Thursday, June 28, 2018

Threat Or Opportunity; "What Business Are We In?" -- June 28, 2018

This is really cool.

Years ago I briefed senior USAF officers on "core competencies." One of the questions that needed answering when our executive team was developing a strategic plan for our overseas medical clinic was "what business are we in?"

This story from oilprice today:
Oil supermajor BP said on Thursday that it would buy the UK’s largest electric vehicle (EV) charging company, Chargemaster, in the latest show of Big Oil’s move into EV charging networks.
Chargemaster, which has more 6,500 EV charging points across the UK, also designs, builds, sells, and maintains EV charging units for a wide range of locations, including for home charging.
After the acquisition is completed, Chargemaster will be re-branded to BP Chargemaster and will operate as a wholly owned BP entity. BP Chargemaster will combine Chargemaster’s EV charging network with BP’s 1,200 service stations in a move that will widen access to electric vehicle charging in the UK.
BP Chargemaster will rollout ultra-fast charging infrastructure, including 150 kW chargers capable of delivering 100 miles of range in 10 minutes.
This story from CNN back in 2017:
Royal Dutch Shell  revealed a deal on Thursday to acquire NewMotion, one of Europe's largest electric vehicle charging providers. NewMotion specializes in converting parking spots into electric charging stations. The Dutch firm has more than 30,000 electric charge points in Europe.
The acquisition, Shell's first in this space, shows how Big Oil is being forced to confront the long-term threat posed by electric cars and efforts to phase out gasoline and diesel vehicles. 
So, CNN suggests that Big Oil "is being forced to confront the long-term threat posed by electric cars and efforts to phase out gasoline and diesel vehicles."

I would argue that BP and Shell asked the question: "what business are we in" and came up with this answer: "we provide fuel to run cars and trucks." 

Hardly a "threat" as CNN would call it. The board of directors might call it a strategic opportunity. And answering the question, "what business are we in?"

Although I don't quite understand it, GE is betting on its own renewable energy program.

So, when I see GE, Shell, and BP getting into renewable energy, it makes me think I'm missing something. That's fine. I don't know how refrigerators work either, but I find them quite useful.

Disclaimer: this is not an investment site. Do not make any investment, financial, job, travel, or relationship decisions based on anything you read here or think you may have read here.

A Random Note
A Note to the Granddaughters

I'm blogging from a McDonald's while waiting for the older granddaughter to complete her water polo training tonight.

I do this four nights a week. The training locale has no wi-fi and it is located way too far away to drive back home and then come back and get her. So I hang out at the local McDonald's.

I love it. I have three hours of complete freedom. Peace and quiet. Time to read, blog.

But as I watch the tens of customers come and go each night, I count my blessings.

Mississippi, Pussycat

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