1. Outline the challenges of conducting business in Russias oil industry. Why is it strategically important for...

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1. Outline the challenges of conducting business in Russia’s oil industry. Why is it strategically important for BP to secure a position in this market? 

2. Who are the prominent stakeholders in this situation, and what important motivational factors underlie their behavior?

3. Review the terms, nature, and timing of BP’s strategic alliances in Russia. What are the benefits and costs of the arrangement for each party? 

4. Assess BP’s management of its investments and strategic alliances in Russia. Why is the TNK-BP partnership experiencing so much internal conflict? What can BP do to salvage the situation in Russia? Do you agree with BP’s decision to block a TNK-BP cooperative arrangement with Rosneft?


This case pairing is used in Darden's "Business to Business Marketing" course elective. Following the Deepwater Horizon oil spill, BP seeks to expand its assets and revenues, so it looks to Russia, but a planned alliance with a Russian state-owned oil company is thwarted by objections from another Russian oil partner. This case maps BP's strategic alliances and illustrates the importance of alliance management. This is the first part of a two-part case.

Stakeholders
A person, group or organization that has interest or concern in an organization. Stakeholders can affect or be affected by the organization's actions, objectives and policies. Some examples of key stakeholders are creditors, directors, employees,...
Partnership
A legal form of business operation between two or more individuals who share management and profits. A Written agreement between two or more individuals who join as partners to form and carry on a for-profit business. Among other things, it states...
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