Article at a glance:

National oil companies: The right way to go abroad

• Petroleum-rich countries and their national oil companies have long been striving to expand abroad.
• Success has eluded many of them, largely because they have failed to define clear economic objectives for their international ventures.
• National oil companies are more likely to succeed abroad if they seek access to an overseas market that needs their products or if they stimulate demand for their products in an existing market.
• To manage national resources and establish a presence abroad in today's energy industry, these companies should fully evaluate all alternatives, including partnerships with multinational oil companies.