Critical Fixities Under Continuous Technological Change Some Strategic Implica

Cover Critical Fixities Under Continuous Technological Change Some Strategic Implica
Critical Fixities Under Continuous Technological Change Some Strategic Implica
Ming Je Tang
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S. Steel Industry should be able to bypass continuous slab and bloom casters, and adopt strip and sheet casters in the future. However, continuous plate casters will not be available for another five to ten years. Given the great Inefficiency of ingot casting, it is unlikely that U. S. Steelmakers can wait that long without facing certain liquidation. From a strategic point of view, investing in continuous bloom and slab casters now is only a short-term solution with long-term detrimental effec...ts.
Minimills, with new technologies and consequent lower costs, have also gained a significant share of the market which has been traditionally dominated by integrated steel makers. In 1960, ten or twelve minimills shared about two percent of the market [Miller, 1984]. In 1984, fifty minimills shared twenty percent of the total U. S. Steel production capacity.
The integrated steel sector being slow to respond to these changes simply retrenched. In 1960, there were 53 integrated steel mills; by 1983, only 33 were still in operation.


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