To optimize their efficiency, color cases ought to be printed in color. In year 2009 the management of Vale, a Brazilian diversified mining business and the biggest iron ore manufacturer on the planet, was under pressure from a minimum of 2 fronts. The development of China as the most essential customer of iron ore in the last couple of years had actually altered the rates system for iron ore from long-lasting agreements based on worked out "benchmark rates" to agreements based on area costs, normally requiring mining business to pay for shipping.
Second, for Brazil's charming president, Lula, a previous union leader, Vale's layoffs throughout the global monetary crisis and its viewed step away from Brazil (as Vale enhanced its exports to China and bought Chinese vessels to deliver iron ore to Asia) were factors to begin an open project to pressure Vale and Agnelli to invest in incorporated steel mills in Brazil. Was the purchase of huge vessels to deliver iron ore to Asia an excellent choice at a time when the shipping market had extra capability?
PUBLICATION DATE: April 23, 2010 PRODUCT #: 710054-HCC-ENG
Vale Global Expansion in the Challenging World of Mining Case Study Solution
This is just an excerpt. This case is about STRATEGY & EXECUTION
Related Case Solutions & Analyses:
Luna Pen (D)
Dennis Hightower: New Horizons
American Airlines (C): Committing to Leadership
Commonwealth Blood Transfusion Service
Ethics at the Frontier
Business Expansion In Mauritius
Stryker Corporation
APPLE’S SUCCESSFUL ENTRANCE INTO MOBILE PHONE MARKET
CHINA PAKISTAN ECONOMIC CORRIDOR (CPEC), A NEXUS FOR BOLSTERING THE REGIONAL DEVELOPMENT
GEICO
