Enron Power Company

In the midst of the new generation, Enron was a power company providing electricity to the country. It was during the early 2000´s that Enron had come up with a strategy to increase profits, but it was very scandalous. The power company had chose to manipulate where power was being sent throughout the nation.The former president of Enron, Jeff Skilling, encrouraged his employees to trade aggresively and take advantage of the state´s wholesale market to boost their own stock prices. They decided to cut off power in the north coast of California, making it so there would be heatwaves hitting the Bay Area all through Los Angeles. These short power outages would increase sales by double since they were trying to compete with the rest of the industries and people were desperate of air conditioning. The fears of rolling blackouts would push large scale companies in California into more than $1 billion in long-term energy contracts. Once the company´s trick was discovered, they were forced to pay their debts, but also would come up with new contracts with other companies.