Total SA Essay Example | Topics and Well Written Essays - 2750 words

Total SA - Essay Example The investors generate dividends from their investments. Investors receive dividends based on the prior year’s net income performance. With higher net income, the investors will automatically receive higher dividends (Warren, 2009). Further, the investors can also generate gains from the selling of their TOTAL SA investments (Crosson, 2011). If the investors are able to sell their investments at a bid price that is higher than the investors’ cost of investing in the TOTAL SA stocks, the investors generate gains. When economic depression or unfavorable economic constraints crop up, the investors may be persuaded to sell their investments in TOTAL SA investments at prices at an amount that is lower than the investment price. When this occurs, the investors generate stock exchange losses (DuBrin, 2009). TOTAL SA Company’s structure in relation the organisation’s goals, aims and objectives. The TOTAL SA organisation structure fittingly enhances the accomplishm ent of organizational s goal, aims and objectives (Daft, 2011). With more investors, the amount of investment is higher. The investors’ money plus TOTAL SA Company’s use of long term loans increase the amount of assets. The TOTAL SA Company maximizes the total assets to generate revenues (Weetman, 2006). Further, the stockholders’ investments and loans ensure accomplishment of the company’s goal, aims and objectives (Ferrrell, 2010). The company is able to establish oil and natural gas exploration development contracts in different strategic locations around the world. The cash inflows from loans and stockholders’ investments are successfully used to refine petrochemicals. The same finance amounts are used to manufacture the chemical product needs of the TOTAL SA Company’s current and future customers (Nutt, 2010). Specifically, the TOTAL SA Company specicalises in selling elastomer-based products (Total, 2012). The company also sells adhesi ve products. Another major product of TOTAL SA Company is classified as electroplating items. The bulk of the company’s profitable products falls under the petroleum market segment. The investments are used to foster company’s trading and shipping of petroleum chemical finished goods (products). Moreover, the investments and loan amounts are used to sell the finished goods (Baumol, 2009). The raw petroleum extracts are processed into finished goods. The TOTAL SA Company finished goods include the top selling Liquefied Petroleum Gas products. Another finished product is home heating gas. A third finished product is asphalt petroleum products. The fourth finished good type, asphalt, is used in the paving of the highways and smaller roads. The fifth finished good classification, lubricants, is a very popular lubricating product group (Total, 2012). Further, the investments and loans are used to generate a big share of the global energy market segment. The funds are used t o realize generating an increase of 2.5 percent production output every year (Total, 2012). The funds are used to maximize the company’s scarce asset resources. The scarce resources are used to expand the oil production facilities (Fabozzi, 2011). The company continues to set up new oil production facilities in new oil fields. The investments and loans are used to quickly set into motion cost reduction activities. With cost reduction, the