Issues with the impulsiveness of oil prices and the contracted supply of natural gas, coupled with regulatory changes made by the government, drive Colbun to revise its company strategy and its sourcing combination. New laws will replace historically controlled electricity costs for particular customers with free market costs and consequently alter the conditions under which the company must manage.
The case also deal with the advantages and the disadvantages of a variety of energy source in view of their perceived environmental impact. As the business's CEO, Bernardo Larrain Matte has to take all these different concerns into account when planning the future of Colbun, particularly in the light of new opportunities and challenges presented by global climate change. The case assesses the Chilean electricity sector and the businesses of Colbun to illustrate the complexities associated with conducting business under the influence of international energy markets, government regulations, and environmental activism.
PUBLICATION DATE: June 03, 2009 PRODUCT #: 709060-HCB-ENG
This is just an excerpt. This case is about GLOBAL BUSINESS