Strategy- Energy Firm Assignment Example | Topics and Well Written Essays - 250 words

Strategy- Energy Firm - Assignment ExampleHowever, the case of BP crude oil shows that firms seek to reduce cost at the expense of ethical actions hence the observed problem (Tencati & Perrini, 2011). The strategies of the confederation are to incorporate the additional cost of meeting ethical requirements and corporate accessible responsibility in the final price to the consumer.Competitive strategies in various industries have gone beyond pricing. The cost of take remains a key factor in a firms advance level. ethical concern is cost related and remains a competitive dilemma among companies. Although the cost of corporate social responsibility affects the profits, it has long term benefits as far as market share is concerned (Tencati & Perrini, 2011). For profit companies can effectively balance ethical practices with competition. The consumer community is aware of the ethical practices hence significantly cultivate the performance of the firm. This was obvious when the wor ld frowned against the BP oil over its environmental degradation on the spill. This means strategical costing and fair pricing would help address market size in the long gush and compete favorably.The berth of BP oil would have been averted if the management had considered the high cost environment care option. The chief operating officer would have opted for the expensive casing pipe as this would help reduce the risk significantly (Tencati & Perrini, 2011). It is evident that the wrong decision cost the firm its global image and subsequent slump in sales. The situation would have been prevented by insisting on ethical standards as a long term consumer concentrate