Increasing Competitiveness of Chinese Petroleum Corporation in Ecuador through Business Model Innovation

Abstract

Nowadays the business model is essential to a company’s success, because it describes the rationale of how an organization creates, delivers and captures economic, social, or other forms of value. The business model can also provide top management level the vision to create new strategies, based on the company’s key factors like business structures, operations and so on. As the biggest company in Taiwan, Chinese Petroleum Corporation (CPC) should have enough tools to lead to the global business management. The present document will explain how the business model can increase the competitiveness of CPC in the Ecuadorian Oil Market through the innovation of their business model. No technology, economic power or even change is enough today, a company must use effective and efficient tools to have a synergical global vision of the business; which means to identify the external and internal environments where a company survives and know how they are related. The business model proposed here will try to discover new issues but also give new business opportunities, with useful tools like Fishbein multi attitude pattern, Six Sigma quality and Causal-Loop Diagram. The final result attempts to improve the business of CPC in Ecuador, create new value propositions to their clients, differentiate itself from its competitors and satisfy some complains by increasing its customer relationship and competiveness. It will help CPC to win more contracts from the Ecuadorian government than before.