Competition Strategy Research Of WPS' Company In Indonesia Market

With the high speed development of the world's economic, the demand of the oil and nature gas is increasing highly, high oil price stimulate the investments on exploring and exploitation. Daqing Oil Filed Well-testing and Perforating Services Company (WPS) is an oil technique services Company belongs to Petrochina, in charge of the testing and perforating on the well. WPS successfully serviced in Indonesia in 2003. With the international development the WPS hasn't a correlative strategy and didn't do any systemic analyses on the petroleum technical services market. So WPS has some problems on the resources and managements. The market location departures the original target. In a word, the WPS must constitute the right market competition strategy and the fine development in Indonesia.Firstly, using the PEST analytic method and the five competitive force analytic models, the paper analyzes the macroscopic environment, the industry competition situation as well as internal resource and capability in which WPS located. We find that the potential of exploring and exploitation in Indonesia is enormous, new discover in the east and the offshore as well as the old oil well alteration and stimulation. These steps bloom the demand of international investment. At the same time Petrochina and the CNOOC successfully bought many blocks in Indonesia, these can pull the Chinese petroleum enterprises going out. WPS has the strong technical preponderance, good finance and equipment and the high quality technicians. Meanwhile WPS has some weakness such as management system ossification and shortage persons in ability. Through build SWOT model we select the aim centralizing strategy for WPS.Secondly, keep the strategy controlling, WPS should do these steps: adjust the organization, put the marketing office to the technical exploitation branch of the WPS so to avoid the many-headed leading; enhance the research and keep the leading status; standardize the management, construct the aim management system, project management, performance check system and QHSE system; built the information management platform, improve the scientific decision; training the employee and optimize the human resource structure; study the Indonesia law, establish the joint venture company and solve property right and avoid the risk of management.