Nucor Steel Swot

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Sylvia G. Evans Nucor Case Study Part-4 Management Decision Making-MGT 240 Trident Technical College Professor Daryl Milligan Nucor Corporation SWOT Analysis Nucor Corporation has a lot of capabilities which enables them to have such a strong market base in the steel business. The SWOT analysis represents a company’s Strength, Weakness, Opportunities and Threats. Strengths: One of Nucor’s strengths is their ability to develop energy saving ideas to produce steel and they build plants with low pollution levels. Nucor’s technology has allowed them to lower the cost of their products which helps them to maintain a strong market share. Nucor is known for producing quality products and fast delivery. In addition, the company is well established so they have a brand loyalty which secures their sustainability. According to the case study, because Nucor is a well known company they have strong buyer and supplier relationships. Basically for steel in the U.S., Nucor would be the vendor of choice. Weakness: For Nucor one of its major weaknesses is they are centrally located in the U.S. All of their plants are basically doing business right here in the United States. In the case study this posed a problem for Nucor because they were not able to compete with its competitors for the overseas business. Nucor prides itself on keeping cost low for its customers. However, the shipping and distribution cost would be very expensive and the cost would have to be passed on to its customers. Another weakness, if the demand for steel diminished in the U.S. past history showed it could cripple Nucor financially. They experienced this in 2008 when the economy pulled back. Opportunities Nucor needs to re-position itself in the market to effectively compete with its overseas competitors. If they did this then Nucor will be able to increase its market share and
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