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Evaluation of Cliffs Natural Resources' Business Strategy, Financial Performance, and Growth Prospects

A financial and strategic analysis of Cliffs Natural Resources.

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    Evaluation of Cliffs Natural Resources' Business Strategy, Financial Performance, and Growth Prospects Describe and evaluate the company's business strategy. Do you think it is viable? Solutions : The company wants to grow as a an international mining natural resources company in the form of expanding both geographically and through the minerals , for which the company mine s to market and tries hard to achieve the scale in the industry. The growth for the company is domestically fuelled by investing in Australia and Latin America. The company also acquires mines apart from Australia and Latin America for iron ore such as coal. The company takes those low risk profile opportunities and tries to improve them. During the year 2013 , the company continue d its strategic growth and transforms it to an international company expertise in mining through the process of acquisitions, partnerships and rebranding. The company went through the following activities in order to improve it’s business : - Share repurchase of portman along with Takeover of Off - Market. - AusQuest Investment. - Purchase of United Taconite. - Expansions projects at Michigan. - Golden west investment. - The name of the company has been changed in the name and style as “Cliffs Natural Resources and Incorporation.” The above strategies taken up by the company are done in order to improve the business and all the strategies seem viable though it may be difficult to execute. Why did the attempt to p urchase the company in late 2013 fail? Solutions: During the late 2013 I,e November 17, 2013 Cliff announced the termination of definitive merger agreement to merge with Alpha Natural Resources Inc because of consideration of various issues inclusive of present macroeconomic environment uncertainty in the steel industry , dynamism of shareholders and potential risks and costs litigation. In the best

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