In September 2003, British Petroleum (BP) formed a 50/50 international joint venture (JV) company, TNK-BP, with a group of Russian investors: Alfa Group, Access Industries and Renova (AAR). This JV was created as an outcome of the merger of Russian oil companies TNK and Sidanko, possessed by AAR, with the bulk of BP's Russian oil assets. On May 26, 2008, TNK BP's chief executive officer, Robert Dudley, told Vedomosti, Russia's leading business daily, about a battle between British and Russian shareholders. During this dispute, AAR declared that BP treated TNK BP as its subsidiary and not as a JV. Also, the Russian shareholders criticized the direction of climate and the company's growth strategy of the JV. As the conflict escalated, BP's leaders needed to determine whether to walk away or continue its engagement in the JV.
PUBLICATION DATE: December 10, 2008 PRODUCT #: 908M99-PDF-ENG
This is just an excerpt. This case is about GLOBAL BUSINESS
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