Abstract
From production to distribution, Electricite de France (EDF) is one of the world's largest producers of electricity. Its story has naturally propelled the company as a leader on the French market through a monopoly related to nationalization. Indeed, the law of April 8, 1946 regarding the nationalization of electricity and gas created by Electricité de France gave it the status of a “Etablissement Public à caractère Industriel et Commercial” or a “Public establishment with industrial and commercial character “(EPIC). Based on external growth, the purchase or acquisition of shares in European companies, Electricite de France has become a leading power on the European market. This status gives it the mission of managing a public service activity, concerning the efficiency and control of sensitive sectors.
Since its inception, the group has been a resounding success, in fact, at the end of the WW2, Electricite de France benefited from the post-war reconstruction to establish itself in about 90% of French households and thus provide access to electricity powerful enough to operate the small appliances.
In November 2004, EDF sunk into a debt of €40 billion including its pension commitments, financial commitments in Italy and Germany as well as the dismantling of nuclear power stations. The company lost its monopoly; with an Initial Public Offering, EDF was freed from its principle of specialization that gave it the status of a public company, it could thereby develop its commercial activities in relation to its competitors.
With the market opening on July 1, 2007, one might have feared a loss of its leading position on the French market, however, EDF had been able to sustain its position through a strategy of influence and has a fiscal policy based on an investment program of 40 billion Euros. Electricite de France was successfully managed to remain the market leader
