First Nation as the external environment can have large impacts on businesses. BC is planning on starting a hydroelectric megaproject in order to solve the oil, gas, and mining issues due to the region’s growing population. However, the megaproject may have to stop because it has the potential of influencing the First Nation.
BC is facing both political and social issues. For the political factor: Canada’s highest court claimed that First Nation is going to win the course; this shows that the court is supporting First Nation, which means the project will be affected (cancelled) because of the political factors. Moreover, for the social factor: First Nation in Canada has showed its disagreement to the megaproject due to its impacts on aborigine’s life and their fishing industry, which can influence the project because First Nation plays an important role in Canadian society. (government takes First Nation’s opposition seriously)
Chiefs from the First Nation said that they support smaller projects, not the hydroelectric megaproject; they have also stated the substitutes such as wind, solar and geothermal power. Since there are a lot of substitutes and this industry is growing rapidly, there’ll be many competitors for sure. This shows the plan can be replaced easily, which will affect the project in a long-term period. In addition, the cost of the megaproject is $8-billion, which is a large investment (large risk TOO). If BC cannot get the capital, then the project will be cancelled.
By looking at the threats explained above, we can understand why the lawyers said this should be a slam-dunk case for the First Nation (its opposition to the megaproject)
References:
- Online business article, [URL: http://www.vancouversun.com/news/First+Nation+chiefs+stage+Site+showdown/10215965/story.html] Peter O’Neil, First Nation chiefs to stage Site C down, Last accessed: 2014-10-06