Essay about Arcelor-Mittal Case Study

Growth in troubled steel industry. How to sustain Nucor’s earnings growth in the industry, which has many marginal competitors and production overcapacity.

The market size is shrinking because of the increase in competing international steel companies. The number of rivals in America is declining due to higher labor costs than in foreign countries. There is a very fast pace of technology in the steel industry and it seems that the company, that obtains the newest technology, flourishes. This is due to the difficulty in lower costs of steel production. Better technology is one of the only ways to decrease costs because labor is pretty much at a set cost and all that is left is the cost of iron and making the steel. If a

I believe that the steel market is a very attractive market for the players that are already competing. I would not recommend new companies to try to integrate themselves in this market without substantial capital and very advanced technology. Globally steel demand is rising every year and companies are still vigorously competing for the extra market share. All firms are continuing to expand evolve and grow which means that profit are also very high in the steel market. The do have some protection issues even in

This paper is written in a perspective of business consultant analyzing the feasibility of a process engineering proposal concerning the introduction of a new line of silicon sensors and several proposed changes in the existing manufacturing process of the Silicon Sensors Assembly Room. Recommendations and alternatives regarding these two matters are also provided.

This case study examines the proposed merger of Vulcan Materials and Martin Marietta both providers of construction aggregates. A stock-for-stock merger had the potential of making the company a global leader in construction materials, but was marred by disagreements over executive succession, location of new headquarters and the stock exchange proposed by Martin Marietta. Furthermore, as negotiations deteriorated Martin Marietta attempted a hostile takeover of Vulcan and also tried to get its directors appointed to

This report discusses the challenges that The Nucor Corporation faces during this era of social and economic climate change. Using Porter's Five Forces Analysis and Four Generic Strategies, we will assess the steel industry standards as it relates to the strategies implemented by the Nucor Corporation. We will also assess what Nucor’s strengths and weaknesses are, and if they will be able to continue

U.S. Steel and other steel companies for decades, relied on the tried and true strategies of vertical integration and price control (Hoerr, 1988). In the 1960’s, foreign competition from developing countries like South Korea, Taiwan and Brazil entered the market "with low material and labor costs, modern equipment, and the support of government policies" (Hoerr, 1988, p. 99). Because of lower costs and concern over supply created by constant threat of strike, many

Until 2009, Nucor operated in an industry which experienced significant output declines during recent decades. The U.S. steel industry was operating at capacity levels of less than 50 percent and had lost more than 50,000 jobs since 2000. Growth of the Chinese steel industry posed a serious threat for domestic steel producers (Scott, 2009). Since that time, however, the U.S. steel industry has picked up momentum in response to soaring demand by the automobile and construction industries. Steel is the preferred material by the construction industry because of its performance, strength, reliability and versatility. In addition to construction, the automobile, energy and container industries have all been responsible for increasing steel consumption (Market Research.com, 2011).

Over the years Nucor emerged as a market leader in the American steel producing industry due to its sustainable growth strategies and incorporation of sophisticated technologies that enables the company to grow exponential and become a market leader by offering high quality steel products at lower costs. The company backed its growth strategies by massive integration in the American market. However, this growth strategy proved to be predominant in capturing the American market thus ignoring the potential competitive threats that could come from foreign steel producers. This included both steel producers integrating with American minimills and foreign producers who used America as a lucrative export market and dumped their products.

Subject line: Describe what went right and what went wrong with this venture. Add in how you would fix the identified problems, if this was your company.

So with business going so well for Solectron, how did everything go wrong for the company starting in 2001? Revenue fell from $6.5 billion in 3rd quarter 2000 to $2.2 billion in the same quarter of 2001. The company laid-off 20,000 employees; its stock plummeted; it was faced with plant closures, excess inventory and reduction of floor space. Was it a case of poor planning and management or just the company a victim of an economic downturn? This case analysis will explore what Solectron did wrong and what they could have done and offer some suggestions. It is also interesting to note the Solectron foresaw a pending boom in the Asia (China & India) markets and that if it was able to weather the prevailing storm, Solectron stood a chance of rising up again and succeed.

However, there has been present a considerable cyclicality in the Chemical Industrial Products manufacturing industry due to which the M&A deals have been a common tool of survival for the competitors as well as for the big players to capture the integrated products markets and create value across the value chain. Therefore, Blackstone has been valuing a backward integration as a due.

Honicker Corporation is a USA based, successful dashboard manufacturer. It has opportunities for international expansion, but due to the ultraconservative culture it did not happened until they faced a change in management in 2009. Honicker was a rich company, and to expand, they took the short road and acquired four companies around the world: Alpha, Beta, Gamma, and Delta. There were two commonalities among these companies: they serviced mainly in their own geographical area, and senior management knew their geographical culture and hold good reputation with their stakeholders.

Growth in business can come in two different forms, internal or external (Aktas, de Bodt, & Samaras, 2008). A type of external growth, which relates back to a cooperative strategy, is a merger conducted between two corporations. An example of this is reflected in the merger between Polaris Industries and Indian Motorcycles, in that both brands could have continued success under the leadership of Polaris Industries (Polaris Industries, Inc, 2011). Currently, Polaris Industries is conducting an internal growth by increasing their financial contributions to research and development (Polaris Industries, Inc, 2017). This type of internal growth will allow Polaris to expand its product lines and competitive

Doing these acquisitions at some certain stages were important to diversify GE technologies and maximize its market share (Immelt, 2005), however, the balancing between growing organically by empowering the company from within and acquiring some companies is even more important for setting up the company directions. Since more than half of the company revenue is derived from its financial services (Company Data 2008), this brings the argument onto the table about the nature of the company making it a financial company with a manufacturing arm.