Publications
Publications
- January 2001 (Revised June 2004)
- HBS Case Collection
PetroChina
By: Alexander Dyck, Yasheng Huang and David Lane
Abstract
In March 2000, plans for the initial public offering of shares in PetroChina were proceeding on schedule, and institutional investors were evaluating the deal. PetroChina was China's largest oil and gas company and an attractive play on China's continued economic growth. The imminent listing on the Hong Kong and New York stock exchanges was designed to raise revenue and produce discipline for the firm. Disclosure policies and a new management compensation system with management rewards based on stock prices suggested a focus on investor interests. At the same time, the AFL-CIO drew attention both to corporate governance concerns with PetroChina and to human and labor rights issues linked to PetroChina's parent company. Was PetroChina an investment to avoid or a risk worth taking? Also raises broader questions about the roles of the state and the private sector.
Keywords
Citation
Dyck, Alexander, Yasheng Huang, and David Lane. "PetroChina." Harvard Business School Case 701-040, January 2001. (Revised June 2004.)