Introduction

Nippon Steel Trading Corp is a Japanese trading company that operates in the steel industry. The
company was established in 1949 and is headquartered in Tokyo, Japan. It is a subsidiary of Nippon Steel
Corporation, one of the largest steel producers in the world.

Nippon Steel Trading Corp engages in the trading of various steel products, including raw materials,
semi-finished products, and finished products. The company operates through multiple business
segments, including steel, industrial machinery, energy, chemicals, and construction materials.

In the steel segment, Nippon Steel Trading Corp imports and exports a wide range of steel products, such
as plates, sheets, pipes, and bars. The company also provides value-added services, including cutting,
processing, and distribution. In the industrial machinery segment, the company trades various
machinery and equipment used in industries such as automotive, construction, and manufacturing. It
also offers after-sales services and technical support to its customers. The energy segment focuses on
the trading of coal, oil, and gas products. Nippon Steel Trading Corp sources these energy resources from
both domestic and international markets to meet the energy needs of its customers. The chemicals
segment Involves the trading of various chemical products, including plastics, rubber, and fertilizers. The
company provides comprehensive solutions to its customers by offering a wide range of chemical
products.

Lastly, in the construction materials segment, Nippon Steel Trading Corp trades building materials such
as cement, aggregates, and steel frames. The company caters to the construction industry by supplying
high-quality materials for infrastructure development projects.

Vision

Nippon Steel Trading Corp's vision is to be a leading global trading company in the steel industry,
providing high-quality products and services to customers worldwide. The company aims to contribute
to the development of society by promoting sustainable and responsible business practices.
Mission

The mission of Nippon Steel Trading Corp is to create value for its stakeholders through innovative
solutions, reliable partnerships, and efficient operations. The company strives to meet the diverse needs
of its customers by offering a wide range of products and services. It also aims to contribute to the
growth and prosperity of the steel industry by continuously improving its operations and expanding its
global presence.

Objective

1. To achieve steady and sustainable growth in sales and profitability.

2. To expand the company’s global presence and enhance its competitiveness in the steel industry.

3. To provide high-quality products and services that meet the diverse needs of customers.

4. To strengthen partnerships with suppliers and customers to ensure reliable and efficient operations.

5. To promote sustainable and responsible business practices that contribute to the development of
society.

6. To continuously improve operational efficiency and cost effectiveness.

7. To foster a corporate culture that values innovation, teamwork, and employee development.

8. To actively explore new business opportunities and diversify the company’s product portfolio.

9. To maintain a strong financial position and manage risks effectively.

10. To contribute to the growth and prosperity of the steel industry through collaboration with industry
stakeholders and participation in industry initiatives.
Scope

The scope of the study for Nippon Steel Trading Corp would include analyzing and evaluating the
company’s current strategies and operations in relation to the aforementioned goals and objectives. This
would involve examining the company’s sales and profitability growth, global presence and
competitiveness, product quality and customer satisfaction, supplier and customer partnerships,
business practices and sustainability efforts, operational efficiency and cost effectiveness, corporate
culture and employee development, exploration of new business opportunities and diversification,
financial position and risk management, and collaboration with industry stakeholders and participation
in industry initiatives. The study would aim to identify areas of improvement and provide
recommendations for achieving the company's goals.

Financial Management

Budgeting and forecasting: The company needs to prepare annual budgets and forecasts to plan its
financial activities. This involves estimating revenue, expenses, and cash flows for the upcoming year.
Budgeting helps in allocating resources effectively and setting financial targets.
Risk management: Nippon Steel Trading Corp operates in a volatile industry, so managing financial risks
is essential. This includes identifying and assessing risks such as fluctuations in steel prices, currency
exchange rates, and interest rates. The company may use hedging strategies or financial derivatives to
mitigate these risks.

Working capital management: Efficient management of working capital is crucial for Nippon Steel Trading
Corp. This involves managing cash, inventory, and accounts receivable/payable to ensure smooth
operations and optimize cash flows. The company needs to strike a balance between maintaining
adequate inventory levels and minimizing carrying costs.

Capital budgeting: Nippon Steel Trading Corp may undertake various investment projects such as
expanding production capacity or acquiring new technology. Financial managers need to evaluate these
projects by analyzing their cash flows, payback period, return on investment, and other financial metrics
to determine their feasibility and potential profitability.

Financial analysis and reporting: Regular financial analysis and reporting are essential for monitoring the
company’s financial performance. Financial managers analyze key financial ratios, profitability, liquidity,
and solvency indicators to assess the company’s financial health. They also prepare financial statements
and reports for internal management, shareholders, and regulatory authorities.

Financing decisions: Nippon Steel Trading Corp may need to raise funds for its operations or investment
projects. Financial managers evaluate different financing options such as debt or equity financing,
considering factors like cost, risk, and impact on the company’s capital structure. They also manage
relationships with banks, investors, and other financial institutions.

Compliance and regulatory requirements: Financial managers at Nippon Steel Trading Corp need to
ensure compliance with various financial regulations and reporting standards. This includes adhering to
accounting standards, tax regulations, and disclosure requirements. They may work closely with auditors
and legal advisors to ensure accurate financial reporting and compliance with applicable laws.

Overall, effective financial management is crucial for Nippon Steel Trading Corp to achieve its financial
goals, mitigate risks, and maintain a strong financial position in the steel industry.

Research methodology

The research methodology for studying Nippon Steel Trading Corp would involve a combination of
qualitative and quantitative research methods.
Qualitative research methods would include conducting interviews with key stakeholders within the
company, such as senior executives, department heads, and employees at various levels. These
interviews would aim to gather insights into the company’s strategies, operations, and challenges.
Additionally, focus groups could be conducted with customers and suppliers to understand their
perceptions of the company and its offerings.

Quantitative research methods would involve analyzing financial data, such as sales and profitability
figures, to assess the company’s financial performance. Market research data could also be analyzed to
evaluate the company’s competitiveness and customer satisfaction levels. Other quantitative methods
may include surveys or questionnaires to gather data on customer satisfaction, employee engagement,
and supplier relationships.

Secondary research would also be conducted to gather information on industry trends, best practices,
and benchmarks. This could involve reviewing industry reports, academic studies, and news articles.

The data collected through these research methods would then be analyzed to identify trends, patterns,
and areas of improvement. From this analysis, recommendations would be developed to help Nippon
Steel Trading Corp achieve its goals and objectives.

Findings

1. Insights into Nippon Steel Trading Corp’s strategies: Through interviews with senior executives
and department heads, researchers would gain a deeper understanding of the company’s overall
strategies, including its approach to market expansion, product development, and customer
acquisition.
2. Operations and challenges: Interviews with employees at various levels would provide insights
into the company’s day-to-day operations, including supply chain management, distribution
processes, and internal challenges faced by different departments.
3. Customer and supplier perceptions: Focus groups with customers and suppliers would help
researchers understand how Nippon Steel Trading Corp is perceived in the market. This
information could include feedback on product quality, customer service, and overall satisfaction
levels.
4. Financial performance: Analyzing financial data such as sales and profitability figures would
provide an objective assessment of Nippon Steel Trading Corp’s financial performance. This
analysis could highlight areas of strength and weakness, as well as potential opportunities for
improvement.
5. Competitiveness and customer satisfaction: Market research data analysis would help evaluate
Nippon Steel Trading Corp’s competitiveness in the market, including factors such as market
share, customer loyalty, and customer satisfaction levels compared to competitors.
 6. Customer satisfaction, employee engagement, and supplier relationships: Surveys or
questionnaires could be used to gather data on customer satisfaction, employee engagement,
and supplier relationships. This information would provide insights into how these key
stakeholders perceive their interactions with Nippon Steel Trading Corp
7. Industry trends and best practices: Secondary research would provide valuable information on
industry trends, best practices, and benchmarks. This knowledge would help researchers make
recommendations that align with industry standards and market expectations.

Suggestion

Develop a comprehensive market expansion strategy: Based on insights gained from interviews with
senior executives and department heads, Nippon Steel Trading Corp should develop a clear strategy for
market expansion. This strategy should outline specific steps to enter new markets, target new customer
segments, and identify potential product development opportunities.

Streamline supply chain management processes: Insights gained from interviews with employees at
various levels can help identify any inefficiencies or bottlenecks in the company’s supply chain
management processes. Nippon Steel Trading Corp should focus on streamlining these processes to
improve operational efficiency and reduce costs.

Enhance customer service and product quality: Feedback obtained from focus groups with customers
and suppliers can highlight areas for improvement in customer service and product quality. Nippon Steel
Trading Corp should prioritize addressing these issues to enhance customer satisfaction and maintain
strong relationships with suppliers.

Identify areas of financial strength and weakness: Analyzing financial data can provide a clear
understanding of Nippon Steel Trading Corp’s financial performance. The company should identify areas
of strength to leverage and areas of weakness to address, such as optimizing costs, improving
profitability, and exploring new revenue streams.

Stay updated on industry trends and best practices: Continuously monitoring industry trends and best
practices will help Nippon Steel Trading Corp stay ahead of the competition. The company should
regularly conduct secondary research to identify emerging trends, benchmark against industry
standards, and incorporate best practices into its operations.

Conclusion

In conclusion, Nippon Steel Trading Corp can greatly benefit from implementing the above
recommendations based on the findings obtained from the research methodology. By developing a
comprehensive market expansion strategy, streamlining supply chain management processes, enhancing
customer service and product quality, identifying areas of financial strength and weakness,
differentiating from competitors, improving stakeholder relationships, and staying updated on industry
trends and best practices, the company can position itself for success in the market.

These recommendations will help Nippon Steel Trading Corp address any identified gaps or challenges,
optimize its operations, and ultimately achieve its goals and objectives. By taking proactive steps to
improve various aspects of its business, the company can strengthen its competitive position and ensure
long-term growth and profitability.