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Publication Detail
Odebrecht S.A.: The rise, fall and the future of Latin America’s construction and petrochemical giant
  • Publication Type:
  • Authors:
    Castro A, Duch Crosta G
  • publication date:
  • Series name:
    Teaching Case Study
  • Keywords:
    case study, construction, strategy, crisis
Odebrecht S.A. is a Brazilian multinational conglomerate that operates in the engineering and construction, petrochemical, agroindustrial, oil and gas, infrastructure, transportation and real estate sectors. The Odebrecht group currently employs 47,000 people in 7 business units, operating in 14 countries, with a gross revenue of 22.3 billion USD. This represents a steep decrease when compared to its 2013 numbers, when it boasted a revenue of 41.3 billion USD with 181,000 collaborators in 15 business units spread across 23 countries. The leading construction and petrochemical company in Latin America, Odebrecht S.A. became heavily involved in the corruption scheme investigated by Brazilian Federal Police’s Operation Car Wash. According to the authorities, the company used various illicit practices to secure roughly 100 projects in 12 countries, paying off USD 3.3 billion in bribes to important political and business figures in the countries in which they operated. As the company tries to restructure itself, both in terms of performance and in terms of image, questions arise if the measures taken will be enough to keep the company alive. How has Odebrecht handled the transformation of its name from a successful case study into a synonym with corruption and illicit relations with officials? What can be expected of Odebrecht in the future?
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