Exonn Valdez Oil Spill V Bp Oil Spill: Social Contract

Bo Sharp

Business Environment and Public Policy

Exxon V. BP

1. Following the Exxon Valdez oil spill did Exxon and it's CEO Lawrence Rawl appreciate the value of the social contract?  Why or Why not?

Exxon and its CEO Lawrence Rawl did not respect the social contract following the oil spill. They focused on trying to protect their company’s image, rather than focus on the actual clean-up itself in the immediate aftermath. They also back tracked and attempted to lower compensation promised, and even tried to back out of some as a whole. They also tried to shield some the blame, and deflect it towards other parties.

1. What consequences followed as a result?  What should have been done differently?

The overall image of Exxon took a dramatic hit. The company as a whole was viewed in a negative light. There were also new regulations set that oil companies had to follow. Instead of worrying about the company from a PR standpoint, Lawrence Rawl should have focused the company’s intentions on solely trying to get the spill cleaned up in a timely and effective manner.

1. Were the same PR blunders made by British Petroleum's CEO Tony Hayward? 

BP made some of the exact same PR blunders that Exxon did, as well as on a greater scheme. Not only did they deflect the blame, they did so in numerous areas and multiple times, only to back track and say it was their responsibility. They also made false, or unknowingly, claims on how severe the spill was only to have the truth come out and show that it was much worse than they were claiming. They also in a way tried to bribe others affected by the spill. They also focused more on their company’s image, rather than the spill and environmental effects as well.

1. What role did the progression of technology play in the BP Oil Spill response?

The progression of technology played a huge role in response to the BP Oil Spill. In this day and age, everyone has direct ties to some sort of informational device. There are also numerous news outlets as well as social media sites that cover these events. Compared to the Exxon Valdez Spill where there were only news stations covering the disaster, The BP Oil Spill had live tweets, pictures, blogs and news stations covering it 24/7. It was an event almost impossible to miss, while the Exxon Valdez Spill just had TV coverage. The internet had a dramatic effect on the BP spill.