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Gazprom and the complexity of the EU gas market: A strategy to define

Author

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  • Boussena, S.
  • Locatelli, C.

Abstract

Confronted with an increasingly competitive market in the European Union and the credible threat of a new entrant in the form of liquefied natural gas imports from the United States, Gazprom’s traditional export strategy is open to question. The company must decide whether it should launch a price war in order passively to adapt to impending competition and its role as a ‘residual supplier’ to the EU gas market, or whether it should take advantage of the current price uncertainty. This article explores the scope for long-term strategic action by Gazprom other than simply engaging in a price war. It is argued that Gazprom could forge a position as a key player in the EU gas market capable of playing the same role as Saudi Arabia does in the global oil market.

Suggested Citation

  • Boussena, S. & Locatelli, C., 2017. "Gazprom and the complexity of the EU gas market: A strategy to define," Working Papers 2017-09, Grenoble Applied Economics Laboratory (GAEL).
    • Handle: RePEc:gbl:wpaper:2017-09
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    References listed on IDEAS

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    1. Yang, Zaifu & Zhang, Rong & Zhang, Zongyi, 2016. "An exploration of a strategic competition model for the European Union natural gas market," Energy Economics, Elsevier, vol. 57(C), pages 236-242.
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    Citations

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    Cited by:

    1. Catherine Locatelli, 2022. "L'industrie gazière : un secteur stratégique pour la Russie," Post-Print hal-03586985, HAL.
    2. Natalya S. Shcherbakova & Yulia A. Nazarova & Olga S. Kirichenko & Oleg A. Gorunov & Andrey V. Dubrovsky, 2020. "Evaluation of Gas Industry Competitiveness in the Foreign Market," International Journal of Energy Economics and Policy, Econjournals, vol. 10(6), pages 272-279.
    3. Locatelli, C., 2018. "La confrontation des systèmes institutionnels nationaux dans l'interdépendance : les échanges gaziers UE-Russie," Working Papers 2018-03, Grenoble Applied Economics Laboratory (GAEL).
    4. Locatelli, C., 2018. "La confrontation des systèmes institutionnels nationaux dans l'interdépendance : les échanges gaziers UE-Russie," Working Papers 2018-03, Grenoble Applied Economics Laboratory (GAEL).
    5. Considine, Jennifer & Galkin, Phillip & Hatipoglu, Emre & Aldayel, Abdullah, 2023. "The effects of a shock to critical minerals prices on the world oil price and inflation," Energy Economics, Elsevier, vol. 127(PB).
    6. Mehdi Abbas & Catherine Locatelli, 2019. "Interdependence as a lever for national hybridization: The EU-Russia gas trade [L’hybridation des systèmes institutionnels nationaux dans l’interdépendance. Les échanges gaziers UE-Russie]," Post-Print hal-02472141, HAL.
    7. Locatelli, C., 2020. "Une lecture institutionnaliste de la réforme du secteur gazier russe," Working Papers 2020-04, Grenoble Applied Economics Laboratory (GAEL).

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    JEL classification:

    • Q41 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Demand and Supply; Prices

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