Why Saudi Arabia Can't Change Too Quickly

Derek Abrams  |  Economics

The crown prince must balance his desire for change with a public reticent to adapt. Instituting change too fast could stir up dangerous opposition to his social and economic reforms from Saudis sympathetic to militant Islamic groups and a royal family that fears his policies will lead to their marginalization.

Why the Oil Glut Isn’t Gone Yet

Eric Cardella  |  Economics

A few years of low oil prices have forced domestic shale producers to innovate, become more efficient, and lower their production costs. As a result, the shale producers that were able to weather the storm have emerged as leaner, fitter, and faster operations that can now operate profitably.

Saudi Arabia's Oil Wealth Is About to Get a Reality Check

Thomas Coe  |  Business Fundamentals

Although there is no debate that there are tremendous reserves of oil in Saudi Arabia, a simple estimate of $2 trillion for the value of Saudi Aramco may prove to be to overly optimistic. The proposed offering of a 5 percent stake of Aramco has created an opportunity to value the country’s oil reserves.

The War in Yemen Tests Saudi Arabia's Clout

Derek Abrams  |  Economics

In Yemen, hardened rebel fighters remain undeterred by heavy Saudi bombing. In addition, Saudi-backed Syrian fighters have lost major ground in Aleppo. Both these conflicts have been costly distractions for Saudi Arabia, whose economy is feeling the pinch of austerity measures.

In Case of Low Revenue

Michael S. Raisinghani, Ph.D.  |  Operations Management

Twitter's "Firehose" of a half billion tweets a day is incredibly valuable — and just as dangerous. Find out how despots use Twitter to hunt dissidents.

A Saudi About-Face

Thomas Coe  |  Business Fundamentals

The Kingdom of Saudi Arabia has initiated plans to lead OPEC in production cuts that are designed to reduce the oil glut and raise crude oil prices globally. Production increases in non-OPEC countries and Saudi Arabia itself contributed to production that drove down prices. Now, the oil ministry is changing direction in order to steer prices higher and reduce the damaging economic impact on its own economy.

America Still Makes Things but Sometimes Needs Foreign Help

Duane Helleloid, Ph.D.  |  International Business

While there have been shifts in manufacturing over the past few decades, there are still opportunities for manufacturing to thrive in developed countries such as the United States. Globalfoundries' facility in New York makes semiconductor wafers and employs 3,000 people with an average salary of $92,000. 9to5 Seating, a Calilfornia-based chair manufacturer, exports quality components from its U.S. factory to China, where assembled chairs are then sold in markets such as Saudi Arabia and China.

Stranded by Saudi Austerity

Duane Helleloid, Ph.D.  |  International Business

Low oil prices are leading to a reduction in construction projects in Saudi Arabia. Thus, Saudi construction companies are cutting back on employment, as their cash flow suffers. Caught in the fray are foreign construction workers who aren't getting paid, can't send remittances back to family, and can't get exit visas to leave Saudi Arabia.

A Saudi-Russian Oil Détente? Not Likely

Derek Abrams  |  Economics

Saudi Arabia and Russia have a frayed relationship stemming from Russia’s failure in past crises to keep promises to reduce oil production. Thus, it's no surprise that Moscow’s current call for new talks with Saudi Arabia to limit oil production has fallen on deaf ears.

The IPO Aimed At Iran

Larry Tunnell, Ph.D., CPA  |  Accounting & Taxation

Why would Saudi Arabia consider an IPO at this time of historically low oil prices? Saudi Arabia is considering a new strategic ally in its cold war against Iran: The world’s 330 million owners of publicly traded stock.

Are Credit Suisse, RBS, Standard Chartered, HSBC, and Barclays Terrorist Banks?

Larry Tunnell, Ph.D., CPA  |  Accounting & Taxation

What kind of liability are major banks facing for being the conduit for money used in terrorist activities?

The Saudi Balancing Act

Brian Kench, Ph.D.  |  Economics

By boosting production and lowering prices, Saudi Arabia has helped create a bear market in oil.

Runs Out Fast

Ralph W Flanary, MBA, CFE  |  Business Fundamentals

While many still see shale oil as the path to U.S. energy independence, there are signs that it may not be an easy or inexpensive path.

Chemical Companies Are Rushing To The U.S.

Duane Helleloid, Ph.D.  |  International Business

Abundant natural gas in the U.S. is driving investment in chemical, plastics, and fertilizer plants on the Gulf Coast.

She'll Build You a Road Even If She Can’t Drive

Katherine Campbell, Ph.D.  |  Org Behavior & HR

As the only woman in the Persian Gulf who runs a bank, Nahed Taher is blazing a trail for women in banking. But, she is also blazing a trail for ethical investment.

The Saudis' New Motto: Whatever it Takes

Douglas W. Lyon, Ph.D., CPA  |  Business Fundamentals

The Arab Spring has caused Saudi Arabia to rethink its economic and foreign policy. Now, the needs of Saudi Arabia come before the needs of OPEC.

Why Saudi Hope Still Floats

Douglas W. Lyon, Ph.D., CPA  |  Business Fundamentals

Saudi Aramco is one of the world's most technologically advanced oil companies. It also provides the cash to sustain a premodern monarchy and placate Saudi Arabia's citizens.

On the Saudi Streets, Silence Speaks Volumes

Robert A. Clark, MBA, Ph.D.  |  Finance

What about the economics of oil in the tumultuous Middle East?

If Demography Is Destiny, Then India Has the Edge

James J. Stewart, DSc  |  Operations Management

Research shows working-age populations are slipping in the U.S. and other industrialized nations while those of other countries are growing faster.

Iraq's Economy Wakes Up

Robert A. Clark, MBA, Ph.D.  |  Finance

What happens when Iraq stabilizes?

Betting Big on a Boom in Natural Gas

James J. Stewart, DSc  |  Operations Management

With prices low and the promise of vast new supplies, some businesses are making the switch from oil-based fuels and coal. Are they making the right call?

Will Iraq Be an Oil Power Again?

Duane Helleloid, Ph.D.  |  International Business

Iraq's deal with BP signals a revival that could eventually put it on a par with the Saudis.

An Oasis in the Crisis

Duane Helleloid, Ph.D.  |  International Business

Saudi Arabia's conservative policies have helped it dodge the financial meltdown.

Cisco's Brave New World

David George Vequist IV, Ph.D.  |  Accounting & Taxation

Cisco, the technology company that sells everything from million-dollar routers to videoconferencing systems, also has consulting services to help companies and countries upgrade their infrastructure.

The Saudis and OPEC: Behind the Flare-up

Douglas W. Lyon, Ph.D., CPA  |  Business Fundamentals

The Saudis are concerned with maintaining worldwide demand for oil. Hence, the are working to keep a lid on oil prices.

Industrial Cities Out of the Sand

Douglas W. Lyon, Ph.D., CPA  |  Business Fundamentals

Saudi Arabia is working to reduce its dependence on energy exports by developing industrial cities in economic backwaters. The projects face challenges ranging from finance to workforce literacy.