Analysis Of Imported Oil Case

580 words - 3 pages

Why does the U.S. Import a lot of oil?
Over the course of the past few years, a great deal of media attention has focused on the not only the cost of oil but the availability of oil. Citizens of different countries around the world, including those in the United States, have become increasingly concerned about the cost and availability of fuel oil.
With that in mind, many people have expressed concern about:
• the growing dependence of the United States on oil imports
• the stability of the major oil producing nations
• the remaining proven oil reserves still existing on the planet
We know the U.S. actually gets most of its imported oil from Canada and Latin America. And many Americans might be surprised to learn that the U.S. now imports roughly the same amount of oil from Africa as it does ...view middle of the document...

As a general rule, the cheapest oil is already being extracted.
Meanwhile, other nations are sitting on large quantities of "easy" oil. They can produce oil much more cheaply, relative to their opportunity costs, than the United States can. Many of these nations are desert nations with no other major industries. They have historically been among the poorest nations, before they were able to make money by selling oil to the rest of the world.
In short, oil is their specialty, and they have few options besides oil for making money off of their own resources. This makes their opportunity costs lower than those of the United States.
The "easy" oil can be produced in the United States is not enough to meet the domestic demand, since everybody knows that there is other oil on the world market. So the United States produces some oil, but consumes a lot of oil from cheaper foreign sources.
Why does the U.S. consume such a huge amount of oil?
From the 1940s onwards, The U.S. government started the construction of the road network throughout the country, so as to promote the popularity of cars and car industry. In order to support the automotive industry as a pillar of the national economy, the government’s policy encourage public consumption of gasoline for a long time. This is why the U.S. long-term maintenance of a low level of fuel duty. First, the U.S. economy developed, the oil is the blood of industry, including many industry chemicals, petroleum refining medical needs taken from the production of raw materials, on the other hand a lot of power is provided by the oil.
Secondly, due to the United States is the world's largest family car, diesel and gasoline demand is also largest in the world.
Thirdly, the U.S. has a huge military force, and there are aircraft from fighters to "eat the oil of the devil."
Fourth, in order to avoid the risk of rising oil, the U.S. reserves a lot of oil.

Other Papers Like Analysis Of Imported Oil Case

Analysis Of Case Telephone Systems

311 words - 2 pages Analysis of Case 6: Considerations for Voice Over IP Telephony Discussion Questions 1. Should the vice president’s approach put greater stress on the need to replace an obsolete system (risk mitigation) or on the desirability of improving the organization’s ability to implement new applications (enable new opportunities) 2. How should he engage the organization in learning about the potential of VoIP and developing plans for potential uses

Case Analysis University of Phoenix

830 words - 4 pages Case Study Analysis Paper Name University of Phoenix COMM/215 Essentials of College Writing Instructor June 21, 2012 Introduction ABC, Inc., hired Carl Robins as the new campus recruiter. Carl was responsible for recruiting qualified candidates and administering them through new hire orientation class. Carl recruited fifteen new hires in six months. Carl wanted to have all new hires trained and ready for work by July

Situation Analysis and Strategic Recommendations of Bp After Oil Spill Disaster in Usa

3997 words - 16 pages Situation analysis and strategic recommendations of BP After oil spill disaster in USA Table of content: Introduction 3 Executive Summary 3 Approaches 3 Background of BP 3 BP in USA 3 PESTEL analysis of BP in USA 4 Political Environment 4 Economic Environment 5 Socio-cultural Environment 6 Technological Environment 7 Legal Environment

The Irac Method of Case Study Analysis

787 words - 4 pages The IRAC Method of Case Study Analysis LAW/531 April 27, 2014 The IRAC Method of Case Study Analysis Facts In the case of Martha Bull, 76, against Greenbrier Nursing and Rehabilitation Center, negligence was found in her death. Ms. Bull was admitted to the center for rehabilitation after a stroke. On the night of April 7, 2008 there was an order to have her sent to the emergency room; however, there was oversight and the order was

Written Analysis of the Case - Prestige Company

2180 words - 9 pages I. SUMMARY OF THE CASE Prestige Telephone Company is a public utility business. Since it is operated as a public utility, it is subject to the regulations of the Public Service Commission, as such, the rates charged by Prestige Telephone Company for telephone service could not be changed without the approval of the Public Service Commission. The state Public Service Commission had encouraged all public utilities under its jurisdiction to seek

Case Analysis Of Ban Of Tobacco Advertising In India

927 words - 4 pages Case Analysis of ban of tobacco advertising in India Here is the brief background information. On Feb 6, 2001 Indian government announced they were going to enforce a ban regarding tobacco advertising in their country. Banning included barring tobacco industries from advertising their products, sponsoring sport or cultural events. The ban was aimed to discourage young mind in India to take part in smoking. The ban, however, heated a debate

A Case Analysis of Cape Wind Offshore Energy Project

2578 words - 11 pages “Not In Anyone’s Backyard” – A case analysis of Cape Wind Offshore Energy Project Introduction First proposed in 2001 as America’s first offshore wind farm, the Cape Wind offshore energy project was projected to provide three quarters of the electrical needs of the Massachusetts Cape and Islands. Yet, only on April 28th 2013 did United States Interior Secretary Ken Salazar announce federal approval of the Cape Wind project. But what was the

Case Study Analysis Paper 1: a Tale of Two Coaches

600 words - 3 pages Running head: CASE STUDY ANALYSIS PAPER 1: A TALE OF TWO COACHES Case Study Analysis Paper 1: A Tale of Two Coaches December 19, 2012 Bobby Knight is an American college basketball coach. He has the most coaching victories in NCAA men's basketball history. His 1975–76 Indiana University team had a perfect 32–0 record and went on to win the NCAA championship. He was the coach for the U.S. men's basketball team in 1984 and led them to

Case Study Analysis Of Palsgraf V. Long Island Railroad Company

858 words - 4 pages Case Study Analysis of Palsgraf v. Long Island Railroad Company Michael J. Roberts Liberty University Palsgraf v. Long Island Rail Company is a case where the plaintiff, Ms. Palsgraf, was on one end of a train platform when a package was knocked out of the hands of another passenger who was attempting to board a moving train with the assistance of a guard, the defendant, on the other end of the train platform. The package being knocked

Case Study Analysis Paper 1: a Tale of Two Coaches

561 words - 3 pages Case Study Analysis Paper 1: A Tale of Two Coaches Coach Bobby Knight and Coach Mike Krzyzewski are perhaps two of the best effective college basketball instructors in the United Sates. Nonetheless, their management types may perhaps not be beyond diverse. The question asked is, if it is beneficial to be loved or to be feared. Both of these coaches contained within these leadership viewpoints and involved the next significant theories

Case Analysis of Hbr Case "Saving the Business Without Losing the Company" by C. Ghosn

2231 words - 9 pages . This will protect the company's identity and the self-esteem of its people. 5) Think different and consider changes others might have not considered before. Since time passes and circumstances might change, a comprehensive analysis of the situation is a key element of leading a company or to change the strategy. If the strategy of a company needs to be changed, listen first, and then react. What theory can be formed from this case? The most

Related Essays

Hardtech, Inc And Mearl Oil Case Analysis

591 words - 3 pages Hardtech, Inc Case Study Analysis (Harvard) Homework #3 IE560 Spr 2016 #1 HardTech, Inc) Hardtech, Inc. should implement a matrix organization per Ryan’s recommendation to complete their three new initiatives. This will allow each initiative to be run by a discrete, dedicated project team. The project teams will consist of employees from each of the relevant departments allowing deep subject matter expertise as needed to complete the

Analysis Of The Venezuelan Oil Market

4230 words - 17 pages Running Head: VENEZUELAN OIL MARKET 1 Analysis of the Venezuelan Oil Market BINT 6311 – International Business Management University of the Incarnate Word VENEZUELAN OIL MARKET 2 Table of Contents Abstract ............................................................................................................................................3 Review of Venezuela

A Critical Analysis Of M&R’s Implementation Of Global Oil

526 words - 3 pages A critical analysis of M&R’s implementation of Global Oil balanced scorecard is that they created metrics, several metrics, and based on those metrics salaried employees could earn up to 10 percent bonus. I believe that Global Oil wanted to improve their services and creating metrics around the goal would hold the employees accountable in a transparency way. The strength of the implementation is that the metrics did have multiple metrics

Case Analysis Of Exel Case

1399 words - 6 pages Case Analysis for Exel PLC Fei Xue 3/20/2014 Exel plc was established in 2000 by the merge of MSAS and Exel Logistics. The merger also boosted Exel plc’s business in both freight management (FM) and contract logistics (CL). In 2003, Exel plc ranked the 1st in contract logistics area and the 5th in freight management area. At the same time, Exel plc was the largest provider of both freight management and contract logistics, which