In October 2013, future prospects for TransCanada’s pipeline project were uncertain, as the company had to find ways to establish and manage relationships with Aboriginal communities along the proposed Energy East pipeline in Canada, particularly in the province of New Brunswick. Following Supreme Court rulings that reinforced the duty to consult and accommodate, Aboriginals came to have a powerful voice in the development of energy infrastructure, creating new requirements for companies wishing to expand into areas subject to Aboriginal title and treaty claims.
In early 2016, stock markets around the world plummeted, raising the threat of another major depression enveloping the world. In their struggle to recover from the post-2008 global recession, many nations had expanded their money supply and lowered interest rates, with the aim of stimulating both consumer spending and corporate investment. While some of this monetary expansion increased production and employment, much of it created bubbles in asset prices, especially in the prices of equities. Investors faced such low returns from bonds and other fixed-income assets that they poured their funds into equities, which increased price-earnings ratios to exceptional levels. This bubble in stock prices amplified the risks of a severe crash. What could—and should—governments do to avoid a significant stock market crash and a global depression?
in 2011, the senior management team at TransCanada Corporation in Calgary, Alberta, was stunned by the U.S. Department of State announcement that it was deferring its decision on a presidential permit, which was required for all construction of infrastructure crossing U.S. international borders. The infrastructure in question was the proposed Keystone XL pipeline, which would create a 2,735-kilometre direct route for Canadian crude from the Alberta oil sands to refineries in Oklahoma and the Gulf Coast. Because the pipeline would pass through environmentally sensitive landscapes, especially in the state of Nebraska, non-governmental organizations, climate change activists, citizens, celebrities and federal and state politicians pressured the Obama administration to halt the project. Company executives had initially seen the Keystone XL pipeline as a readily achievable, financially significant and strategically compelling venture but now wondered whether they had missed the indications and opportunities to avoid controversy. Extensive advertising campaigns and intensive lobbying in Washington did not seem to have improved the likelihood of the pipeline’s construction. What could be done now to increase the likelihood of permit approval and bring the Keystone XL pipeline to fruition?
This case describes the situation for Globalive in 2009 shortly after its bid to enter the Canadian wireless telecommunications sector had been denied by the regulatory agency on the grounds that it breached foreign ownership restrictions. The case covers the background to Globalive and the events leading to the regulator’s decision. Andrea Wood, the chief legal officer of WIND Mobile, the wireless brand owned by Globalive, must decide what recommendations to make to Globalive’s chief executive officer.
After half a year researching technologies and examining the current and future environment for renewable energy in Ontario, Canada, two MBA graduates must decide which renewable energy field to enter — solar photovoltaic, wind, hydroelectric, geothermal, biogas, or ocean. Each choice represents great opportunities, and the entrepreneurs must ensure that they select the most suitable technology based on their experience and management skills, and on the market potential and risk.
The case describes the political, regulatory and stakeholder challenges confronting the founder of Porter Airlines, located in Toronto, Ontario, during the 2002/03 period when he was seeking formal permits to launch the airline from Toronto City Centre airport. The case also includes information on the market opportunity for a new airline, enabling students to assess a) the business case for new entry into a hyper-competitive industry, b) the appropriate competitive strategies for successful performance and c) the political or non market strategies for managing stakeholder and political opposition.
This case looks at the issue of whether an investment bank should invest in Tritortric, a privately held Turkish company specializing in white goods. Tritortric is planning an expansion in Europe either as OEM or through the acquisition of an existing European brand. Students will evaluate the attractiveness of Tritortric as a company and to provide guidance related to the mode of international expansion. This case also allows a broader discussion of how a company from an emerging country can compete against companies/brands from a developed one.