The Key - Timing as the Key to Successfully Applied Corporate Diplomacy

Multinational Corporations (MNCs) are currently operating internationally in an extremely volatile geopolitical environment. The political risks have increased globally, so corporations are forced to increase their consideration of these risks, which can threaten their business operations at home and abroad. In today’s business environment, it is insufficient to assure investors of the corporation’s financial viability; the management must engage with hostile stakeholders for the company’s wellbeing. Corporations must conduct outreach to hostile stakeholders, especially governmental and other political stakeholders. One collection of methods for MNCs to engage with stakeholders is titled corporate diplomacy. Corporate diplomacy requires, much like classical diplomacy, finesse, which brings the question of the appropriate timing into consideration. To find a time window for corporate diplomacy, this research will be conducted through a company case study with the aim of determining such a time window with the help of Open-Source Intelligence (OSINT) data, which is inserted into a self-determined best-case/worst-case scenario. The company selected for this case study is EnQuest. As an Exploration and Production (E&P) oil and gas company with a focus on the British North Sea, the company is heavily impacted by the recent developments regarding the windfall tax (Energy Profit Levy) in the United Kingdom. Furthermore, their operations will be affected by the upcoming UK election on July 4, 2024, which makes EnQuest very suitable for a scenario analysis.