Nucor Analysis
Synopsis
Nucor is the second largest steel producer in the United States and most profitable in the world with over 4.5 billion in sales annually. Nucor in the world?s largest recycler, recycling over 10 million tons of scrap steel annually. Nucor descended from auto manufacturer Ransom E. Olds, who founded Oldsmobile. The company evolved into the Nuclear Corporation of America, which was involved in the nuclear instrument and electronics business in the 50?s and early 60?s. Over the next five years, Valley Sheet Metal, Vulcraft Corporation and U.S. Semi-conductor Products joined the Nuclear Corporation. After suffering several money-losing years, in 1964 F. Kenneth Iverson was installed as president. Management then decided to integrate backwards into steel making, and in 1972 they adopted the name Nucor. Since then Nucor has established itself as a leader in the steel industry through efficiency and innovation. It now employs more than 7,000 people worldwide and has experienced tremendous growth under its new CEO Daniel R. DiMicco.
SWOT Analysis
Strengths
?· Low Cost Producer
?· Employee/Managerial Relations
?· Leading Innovator
?· Low Debt Load
?· Overall industry leader
Weaknesses
?· Dependency on scrap metal and energy supply prices
?· Slow Growth in Foreign Markets
Opportunities
?· Forecasted increase in cash on hand
?· Growth through
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