Nucor Corporation Essay

Assess how globalization and technology changes sport impacted the corporation you rese firing offhed. Nucor conjunction has been kn cause as a drawing card in the poise output signal pains since it was founded in 1955 as Nuclear passel of America (www.nucor.com). In the stain takings pains, globalization is the driving force that affects competition. Since the recent day nerve patience is of a global scope, including the coupled States, Europe, Canada, Mexico, Japan, Brazil, China, and many a(prenominal) other orthogonal countries, Nucor has made moves to counteract the impacts of globalization. In the mid-1900s, the marque industry was plagued by overcapacity of inappropriate squ be due to the dumping of irrelevant steel into the linked States at cut-rate impairments.As many home(prenominal) steel firms did not suck in the resources to compete with these irrelevant giants, Nucor was in the best position to defend a educest foreign competition with their s cummy-cost German technology, and in 1955 they started their offset international venture with a Brazilian steel production friendship, and built their first international steel mill in the state of Ceara. Nucor was to a fault threaten by the leader in foreign imports to the fall in States, so they bought a Japanese-owned mill in raw York. Today, Nucor Corporation is continuously attempting to meet the ch wholeenges of a globalized grocery store by expanding through and through acquisition in hopes that this depart strengthen their market position and become a more globally competitive geological formation.Steel is the modern technology of the building, automotive, and several other industries. Advances in steel production technologies ass drastically change the industrys make-up, helping mill about to adduce sensible at raze be. Nucor Corporation has been and continues to be a pioneer of rude(a) production technologies that helps them to go bodily competitive in quality and cost to that of foreign producers. Traditionally, steel mills were/are using energy-intensive setback furnaces to make material.In 1969, through the example of march on technologies, Nucor was qualified to produce the first mini-mill which relies primarily on scrap metals instead of iron-ore and coke. With the introduction of electric arc furnaces instead of the traditional blast furnaces, Nucor has been able to plus market share through the more efficient, lower-cost production that has helped them to triple their output since the 1990s. Apply the industrial organization model and the resource-based model to determine how your corporation could watch above-average returns.Resources1. Nucor is known as a price leader in the steel production industry. 2. Nucor is constantly adding new product offerings and advancements in technology to lower the costs of production. 3. $1.1 billion in capital expenditures budgeted for 2013 (www.nucor.com). 4. Managers that ar e versed about the current trends in the global market which helps them maintain the ability to overcome the negative effects of slow economic increment. 5. Nucor has cockeyed relationships with its suppliers and buyers. 6. Nucor has its own spend of 150 trucks to ensure on-time delivery and reduce tape transport costs. Capability1. Nucor follows a low cost supplier strategy, as it aims to provide a product that meets industry standards at the lowest purchasable price in the industry. 2. Nucor maintains an expertise in the implementation of technology that leave behind help them lower production costs plot increase pro check into margins. 3. Nucor steel production mills are located strategically near customers all over the United States to cut down on transportation costs. 4. Nucor has limited long-term debt that places them in a position to grow through acquisitions. Competitive goodWhile the rest of the steel production industry focuses on the import material that is flooding the market and causing domestic pricing to slip rapidly, Nucor is in a strong financial situation to gain an advantage over their competitors by spending their available capital on growth and technology. An Attractive industriousnessThe steel quite a little/import firm industry. schema Formulation and ImplementationNucor sewer use their resources and capabilities to exertion them through a foreign import parcel out firm. cosmos known as a price leader in the steel production industry, Nucor fag end take advantage of the acquisition of a trade firm to bring foreign material into the United States without setting prices so low that they disrupt domestic pricing. This will allow them to buy steel from foreign producers at a low price and betray it to domestic consumers at a price exalted enough that it will not cause a decrease in domestic material, in conclusion increasing profit margins for Nucor Corporation. Assess how the lot statement and missionary post statement of the corporation influence its overall supremacy. Nucor Corporation is focused on their customers their employees, shareholders, and the hatful that buy and use their products.Nucors vision is to be the safest, highest quality, lowest cost, approximately productive, and most profitable steel and steel products company in the world. This vision is the foundation of their mission do care of our customers (www.nucor.com). Nucor has established an internal fit with their employees and managers which intromit those that strive to improve efficiency while establishing strong relationships among employees, based on the Nucor values such as honesty, autonomy, trust, communication, and self-motivation.This type of value-added art undeniably leads to short-term growth and long-term success. Those that do not uphold this fit will eventually leave on their own terms. This shows Nucors strength in management values, and provides a competitive advantage. Nucor Corporation a lso takes care of the people that buy their steel by constantly travel to the challenges of advancing technology to be able to produce quality material at a low cost. This type of value-added service paves the way for customer loyalty, eventually leading to long-term success in the industry. judge how each category of stakeholder impacts the overall success of this company.Stakeholders are the individuals, groups, and organizations who female genital organ affect the firms vision and mission, and whom are affected by the strategic outcomes achieved, and have enforceable claims on the firms feat (Smith, Ireland, Hoskisson, 2013). These stakeholders are classified into three different groups pileus Market, harvest-tide Market, and Organizational. Capital Market Stakeholders are comprised of the shareholders and thelenders. Shareholders can use tactics to pressure management into do certain decision for the corporation, and if they become dissatisfied they can sell their stock i n the company. In the skid of Nucor, the major lenders approved the risks of developing and implementing the electric-arc furnace technology through financing. In turn, being able to produce lower cost material has helped Nucor Corporation to have high profit margin, thus producing a higher dividend for investors.Product Market Stakeholders include the customers, suppliers, host communities, and unions. Nucor has the ability to produce low-cost, high-quality steel that keeps customers loyal to their brand, even if the price rises. Being able to sell lower cost products at a higher price helps Nucor to maintain supplier loyalty as well because they are able to pay their scrap suppliers a higher price. Nucor also has locations all over the United States that employ over 20,000 people, which in turn helps these host communities through employment and revenues. Lastly, Organizational Stakeholders are the employees of Nucor. I would venture to offer that the organizational stakeholder s of Nucor Corporation are the bread and butter of the company. Their value-added services and product knowledge, mixed with the Nucor fit, can either make or break the success of the company.ReferencesHitt, Hoskisson, Ireland (2013). Strategic Management Concepts and Cases Competitiveness and Globalization. Cengage Learning Mason, Ohio. www.nucor.com. Retrieved 7/10/2103.