SWOT Analysis of Rio Tinto

RIO Tinto Group is a British based International Mining and Metal Corporation. It is head quartered in Westminster, London, and city of United Kingdom with an administration office operating in Melbourne, Australia. In 1873 the company was established when a group of share holders buy a mine complex on the Rio Tinto, in  Huelva, Spain, from the government of Spain. After that, the company is now making a place in the market among the world leading companies which are specialized in the business including aluminum, copper, iron ore, coal, diamonds and uranium. Even though the company is still working in 6 (six) countries but its main target is Canada and Australia.

Strengths

• The company is using first class products and their cost is low as compare to the other companies that is why they are attracting more people to buy their products.

• Their contribution of products is different from other companies.

• They manufacture a wide range of products including copper, diamonds, coal, aluminum, uranium, iron ore, gold and also materials that are used in industry such as talc, salt, zircon, borates and titanium oxide

• Rio Tinto is the world fourth largest mining company according to the public’s choice in the March of 2009.

• There are few factors such as the fine quality of their resources, well built set of scales or balance sheet and  an everlasting position has make it possible for Rio Tinto to carry out the leading production line.

Weaknesses

• Although the company is working in more than 50 nation’s world wide but they are confined on their production centers in Australia and Canada. Due to this, the large expenditures are gaining more than the others.

• Due to restricted liquidity position most of their material goods whether in the form of machinery or in mining infrastructure, they are in illiquid form.