Chevron and Chad: A Pipeline Dream?

by: Andrew Hoffman

Publication Date: February 27, 2015
Length: 20 pages
Product ID#: 1-429-416

Core Disciplines: Ethics, International Business, Social Impact, Strategy & Management, Sustainability

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Description

Chevron Corporation invested in a Chadian-Cameroon oil pipeline consortium in the early 2000s. The project was extremely profitable through the decade, but it was subjected to claims of human rights violations that left a tarnish on Chevron’s name. Chevron is considering divesting its stake in the pipeline as its strategy has shifted since initial investment and it isn’t sure the future stability of the project. Students will gain an understanding of the role of human rights in a complex setting and will be able to articulate challenges of creating an industry within a developing country.

Teaching Objectives

After reading and discussing the material, students should:

  • Discuss the intersection of human rights and business policy to determine a balance between the two in a corporate strategy.
  • Identify the opportunities and concerns that arise while building a new industry in a developing nation.
  • Articulate the environmental, social, and economic factors that aid board of directors and upper management in determining the divestment of business operations or investments.