StudentShare
Contact Us
Sign In / Sign Up for FREE
Search
Go to advanced search...
Free

Trends in Mining Industry - Case Study Example

Cite this document
Summary
A paper "Trends in Mining Industry" reports that minerals that are at risk experiencing tipping into a flooding supply thermal coal, iron ore, and even aluminum. The exploration and excavation costs by the market players have gone down increasing the affordability of the process. …
Download full paper File format: .doc, available for editing
GRAB THE BEST PAPER92.9% of users find it useful
Trends in Mining Industry
Read Text Preview

Extract of sample "Trends in Mining Industry"

Trends in Mining IndustryThe current trend in mining industry is as follows as described by Tsai, 2014 is as below: The mining market is now stained by volatile prices of products and the demand fundamentals are shifting. This will have a significant effect on the demand and supply of mineral products across the world. There is dwindling prices of commodity and lower levels of production. Minerals that are at risk experiencing tipping into a flooding supply thermal coal, iron ore and even aluminum.

The exploration and excavation costs by the market players have gone down increasing the affordability of the process. For instance, Aluminum cost is going even lower in china beyond much of other countries. This is due to the funding by the Chinese government which has now reduced competition for the aluminium product from china. Silver and copper are amongst those expected to drop as well, however this may not be immediate but rather gradual. Diamond and gemstone are the minerals whose mining are expected to experience a boom realizing the largest industry growth in Australia.

The mining industry in Australia has experienced a tremendous growth over time and is thus expected to affect a change in the mining industry. However, explorations or mines are in a downturn. There is slush in companies’ exploration budgets. Additionally, there is a plummet of about 30% in the exploration of non-ferrous metals. Thus focus is shifting away from exploration of minerals to production. The nursery sector of mining is shrinking due to a rise in troubled small miners. Small miners are experiencing problems due to lack of economies of scale.

Costs are likely to careen beyond control due to the resultant pullback in the budgets for exploration threatening to widen the rift between supply and demand. The mining sector is in a decline falling with over 7.5% in 2014. The effects of these challenges have subsequently made companies mothball there projects as well as cap capacity. Therefore only an adoption of new ways of business will break this cycle. Nonetheless, CIBC world Market projects a likely rise in gold at about $US1383 per ounce as silver on the other end is to fall to about $US22.

81 per ounce similarly, copper will experience a drop to $US3.17 per pound.A critical evaluation of Dicores customers and Dicores competitors shows the table below using strengths, weakness risks and opportunity (Amin, Razmi, & Zhang, 2011).1. SWORTInternal FactorsThreatsWeaknesses Core competenceInadequate leadership skillsResources Key technical resource gapscapacityInadequate mining capacityExternal factorsopportunitiesThreats Growth of economyEconomic down turnNew minerals availabilityNew entrant to the marketMarket expansionTechnology threatFewer and weak competitorsIncreased competitionFive forces analysis According to McKay, 2012) it can be analyzed using the five below factors: Threats of new entryThreats of substitutionConsumer powerSupplier powerCompetitive rivalryNot too expensive to prevent new entrantsCompetitors may have economies of scaleNo excavation technology exclusivityAbility of product substitution Able to substituteVery sensitive to price changesHigh number of suppliersSimilarity of products suppliedMany competitors in the industryHigh cost of exiting the marketReferenceTsai, H. H. (2014).

Global data mining: An empirical study of current trends, future forecasts and technology diffusions. Expert systems with applications, 39(9), 8172-8181.Amin, S. H., Razmi, J., & Zhang, G. (2011). Supplier selection and order allocation based on fuzzy SWOT analysis and fuzzy linear programming. Expert Systems with Applications, 38(1), 334-342. McKay, P. (2012). UF Business Library: MSE: Master of Science in Entrepreneurship: Porter's Five Forces Analysis.

Read More
Cite this document
  • APA
  • MLA
  • CHICAGO
(“Trends in Mining Industry Case Study Example | Topics and Well Written Essays - 500 words - 98”, n.d.)
Trends in Mining Industry Case Study Example | Topics and Well Written Essays - 500 words - 98. Retrieved from https://studentshare.org/management/1681600-case-study
(Trends in Mining Industry Case Study Example | Topics and Well Written Essays - 500 Words - 98)
Trends in Mining Industry Case Study Example | Topics and Well Written Essays - 500 Words - 98. https://studentshare.org/management/1681600-case-study.
“Trends in Mining Industry Case Study Example | Topics and Well Written Essays - 500 Words - 98”, n.d. https://studentshare.org/management/1681600-case-study.
  • Cited: 0 times

CHECK THESE SAMPLES OF Trends in Mining Industry

Leading Service Firms

Today every service firm tries to get a commanding position so that it can by having range of services, competitive distinctions, and innovations that can dictate the particular service industry in which it is competing.... But today, despite the availability (and increasing affordability) of powerful software applications, few firms conduct formal data mining to discover the unmet needs of clients and prospects.... Digging deeper means capturing, organizing, and mining valuable client data to the point that one can discern past and potential client and marketplace patterns....
7 Pages (1750 words) Essay

Industry Analysis by Stage in PLC

The ice cream industry comprises of establishments that are primarily engaged in manufacturing take-home ice cream, frozen yoghurts, impulse ice cream and artisanal ice cream.... (Datamonitor, 2008) The condition of the ice cream industry is influenced by several external factors.... Obesity concerns and health trends has pushed manufacturers to launch new products that address the growing trends....
4 Pages (1000 words) Essay

Data Mining Techniques

One of the types of industry is the supermarket industry.... The other industry that can use data mining is the automobile industry.... In the essay “Data mining” the author analyzes different techniques to store large amounts of data inaccessible form.... hellip; The author states that data mining is a set of statistical techniques that aim to identify trends, patterns, and relationships in data....
2 Pages (500 words) Essay

Restaurant Business in London

The paper also concentrates on the impacts of the restaurant industry on London's environment and tourism industry.... Postmodernism has affected the restaurant industry in London too.... Dining out is somewhat a 'modern' concept and therefore postmodernism has resulted in the success of the restaurant industry....
9 Pages (2250 words) Essay

Mining industry

The Chinese started venturing into the country since 1950's during the gold rush of the time (Macken 1997).... The number of immigrants from China was to later grow to the extent… This was to later cause concern to the labor unions in the country as they were afraid that their jobs were being taken away by these people who did not even demand as much as a local laborer As such, when looking at the relationship between these two countries, there will be no doubt to mention of the tension between the local laborer and the immigrant....
4 Pages (1000 words) Research Paper

Strategic analysis : JP Morgan Chase

trends in the Global Banking Industry 2012.... There is a realization amongst the company's managerial staff that organizations that posses the latest technological tools and implement them in their banking will be able to post a leading and dominating players in the banking industry.... Using various data mining techniques the organization can extract useful data that would help the company in optimizing its performance (Capegemini, 2012)....
2 Pages (500 words) Research Paper

Effect of Market Trends on Chinese Fashion, Britains Fashion Trends in the Philippines, PETA Fashion

From the paper "Effect of Market Trends on Chinese Fashion, Britain's Fashion trends in the Philippines, PETA Fashion" it is clear that the British Fashion Month at the Philippines proves to be a remarkable step that attempts to introduce the British Fashion to the consumers of the nation.... hellip; The ideal image of Britain's role in the fashion industry is the actuality that whilst the British Fashion Month is being celebrated in Manila, “six up-and-coming” designers from Philippine will be coming up with their collections at the International Fashion Showcase throughout the London Fashion Week in Britain....
4 Pages (1000 words) Research Paper

Market Structure of the Mining Industry

The following discussion "Market Structure of the mining industry" aims at highlighting the various characteristics associated with the mining industry.... hellip; The mining industry contributes greatly to modern society.... A number of characteristics define the mining industry.... Fatal injuries also characterize the mining industry according to Gunningham (2007).... Nature of the mining market The mining industry assumes an oligopolistic market structure (Campbell, 2004)....
3 Pages (750 words) Essay
sponsored ads
We use cookies to create the best experience for you. Keep on browsing if you are OK with that, or find out how to manage cookies.
Contact Us