What makes one pair of pliers better than another? How the steel is manufactured is one factor. Drop-forged steel has essentially been hammered by a machine to form its final shape. This process stretches and aligns the grain for strength, whereas cast steel does not have this characteristic. Casting and drop forging are common mass-production processes. Here is a good resource on the subject:
The differencees between cast and forged metal.
Handmade tools created by blacksmiths are forged with heat and a hammer. These tools have the same quality as drop-forging, but are not mass produced. In fact, drop-forging is the production version of smithing.
Another method of manufacture is to machine the tool from a blank piece of steel. This process is labor intensive, and also does not impart grain realignment or stretching that occurs in drop forging. If a machined tool is made from extruded steel, then it may have various strengths imparted in the raw metal that were present in the extrusion process. However, these strengths are linear, rather than convoluted.
Tools made from steel can be made to take on different characteristics through selective heating and cooling. Not all alloys of steel have equal levels of these traits. Good tools are heat treated so that they are both tough and hard. A tool that is "case hardened" is tough on the inside and hard on the outside, making it resist denting and deformation while at the same time resist cracking. Inexpensive tools that are not properly heat treated can either snap in half under force, or bend. I have experienced both of these traits when using cheap tools.
Here is a list of properties that metals can acquire through the application of heat treatments. Tools that are too soft will deform. Tools that are too hard will shatter.
Temper -
Properties of rolled raw metal profiles -
Steel is a blend of iron and carbon. Iron by itself is very soft. The addition of carbon makes the compound able to be hardened. Other additives can make steel much stronger for tools. These additives make them alloys of steel.