Enron

It seemed that Enron didnt really have a sound system when it came to diversification. They attempted to jump into industries of which they felt they could be hugely profitable, regardless of whether they had the resources or capabilities to succeed. Otherwise, they chose industries in which there was very little regulation. This left(p) the gateway open for them to seek high returns with no questions asked. They dove into both related and unrelated industries with their eyes wide shut. At no point could they have done any slip of effort analysis; because if they had they wouldve realized that they werent industries that were sound diversification options for Enron. (Cox, P. L., Friedman, B. A., & Edwards, A. 2009). Below, I will describe the corporate culture of Enron, and terce of the major strategic business units that Enron embarked upon, and why they failed. Then Ill excuse why these failures set the stage for the ultimate death of Enron, and why I belie ve Enrons officers did not deport in spite of appearance the scope of their authority EnronOnline (EOL) was launched in November, 1999 as an electronic traffic platform which allowed no-cost transactions and free real-time price information for approximately 850 commodities including electricity and natural gas.

Unlike near duty exchanges that match buyers and sellers (many-to-many), EOL was designed to operate as a one-to-many platform. The central business concept was simple; trading on EOL replaced marketing that previously took place by phone and fax. A bargainer simply clicked on either the offer or the pinnace price and the trade was exec! uted. However, EOL was essential they only political fellowship that did this, meaning they were essentially an unregulated, bilateral trading platform. EOL posted, executed, settled and wipe every trade. (Cox, P. L., Friedman, B. A., & Edwards, A. 2009). Enrons corporate culture was best fatten up as risky, and aggressive, but there was no monitoring or surveillance;...If you want to get a full essay, invest it on our website: BestEssayCheap.com

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