Globalization of China vs. United States - Research Paper Example

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Globalization of China vs. United States

US Steel Corporation, established in the year 1901, is one of the biggest integrated domestically owned steel companies of US. The company’s customer base is diversified in global markets including Central Europe and Canada. It was declared as the 13th largest steel producing company in the world in the year 2010. The globalization of industries in US is expected to increase the profitability of the company in future due to growing demands in the emerging economies such as China. Baosteel, established in the year 1978, was declared as the 2nd largest steel producing company in the world in 2011 and has demonstrated excellent performance in recent years irrespective of slowdown in demand in the global market. From the financial statement analysis of the US Steel Corp. it can be said that US Steel’s production capacity exceeds its total sales leading to unsold inventory. Steel sector is already a cyclical sector in the sense that the demand for the steel products vary in every quarter. Globalization in China in expected to help the company in diversifying its products into other economies. In addition, the company’s mass production will help it to reach economies of scale in future that will further help to export steel at cheaper rates making US domestic steel industry more competitive. ...Show more

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Company Analysis: Globalization of China Vs United States Executive Summary The steel industry is one of the most important industries of the economy and is also considered as an important indicator of economy. It plays a major role in the development of overall economy and infrastructure…
Author : fritschsylveste
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