ArcelorMittal SWOT Analysis

SWOT is an acronym for the internal Strengths and Weaknesses of a firm

and the environmental Opportunities and Threats facing that firm. SWOT
analysis is a widely used technique through which managers create a quick
overview of a companys strategic situation. The technique is based on the
assumption that an effective strategy derives from a sound fit between a firms
internal resources (strengths and weaknesses) and its external situation
(opportunities and threats). A good fit maximizes a firms strengths and
opportunities and minimizes its weaknesses and threats. Accurately applied, this
simple assumption has powerful implications for the design of a successful
strategy.

ArcelorMittal
ArcelorMittal is the world's largest steel producer. The group has a crude
steel production capacity of 130 million tons and steel shipments of
approximately 101.7 million tons. ArcelorMittal sells its products to the
automotive, appliance, engineering, construction, and machinery industries.
ArcelorMittal has steel-making operations in 20 countries on four continents. The
group is headquartered in Luxembourg City, Luxembourg and employs about
316,000 people.

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 ArcelorMittal SWOT Analysis

Strengths, Weaknesses, Opportunities and Threats (SWOT)

Location of Factor TYPE OF FACTOR
Favorable Unfavorable
Internal Strengths Weaknesses
Market leadership High debt
position Dependence on
Strong presence in the subsidiaries to meet
entire value chain obligations
Diverse product Product liability
portfolio claims
External Opportunities Threats
Acquisitions to Volatility in the
increase geographic prices of raw
reach materials
Joint ventures to Political, legal, and
generate incremental social uncertainties
revenues Environmental
Construction of a steel regulations
mill in Mexico

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