business research assignment fatima

7/23/2019 Business Research Assignment Fatima

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BUSINESS RESEARCH

BUSINESS RESEARCH

BUSN350 Assignment

Prepared by:

Fatima Al Mazmi

ID: S0000000463

Prepared for:

Dr M!"amme# Ari$

FA%% SEMES&ER '0(5 ) SEC&I*N 5


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BUSINESS RESEARCH

Peak oil is a problem which poses danger to the world at large. It is a phenomenon which

if it occurs a great deal of the world population will suffer due its tremendous effects.

The idea of oil decline in a country is itself scary tale and if what Peak oil theorists are

insinuating concerning the future of the oil sector is to be believed then one has a reason

to worry about the future. Who on earth can imagine a world without oil? Every sector

relies on energy to run smoothly and the theory about an expected decline in oil makes

one to wonder about what will happen to economies if it really turns out to be true.

The reactions concerning such expected shortage of oil by countries will differ

depending on where the country is in terms of export and import. It is a precautionary to

critically analye the conse!uences of the crisis suggested by Peak oil theorists. It is

fundamental to consider such a possibility so that world economies can put in place

measures to mitigate the effects of the anticipated disaster.

"onsidering case studies of countries which have gone through crises of almost the same

nature as the one suggested by peak oil theorists# it is easy to predict the conse!uences of

the disaster and the reactions of various countries. "ountries will react differently to the

same situation$ some will resort to using their military power to con!uer nations with oil

while other countries will dictate what to do in such a crisis. %nother lot will try and

utilie their social way of life to deal with the problem at hand.

The oil crisis if it occurs will lead to suffering of populations. With the different

reactions to the crisis# it is evident that the measures put in place by countries might not

be friendly. &or example# since some countries will try and expand their territories

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BUSINESS RESEARCH

through military action# then it is clear that people will die during such operations.

&amine and diseases will be inevitable since all sectors# including agriculture and health

sectors# rely heavily on energy to thrive.

In case peak oil occurs there is going to be beneficiaries and losers. It is undisputable

that exporters will try and maximie their wealth by increasing prices. It will actually be

pay day for exporters of oil and this is to the detriment of importers who are on the

receiving end. Importers will be competing for the scarce resource and the highest bidder

will be lucky because exporters will not care about what happens but will be

concentrating on maximiing sales.

'any countries will try and look for other alternatives to oil but it is an exercise which

re!uires patience since it might take even decades to come up with a perfect replacement

of oil. It is possible to find a replacement but it will take time and the effects of the

shortage will be felt by every economy. %dapting to the situation is difficult but since

there is no other option it is necessary for countries to come up with ways of coping with

the situation as it is.

(atural gas might seem to be a perfect alternative but it has its own challenges. %

combination of the various alternative sources of energy is recommended for countries to

survive the pinch of oil shortage. )witching to the various alternatives is not an

overnight event and it will re!uire a great deal of time and resources. Energy is re!uired

to put the alternatives into use. It is therefore appropriate where the energy used does not

exceed what comes out.

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business research assignment fatima

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