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Essay / The Exxon Mobil disaster - 2013
Modern consumers are increasingly sensitive to the environmental performance of companies (Arana and Leon 2009) and recognize that at all stages of business operations there is the potential to generate a negative impact on the environment. systems (Handfield et al., cited in Setthasakko 2009). For a multinational corporation like ExxonMobil, recognized as the largest private oil company in the world (Skjaerseth 2003), the potential for environmental damage resulting from its business practices, both in the immediate and long term, is of particular concern (Plender 1999). This article examines ExxonMobil's performance in relation to the environment. It examines their conduct during the Exxon Valdez oil spill (EVOS) and in their dealings with the Save the Tiger Fund (STF), showing both the strengths and weaknesses of their operations and their impact on the environment and stakeholders. The Case Against ExxonMobil Most notable is ExxonMobil's environmental performance in relation to the Exxon Valdez Tanker oil spill in Prince William Sound, Alaska (Hazardous Materials Response and Assessment Division, 1992) . This spill of approximately 11 million gallons of oil occurred in 1989 (Graham 2003). This has had a huge impact on both the environment and human communities. Effects on animal life include the immediate death of thousands of animals and an overall reduction in populations of various marine animals (Graham 2003; Fry 1993). The spill had an economic impact on many stakeholders, interestingly, both positively and negatively (Hirsch 1996). On the positive side for activity, there has been a sharp, but short-term, increase in spill activity in key clean-up areas and in business sectors such as hospitality...... middle of paper ......ty expects that they will not harm the various stakeholders and environments in which they work. However, their delaying tactics, their desire to minimize their obligations and their manipulation of information can be seen as a failure to adequately manage the environmental impact that followed the EVOS and indicate a lack of attention to the communities constituents (human and wild). in which the company operates. Regardless of the company's efforts, there is ample evidence that Exxon Mobil failed to uphold its side of this social contract, both immediately after the spill and even now in the ongoing impact assessment. Failures to meet their environmental obligations in their core business overshadow their positive contribution through the STF and result in an environmental contribution that is unsatisfactory to say the least...