TNK-BP (Russia) Harvard Case Solution & Analysis

In July 2008, BP was embroiled in a dispute with its Russian partner TNK-BP joint venture. Partners have a lot of areas of disagreement, including the level of capital investment, payment of dividends, international expansion, the number of foreigners, and the selection of the Executive Director. The joint venture also had problems with the Russian government on the employee visas and exploration licenses. In terms of BP, the joint venture has been an important part of its global oil and gas business. TNK-BP accounts for almost one-quarter of BP's oil production, and close to one-fifth of its reserves. As issues between the partners and the government would have been resolved a long-term impact on BP and its presence in Russia. The resolution also affect the overall reputation of Russia to attract and support foreign investment. "Hide
by Andrew C. Inkpen Source: Thunderbird School of Global Management 16 pages. Publication Date: 01 October 2009. Prod. #: TB0009-PDF-ENG

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