Development Strategy of CNOOC

This case discusses the corporate strategy of China National Offshore Oil Corporation (CNOOC). CNOOC, China’s third-largest oil & gas company, enjoyed a monopoly on offshore resources. However, it faced a series of problems, such as business imbalances, internal bureaucracy, lack of funding support, being limited to the domestic market and having little experience in the international market. To meet its strategic goal of building an integrated energy corporation with international competitiveness, CNOOC formulated and later modified a corporate strategy. The case tracks the evolution of CNOOC’s corporate strategy through its 21-year history. The case also illustrates how CNOOC, after finalizing its corporate strategy, came up with its action plan.