IIPM PUBLICATION
I loved the forthright cover story, ‘Tata Steel is dead…” (B&E issue dated November 16, 2006). What was truly electrifying about the coverage was the information that was made available based on first-person experiences. Most amazingly, none would imagine the fact that Tata Steel is changing so very rapidly. And why not? After competitive forces proved heavy for the corporation once renowned for its paternalism, it will soon be known for its capitalistic nature. And its recent bid to take over UK’s Corus (a firm more than five times its own size) only shows how aggressive it has become. But after Brazil’s CSN gave a higher bid, what it does next will be an interesting move to watch. Will it bid higher or will it understand that being overambitious is not very great for its health. Certainly, as far as competition goes, given the fact that it will become the fifth-largest producer in the world and the total consideration for attaining both cultural and strategic synergies, it should go ahead with a higher bid. It cannot take very long to decide what it will do, because Corus’ shareholders will definitely take the higher bid (i.e. CSN’s bid). And since all hope and no action will lead to nowhere, it should understand right away that it should undergo the transformation very soon.

Deepesh Pradhan
Via e-mail

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Source : IIPM Editorial, 2006

An IIPM and Management Guru Professor Arindam Chaudhuri's Initiative