Step 1 - SEPT Analysis - Global Steel Industry

SEPT Analysis on Global Steel Industry (Environmental scanning)
Social System	Economic Situation	Political Stability	Technology
1. Increased usage of automobiles in developing countries	1. Fierce international price competition	1. Oil Crisis	1.Integrated steel producers in Europe & North America
2. Increased urbanization in emerging economy	2. Strong recovery of World Demand	2. European Economic Community – with genuine open market	2. Advent of low cost producers from South Korea
3. Shift in usage of Steel	3. Stock market crash	3. Production quotas	3. Productivity of UK steel Industry
	4. Full of uncertainties in steel companies	4. £2 billion privatization plan	4. Continuous casting by French, Italian and German industry
	5. Cyclical fluctuation in demand	5. Prominent political issue on closure of mills	5. Speedier reorganization & improvement by European producers
	6. Future prospects of steel industry	6. Emergence of single currency	6. High value added products by Europe and South Korea
	7. Favorable foreign exchange		7. Labor cost down by 16% in Japan