Scribd Logo
Upload

Welcome to Scribd!

  • 94 views

    Pacific Oil Company

    Uploaded by

    Angel Zyra Linga
    Pacific Oil Company is an oil company founded in 1902 in Oklahoma City, Oklahoma known for starting the local oil boom. It provides hazardous and non-hazardous waste management services. This case study examines Pacific Oil's negotiations in 1979 with Reliant Corporation to renew their contract for the purchase of vinyl chloride monomer, which was set to expire in 1982. In 1982, Pacific Oil's marketing vice president and manager discussed extending the profitable contract beyond 1987 based on projections of increased worldwide demand for VCM.

    Copyright:

    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd

    Pacific Oil Company

    Uploaded by

    Angel Zyra Linga
    94 views2 pages
    Pacific Oil Company is an oil company founded in 1902 in Oklahoma City, Oklahoma known for starting the local oil boom. It provides hazardous and non-hazardous waste management services. This case study examines Pacific Oil's negotiations in 1979 with Reliant Corporation to renew their contract for the purchase of vinyl chloride monomer, which was set to expire in 1982. In 1982, Pacific Oil's marketing vice president and manager discussed extending the profitable contract beyond 1987 based on projections of increased worldwide demand for VCM.

    Copyright

    © © All Rights Reserved

    Available Formats

    DOCX, PDF, TXT or read online from Scribd

    Did you find this document useful?

    Is this content inappropriate?

    Pacific Oil Company is an oil company founded in 1902 in Oklahoma City, Oklahoma known for starting the local oil boom. It provides hazardous and non-hazardous waste management services. This case study examines Pacific Oil's negotiations in 1979 with Reliant Corporation to renew their contract for the purchase of vinyl chloride monomer, which was set to expire in 1982. In 1982, Pacific Oil's marketing vice president and manager discussed extending the profitable contract beyond 1987 based on projections of increased worldwide demand for VCM.

    Copyright:

    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd
    Download as docx, pdf, or txt
    94 views2 pages

    Pacific Oil Company

    Uploaded by

    Angel Zyra Linga
    Pacific Oil Company is an oil company founded in 1902 in Oklahoma City, Oklahoma known for starting the local oil boom. It provides hazardous and non-hazardous waste management services. This case study examines Pacific Oil's negotiations in 1979 with Reliant Corporation to renew their contract for the purchase of vinyl chloride monomer, which was set to expire in 1982. In 1982, Pacific Oil's marketing vice president and manager discussed extending the profitable contract beyond 1987 based on projections of increased worldwide demand for VCM.

    Copyright:

    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd
    Download as docx, pdf, or txt
    of 2

    I .

    Introduction

     Pacific Oil Company is a Sweetwater Oil company in Oklahoma City, Oklahoma. It was
    founded in 1902. One of the major chemical lines of the Pacific is the production of vinyl
    chloride monomer or VCM which plays an enormous part in this entire case study.

               Pacific Oil Company is a one-stop-shop for all of the hazardous waste management
    requirements. All regular hazardous and non-hazardous trash services are included. The Pacific
    oil company collects, labels, packs, removes, transports, recycles, and disposes of all hazardous
    and non-hazardous materials. These include automotive waste, industrial waste, and trash from
    processing and manufacturing, and medical waste.

    This case study will talk about the negotiation of Pacific Oil Company and Reliant Corporation
    that started in 1979. The SWOT analysis which is the strengths, weaknesses, opportunities, and
    threats will be assessed in this case study and be later on will be used for future business
    purposes as a reference and as a guide. This will include my experiences after I finished this case
    study that as a student I will be aware of real challenges and events in working in the business
    world. This will allow us, students, to learn and investigate what we have studied relates to real-
    world circumstances.

    1|Page
    After Pacific Oil is , known for starting the "black gold" rush. Pacific Oil company began
    working or collaborating with the Reliant Corporation in 1979.The original contract was for the
    purchasing of vinyl chloride monomer. As the contract came to an end in 1982, the businesses
    collaborated to extend the deal from 1983 to 1987.The Pacific Oil's first major contract with the
    Reliant Corporation was in 1979. The contract between Pacific Oil and Reliant was a standard one
    for the industry and due to expire in December of 1982. The contract was negotiated by the
    purchasing managers in Europe then it was reported to the vice presidents in the states.

    In February 1982, Jean Fontaine marketing vice president of Pacific Oil Europe, discussed the
    Reliant account with his VCM marketing manager, Paul Gaudin. Fontaine and Gaudin agreed
    that the Reliant account had been extremely profitable and beneficial for Pacific and Relaint
    also, overall the quality and the service of the agreement was satisfied. The latest projections
    proved that there was a worldwide shortage of VCM and that demand was continuing to rise. If
    the situation would remain the same for years then Pacific believed that it could justify a high
    favorable formula price for VCM. Fontaine and Gaudin decided to renegotiate the current
    agreement, so the strategy would be to ask Reliant for their five-year demand projections on
    VCM and polyvinyl chloride products.

    II. BACKGROUND OF THE CASE STUDY

    The founder of Sweetwater Oil which is E.M. Hutchinson pioneered a major oil strike in North-
    central Oklahoma that touched off the Oklahoma "black gold" rush of the early 1900s. Due to the
    massive success of the fortune, he found in the oil, and acquisitions he made in the ’20s and 30’s,
    his expansion lead him to rename his company which is now named Pacific Oil. After a few
    decades of the company generating savings, they expanded to North Africa and the Middle East.
    Pacific Oil is one of the largest worldwide producers of industrial petrochemicals. One of
    Pacific’s major industrial chemical lines is vinyl chloride monomer or VCM.

    2|Page

    You might also like