University:
Massachusetts Institute of Technology
Course:
15.501/516 | Accounting
Academic year:

2023
Views:

389

Pages:

1
Author:

Kimora Wyatt

Strategic Questions, Occidental Petroleum 1. Do you think that Oil and Gas companies should be permitted to drill for oil and gas in environmentally sensitive areas and if so, under what conditions should drilling be permitted? 2. Do you think that Globalization is a positive or negative aspect of modern business? Describe what factors you considered and how you assessed them. Comments from Dr. Laurance to think about when answering the questions above: To be successful, a modern Global Oil and Gas Exploration Company must be able to work in many different countries around the world in an ethical manner that complies with all local and international laws while respecting the rights of both the local communities and the host governments, caring for the environment, and protecting the health and safety of its employees and anyone else associated with its operations. While attempting to do the preceding, the company must make a good return on its investment, provide acceptable returns to its shareholders and also provide a rewarding and meaningful work environment for its employees. The dilemma is that many of these goals are in conflict but the company cannot prosper or even survive unless it finds a way to balance all of these goals in a manner that is acceptable to all stakeholders. This is the essence of the question of fairness for the global oil and gas industry as it deals with fairness issues for all stakeholders. I would be very interested to hear how your students think we should go about balancing all these difficult issues. How Oxy accomplishes this task is the central theme of my lecture. It is also the most difficult dilemma we face every day in our business.