People laugh or look puzzled when IFO rails against American companies doing business with Russia and Russian companies and Russian oligarchs. But look at the following:
BP (NYSE: BP) is one of the biggest offenders in this respect. We’re beginning to conclude that the company is run by idiots. Yes, we know, most of you already thought that – but we’d venture to guess that your reasons are not ours.
BP has been trying to do a deal in Russia for years and has been kicked around by Russian oligarchs and politicians for years. Charlie Brown anyone? When will they learn? The other oil companies, to the best of our knowledge, are no longer trying to do business there and thriving. What’s with BP?
Oh, a big investment that they can’t let go? Great – even your grandma knew that throwing good money after bad was a bad business strategy.
Word to the wise: there’s a huge Russian investment in Facebook.