User:Namits

Steel

The Steel Industry all around the world has alwyas been a complex Industry. Never before has the Industry seen so much consolidation of different companies within the Industry or has it ever seen such competition. Looking to revive up after a long slump in world markets around the world, steel now seems to be the hot commodity. recently in news the Indian tycoon L.N.Mittals U.K based company Mittal Steel, which merged with Arcelor steel the second largest steel company in the world. This merger gave way to the largest steel corporation in the history of the world steel market - Arcelor Mittal. Having turnovers at 70 billion dollars this seems a formidablle change. However what is more interesting is the rise of small players domestically over the world set to rule the domestic markets. One such perfect example is Metalman Industries Limited. Rapidly going on backward integration, the company is focusing on entering different steel markets with not much major investments. Why this is interesting to note and compare is that while most steel companies try to be bigger in order to cut down costs, this particualr company puts up plants in local parts all over the Indian sub-continent according to the local area steel needs. Not only has this proven to be a succesfull strategy but also a unique approach and a profit making one as well. Whether this trend countinues or not is something that we will have to wait and see.