CHEAP CAN BE EXPENSIVE: ENVIRONMENTAL DISASTERS INVOLVING VALE S.A. AND RELATIONS WITH BUSINESS RISKS

Abstract

The case portrays the operational structures of Vale S.A. dams and what are the threats and incentives to use them. The company is responsible for the environmental disasters that occurred in Minas Gerais, specifically in Mariana and Brumadinho. For a long time, Vale used upstream raising to ensure lower cost, greater availability of material, and ease of construction. On the other hand, the upstream structure has less security and consequently a greater chance of disruption. Considering the plot of ruptures that occurred in cities in Minas Gerais, this teaching case aims to stimulate discussion and recognize the relationship between risk and return in the context of Vale's activities. With a didactic bias, the case can be used in classes courses in the area of Applied Social Sciences that contain disciplines related to Corporate Finance and Organizational Management.

Keywords

• riscos
• desastres ambientais
• estrutura de barragens da vale s.a.