BASF is the world’s largest chemical company. The company headquarters are in Ludwigshafen, Germany, along with their flagship site made up of over 350 plants. BASF has 112,617 employees worldwide, with over 52,000 employees in Germany alone. Table 1 shows BASF’s employee count by region. Over 60% of all BASF employees are in Europe. North America and Asia Pacific both make up approximately 15% of total employees each.
BASF operates six integrated sites and 380 additional production sites worldwide. BASF’s Ludwigshafen, Germany site is the world’s largest integrated chemical complex, and the company’s largest Verbund site. It has a total area of 10 km^2, a workforce of 33,761 employees and 160 production facilities. BASF’s second largest production site in in Antwerp with an area of 6 km^2 and about 3,296 employees. The Verbund site in Nanjing is a 50:50 venture between BASF and China Petroleum & Chemical Company, has an area of 2.2 km^2 and a workforce of about 1,860. Complementing the Nanjing site it the Kuantan site, with a total area of 2.85 km^2 and a workforce of 670 employees. The site in Freeport, Texas has an area of 1.64 km^2, a workforce of 689 and consists of 24 productions facilities. The Geismar, Louisiana site has an area of 9.27 km^2, approximately 810 employees and 22 production facilities.
Image 1: Map of BASF Verbund Sites Worldwide
http://www.basf.com/group/corporate/en/about-basf/profile/verbund/verbund-sites
BASF is structured into four regions: Europe, North America, Asia Pacific, and South America – Africa - Middle East. For the third quarter of 2013, BASF reported a total sales of $23,940 million. Table 2 show the 3rd quarter 2013 total sales, and percent of total, for each of BASF’s four regions. O...
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Increased investment in the United States represents an opportunity for substantial cost savings and access to a growing market, but there is also significant risk. More manufacturing firms are moving operations to the United States to take advantage of low natural gas and energy cost. The United States has also considered drastic increases in exports of natural gas. These factors may cause a narrowing of the gap in energy cost by driving up the prices in the United States and pushing down the prices in Europe and Asia. This could potentially negate the cost benefits BASF would realize from increasing operations in the United States. Not only would BASF loose the advantage of lower cost energy, but they could see a significant increase in total cost. This would be largely due to the increased transportation costs from moving products between the U.S. and Europe.
America is dependent on other nations for their ability to create energy. The United States is the world’s largest consumer of oil at 18.49 million barrels of oil per day. And it will continue to be that way for the foreseeable future considering the next largest customer of oil only consumes about 60% of what the U.S. does. This makes the U.S. vulnerable to any instability that may arise in the energy industry. In 2011, the world’s top three oil companies were Saudi Aramco (12%), National Iranian Oil Company (5%), and China National Petroleum Corp (4%). The risk associated with these countries being the top oil producers is twofold. One, they are located half way around the world making it an expensive to transport the product logistically to a desired destination. And two, the U.S. has weak, if not contentious,...
...an increasing demand for high-quality products ("Bayer Expands Production for Coating Raw Materials in China", 2014). According to Daniel Meyer, who heads the Coatings, Adhesives, Specialties Business Unit at Bayer MaterialScience, "The construction of our new HDI plant documents our confidence in the Asia/Pacific market and China, in particular. We are determined to continue to grow here in harmony with the rising demand in the region for innovative solutions for polyurethane-based coatings and adhesives." The expansion of production capacity at the site in Shanghai will ensure that Bayer MaterialScience will be able to supply the global and regional market with HDI. The new plant will utilize gas-phase technology, which requires substantially less energy and solvent than conventional processes ("Bayer Expands Production for Coating Raw Materials in China", 2014).
to jobs moving overseas and the flow of wealth in the energy industry, going towards
The U.S. industries have been outsourcing manufacturing for several decades now. U.S. companies thought they were reducing costs by outsourcing development, manufacturing, and process-engineering abilities. Consequently, U.S. corporations’ knowledge, skilled workers, and supply chain, which are the necessities to producing advanced products, have vanished. For example, almost all notebook computers, cell phones, and handheld devices, which were once created in the U.S., are now designed in Asia. When a major U.S. company outsource, it pressures their rivals to do the same thing. They also lose the expertise of process engineering, which would interact with manufacturing on a daily basis. Minor companies and skilled workers go to where the jobs and knowledge networks are no matter where they are geographically in the world. This decline of trade in the U.S. has caused a negative chain reaction to their suppliers of sophisticated materials, tools, production equipment, and components. U.S. industries do not have a way of coming up with new ideas for the next generation of high-tech products...
...h over one hundred operational power plants that contribute to approximately one fifth of the countries electricity consumption. America is also estimated to be 3 trillion dollars in debt. With the prices to open power plants being over two billion dollars it is easy to understand why America is in debt. It seems that the only negative on a political aspect is the cost.
Roberts, MJ, Lassiter, JB & Nanda, R 2010, US Department of Energy & Recovery Act Funding: Bridging the “Valley of Death”, Harvard Business School, Cambridge, USA.
The United States is in a recession and depends on foreigners to fuel our country. Oil companies are taking advantage of the power they have over gas prices and the economy is at one of the lowest points in all of our history. It can be seen that the way things are going now that change needs to occur for America to get back on its feet. Drastic changes will need to happen if we are going to continue to enjoy living in a very advanced and prominent country. By developing proper offshore drilling techniques, and alternate energy, America could eliminate debt and lessen dependence on foreign oil.
Wright, R. T., & Boorse, D. F. (2011). The U.S. dependency on foreign oil presents many negative impacts on the nation’s economy. The cost of crude oil represents about 36% of the U.S. balance of payments deficit. Wright, R. T., & Boorse, D. F. (2011). This does not directly affect the price of gas being paid by consumers, but the money paid circulates in the country’s economy and affects areas such as the job market and production facilities.
Canada provides a successful formula for foreign investment by leveraging abundant energy resources with a capacity for innovation, a fiscally stable and predictable economy and a competitive business environment. While innovation is the basis for high profit margins, Canada’s predictable economic environment ensures the benefits of innovation can be maintained year over year. With a wealth of opportunity for profits over both the short and long terms, it is easy to see why more and more companies continue to expand their presence in Canada through successive investments.
The company has approximately 38,000 employees worldwide. About more than 7,600 employees are dedicated to research and development. All research is conducted in more than 55 countries and the manufacturing plants are located in 13 countries. Eli Lilly's products are marketed in 125 countries.
Headquarters, Department of the Army (2014). Technical Chemical, Biological, Radiological, Nuclear, and Explosives Force Employment (ATP 3-11.24).
BASF is one of the world's largest chemical companies. It was established in 1865 with the main product was coal tar based dyestuff. It has six main categories of products, which are oil and gas, chemicals, agricultural products, plastics and fibers, dyestuff and finishing products, and consumer products. The structure of the company is presented by three-dimensional matrix consisting of operating, regional and functional divisions. Since 1960, the company began to expand its operation at a global level through acquisition. In Southeast Asia, the company has over 30 companies in 16 countries through the region of which 12 have the production facility. Headquarter for the region is located in Singapore.
The company’s international activities can look back on a long tradition: as early as 1898, only a few years after having found his company, Robert Bosch opened his first representative office in London. The next step towards internationalisation followed one year later with the foundation of a second Bosch representative office in Paris to provide the French and Belgian markets. Particularly important for the further development of the foreign organisation was the opening of an agency in New York in 1906 and the commencement of production in the USA in 1910.
The industry is divided into three distinct sectors including the upstream, midstream and downstream sectors. The upstream sector includes the exploration and production of crude oil as well as the exploration and production of natural gas. This sector has experienced the largest amount of deals in terms of mergers and acquisitions, which will be further discuss in section III. The midstream sector involves the transportation of extracted petroleum from the upstream sector through pipelines, rail, barge, truck as well as storage. Finally, the downstream sector connects the end consumers through derived products such as gasoline, liquefied natural gas (LPG), liquefied natural gas (LNG), kerosene (aircrafts), and diesel…
Carrefour operates in Europe, Argentina, Brazil, China, Dominican Republic, United Arab Emirates, Qatar and Saudi Arabia. also it has markets in North Africa and Asia.