This paper highlights the case study of a firm, Gas Natural BAN Company of the oil and gas sector of Argentina. The company is planning to expand her gas provision services to 12,000 customers. The company is facing some serious issues to progress with the expansion project. This paper analyzes three reasons that are continuously hampering the progress of the company towards achieving the set goal.
Discussion
Innovation is the successful application of new ideas, techniques, methods and technologies in order to produce some measure of definite benefit over essential concepts. Innovation involves using creativity to produce solutions that differ from the status quo; however, innovation is greater than the act of simply developing new ideas - t is the successful application and the diffusion of these ideas throughout society (Abell, Hammond, 2008). Innovation is important in sustainable energy systems if we are to move into a more sustainable mode of energy production and use. After reading the case study of the firm, there are three weighty issues, the company is facing. These issues are:
Fair Pricing
The analysis highlights a number of key issues of a system are efficient and fair pricing. In principle, the price charge should better reflect the actual cost. As costs differ across time, the location and methods must differentiate more. Transparency is important and ideally, the published accounts should show the relationship between pricing and cost. Such a policy would not primarily to increase tax revenues, but to use price as a tool to reduce congestion, accidents and pollution. If successful this policy, the revenue from fees would decrease. A fair and efficient pricing offers the prospect of a better relationship between charges and infrastructure costs. Appropriate pricing of infrastructure does not only reduce the costs of repair and maintenance, but it seems to play a decisive role in mobilizing private capital needed to build of infrastructure. Efficient pricing of infrastructure thus facilitate the establishment partnerships between public and private sectors, and reduce the pressure on budgets public under severe constraints. It is clear that the consequences of policies will be different according to the following industries and households, and should be carefully evaluated (Bravo, 2004).
Branding
The second major issue facing the company is poor marketing strategy. It seems that there is no proper marketing and branding strategy in place. Marketing is one the basic components of service organizations. The company has failed to conduct any feasibility study and as a consequence, there is a delay in the distribution of gas for low-income houses.
The service has to be positioned so that the availability of the gas connection can be ensured amongst the target consumer market. On the part of the company, the distributional network needs very efficient in gas connections to low income houses (Abell, Hammond, 2008). The service of Gas Natural BAN Company has always been widely available, which is one of the reasons behind the success of its brands (Gallie &Paugam, 2000).
BAN's positioning strategy should cater to the fact that there are a ...