Steel Industry

Steel Industry

History

The history of steel industry is not very old as it started in late 1850s. The steel is the part of the world's basic economies and, many industries in the world today are manufacturing steel. Steel was too much expensive at the time of its first manufacturer and, used where there was no option of choosing other elements. The German Steel industry was established in 1874. India is growing its steel industry with the use of innovations. India has expanded its business of steel in Europe in 21st century and, made successful deals of $11.3 billion for European dealers. When we see 1900s then we find US was the biggest producer of Steel in the world and, also lowest cost manufacturer of steel. The company could not compete after 1970s with the competitors. There was the reason that world's economic recession has put severe effect on the production of steel and, finally in 2002 steel market has become fine. Due to these economic crises there were too much cancellation in many deals and investments. The recession was because steel was not producing to the certain standard and, costs were high. This century is the century of challenges and competition. Business firms are facing challenges every other day due to the advancement of technology and rapid growth in each field. There is also frequent and uncertain changing in organizations due to sweeping changes (DeNisi, Hitt and Jackson, 2003). It is essential to achieve a competitive advantage for senior managers in the competitive and slow growth markets. It also characterizes much business today and references of competitive advantage are the main issue for the scholars over last two decades (Henderson, 1983; Porter, 1985; Coyne, 1986; Prahalad and Hamel, 1990; Barney, 1991; Grant, 1991; Peteraf, 1993). The competitive advantage leads the success and growth of business organizations in the market. Most firms should know that it is the thorny issue to achieve competitive advantage in 21st Century. This is the main concern which lead to the development of knowledge based theories which enables to see the relationship between core resources and capabilities. A firm can have the certain competitive advantage if it is implementing the strategy which is not implemented by any other organization at a similar time (Barney, 1991).

India is improving all its strategies of producing fine steel as compared to other steel industries and, improved a lot within last decades. India is now the biggest producer of steel all over the world. TATA steel is the Indian company which is famous in all over the world because of its production of steel. Steel Industry has grown within last fifteen years.

These countries are the major producer of the steel in the world.

Country

Crude Steel Production (mtpa)

China

272.5

Japan

112.7

United State

98.9

Russia

65.6

South Korea

47.5

F.R.Germany

46.4

Ukraine

38.7

Brazil

32.9

India

32.6

Italy

28.4

.

Crude steel production of Turkey is 29.1 million metric tons and total exports are 17.4 , million metric tons.

Present Conditions

Steel stocks have been big-time losers this year. The Market Vectors Steel ETF (SLX) is down 11%, and ...