What are the primary competitive forces impacting steel producers in general? Use 5-forces analysis. Be sure to update the industry situation to present day 2019?
How has Nucor been affected by Global competition (Globalization)? Is it a level, competitive playing field around the world that is free and fair for all competitors? Please provide an analysis of US Government actions to support the steel industry?
Are the actions (Imposition of Section 232 Tariffs) helping or hurting the US market for US companies who compete in the steel industry? Please address the impact on NUCOR Steel, the US Steel Industry and foreign competitors.
- What driving forces do you see at work in this industry as we look ahead to remainder of 2019 and beyond?
Are they likely to impact the industry’s competitive structure favorably or unfavorably? How will Nucor fair in this environment?
- How attractive are the industry’s prospects for future profitability in 2019 and beyond? Why?
Should Nucor consider expanding in this type of industry environment? What do you think will happen with the Tariffs?
- What type of strategy has Nucor followed?
- How has Nucor implemented this strategy?
What specifically accounts for the company’s success so far?
- Do a financial analysis of Nucor reviewing their progress over the last 5 years or so including most recent results for YTD 2019. Please include key metrics such as trends in sales/revenues, net profits, return on equity (ROE), Earnings per Share (EPS), Stock Performance etc. Also review what the stock analysts are predicting for the company and its stock price. Use charts and graphics where appropriate. Please assess the financial impact of the Tariffs on Nucor and the competition.
- What does a SWOT analysis reveal about Nucor’s current situation today?
How strong is the company’s financial condition today?
- What issues does Nucor management need to address in the future? Is Nucor doing what it takes to have a sustained competitive advantage in the global steel industry?
- What recommendations would you make to the CEO and Board of Directors?
Please be sure to footnote all sources that you have utilized in your analysis. Use the written Case as a basis for updating it to the present day i.e. 2021, and attempt to predict the future outlook in responding to the above questions.
Utilize these questions as an outline and format for the sections in your paper.
I expect you to do substantial research and analysis for this paper, using various sources, which are publically available to you, demonstrating your ability to fully assess a company, including financial performance. This paper is worth 15% of your final grade.