Preview

Benguet Corporation

Satisfactory Essays
Open Document
Open Document
548 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
Benguet Corporation
Written Analysis of the Case –WAC
Benguet Corporation

1. Statement of the problem
The Benguet Corporation refused to submit concentrate samples to the Philippine Associated Smelters and Refining Corporation (PASAR).

The Benguet Corporation faces shortage in producing their products and complying its contract to Mitsubishi Metal Corporation and complying the LOI.

2. Analysis of the case
Strengths
The Benguet Corporation is the major producer of copper concentrates.
It was the oldest mining company, the largest gold and chromite producer and one of the largest copper producers in the Philippines.
Smelted

Weaknesses
Benguet Corporation production was expected to decline steadily which results a negative impact to Mitsubishi Metal Corporation.

The Letter of Instruction (LOI) ensures the Philippine Associated Smelting and Refining Corporation (PASAR) an adequate supply of copper concentrates from all local companies which results/causes pressure to Benguet Corporation in submitting its samples to PASAR.

Opportunities-chance,break
It is the biggest and oldest mining corporation started since 1903 and produces largest gold, chromite and copper in the Philippines. It is active in exploration for gold, copper, chromite and coal.
Its expertise is about exploration, mining, beneficiation and marketing of minerals.

Threats
Benguet Corp. faces complaint from own shareholders. It also fears from selling their concentrates to foreign smelting and refining plants because of the mercury content which results Benguet enter into a 12year contract to Mitsubishi Metal Corporation.

3. Alternative Solutions to the problem
The Benguet Corporation provides 5-year summary of financial performance, including the individual subsidiaries’ contributions and the resulting effects which results of return of the company stakeholders.
The Benguet Corporation tried to have a partnership to different small mining corporations which results higher

You May Also Find These Documents Helpful

  • Satisfactory Essays

    the main purpose of the report is to provide the year’s financial data, which comes from the corporation’s…

    • 453 Words
    • 2 Pages
    Satisfactory Essays
  • Powerful Essays

    | Because the sheet metal operation is underperforming, it is causing the company to lose money by not being able to supply customer orders and perform efficiently.…

    • 1525 Words
    • 7 Pages
    Powerful Essays
  • Better Essays

    Core drilling in the Indonesian mine started in 1994 and the company struck gold, driving the company’s share price up 1000% and brought in a lot of foreign investors to the company in 1996 with talks of the potential for these mines. The talk in the mining industry was that the Busang mines continued to produce large quantities of gold and the expectations continued to rise. The company initially expected to produce 1.8 million ounces, but that number continued to grow to the point where the company was predicting the in the ballpark of 200 million ounces that would be produced with a going rate of $500USD per ounce (Alden, n.d.).…

    • 1266 Words
    • 6 Pages
    Better Essays
  • Better Essays

    and earnings per share has dropped significantly. It is reported that the decrease in sales is due to…

    • 960 Words
    • 4 Pages
    Better Essays
  • Satisfactory Essays

    braaap company

    • 1023 Words
    • 5 Pages

    Braaap started with a vision of making motorcycling more fun and more accessible, so more people could experience what we love in motorcycling.…

    • 1023 Words
    • 5 Pages
    Satisfactory Essays
  • Better Essays

    is a larger supplier of iron ore products. North America steel industry, and it’s the largest producer of iron ore pellets in the world. They manage six iron ore mines in Michigan, Minnesota, and Eastern Canada and hold equity interest in five of the mines. It operates an international mining and natural resources, that engages exploration and production—high and low volatile metallurgical coal. The Australian is 80.4 percent Portman (third largest in Australia). This company sells the ore in North America, also Europe and Asia (Reynolds, 2011). It is growing with interest in Asia/Pacific region and also Latin…

    • 1342 Words
    • 6 Pages
    Better Essays
  • Good Essays

    Rio Tinto Swot Analysis

    • 599 Words
    • 3 Pages

    The company produces aluminium, copper, diamonds, coal, iron ore, uranium, gold and industrial minerals (borates, titanium dioxide, salt, talc and zircon)…

    • 599 Words
    • 3 Pages
    Good Essays
  • Powerful Essays

    Cott Corporation

    • 10566 Words
    • 43 Pages

    Cott Corporation earned its revenue mainly from United States, Canada and U.K. Its revenue from these countries accounted for 97.83% and 98.62% in 2003 and 2002 respectively. However, the company tends to increase its operation in Mexico as a result of its acquisition in….. Therefore, our discussion will be based on 4 countries as mentioned above.…

    • 10566 Words
    • 43 Pages
    Powerful Essays
  • Powerful Essays

    Southport Minerals

    • 1654 Words
    • 7 Pages

    Being in a highly liquid position Southport sought diversification to lessen its dependence on Sulfur which had accounted for 90% of sales in the mid 1960’s. Southport was looking for a sizable investment for its cash position that was attractive. After investigating Firstburg they found that the mountain contained 33 million tons of ore with an average copper content of 2.5%, which in geographical terms is relatively high content for ore. Copper prices have been increasing from 29.3 cents a pound in 1963 all the way to as high as 69.1 cents a pound in 1966 as rising world consumption outweighed ore production. This opportunity presented a perfect opportunity for Southport to diversify into copper ore mining and seek a positive return on its highly liquid cash position. The political climate in Indonesia had settle down by 1967 and suggested a safer outlook against expropriation.…

    • 1654 Words
    • 7 Pages
    Powerful Essays
  • Powerful Essays

    African Barrick Gold

    • 1868 Words
    • 8 Pages

    The business was established as a unit of Barrick Gold when that company started mining in Tanzania in 2000. Barrick's involvement in Tanzania had begun the previous year, when the company purchased the Bulyanhulu property as part of its acquisition of Sutton Resources Ltd. Barrick then acquired Buzwagi and Tulawaka as part of its acquisition of Pangea…

    • 1868 Words
    • 8 Pages
    Powerful Essays
  • Satisfactory Essays

    One of the largest producers of specialty chemicals, fertilizers, plastics and packaging in Latin America.…

    • 471 Words
    • 2 Pages
    Satisfactory Essays
  • Satisfactory Essays

    fire drill

    • 389 Words
    • 2 Pages

    Destinations Specialists (Cebu) Inc. (Golda) located at SM City Cebu, tel. 032 2312461-63, fax 0322310852, email info@destinationcebu.com, website www.destinationcebu.com.…

    • 389 Words
    • 2 Pages
    Satisfactory Essays
  • Powerful Essays

    They own one of the country’s largest banks, Bank of the Philippine Islands. They own one of the country’s top telecommunication networks, Globe Telecom. They own one of the country’s leading real estate developer, Ayala Land. Other businesses of the Ayala’s include water distribution business Manila Water Company, information technology business Integrated Microelectronics, Inc., business process outsourcing company Integreon,…

    • 1263 Words
    • 6 Pages
    Powerful Essays
  • Powerful Essays

    Banco de Oro Swot Analysis

    • 3697 Words
    • 15 Pages

    The key persons behind the firm are Teresita T. Sy, Chairwoman and Nestor V. Tan, President and CEO, respectively. It was founded in Manila, Philippines and has its headquarter in Mandaluyong City, Philippines.…

    • 3697 Words
    • 15 Pages
    Powerful Essays
  • Powerful Essays

    Bacaltos Coal Mines vs

    • 1681 Words
    • 4 Pages

    The Trip Charter Party was executed on 19 October 1988 "by and between BACALTOS COAL MINES, represented by its Chief Operating Officer, RENE ROSEL SAVELLON" and private respondent San Miguel Corporation (hereinafter SMC), represented by Francisco B. Manzon, Jr., its "SAVP and Director, Plant Operations-Mandaue" Thereunder, Savellon claims that Bacaltos Coal Mines is the owner…

    • 1681 Words
    • 4 Pages
    Powerful Essays