Arcelor-Mittal Industry Chain Analysis And Enlightenment To Chinese Steel Enterprises

Iron and steel industry not only involves a country’s domestic energy acquisition, development and utilization of resources, but also involves the ability of getting resources from the international community. At the same time, it also affects the country’s construction industry, real estate industry, daily necessities, automobile manufacturing industry and the development of rail transportation. Therefore the iron and steel industry is related to a country’s national economy industry, which is especially important for developing countries.China is the largest developing country in the world, whose system of iron and steel industry is also very big, but in terms of current situation, many Chinese steel enterprises are large but not professional.The problems such as serious of environmental pollution damage,the backward of R&D technology, the mid-range of excess capacity, the low rate of the resource utilization are also obvious. In 2013, the country’s leaders carried out "the Silk Road Economic Belt and the 21st-Century Maritime Silk Road" initiation, which has been implemented now. China’s iron and steel enterprises can seize the opportunity, combine the "going out" and "bring in" strategy and actively cooperate with the other countries. But how to "go out" and "bring in" is the problem. Since the strategy out, many iron and steel enterprises in China have made many attempts,but most of which are ineffective.Arcelor-Mittal group, which is the biggest iron and steel enterprise in the world, grows from a small steel mills in India to today’s scale, thanks to its vision of cross-border M&A strategy. From Asia to Europe, it is a perfect interpretation of the right paradigm of "going out" and "bring in" strategy. At the same time, it pays attention to the research and development of technological innovation and establish a complete and reliable steel industry chain. It also exactly expresses the importance of the steel industry chain to the steel industry’s sustainable development.The purpose of this paper is that through the analysis of the operation of Arcelor-Mittal group and China’s iron and steel enterprises, we can realize the problems in the development of Chinese steel and industry chain. It also references the successful paradigm of Arcelor-Mittal and finds a suitable way for China’s steel enterprises.