Exxon Case Study

By: Manish Agarwal For: Dr. George W. Watson Date: 01/30/2012

One of the basic tendencies of the large organizations is to develop their way to run the industry so that they can dominate the same. Not bending their rules to be socially accepted is the egoism perspective of large organization as these external factors does not impact their growth. Are these organizations converting egoism to profit? Exxon very clearly portraits bad picture by overlooking environmental issues, thinking that they are too big to fall (egoism). It was the ego of being the strongest in the industry that Exxon decided to be committed to fossil fuel and neglect alternative fuel sources such as solar, biomass, water and wind power and considered a niche market. Exxon ignored the waste management to process toxic waste generated because it was too expensive. Exxons strong presence in Washington helped them work unethically with 2 corrupt governments to introduce 670 mile long pipeline project which endangered forests, mangroves coral reefs. The pipeline posted direct threat to humanity as it will cross 17 rivers and the entire tropical forest Most importantly company needs to rebuild its image as environment friendly, the image that Exxon lost during the pipeline project, lack of readiness to handle the oil spill and asking money from govt. to help victims. Organization need to work towards building trust with investors and decrease the monopoly in the industry. A section of such large organizations should be controlled by Washington so as to make sure that they run under economical, social and environmental regulations. Countries like Chad and Cameroon should have foreign trade policies in place which does not let giants like Exxon operate independently. In order to have control over the polices of the organization, it should be in venture with the local organization which reduces the monopoly and increases the awareness towards protecting the countries foundational values.