Institute of Business and Computing College

Mabalacat City College

Second Semester | A.Y 2024- 2025

Strategic Business Analysis Report

SUBMITTED TO:

Mrs. Angelie Bundalian

SUBMITTED BY:

Ballesteros, Chrislee Angel

Cutchon, Chiel Sea Erica

Del Rosario, Mary Ann

Estolas, Kasten

Pogoy, Kristine

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 Institute of Business and Computing College

Mabalacat City College

Second Semester | A.Y 2024- 2025

Table of Contents
Executive Summary.................................................................................................................................….. 3
Purpose of the Study............................................................................................................................…….. 3
Company Background....................................................................................................................….……….. 3
Brief History ...............................................................................................................................…......….. 3
Vision and Mission......................................................................................................................………..….3
The Business Model Canvas ...........…........................................................................…………………….. …….4
The Macro Environment………………………………………………………………………………………………………………………4
Industry or Sector……………………………………………………………………………………………………………………………..…5
Competitors and Markets ……………………………………………………………………………………………………………………6
Analysis…………………………………………………………………………………………………………………………………………………….
SWOT…………………………………………………………………………………………………………………………………………………..
PESTEL …………………………………………………………………………………………………………………………………………………
Porter’s Five Forces...............................................................................................................................….
Financial Analysis ...............................................................................................................................…….
Results ……………………………………………………………………………………………………………………………………………………
Reference………………………………………………………………………………………………………………………………………………7
List of Tables and Figure …………………………………………………………………………………………………………………………
Appendices................................................................................................................................................…

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 Institute of Business and Computing College

Mabalacat City College

Second Semester | A.Y 2024- 2025

Purpose of the Study

To study how Shell Corporation Pilipinas facilitates their business transactions with the use of different
business models. Aiming to assess the macro environment by examining economic, political, social,
technological, environmental, and legal factors impacting Shell Pilipinas’ operations. To analyze the
company’s competitive landscape and value chain through evaluating its internal capabilities and
assessing its financial performance. Addressing these aspects will provide a thorough understanding and
knowledge about Shell Pilipinas’ business, its position within the market, and potential for future growth
and success.

Company Background

Brief History

Shell Pilipinas Corporation, previously named Pilipinas Shell Petroleum Corporation, has long been a
pillar of the Philippine energy industry since its formation in 1914. With more than a century under its
belt, Shell has become one of the most well-known and reliable energy suppliers in the country. As a
fully integrated energy player, Shell Pilipinas engage in various segments of the energy value chain—
ranging from importing crude oil and refining to distribution and marketing of petroleum products.

The firm has a large refinery in Batangas, where crude is converted into a vast range of products
including gasoline, diesel, kerosene, liquefied petroleum gas (LPG), and bitumen. Its integrated
downstream activities ensure continuity from production to delivery to the market, securing efficiency
and reliability. Shell, through a countrywide network of more than 1,100 retail outlets, offers quality fuel,
lubricants, and other services appealing to individual consumers as well as large-scale industries.

Aside from its conventional energy products, Shell Pilipinas is also aggressively pursuing alternative
energy resources like solar and wind power, highlighting its vision of a more sustainable energy future.
The firm also adopts the aspects of sustainability and social responsibility through activities aimed at
reducing carbon emissions, community development, and workplace safety.

Focusing on a wide variety of petroleum products such as heating oils, aviation fuel, marine fuel oil, and
automotive lubricants, Shell Pilipinas caters to various market segments in the Philippines. With its firm
focus on innovation, environmental care, and customer satisfaction, Shell remains an integral part of the
country’s energy landscape.

Vision

To advance the circular economy while enabling the energy transition

Mission

Creating value through sustainability by applying innovative technology and experience to convert
refinery waste streams into products that enable energy transition technologies

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 Institute of Business and Computing College

Mabalacat City College

Second Semester | A.Y 2024- 2025

THE BUSINESS MODEL CANVAS

THE MACRO-ENVIRONMENT

Political Factors

• Must comply with tight government regulations, particularly on fuel prices, taxation, and
environmental policy.

• Collaborates with public authorities in the Philippines to encourage cleaner energy and safe, legal
operation.

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 Institute of Business and Computing College

Mabalacat City College

Second Semester | A.Y 2024- 2025

Economic Factors

• Changes in global oil prices have a direct impact on operations and fuel expense.

• Increased oil prices can cut back consumer spending.

• Inflation and interest rates both affect the costs for Shell as well as consumer behavior.

Social Factors

• Growing awareness among people for climate change and clean energy.

• Shell reacts by providing electric vehicle charging and green products.

• Amenities like food, rest areas, and others are turning stations into full-service stops.

Technological Factors

• Fast technology advancement enables Shell to enhance operations.

• Provides digital solutions such as contactless transactions and mobile applications.

• Spending in EV charging facilities and other energy technologies.

Environmental Factors

• Dealing with increased challenges from more intense storms, climate change, and worldwide pressure
to cut carbon emissions.

• Investing in cutting its carbon footprint and facilitating the transition to renewable energy.

Legal Factors

• Constrained by regulations related to pollution control, employee safety, and ethical business.

• Non-compliance may lead to monetary fines and loss of reputation for the company.

INDUSTRY OR SECTOR

Shell Pilipinas Corporation operates in the oil and gas sector of the energy industry. Businesses engaged
in the exploration, extraction, refinement, and marketing of petroleum and related products are included
in this category. Shell Pilipinas, a major force in the Philippine energy market, imports, refines, and
distributes a variety of petroleum products. Bitumen, lubricants, aviation fuel, marine fuel, diesel,
heating oil, and gasoline are among its products. Additionally, the company supplies commercial fuels to
several industries, including manufacturing, power generation, and transportation. In addition, Shell
Pilipinas provides vehicle maintenance services through Shell Helix Oil Change+ and Helix Service Centers

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 Institute of Business and Computing College

Mabalacat City College

Second Semester | A.Y 2024- 2025

and runs retail establishments like Shell Select convenience stores and Deli2go. The business has also
started offering battery swapping and charging services for electric vehicles.

COMPETITORS AND MARKETS

Shell Pilipinas Corporation’s success in the Philippine energy market stems from its diversified portfolio,
strategically spanning several key segments. The company’s retail operations, anchored by a network of
over 1,100 service stations nationwide, form a significant revenue stream through direct sales of gasoline
and diesel to individual motorists. This retail presence also supports non-fuel retail businesses such as
convenience stores, contributing to overall profitability. However, the retail segment is highly
competitive, demanding continuous innovation in product offerings (ex: Shell V-Power) and customer
experience enhancements to maintain market share against both major players like Petron, Chevron, and
Phoenix, and numerous independent retailers.

Beyond retail, Shell Pilipinas serves a broad commercial market, supplying wholesale fuels and lubricants
to diverse industries including transportation, manufacturing, mining, and power generation. This
segment requires sophisticated logistics for bulk deliveries and specialized lubricant solutions tailored to
specific equipment needs. Strong, long-term relationships are key to success in this sector, demanding
close collaboration and technical support.

Further diversifying its reach, Shell Pilipinas is a major supplier of jet fuel to the aviation sector, serving
airlines operating in major Philippine airports, and marine fuels to the shipping industry. These
specialized fuel markets demand rigorous quality control and reliable supply, factors which are
strategically important given the highly regulated nature of these sectors and their sensitivity to global
fuel price fluctuations. The company’s involvement in supplying bitumen for infrastructure projects
underscores its contribution to national development.

This adaptable market strategy necessitates a flexible and adaptive approach. Marketing, distribution
channels, and customer service models vary considerably across segments, ranging from price-sensitive
retail to relationship-driven commercial interactions. Shell Pilipinas’ competitive advantage lies in its
combination of strong brand recognition, a deep understanding of local market dynamics, and the
leverage of Shell’s global ability in product innovation, sustainability, and operational excellence. This
allows it to effectively navigate the competitive landscape and maintain its position as a leading energy
provider within the Philippines.

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 Institute of Business and Computing College

Mabalacat City College

Second Semester | A.Y 2024- 2025

Reference:

https://edge.pse.com.ph/companyInformation/form.do?cmpy_id=663&utm

https://businessmirror.com.ph/2023/11/06/petron-shell-are-phls-top-oil-firms/

https://business.inquirer.net/files/2024/08/Shell-Philippines-FILE-01.png