28.5.Oil Price Increase Official

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    Group 8: Nguyen Hong Ngoc

    Pham Thi Phuong Thu

    Nguyen Thi Trang

    Oil price increase

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    Contents

    Causes1

    Influences2

    Solutions3

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    Import oil price in 2010-2011

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    Causes:

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    Root causes

    Direct causes

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    Root causes:

    Political

    instability in

    the Middle

    East & North

    Africa

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    Root causes:

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    Earthquake, Tsunami in

    Japan & New Zealand, and floodin Australia

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    In Japan

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    In New Zealand

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    In Australia

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    Direct causes:

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    The policy of Iraq Government

    Libya Civil War

    Significant recovery of the global economy

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    AD-AS Model

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    From 2017 on

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    6,5- 7 m

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    Initial target

    12m

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    The world leading crude oil exporter

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    5.4

    2.4 2.3 2.1

    0

    1

    2

    3

    4

    5

    6

    Russia Arab Saudi Iraq Nigeria

    Source: IEA, 2011

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    Libya Civil War

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    Global economic recovery

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    Global economic recovery

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    Global economic recovery

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    INFLUENCES

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    Rising manufacturing cost

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    Process

    Transportation

    Oilprice

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    Rising selling price

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    Decline in demand

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    Unemployment

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    Inflation

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    INFLUENCES

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    From businesses view

    1, Keep prices +Size of

    production

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    From businesses view

    More shift works More salaries

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    70%+ 30%

    Capacity

    70%

    Capacity

    100% +plan newmarketingstrategies

    Situation1

    Normalcondition

    Situation2

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    From businesses view

    2, Prices + Plan newmarketingstrategies

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    From businesses view

    More customers More Sales

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    Alternative sources

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    Alternative sources

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    FROM MACROECONOMIC VIEW

    1.Reduceimport taxes on oil.

    2. Establishthe oil stabilization fund

    3. Build

    the healthy competition.

    Protect

    SMEs & oilconsumers

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