Shell in the Niger Delta

Managing and Organising in the International Environment

MT1028A

Unit One: Case Study 2500 Words

Weighting: 100%

Module Tutor: Charlie Malone

Student Number: 0601121

Coursework Question: Critically evaluate the tensions inherent in providing a working regulatory and socially responsible framework at a time when operating globally presents complex operational and commercial challenges.

Contents

Introduction 1

Globalisation 1

Major Issues and Tensions with Operating Globally 3

Corporate Governance and Business Ethics 7

Conclusion 9

Bibliography 10

Introduction

Globalisation has opened the door for many organisations to expand their business and operate in locations all over the globe that were previously unavailable to them. Trans-national corporations (TNCs) are now inherent in modern day society as organisations seek out the benefits in conducting their operations in a multitude of different locations. However, globalisation is not viewed as a blessing by everyone, with many raising concerns that it is now a race to the bottom and that human and consumer rights are frequently violated. Many issues now face TNCs as they look to cross borders and they have been subject to negative press and strong campaigns against their actions. Justification for international operations is now imperative for TNCs as they seek to eradicate any ethical concerns surrounding their intentions. Corporate social responsibility plays a big part in this, and this is particularly prevalent in the oil and gas sector as they try to establish regulatory frameworks and codes of conduct that will benefit the local community that they operate in and allow them to prosper. But what are the tensions inherent in attempting to operate globally, and how do organisations attempt to combat them? Moreover, are there both positive and negative impacts for host economies regarding globalisation and the existence of TNCs? Finally, can corporate governance and better...