Situation Analysis Traditionally, steel has been a very important industry with in the United States. This is due to the strategic value of steel, used in weapons, ships and other products that contribute to the national defense. Moreover, many US industries rely on steel as a major part of industrial products, cars, etc. Since 1900, the United States steel production has plunged from 37% to approximately 15%. In 1960, growth in this industry had leveled off. This is due to the significant increase in imported steel. Furthermore, new technology incorporated into production and recycling creates a new, less costly, more efficient process, where US producers cannot compete. Therefore, in 1976 import restrictions were placed on imported steel to �get them back on their feet,� these had little effect. Unable to make the technological improvements in the aging facilities, by 2002, 31 US steel companies had filed for bankruptcy production. This dilemma has caused great turmoil with in the US leading the government to question, what should be done to protect the US steel industry.....

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