Business Case Studies & Business Publications

Real Estate Lease for Oilfield Services’...

Parmar, Bidhan L.,...

Case

Real Estate Lease for Oilfield Services’ Division in Surgut: Oilfield Services Procurement Manager

Parmar, Bidhan L.; Belashova, Alina; Mead, Jenny

E-0511 | Published April 8, 2025 | 6 pages Case

Collection: Darden School of Business

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In this disguised negotiation case, students take on the role of the procurement manager from Oilfield Services Inc., a global leader in the oilfield services industry. The company is a tenant in an office complex owned by AVIV Group, and the procurement manager is meeting with the CEO of AVIV about its lease for the upcoming year. Oilfield Services is considering terminating the lease and renting real estate from a different company but wants to minimize the costs of rent and contract termination. If the procurement manager can negotiate a cost-effective way to break the lease and maintain good relations with AVIV’s CEO, Oilfield Services may be able to save significantly on short-term contract termination and long-term rental costs. This case study is suitable for negotiation, ethics, and general management courses and can be utilized in first-year courses as well as second-year electives.