The oil and gas industry in China Case Study Example | Topics and Well Written Essays - 500 words

The oil and gas industry in China - Case Study Example China’s plight may have been averted. China government should have executed efficient corporate governance and guarantee that the oil and gas industry recognized it as a strategy for the government’s accountability to improve the legal, institutional and regular framework. Consequently, the corporations would ensure their operational performance and attract international capital in order to stabilize the domestic industry. This would have enabled the industry to keep up with the increased domestic demand and continue exporting of oil and gas. The Chinese government should have implemented the privatization of the oil and gas industry in order to encourage healthy competition. This would result in superior mining production of oil and gas enough for domestic use and export. From this case, we learn the pertinence of an efficient corporate governance model for companies in business. We also learn that a company’s success in both local and international business ope rations is largely attributed to international standards of corporate governance. We learn that businesses should be free of political interference to ensure success. Therefore, the separation of ownership and control of the main players of the oil and gas industry ensures companies are run with minimal influence from local party committees.As a business professional in 2012, it is vital to read this because the case study demonstrates to me a practical scenario of the effects on both the internal and external environments to a business.