Chevron Corporation is an American global energy corporation that is head office in San Ramon, California. Chevron Corporation can be dated to 1870 when it was known as the Pacific Oil Coast Company. Following successive mergers with various oil firms, they finally changed their name in 1911 to Standard Oil Company. Due to the U.S. Supreme Court ordering the Pacific Oil Coast Company (POCC) to be liberated into various oil companies because it violated the Sherman Antitrust Act (New York Times). Later on name they would change their name to Standard Oil Company of California (SoCal) because of the acquisition of Pacific Oil Company. After a decade, the firm agreed upon a contract with Texas Oil Company which resulted in the formation of the Caltex Corporations. Furthermore, with successful tactical mergers with companies such as The Standard Oil Company of Kentucky, Standard Oil Company of California acquired 2,000 retail stations, increased its channel and market equity in southern region of the United States (Mattera, n.d).
Chevron have business in over 180 countries. Some of the countries the company has processes are Angola, Argentina, Australia, Azerbaijan, Bangladesh, Brazil, Cambodia, Canada, Chad, China, Colombia, Democratic Republic of the Congo, Denmark, Indonesia, Kazakhstan, Myanmar, Netherlands, Nigeria, Norway, the Saudi Arabia, Kuwait, Philippines, Republic of the Congo, Singapore, South Africa, South Korea, Thailand, Trinidad and Tobago, United Kingdom, United States, Venezuela and Vietnam. (Chevron)
In 1984, the term Chevron Corporation was assumed after the acquisition of the Gulf Oil Company which at the time in history was the largest merger of oil corporations. This union doubled Chevron Corporation fuel and ...
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...to pay 15 billion dollars to the Ecuadorian State to end the conflict. Chevron which has never had a refinery in Ecuador, must be acknowledgeable of the acts of its subsidiary (The Independent)
Works Cited
(2014, April 29). Retrieved from learning.blogs.nytimes.com/2012/05/15/may-15-1911-supreme-court-orders-standard-oil-to-be-broken-up/?
Mattera, P. (n.d.). Chevron : The Big Oil Boys. Retrieved from http://www.multinationalmonitor.org/hyper/issues/1992/04/mm0492_11.html
Sorkin, A. R., & Barnerjee, N. (2000, October 16). Chevron Agrees to Buy Texaco For Stock Valued at $36 Billion - New York Times. Retrieved from http://www.nytimes.com/2000/10/16/business/chevron-agrees-to-buy-texaco-for-stock-valued-at-36-billion.html http://www.multinationalmonitor.org/hyper/issues/1992/04/mm0492_11.html http://www.hoovers.com/company/Chevron_Corporation/rfyxkki-1-1njhxk.html
When John D. Rockefeller merged with the railroad companies, he had gained control of a strategic transportation route that no other companies would be able to use. Rockefeller would then be able to force the hand on the railroads and was granted a rebate on his shipments of oil. This was a kind of secret agreement between the two industries. None of the competition knew what the rates were for the rebates or the rates that Rockefeller was paying the railroad. This made it hard for the competition to keep up with the Standard Oil Company. The consequences led to many oil companies getting bought out by Rockefeller secretly. All in all, 25 co...
As America’s first billionaire, few individuals in history can compare with John D. Rockefeller Sr. His wealth around the turn of the 20th century would be worth roughly twenty-two billion dollars in modern United States dollars. It is undeniable that Rockefeller changed the landscape of the American petroleum industry by defining the nature of oil production. By 1883, Rockefeller was laying the foundations for what we now know as the vertically integrated company and the modern multinational. The fruit of Rockefeller’s labor, the Standard Oil companies, controlled ninety five percent of petroleum refining and transport by 1880. It would not come as a surprise, given Rockefeller’s opulence, to find Standard Oil and its business practices under close scrutiny by his competition as well as the federal government. Rockefeller’s ruthless and legally questionable business tactics threatened the well-being of the United States’ capitalistic economy. Although the federal government had a prepared response to monopolies, the Sherman Antitrust, it was not enforced to its fullest potential because of the overwhelming influence possessed by Rockefeller due to his wealth. At the time of Standard Oil’s dissolution, their prominence was already waning, providing an entry point for powerful trust busters, such as Theodore Roosevelt and influential writer, Ida M. Tarbell. Standard Oil was allowed to exist for over a decade because of the economical, political, social, and legal complications in separating Rockefeller’s companies and the oil industry. The proper environment for a dedicated antitrust effort existed only after Standard Oil’s initial decline in influence.
Prior to the year of 1999, Exxon and Mobil were the two largest American oil companies, which were direct descendants of the John D. Rockefeller’s broken up Standard Oil Company. In 1998 Exxon and Mobil signed an eighty billion dollar merger agreement in hope to form Exxon Mobil Corporation, the largest company ever created. Such a merger seems astonishing, not only because it reunited parts of Rockefeller’s Standard Oil Company, but also because it would be extremely difficult for the Federal Trade Commission (FTC) to approve this merger due to its size and importance in the oil market. In fact, it took the FTC an entire year after the merger was proposed to make a decision due to its rigorous analysis in the product and its geographic market, the concentration of the oil market, the potential anticompetitive effects of the merger, the effects towards their growth and labor force, and lastly, the likelihood of entry and the efficiencies that may affect anticompetitive concerns. Although all of these notions are played a role in the analysis of the merger, it is important to remember that the merger’s result efficiencies did outweigh the the anticompetitive risks that were involved, especially since the oil market was headed towards decreasing prices to expand production.
...FO at the Houston airport. While Mr. Fastow's parents were undergoing a random search, he stopped to chat with Mr. Schwieger. "I never got an opportunity to explain the partnerships to you," he said, according to Mr. Schwieger. Mr. Schwieger replied, "With everything that has come to light, I probably wouldn't like the answer I would have gotten."
...mpanies, it eventually came to the point where they couldn’t keep up and eventually became a part of Standard Oil. By the time Rockefeller had reached the age of 40, his company had controlled all national oil refining by 90% and about 70% of international export of said oil.
Standard Oil’s moves were quick to sweep control of almost all of the refineries in Cleveland within two years. With Standard Oil’s size and control, in the region, it made favorable contracts with railroad business. At the same time, Standard got into another business with a purchase of terminals and pipelines which set up a system to transport its own product. The business got bigger and Standard Oil acquired competitors in other regions, soon being an industry player going coast to coast in America. Later, the U.S. Congress noticed Standard Oil and their seemingly unstoppable determination. In 1890, with The Sherman Antitrust Act, the Ohio Supreme Court deemed Standard Oil as a monopoly that violated Ohio laws. Today the Standard Oil Company is required to be broken into independent, smaller companies such as ExxonMobil and
Pratt, Joseph A. “Exxon and the Control of Oil.” Journal of American History. 99.1 (2012): 145-154. Academic search elite. Web. 26. Jan. 2014.
Decisions are decentralized to the business unit level, which is a specialized department with a specific business function within the company. The business units at Chevron are responsible for geographic areas of the business sector. Since Chevron is an energy company, different business units would be departments such as upstream operations which are involved with finding the oil, developing it with wells and production facilities and downstream operations which involve refining the oil and marketing it, including at the gas stations. The business unit leader delegates authority to make decisions to employees in the same level of the business matrix. Under this leader there is delegation to lower managers and supervisors who overlook different teams specialized in specific entities of energy production. Chevron has operating business units in over 20 different countries with its corporate office in San Ramon, California. The corporate office decides the overall strategy such as what assets to buy or sell, what new businesses to start, and where to focus development. The business unit must report each month with progression within Chevron’s annual plan, production made, capital costs and specific project
In the 1920 Standard Oil acquired partial interest in companies that owned Midwestern oil fields and pipeline networks in order to add production to its refining and marketing operations. In the 1950s Standard Oil became active in oil exploration and production ventures in South America and the Middle East. In 1961 most of the company’s U.S. operating activities were unified in the American oil company, for which Standard Oil (Indiana) served as a holding company. The byname Amoco was increasingly used as a brand and corporate name. In 1985 the Standard Oil Company (Indiana) became officially the Amoco Corporation.
Have you ever been to Hell? No one is quite sure how far underground you have to go to get there or what you have to do to be sent there, but no one truly wants to go. Fracking might be putting people closer to Hell than the government thinks. What is fracking? “…hydraulic fracturing… as a means of extracting natural gas and oil from shale formations located deep underground (Davis and Fisk 1). Fracking has caused many ethical issues due to the many problems it has caused for the people who live around the fracking sites. “…, it has become increasingly controversial because of rising public concerns about drilling-related impacts on environmental quality, local government infrastructure, and public health” (Davis and Frisk 1). The fracking
We have been engaged to audit the financial statements for Exxon Mobil Corporation (ExxonMobil) and assess the effectiveness of their internal controls for the fiscal year ended December 31st, 2010 in compliance with the laws of the state of Texas and the standards set forth by the Public Company Accounting Oversight Board (PCAOB). In the previous memo sent, we outlined the client’s high inherent risk due to the account balances and transactions, foreign currency translations and the complexity of accounting for and auditing the client’s vast oil reserves and inventories. This memo will address preliminary assessment of control risk and the appropriate level of detection risk given the forgoing conclusions on inherent risk, audit risk and control risk.
BP was founded in 1908 under the name Anglo-Persian Oil Company. They changed their name to British Petroleum in 1954 and merged with Amoco in 1998. (BP Public Website, 2010) “The Texas City Refinery is BP’s largest and most complex oil refinery... It was owned and operated by Amoco prior to the merger of BP and Amoco.” (Michael P. Broadribb, 2006) Throughout their history, there have been a number of accidents that have been caused by negligence and disregard of safety precautions. Unfortunately many lives have been cut short or seriously injured as a result. My research will focus on the 2005 Texas City Oil Refinery Explosion. I will attempt to look into the ethical implications that surrounded this disaster before and after the event and suggest what BP could have done to prevent the incident then and in the future.
Enron Corporation started back in 1985. It was created as a merger of Houston Natural Gas and Omaha based InterNorth as a interstate pipeline company (CbcNews). Kenneth Lay was the former chief executive officer of Houston natural gas merged his company with another natural gas line company, Omaha Based InterNorth. During the time of the merger there were many arguments amongst the two companies and in the end Ken Lay the former C...
Company Overview of Sinopec Corp. Focusing on its core business of petroleum and petrochemicals, China Petroleum and Chemical Corporation (Sinopec Corp.) is a publicly listed company with integrated upstream and downstream operations and a complete marketing network. The company was set up on February 28, 2000, pursuant to the [Company Law of the People's Republic of China] and in line with the principle of 'separation of core business from the ancillary, good assets from the bad, and enterprise functions from the social', by China Petrochemical Corporation (Sinopec Group) as the sole sponsor, after the restructuring of its businesses, assets, debts and creditor's rights, organization and personnel. Following international models, the company has set up a new, standardized structure of corporate governance, with centralized decision-making, delegated authorities in management, and business operations handled by specialized business units.
Enron was on the of the most successful and innovative companies throughout the 1990s. In October of 2001, Enron admitted that its income had been vastly overstated; and its equity value was actually a couple of billion dollars less than was stated on its income statement (The Fall of Enron, 2016). Enron was forced to declare bankruptcy on December 2, 2001. The primary reasons behind the scandal at Enron was the negligence of Enron’s auditing group Arthur Andersen who helped the company to continually perpetrate the fraud (The Fall of Enron, 2016). The Enron collapse had a huge effect on present accounting regulations and rules.