International Trade to Improve the Competitive Advantage in Total S.A (TOT)

Abstract

A country needs international trade to fulfill the need, the added value would be obtained if a particular product is only produced by one country or the product can be produced with limited resources. Therefore, there are two principles, comparative and competitive advantages. The principle of comparative advantage emphasizes on natural resources and cheap labor. While in competitive advantage derivers from distinctive assets or competencies of a firm, such as cost, size or innovation strength, that are difficult for competitors to replicate or imitate. International business has been a key source of competitive advantage in an aggressively competitive borderless business environment. TOTAL S.A is French société anonyme (limited company) incorporated on together with its subsidiaries and affiliates, is the fifth largest publicly traded integrated international oil and Gas Company in the world. The company began the upstream operations in the Middle East in 1924 and the company expands their operation after than year. In early 1999, the Company acquired control of Petrofina S.A. and in early 2000; the Company acquired control of Elf Aquitaine S.A and finally, the company’s corporate name is Total S.A. This research based on qqualitative approach. This approach enables the examination of a phenomenon within its real-life setting using a range of data sources. Since a limited number of cases are selected, a qualitative case study design ensures that the issue under investigation is explored in depth.