Caspian Oil and the Baku-Ceyhan Pipeline: International Relations Meets International Business

Authors: Horton, Raymond D.; Ruseckas, Laurent
Product Type: Cases
Source: Columbia University
Publication Year: 2000

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The central issue is whether the Azerbaijan International Operating Company (AIOC), an international oil consortium developing oil in the Caspian Sea, should build a pipeline from Baku, Azerbaijan to the Mediterranean port of Ceyhan, Turkey. The case describes the 'power vs profits' framework of the dispute and concludes with an interactive spreadsheet that lets users make their own assumptions about key political and economic variables that will determine AIOC's decision...

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