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Courtney Powell
Krystyna Range
Jenecca Williams
Comp



arcus Samuel and family started the foundation of
the Shell Petroleum Inc. in 1892. It is known
around the world as one of North America¶s
leading producers of oil, gas, and
petrochemicals. In 1907, Shell and Royal Dutch
merged together to become The Royal Dutch
Shell Group. Shell Petroleum Inc. is a holding
company that is 60 percent owned by Royal
Dutch Petroleum Company and 40 percent
owned by The Shell Transport and Trading
Company. This company objective was to gain
profits in the automobile industry and compete
with the standard oil company. Shell has come a
long way, it currently has 45,000 service stations
and about 10 million people purchase their fuel
every day.
@ ob
ms/K
ssu
s
] Degradation of environment by processes of natural
gas flaring and oil spills
] operations in Nigeria have contaminated the land
with oil and brought about the devastation of acid
rain to the land.
] Acid rain is defined as the precipitation, as rain, snow
or sleet, containing relatively high concentrations of
acid-forming chemicals that have been released into
the atmosphere and combined with water vapor,
together; it causes a tremendous harm to the
environment (dictionary.com)
@ ob
ms/K
ssu
s
] Natural gas flaring is often generated as a result
of oil production and instead of injecting this gas
back into the ground; Shell routinely burns it off
or ³flares´ it in the fields.

] Other Environmental issues include: overfishing,

deforestation and loss of biodiversity, water
contamination and air pollution from refineries
and chemical facilities.
@ ob
ms/K
ssu
s
] R
 
] Death and execution of innocent men for expressing
concern for land

] 
 
  


] A42 million in damages
] Shell enlisted the help of the Nigerian authorities and
the obile Police Unit ³Kill-and-Go ob´
] Continued escalation of violence made it very
difficult for Shell to operate peacefully without
military protection
@ ob
ms/K
ssu
s
] @

] Shell forced Ogoni citizens to live in poverty and
poor health while the Shell Oil Company made
millions.
] Frequency of which the water was contaminated
] Severely under compensated by Shell
] Ogoniland was a site of great wealth and minerals
h
ss
] this case centers on a lot of differences in opinion in
not only business operations but in lifestyles, the
Nigerian government and Shell Oil Corporation
against the Ogoni citizens
] those who spoke out against the movement, they
were silenced by jail time or death, a highly unfair
circumstance.
] bouts of civil disturbance brought around a change
and the development of a relationship that allows the
company to continue to operate in peace while still
making their enormous revenues and at the same
time allow the Ogoni citizens to positively benefit and
preserve their land as best they can.
h
ss
] The first thing they had to do was attempt to
clean up and restore the land from all of the
degradation the company has caused it.
] Shell Oil Company built oil pipelines through
people¶s farmlands and property that leaked
and caused not only death to the vegetation
but to the surrounding land.
] These large amounts of carbon dioxide
burning in the air can cause serious problems
for younger children and even those with
asthma problems depend on how close and
thick the smoke is
h
ss
] Every citizen should be entitled to the basic
necessities in life such as a clean water system
that will not harm them every time they attempt to
drink probably the only source of hydration they
have.

] Shell Oil Company is making millions of dollars a

day operating out of Nigeria and yet they have
not been able to come together to at least
provide costs for the damages they personally
created.
h
ss
] ´@
] Anglo Persian Oil Company that was created in
1908 by William D¶Arcy, a very determined man
whom gambled away all his money on finding an
enormous amount of oil in the sands of Persia.
] Anglo Persian Oil Company was renamed to BP
and by 1921 there were 69 pumps and over 6,000
by 1925.
] BP operates in several places like Africa, North
America South America, Australia, Asia, and
Europe.
h
ss
] ´@

] major functions is providing fuel transportation,
energy services for heating and lighting
purposes, retail services, and petrochemicals
products (yahoo finance).
] Of the three competitors BP is trailing behind
in the third, fourth overall
] arket Capital: A180.6 billion
] Stock Price: A58.54
h
ss
] ´@

] Operate in three sectors:
] å


@
, this sector engages
in the exploration of oil and natural gas, the
development and production process, it is also at
this stage the oil the issue of crude oil and gas
pipelines are addressed and rectified
] — 


 
 engages in the supply,
trading, refining, marketing, and the transportation
of crude oil, petroleum, and chemicals products to
] m ´ 


 produces and
markets rolled aluminum products, as well as
generates energy through wind, solar, biofuels,
hydrogen, and gas-fired sources
h
ss
] ´@

] According to Los Angeles Times, The Occupational
Safety and Health Administration has fined British oil
company BP A87.4 million, the largest penalty the
federal agency has ever issued for safety violations
(www.latimes.com).
] 15 people died and 170 people were injured during
the explosion in early 2005, which took place at BP¶s
stations in Texas
] The end result was BP did not stick to their word and
this was the reason for the fines OSHA placed on the
company.
h
ss
]å 

] Exxon obil Corporation engages in the
exploration, production, transportation, and
sale of crude oil and natural gas as well as
engaging in the manufacture of petroleum
products, and both the transportation and sale
of crude oil, natural gas, and other petroleum
products.
] primarily has operations in host continents
such as the United States, Canada, Europe,
Africa, the Asia Pacific, the iddle East,
Russia/Caspian region, and South America
h
ss
]å 


] Exxon is currently the leading competitor in the
market capital with revenues of A 5 .1 billion
above both the Royal Dutch Shell Corporation and
BP.
] 

 : Exxon, Esso and obi
] exploration and production acreage in 8
countries and conducts production operations in
2 countries around the world (www.exxon.com).
h
ss
]å 


] aldez, Alaska
] Over 10 million gallons of unrefined Alaskan
crude oil into Prince William Sound, causing
the largest oil spill in North American history
]   is defined as a naturally occurring,
flammable liquid found in rock formations in
the Earth consisting of a complex mixture of
hydrocarbons of various molecular weights
and compounds (wikipedia.com)
h
ss
]å 


] Given 6 months to clean up oil spill
] —

hired over 10,000 people to get the
job done
] —  city grew ties normal size and many
prospered from the oil spill
h
ss
]  
] Royal Dutch Shell is a Dutch and British based
company that in 2009 was named the world's
largest corporation by †
 and world's
second largest corporation by †

(wikipedia.com)
] Shell is ranked 2nd, rd overall
] arket Capital: A180.8 billion
h
ss
] Five Segments of Shell Oil Company:
] å


@
finding new
locations with the best oil source, the best
source of income for the company.
]  
@  developing cleaner and more
environmentally friendly fuel that burns off better.
] m
 operations of crude oil.
] m
 turning crude and synthetic crude
oils into several of refined products with
domestic, industrial, and transportation uses.
]   -development of petrochemicals for
industrial purposes.
h
ss
] Though one is ranked higher than the other,
what makes one company that much better
than the other outside of financial status?

] If any business had to stand out a little more

than the other on these notes, I would say
that Exxon in fact is doing better on the social
responsibility and business operation.
—
omm

os
1. Develop a relationship of trust among the
Ogoni people
1. Government built a new housing
development that provided the citizens with
fresh water and more safe living
establishments
2. Opening lines of communication between
the company and the community
1. Allowing citizens to play a small role in the
decision-making process can go a long way
in rekindling a tarnished relationship
—
omm

os
. Work to develop better company practices to
promote a higher sense of ethics and their
climates in the workplace
1. At the beginning Shell has taken on an
egoistic approach
2. Shell¶s desire for personal gain and greed
were the destructive forces in the company
—
omm

os
4. Change their business approach from an
egoistic approach to a benevolent (a
concern for others) or principal-based
approach (Integrity approach based on laws,
a professional code approach
] Operating with a sense of social responsibility is
necessity in the workplace
] If Shell is able to live out these commitments,
they would become more sustainable, reliable
and competitive in their industry
—
o


] Reasons to believe why Shell should follow our
recommendations that were previously given
] Build a relationship of trust
] Recently there was just a settlement offered to
the Ogoni people for millions of dollars
] Allowing communities to be heard will embark on
the path to a stronger relationship.
] They will be able to scan the environment and
know the needs and wants of it and how it will
affect it.
—
o


] Ethics climate is the part of corporate culture that
sets the ethical tone in a company
] The principle climate could exist when
employees interact with the public or government
regulators a society focus coupled with a
principle pr integrity approach might be found
(Lawrence and Weber, 2008)
] At the same time I think a bit of egoism is needed
within a company. Egoism shares the interest of
the company and economic efficiency
—
o


] With the law and regulations that have been
created, Shell should conduct business on a daily
basis with keeping the Ogoni Bill of Rights a
focus within their activity.
] People should have rights to their fundamental
liberties
] Building a foundation of corporate responsibility-
an expected element within the culture of an
operating company.
Couso/—
sus
] Although Shell is a very lucrative company that
makes millions of dollars a day, they would be
very hurt to lose this business operation base in
Nigeria
] Shell went from an egoistic operation in Nigeria
to a benevolent and principle based operation.
] If Shell even took on a larger sense of social
responsibility, they would have gained a larger
competitive advantage over the competition
—



s
] Chomsky, J. (2009, June 08). O
 . Retrieved from
http://www.ludd.net/retort/msg01276.html
] Chope, C. (1997). Do or die. 
   
, (6), Retrieved from
http://www.eco-action.org/dod/no6/shell_nigeria.htm
] Lawrence, A., & Webster, J. (2008).   
. New York, NY:
cGraw-Hill/Irwin.
] Shell Nigeria. (2009). V 
 . Retrieved from
http://www.shell.com/home/content/nigeria/about_shell/issues/gas_flari
ng/gasflare.html
] BP Gas Company. (1999-2009). â 
 


 .
Retrieved from
http://www.bp.com/sectiongenericarticle.do?categoryId=201012 &cont
entId=7027817
] BP Gas Company. (1999-2009). h 
. Retrieved from References
http://www.bp.com/marketingsection.do?categoryId=2&contentId=701
628
—



s
] uskal, ichael. (2009, October 0). Osha issues record A87.4-million
fine against bp. Ë h 
  ,
http://www.latimes.com/news/nationworld/nation/la-na-osha-bp 1-
2009oct 1,0,7107891.story
] Exxon obil Corporation. (200 -2009). h    . Retrieved
from References http://www.exxonmobil.com/Corporate/about.aspx
] aldez Convention and isitors Bureau, Initials. (2007).   
 . Retrieved from http://www.valdezalaska.org/history/oilSpill.html
] Crude Oil.. (2009). Petroleum. O   . Retrieved (2009, November
20) from http://en.wikipedia.org/wiki/Crude_oil
] Shell. (2009). Royal Dutch Shell. O   . Retrieved (2009,
November 20) from http://en.wikipedia.org/wiki/Royal_Dutch_Shell