SWOT Analysis of Gazprom

Gazprom, Open Joint Stock Company is one of the major mining of natural resources and leading companies of the world. It is headquartered in the area of Cheryomushki, Moscow and South-Western Administrative Okrug. This company’s name came out of Russian Gazovaya Promyshlennost, meaning “Gas Industry”. Gazprom was formed in 1989 when Agency of Gas Industry of the Soviet Union changed itself into a business keeping all its property together. At this time most of the company’s matters are under the embrace of the Russian Government. In 2011, Gazprom created 513.2 billion cubic meters of natural gas, which is the 17% of the gas production around the world. Adding up, it produced 12.1 million tons of gas condensate and 32.3 million tons of crude oil.

Strengths

• The expanding in their income resources is their strength and it is the only reason of their strong position in the financial market.

• They have major operating margins due to which their customer base is very strong. And due to which their products are admired around the globe.

• They step into the global market when there was no such industry that can give valuable products.

• After their first success they have now entered into the, market and have a strong position.

• They are the first company to provide information about their products through mail.

Weaknesses

• Due to the Russian Government control on their assets, they cannot solve any matter on their own.

• Increasing debt has caused many problems for them. Due to less economy they are not able to produce the required amount.

• They have fewer resources due to which are they making an insufficient quantity of products due to which their clients are not happy. 

• The clients have confirmed that they are using low quality products which cost same as the original products.

• They are facing problem in providing well liked quality products when it is needed in a rush.

Opportunities