Another important strength is the amount of great leadership and loyal employees throughout the whole business. There is a constant goal they are all striving for which makes for a good team consensus. There is also a tremendous amount of respect for every single employee. This makes for happy workers which results in a better work ethic and better outcomes. The fact that technology can and will save the company numerous amounts of materials that are becoming quite scarce is another significant strength.
Nucor is considered one the most innovative in the industry and continues to update its business strategies to new, cost-saving, and environment saving procedures. Nucor doesn’t have any foreign locations. This in turn is a major weakness due to the company losing a great deal of both possible sales and possible customers. If they were to open in some other countries, they could also have the possibility of buying out younger, smaller companies in the industry. Another weakness is that the steel industry is very mature.
The growth in this industry for new and old companies is declining, making the future look grim. A weakness Nucor could easily fix is their lack of focus on their competitors. There has been no significant damage by focusing completely on them, but to improve in the future they need to pay more attention to the business environment around them including competitors. An opportunity that looks the most promising for Nucor Corporation is the possibility of expansion into the foreign markets either by mergers or joint ventures.
Opening themselves up into a new country could be tremendously helpful to the growth of the company. Another extremely important opportunity is their recent acquisition of two thousand plus rail cars which they received when they bought out David J. Joseph. This new ownership of cars could lead to great growth and lower expenses. They could lease the cars out to move supplies to customers or they could develop a better delivery system for themselves.
The liquid iron project in Australia called Hismelt Technology will be and is a good opportunity for the company. This project would reduce pollution which is vital for a company in today’s eco-friendly competitive world. The threat that Nucor should take the most serious is the threat of raw materials becoming scarce and therefore being outrageously expensive. If they run out of raw materials or are paying so much to get them in the first place there is no way to keep their business running let alone make a profit.
The way they are trying to counter this threat is with Hismelt Technology which is discussed earlier. The possibility of being bought out by a competitor is also a very realistic threat. There are numerous young and upcoming steel companies that could take a leap and buy out a mature established company. There could also be a domestic market invasion where Nucor could possibly end up collapsing. This is quite doubtful but still somewhat realistic. In today’s economy any successful business could fall at anytime.
Think about the amount of time your parents spent teaching you and interacting with you. Explain why you believe it was about right, or should have been more or less? What might you do the same and different with your own kids?
This essay is worth 15 points, so remember that it should be about 4 paragraphs.