When Enbridge proposed to build an oil pipeline, Enbridge knew they would have a tough time dealing and negotiating with aboriginal groups and their precious land. Many aboriginal groups have publicly opposed the Northern Gateway Project, including the Nak’azdi group. Enbridge planned to build pipeline through the heart of the Nak’azdi territory and 5 other First Nation Groups. This pipeline of Enbridge not only will take up the land of the Nak’azdi groups, it will also affect the population of the sockeye salmons that are a huge part of the Nak’azdi culture and tradition.

Now because the rights the aboriginal goods have regarding to their lands and culture, Enbridge will have to have the majority of agreements to build the pipeline on their land from the aboriginal groups. One way Enbridge did to obtain the agreement from some of the First Nations groups is agreeing to an equity sharing with the groups. This reduce in revenue will have a huge impact on revenue stream for the business model as some of the earning will be shared. From the strong opposition Nak’azdi group and some other ones are displaying, Enbridge will have to do more before Enbridge will acquire the agreement from these groups. This may bring disruption to the cost structure of the business because some of these negotiation might cause more than expected. Furthermore, if Enbridge fails to convince these opposing First Nation groups, all the money spent on the project prior would be a waste.

Enbridge needs to be very careful with the negotiation with the First Nation groups as these negotiation have the potential to alter the revenue stream and cost structure of the business model. If they are not cautious enough, the expense for starting this project will increase, causing the profit to decrease as well. Also, the aboriginal groups have the right to disallow Enbridge for constructing the pipeline on their soil. Therefore, Enbridge has a very disruptive obstacle in front of them.