Abstract

The case discusses the problems faced by Exxon Mobil Corp. (Exxon), the largest company in the US, as it recorded high profits in the wake of rising oil prices. Exxon was accused by some US policy makers and consumer activist groups of price gouging and corporate greed. There was also the confrontation between Exxon and environmental activist groups over issues like the Valdez oil spill, oil drilling in the Arctic National Wildlife Refuge, etc. The case discusses in detail the allegations made against Exxon and Exxon’s responses to the same.

Learning Objectives

The case is structured to achieve the following Learning Objectives:

• Understand the issues and allegations faced by Exxon in the wake of rising oil prices in the US
• Understand the PR challenges faced by large oil companies
• and: Appreciate the importance of communication and social responsibility for large corporations.

Keywords

Exxon Mobil Corporation, Business Ethics, Oil and Gas Industry, Exxon Valdez Oil Spill, Windfall Profit Tax, Lee Raymond, Environmental Management, Executive Compensation, Price Gouging, Corporate Greed, Corporate Communications, Federal Trade Commission, Greenpeace, Public Relations (PR), Kyoto Protocol and Global Warming