Epsilon Refinery Group

7 Pages Posted: 2 Jun 2017

See all articles by Sherwood C. Frey

Sherwood C. Frey

University of Virginia - Darden School of Business

Paul Bacon

University of Virginia - Darden School of Business

Abstract

It was May 2007. Earlier in the week, Epsilon Refinery Group had received notification from one of its major suppliers that the price of a key raw material, hydrofluoric acid (HF), would increase at the end of the year—in just seven months. This action was in accordance with an environmental clause in the contract with Cornwell Performance Products (CPP), a division of the multinational chemical manufacturer, Cornwell, Inc. Also in accordance with the contract, action would be required within the next 60 days. Preliminary discussions within Epsilon focused on three primary alternatives. These limited options and the very high stakes involved made the pending discussions with CPP among the most important in recent Epsilon history.

Excerpt

UVA-QA-0796

Rev. Aug. 21, 2012

Epsilon Refinery Group

It was May 2007. Earlier in the week, Epsilon Refinery Group had received notification from one of its major suppliers that the price of a key raw material, hydrofluoric acid (HF), would increase at the end of the year—in just seven months. This action was in accordance with an environmental clause in the contract with Cornwell Performance Products (CPP), a division of the multinational chemical manufacturer, Cornwell, Inc. Also in accordance with the contract, action would be required within the next 60 days. Preliminary discussions within Epsilon focused on three primary alternatives:

· Accept the price increase.

· Commit Epsilon to an alternative external sourcing plan with another HF supplier.

. . .

Keywords: negotiation, negotiations, contract

Suggested Citation

Frey, Sherwood C. and Bacon, Paul, Epsilon Refinery Group. Darden Case No. UVA-QA-0796. Available at SSRN: https://ssrn.com/abstract=2975163

Sherwood C. Frey (Contact Author)

University of Virginia - Darden School of Business ( email )

P.O. Box 6550
Charlottesville, VA 22906-6550
United States

HOME PAGE: http://www.darden.virginia.edu/faculty/frey.htm

Paul Bacon

University of Virginia - Darden School of Business

P.O. Box 6550
Charlottesville, VA 22906-6550
United States

Register to save articles to
your library

Register

Paper statistics

Downloads
0
Abstract Views
38
PlumX Metrics