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Royal Dutch
Made To Move
Convenes team of elite scholars and staff to create SCENERIOUS
Though an embargo took place at oil supply they gained a huge amount of profit
To explore the effect of the twin crises of trust and security, Shell's planners built three scenerious
Circumspect of Royal Dutch Shell
Effect of Dynamic Environment on Global
Business
1.oil market became more competitive
2.Industrial revolution
Globalization Technological ChangeLiberalization
Two Major Crisis In 2001
Public Mistrust
• Banner criminality at Enron, Worldcom, Adelphia, tyco and cheating at firms such as Parmalta, Vivenedi, Electric Power
Security Crisis
• 9-11 terrorist attack created chaos in Middle-East
Three scenarios taken by Shell
Low trust Globalization
Open DoorsFlags
Low Trust Globalization
1. Strong economic growth in China, India, Brazil dramatically raises energy demand.
2. Anxiety over security and suspicion of markets drive shell to operate in a heavy regulation and public distrust.
3. Coercive and complex Government rules force more disclosure.
4. Nation enact new taxes to discourage pollution.
Open Doors
1. Shell doesn't face a climate of oppressive laws and regulation, instead a vibrant circumstances.
2. Companies work cooperatively with stakehoder's to promote a sustainable world.
3. Demand of oil grows incentive shell to emerge new renewable sources.
Flags
1. Trust is low
2. World energy demand is flat
3. Taxes on Business rise
4. Social activities and media turn to hostile
5. Observation become more cynical about corporate responsiblity
Low Trust
GlobalizationOpen Doors
Flags
Dynamic
Environment
Thank You
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