A Microeconomic Approach of a Company’s in a Competitive Environment

Abstract

The strategic analysis is the process of identifying an organization's middle and long run position in relation to the external environment, its internal resources, the shareholders’ skills, desires and influences. The essence of the competitive strategy consists in choosing a chain of activities different, mainly in structure, as qualitative features, from that of the competitors. If the same set of activities had been sufficient for producing all the products/services of the field of activity, meeting all the needs and solving all the problems regarding client accessibility, the operational efficiency would have been the factor that determined the company’s profitability and/or a different execution from that chosen by the competitors for the same value chain. Market research provides the firm with information regarding the markets as a whole, or market segments with the best prospects, the price levels accepted by the market, the ways of distributing the products on the market, promotional actions, etc. Equally important for grounding the strategy are the macroeconomic forecasts, the field projections and the policies of the bodies regulating and supervising insurances. The overall organizational strategy would reflect the requirements of the national economic strategy, the strategy for Romania’s integration into the European Union, in this case. This provides the guidance of the organization’s development in accordance with the main macroeconomic developments foreshadowed for the following period. The analysis focuses on Petrom S.A., the largest company in Southeast Europe, whose market penetration force and market sustainability are largely due to the European management implemented by OMV, as Petrom S.A. is part of the OMV European structure.