Features contributing to the success of contrasting
businesses
Shell and WWF
Table of Contents
Introduction
………………………………………………………………………………………………………
… Page 2
Who is Shell
………………………………………………………………………………………………………
… Page 2
Ownership & Liability (Shell)
………………………………………………………………………………… Page 3
Purpose and Sector (Shell)
……………………………………………………………………………………. Page 3
,Scope and Size (Shell)
…………………………………………………………………………………………… Page 4
Stakeholders (Shell)
………………………………………………………………………………………… Page 4 &
5
Relationship and communication with stakeholders (Shell)
………………………………… Page 5 & 6
Aims & Objectives (Shell)
………………………………………………………………………………… Page 6 & 7
Organisational structure and functions contributing to success (Shell)
……………… Page 7 & 8
Why Shell is successful
…………………………………………………………………………………… Page 8 & 9
Who is WWF
………………………………………………………………………………………………………
Page 10
Ownership & Liability (WWF)
………………………………………………………………………… Page 10 & 11
Purpose and Sector (WWF)
…………………………………………………………………………………… Page 11
Scope and Size (WWF)
…………………………………………………………………………………… Page 11 &
12
Stakeholders (WWF)
…………………………………………………………………………………… Page 12 &
13
Relationship and communication with stakeholders (WWF)
…………………………… Page 13 & 14
Aims & Objectives (WWF)
……………………………………………………………………………. Page 14 & 15
Organisational structure and functions contributing to success (WWF)
…………… Page 15 & 16
Why WWF is successful
………………………………………………………………………………… Page 16 & 17
,Conclusion
……………………………………………………………………………………………………
Page 17 & 18/
References
……………………………………………………………………………………………………
Page 19 & 20
Introduction
In this assignment I will be discussing about the features of two contrasting businesses which
are Shell (Global oil and gas company), and The Worldwide Fund for Nature (WWF) which is an
international non-governmental organisation and how these businesses are successful.
Shell
Who is Shell?
Shell is a global British oil and gas company, and its headquarters is in London, England. The
company uses conventional fields and sources, including tight rock, shale, and coal formations,
to explore for and produce oil and gas. It runs chemical and refining complexes all around the
world. Liquefied petroleum gas and petrochemical goods including ingredients for plastics,
paints, and detergents are among Shell's product offers. In Brazil, the firm is a significant biofuel
producer. It also has stakes in several gases to liquids (GTL) and liquefied natural gas (LNG)
projects.
,With the help of distributors across Europe, Asia, Oceania, Africa, North America, and South
America, the corporation markets its goods both directly and indirectly. In its beginnings, The
Royal Dutch Petroleum Company of the Netherlands and the "Shell" Transport and Trading
Company of the United Kingdom merged to establish Shell in 1907. By 1920, Shell was the
biggest oil producer in the world, quickly overtaking American Standard Oil as the company's
main rival.
Ownership and Liability
Shell is a PLC (Public Limited Company). Since 1981, Shell has been a public limited business.
Following World War II, new developments in manufacturing and technology increased the
demand for petroleum products globally, and Shell quickly grew. PLC (Shell) is a corporation,
which means that it has its own legal existence apart from the owner.
The fact that Shell is a PLC provides advantages since it offers Shell and its shareholders
protection from business liabilities due to its limited liability. Shareholders own Shell, which is
run by a board of directors.
Since the late 1990s, their shares have been exchanged on the stock exchange alongside the
public. There are drawbacks to a PLC like Shell with this. Cons include the possibility of a
takeover if a substantial portion of Shell's shares are purchased. If someone achieves this, they
will own a sizable majority of Shell, and it is unclear what they will do because the shares could
affect Shell's value, which could have a negative impact on the company. Additionally, because
Shell is a PLC, its information is made available to the public and everybody. This could lead to
their rival utilising this knowledge to acquire a competitive edge. Due to the same laws that
apply to Public Limited Company information regarding Shell is made public for legal reasons.
Purpose and Sector
It operates in the oil and gas sector for Shell. Shell is an operator in both the Primary and
Secondary Sectors. While the secondary sector is made up of companies that transform raw
materials into finished products or components, value is also added during the manufacturing
process, the primary sector consists of businesses that extract natural resources that can then
be used by others to produce resources, such as farming, fishing, and mineral extraction. Shell
is in the primary sector because it extracts oil; it is also in the secondary sector because it
refines the oil, which is a secondary manufacturing activity; and it is in the tertiary sector
,because it sells the final products. Shell's mission is to produce and supply oil and gas, as well as
to trade, distribute, and market oil and gas-derived goods.
These include the fuel used by hundreds of businesses, including airlines. The real goal of Shell
is to advance and create cleaner energy sources. According to Shell, the demand for energy,
including oil and gas, will continue to increase for years to come because of rising living
standards for a growing population. They must address climate change at the same time, which
means a global shift to a low-carbon energy system is underway, making operations more
environmentally friendly.
Scope and Size
The scope of a business involves every activity done by the business, including sales. Services,
product development, marketing, and contracts etc. In short, business scope refers to all the
everyday business activities which contribute to the revenue of the business etc. Shell has an
international reach. This is because Shell operates in over 99 countries, produces over 3.7
million barrels of oil equivalent daily, and has about 44,000 service stations throughout the
world. Shell is one of the biggest companies in the world and its primary subsidiary in the US.
With an average of 86,000 people across more than 70 countries, Shell is a global conglomerate
of oil and petrochemical businesses based in the UK (United Kingdom).
Nigeria is one of the nations that Shell has supported. Shell businesses and investments have
been established in Nigeria for shallow, deep, and onshore oil exploration and production. The
Nigerian economy has benefited from Shell's additional direct social investment of $33.82
million. Given that it employs tens of thousands of people both domestically and abroad, Shell
is a reasonably large company.
Stakeholders
A stakeholder is anyone who has an interest in or influence over a business. Stakeholders in
large businesses like Shell are diverse.
Internal
Owners - Their main job is to assist Shell by supplying funds through investing in the business,
which helps finance its operations, growth, and investments in various initiatives. As investors,
they provide funds to Shell's operations and growth objectives. They benefit from prospective
, share price increases (capital gains) and dividends on revenue. Owners can also vote on
important matters such as appointing directors, giving them a voice in business governance
They benefit from their ownership through possible capital gains of their shares if the
company's stock value rises over time. They are also entitled to dividends, which are a
percentage of the company's profits delivered to shareholders. Also, the owners can use their
right to vote to influence business decisions such as the election of directors and the approval
of important transactions or proposals at general meetings. This provides them a say in the
governance and strategic direction of the business.
Employees are an internal stakeholder. Others, such as government, are external because they
are not part of the business. It is important for Shell to recognise and meet the needs and
expectations, and to act responsibly considering all of them, to avoid conflict and ensure the
business (Shell) is as profitable as possible. They are the people who carry out Shell's daily
operations and represent the firm publicly. Meeting employees' demands is critical for
productivity and reputation.
Internal stakeholders are viewed as representing Shell and how it operates by the greater
community. Shell's shareholders, employees, and suppliers are its primary internal
stakeholders. Shareholders own large corporations like Shell. Shareholders are especially
important for Shell as it decides whether they are relevant or not as a business.
External
Suppliers are external stakeholders who work with Shell in the production chain, such as
transporting petrol from the oil well to the pump. Shell sticks to a set of basic ideals that
influence all it does. Shell's reputation is dependent on ensuring that its business actions are
consistent with their basic values. Shell collaborates with contractors and other supply-chain
partners who share these values. Shell will not employ them unless they do. They are
companies that provide items and services to the Shell supply chain, such as oil transportation.
Shell wants suppliers to stick to its core principles.
Customers - Shell exists to meet its customers' energy requirements through its goods and
services. Keeping customers by providing value (quality, safety, and environmental effect) is
critical.
Government - Regulatory agencies that establish policies such as emissions requirements that
Shell must adhere to. Shell seeks to meet the government's expectations.
Local Communities - Areas where Shell operates. To maintain trust, the business considers the
interests of the community.