Nucor Essay examples - 1893 Words

INTRODUCTION Decisions form the basis of strategy. Each firm must make choices regarding what resources and capabilities to invest in, as well as what to do with such resources and capabilities in order to achieve sustainable competitive advantage. The star of this week’s case, Nucor Steel, finds itself at a critical inflexion point: Should it invest in a new steel mill to commercialize thin-slab casting? This paper examines why Nucor is considering making such an investment and what risks are involved if they choose to adopt the technology. Based on this analysis, the paper will conclude with a recommended path for Nucor Steel. YOU CAN NEVER BE TOO RICH OR TOO THIN The flat sheet segment accounts for 52% of the U.S. market for steel. The†¦show more content†¦The technology permits efficient entry into the flat sheet segment on a much smaller scale, allowing minimills to compete for a slice of the hitherto forbidden flat sheet market. Without entry into the flat sheet segment, minimills are forced to compete for niches in the non-flat categories or to stake out geographic strongholds. In 1983, Nucor experienced its first sales decline under CEO Ken Iverson – perhaps a telling sign that the company must expand outside of its traditional focus. FLIES IN THE OINTMENT The promise of thin-slab casting is indubitably enticing, but is it practicable? What are the risks that could throw a spanner in the steel works? Technological Chief among the risks is the uncertainty surrounding the very technological viability of thin-slab casting. The two most promising approaches in the 1980’s were the Hazelett CasterShow MoreRelatedNucor at a Crossroads3122 Words   |  13 Pagesï » ¿ Nucor at a Crossroads MGMT XXXX-XXX Nucor’s Historic Performance, Competitive Advantage, and Five Forces Analysis With roots dating back to 1904 in the automobile manufacturing industry, Nucor’s business strategy has morphed many times over the course of the past century in response to struggling sales and unrealized business strategies. Since F. Kenneth Iverson’s appointment as Nucor’s President in 1965, however, Nucor has performed very well. With a focusRead MoreEssay on Nucor Case Analysis1235 Words   |  5 PagesNucor Corporation – Case Study and Recommendations on Strategy Nucor Corporation – Case Study and Recommendations on Strategy Introduction Nucor Corporation: Competing against Low Cost Steel imports deals with leading steel manufacturer Nucor Corporation and trends in the steel industry affecting Nucor. Steel manufacturing is an old business, but is currently facing the fast changes associated with new technologies, the rise of globalization, and changes in cost and efficiency. To date, NucorRead MoreNucor Steel Case Study2459 Words   |  10 PagesNucor From Wikipedia, the free encyclopedia Nucor Corporation Type Public (NYSE: NUE) SP 500 Component Industry Steel Iron Founded 1940 Headquarters Charlotte, North Carolina, USA Key people Daniel R. DiMicco, Chairman, CEO, President Revenue US$ 11.2 Billion (FY 2009)[1] Net income US$ 293 million (FY 2009)[1] Employees 20,400 (2010) Website www.nucor.com Nucor Corporation (NYSE: NUE), a Fortune 300 company headquartered in Charlotte, North Carolina, is one of the largest steelRead MoreCase Study on Nucor Corp865 Words   |  4 PagesCase 2: Nucor Corporation: Competing Against Low-cost Steel Imports The Company, Nucor Corporation, started its operation in nuclear instrument and electronics business in early 1950s to early 1960s. Facing bankruptcy, the board of directors opted for a new leadership and appointed Kenneth Iverson as president and CEO. He concluded that to be able to avert bankruptcy is to exit the nuclear instrument and electronics business and rebuild the company around its subsidiary, Vulcraft, which is engagedRead MoreNucor1188 Words   |  5 Pages-295275-371475Nucor Corporation Competing against Low-Cost Steel Imports 110000110000Nucor Corporation Competing against Low-Cost Steel Imports What are the primary competitive forces impacting U.S. steel producers in general and the producers like Nucor that make new steel products via recycling scrap steel in particular? Please do a five-forces analysis to support your answer. As mentioned in the case the main problem is the excess of steel in the steel market. Right now foreign steel is being dumpedRead MoreCase Study Art of Motivation5060 Words   |  21 Pagesis about the art of motivation in Nucor, about strategy and action plan to motivate the people such as talking to them, listening to them, taking a risk on their ideas, and accepting the occasional failure. It s a culture built in Nucor with symbolic gestures with unblinking focus on the people on the front line of the business in order to maximize profitability. Nucor has foster one of the most dynamic and engaged workforces around. The nonunion employees at Nucor don t see themselves as workerRead MoreCase Studies67624 Words   |  271 Pageswet-shaving market C-76 Incat Tasmania’s race for international success: Blue Riband strategies C-95 Kiwi Travel International Airlines Ltd C-105 CASE 8 Beefing up the beefless Mac: McDonald’s expansion strategies in India: C-120 CASE 9 Nucor Corporation and the US steel industry C-128 CASE 10 Pacific Dunlop: Caught on the half volley C-157 CASE 11 Philip Morris C-173 CASE 12 Pisces Group of Singapore C-188 CASE 13 Raffles, Singapore’s historic hotel C-194 CASE 14 Southwest AirlinesRead MoreNucor960 Words   |  4 Pagescase study â€Å"Nucor in 2009†, Nucor’s business strategy can be categorized as cost leadership. There are clear evidence in the case that shows Nucor using an integrated set of actions to produce at the lowest cost, while still maintaining an acceptable level of quality compared to their competitors. In this critique, the Value-chain model will be used to illustrate how Nucor aligns their activities to this business strategy. I/ Primary structure Regarding Inbound Logistics, Nucor has a highlyRead MoreNucor8605 Words   |  35 Pagesï » ¿ Table of Contents A. EXECUTIVE SUMMARY B. Nucor (NUE) was ranked the first of steel producer in the U.S., and the first â€Å"mini-mill† operator, with operating facilities in 14 states. Nucor’s products include sheet steel, bar, structural, plate and others. The company was known for its aggressive pursuit of innovation and technical excellence, rigorous quality system, environmentally friendly products. Nucor’s core strategy is that of cost leadership through the use of technology; it isRead MoreNucor Steel1441 Words   |  6 PagesNucor Corporation Introduction Nucor Corporation, the largest U.S. mini-mill, continues to gain market share in flat roll and strip steel. Recent successful acquisitions, application of new technologies, prospects for global growth, a strong balance sheet, as well as improved economic outlook for the steel industry, make Nucor an attractive buy with a near term stock price target of $65 to $70. Background Nucor Corporation (NUE) was founded by auto manufacturer Ranson E. Olds. Through a