakeholders, around the world. The word "Shell" first appeared in 1891, as the trade mark for kerosene being shipped to the Far East by Marcus Samuel and Company. This small London business dealt originally in antiques, curios and oriental seashells. These became so popular the Victorians used them to decorate trinket boxes in particular that soon they formed the basis of the companys profitable import and export trade with the Far East. The word was elevated to corporate status in 1897, when Samuel formed The Shell Transport and Trading Company. The first logo (1901) was a mussel shell, but by 1904 a scallop shell or Pecten emblem had been introduced to give a visual manifestation to the corporate and brand name. Exploring the origins

The choice of a shell as an emblem was not surprising, as it was the company name. Also, each of Samuels tankers carrying kerosene to the Far East had been named after a different seashell. But why specifically was the scallop or Pecten chosen as the companys symbol in 1904? It was certainly not the simplest shape to reproduce in printed form. Both the word Shell and the Pecten symbol may have been suggested to Samuel and Co. by another interested party. A Mr Graham, who imported Samuels kerosene into India and sold it as Grahams Oil, subscribed capital to, and became a director of, The Shell Transport and Trading Company. There is some evidence that the Shell emblem was taken from his family coat of arms. The St Jamess Shell had been adopted by the Graham family after their ancestors made the pilgrimage to 4

Santiago de Compostella in Spain. Whatever its origins, the original design was a reasonably faithful reproduction of the Pecten or scallop shell. When the Royal Dutch Petroleum Company and Shell Transport and Trading merged in 1907 it was the latters brand name and symbol which then became the short form name (Shell) and the visible emblem (the Pecten) of the new Royal Dutch/Shell Group. And so it has remained ever since. The form of the Shell emblem has changed gradually over the years in line with trends in graphic design. The current emblem was created by the great designer Raymond Loewy and introduced in 1971. Thirty years on it stands the test of time as one of the worldss most recognized symbols.

Why red and yellow? The exact origins of the Shell red and yellow are hard to define. True, Samuel and Company first shipped kerosene to the Far East in tin containers painted red. But the link, once again, could be with Spain. In 1915, when the Shell Company of California first built service stations; they had to compete against other companies. Bright colors were the solution, but colors that would not offend the Californians. Because of the states strong Spanish connections, th e red and yellow of Spain were chosen. As with the Pecten, the actual colors have been modified over the years, most notably in 1995 when a bright, fresh and very consumer friendly new Shell Red and Shell Yellow were introduced to launch Shells new retail visual identity. The Shell emblem - or Pecten - remains one of the greatest brand symbols in the 21st Century. http://www.shell.com/home/content/aboutshell/who_we_are/thei r_history/history_of_pecten/

BRAND NAME STRATEGY WITH ADVANTAGES & DISADVANTAGES:

Every so often, an oil company experiences an environmental catastrophe proportions. Exxon of disastrous As evidenced by oil spill and

the recent Gulf oil spill, the Valdez countless other occupational eco-disasters, of the

these occurrences are a tragic hazard energy industry. In theory, they should not be a surprise anymore than an earthquake in California would be a shocker. Of course, a big enough tremor in Los Angeles will generate nationwide news coverage. The question from a brand marketing standpoint is simple: is there anything oil companies can do, given the probability of an oil spill? In order to answer this question, it is helpful to back up and look at the consumers view of the industry. When it comes to the consumer, oil companies have a unique advantage over, say, a perfume company. This is that the oil companies offer a necessity. Everyone needs oil; perfume is a luxury. From a branding and marketing standpoint, this advantage actually has negative connotations. The oil companies are really big and really profitable even when the economy is in the proverbial toilet. In the deep recession year of 2009, when almost everyone was suffering financially, the oil companies made billions of dollars in profits. A 2006 FTC study of gas price manipulation found that the record increases in gasoline prices were not substantially attributable to higher costs. It seems the oil companies always take advantage of their financial opportunities with no regard to consumer goodwill. These companies are often viewed as monopolistic, money-grubbing, price-gouging, predatory

goliaths. In a 2008 Harris poll of 20 major industries, only the tobacco industry had a lower rating than the oil companies on the

topic of how good or bad a job they perform in serving the needs of consumers. You could say, from a branding perspective, energy companies are already starting off on the wrong foot. After all, what is there to love about an oil company? Do you trust them? Do you have any affinity to any oil company? Do they do anything for you as a person? Do they make you feel good in any way? This makes it all the more difficult for an oil company to perform branding and marketing tactics that prepare for the worst. The energy industry has to rank among the worst PR and branding industries. We know all about the 1989 Exxon Valdez nightmare which was widely considered the worst corporate PR fiasco of all time. But what has the industry done to counter its image since then? One could argue they actually have made some positive strides. Lets take the current Gulf oil spill. BP has a real disaster on its hands, and they have clearly learned a lesson from Exxons PR disaster. The CEO of Exxon was nowhere to be found until six days after the Valdez disaster. When he finally did appear, it was only to hold a press conference to deny responsibility to disclose the plan to clean up the mess. He also blamed the media for turning the spill into a big deal. His refusal of media interviews and complete lack of remorse highlighted one of the worst PR gaffes in history. It conveyed an ivory tower-esque tone of arrogance. To his credit, the CEO of BP, Tony Hayward, has learned from Exxons PR mistakes and has been on air and is taking full financial responsibility for the spill cleanup. As far as brand marketing strategy is concerned, it is fair to say that oil companies have increased their efforts to convey a more positive image to the consumer. Shell has been focusing on advanced technologies and product performance enhancements along with sponsorships like Eco-Marathons, Exxon Mobil has been supporting science education, and BP and others have been focusing on their green strategy. Unfortunately for BP, that positioning is tough to sustain given the Gulf oil spill.

Even with the increased efforts, lets not pretend the problem has gone away (as if that is an easy thing to do at this point in time). The marketing and branding work of oil companies is far from done. Oil and energy companies must develop a sincere, longterm strategy to create brands that connect with their consumers on an intellectual and emotional level. In short, they need to define a plan to evoke positive feelings from their consumers. One good way to enhance their brands would be to become good corporate citizens. Oil companies make massive profits, so how about giving back? Encouraging An exhaustive study by the Committee Philanthropy shows that the energy Corporate

industrys Total Median Giving as a Percent of Revenue (0.05%) is the lowest of any other major industry! [For reference, health care companies give 0.6%, or 12 times as much as the energy companies.] Once again, the oil companies dont understand the concept of branding. If anything, the Gulf oil spill should present BP competitors with an opportunity to reinforce their brand marketing strategy to capitalize on public desire for safer drilling and processing measures. Competitors should be highlighting the steps they are currently taking to prevent the next major ecological disaster. Doug J. McIntyre is the founder and CEO of Cult Marketing a brand marketing company. An authority in his field, Doug has been quoted in the Wall Street Journal and his creative ideas have been featured on TV broadcasts.

http://shellgroup.info/2011/06/are-energy-companies-and-brandmarketing-strategy-like-oil-and-water/

LIST OF PRODUCT MIX Offered By Shell:

We provide transport fuel to around 10 million customers each day through their 44,000 service stations worldwide. We are working to deliver cleaner burning and more efficient fuels. Their products and services are also designed to meet the needs of businesses - from the construction industry to aviation, chemicals to shipping. Card services Their cards offer customers rewards on Shell purchases and provide an efficient, secure way to buy fuel and other goods. Fuels Shells differentiated fuels have been launched in more than 40 countries to meet the individual needs of its customers. Loyalty Discover how Shell rewards its customers around the world. Oils From Shell Helix to Pennzoil - Shell provides you with a full range of motor and bike oils. Shell Station locator Use their station locators to find Shell stations around the world. You can even search for particular products and services such as a car wash, ATM, Select stores or fuels. Top of Form

Shell Gas LPG in your home Liquefied Petroleum Gas (LPG) from Shell provides a clean and reliable fuel for your home.

Shell and Ferrari Everything you need to know technical partnership with Ferrari. Shell and Ducati Everything you need to know technical partnership with Ducati.

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Other Businesses. o Bottom of Form o Shell Aviation o Shell Bitumen o Shell Chemicals o Shell Commercial fuels o Shell Global Solutions o Shell for Lubricants o Shell Marine Products o Shell Gas LPG o Shell Sulphur Solutions o Shell Trading and Shipping

http://www.shell.com/home/content/footer/about_this_site/acces sibility/ http://www.shell.com/home/content/motorsport/

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