Saudi Aramco

Selling oil and gas

Saudi Aramco Business Model

Saudi Aramco generates its massive wealth by pumping more oil out of the ground than any other company and selling it to countries across the globe. They give the world the energy needed to run cars, airplanes, and factories at a price people can afford. Their strategy was to gain control of the biggest oil fields on Earth and build a giant system of pipes and ships to move it. Their secret strength is that it costs them much less to get a gallon of oil out of the ground than almost anyone else, making them nearly impossible to beat on price. They use Capital Leverage to run an Inventory and Commodity model through a state-owned global supply chain.

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