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Shell (English: Royal Dutch Shell), known as Shell, Inc. is the oil multinational British and Dutch origin, is the second largest private energy company in the world. Shell founded in 1907 and headquartered in The Hague, the Netherlands and has a central office in London, United Kingdom. The United States has 40% of its capital.


In this paper key, issues to the oil spill in Nigeria will be discuss along with the Shell extent of its globalization, and its reputation for ethics and corporate social responsibility. Also, the leadership will be the main theme, and how stake holders affected, and their motivation level.

Organizational and Historical Background on Shell

In 1919, Shell took control of the Mexican Eagle Petroleum Company and in 1921 formed Shell Limited, which traded products under the "Shell" and "Eagle" in the UK. In 1931, partly in response to difficult economic conditions in those days, Shell merged its operations in the UK market with the British Petroleum and Shell created and BP Ltd., a company which operated until brands separated in 1975. The story in Royal Dutch Shell also engages in the Chaco War, as one of the reasons for this war was the supposed oil wealth in the Bolivian Chaco.

In the decade of the 90's, Shell became embroiled in scandals of international importance. The most serious derived from its activities in Nigeria, a country then ruled by a military dictatorship. Pollution from the oil with the permissiveness of the government reached such a pitch that ruined the people of the Niger Delta, traditionally agricultural. The writer Ken Saro-Wiwa, the Ogoni, led a peaceful protest movement against the oil companies, particularly Shell, the largest presence in the area. He was repeatedly arrested, sentenced to death for some crimes he was not responsible and implemented, raising an international outcry of condemnation against Shell for its passivity in the events and their collaboration with the government. After a long legal battle in May 2009, the company reached a financial settlement to end the claim of responsibility for complicity with the Nigerian military dictatorship in the repression of Ogoni pueglo, agreeing to meet $ 15.5 million, and avoiding thus compromising the conclusion of a trial that would affect its international reputation. Furthermore, in Magdalena, Argentina, January 15, 1999, a ship spilled oil in the Shell River Plate, which then hit the coast and contaminated the fresh-water aquifers, flora and fauna (Ezigbo, Bassey, 2010).

In Europe, also in those years, the company planned to sink the Brent Spar platform removal in the North Sea. Environmental organizations made a strong public awareness campaign and the boycott peaceful civil society Shell products made it to rectify its decision. The platform was eventually recycled into new pier in the coastal city of Stavanger. In November 2004, Shell announced that the Group be changed to an ordinary capital structure, creating a new company to be called Royal Dutch Shell Plc, with its main entry on the Stock Exchanges of London and Amsterdam and its headquarters in The Hague, ...
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