What Trends Should Concern Mr. Iverson?

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What trends should concern Mr. Iverson?

 Mergers and joint ventures:

Mergers and joint ventures have given success to Nucor. So, they can do more
mergers and joint ventures to increase their production capacity and reduce the cost
of production.

 Acquisition of foreign plants:

The home market of steel products is not attractive because of the recession,
unstable political conditions and some other problems. So, if Nucor acquire plants
in foreign countries where there is demand for steel products than they will be able
to sell more of their products and earn profit.

 Fulfilling environmental standards:

Nucor was not that much concerned about environmental consequences which they
are causing. Most of the stakeholders are not happy with its environmental
practices because some of its plants are polluting the air. So Nucor need to become
more environment conscious as the whole world is giving emphasis on
environmental protection.

 Technological advancement:

Though Nucor use high tech equipment’s in its plants but in some sectors, it needs
adoption of new technologies. Nucor can use advanced sophisticated process
control sensors, state of the art computer controls, and the latest refinements in
continuous casting and rolling mill technology.

 Managerial structure
Though Nucor has best managerial structure in the company. The company might
able to find difficulties in managing the company. They have to maintain because
of their differentiated plant all over the country. And must keep changing their
policies for more efficient working and increase in profitability.
Conclusion
Nucor is in a strong position to challenge for a bigger market share of the steel
industry based on its financial, Human and Operational resource capabilities. There
is extensive knowledge on producing and automating newer process and products
to stave off Asian and European competitors. Nucor is highly sensitive to
balancing its cost cutting measures and achieving social responsibilities, ultimately
to boost its poorer marketing image and reputation. Thus, it has adopted various
integrated growth strategies with other firms within the community in the form of
differentiation and divestment approaches as well, all to service its stakeholders;
(esp. shareholders) with better paybacks and satisfaction.

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