Beruflich Dokumente
Kultur Dokumente
GROUP 2:
Barbie Jain
Sachin Kandari
Nelisent Purti
Ram Garg
Ram Kumar D
Sohom Karmakar
Tata Steel Background
Tata Steel a part of the Tata group, one of the largest diversified business
conglomerates in India.
Founded in 1907,by Jamshedji Nusserwanji Tata.
Started with a production capacity of 1,00,000 tones, has transformed into a
global giant
In the mid- 1990s, Tata steel emerged as Asias first and Indias largest
integrated steel producer in the private sector.
In February 2005, Tata steel acquired the Singapore based steel manufacturer
NatSteel, that let the company gain access to major Asian markets and
Australia.
Tata steel acquired the Thailand based Millennium Steel in December 2005.
Tata Steel generated net sales of Rs.175 billion in the financial year 2006-07.
The companys profit before tax in the same year was Rs. 64.14 billion while
its profit after tax was Rs. 42.22 billion.
SWOT Analysis of Tata Steel
Strength Weakness
SWOT
Opportunity Threat
Reasons for Tata Steel to Bid
To tap European Mature Market.
TATA manufactures Low Value ,long and flat steel products ,while
Corus produce High Value Stripped products.
Technology Benefit.
Economic of scale.
SWOT
- To merge with a company to eliminate
duplication and remove overlaps in - Increasing losses resulting to winding
marketing, accounting etc. up of company
- To get access to raw material and -
growth markets through merger.
Opportunity Threat
Reasons for Corus for
Accepting Bids
To extend its Global reach through Tata Steel
To get access to Indian Ore reserves, as well as virgin market for
steel
To get access to low cost materials
Saturated market of Europe
Decline in market share and profit
Deal Specifics