We need to evaluate:
\[
\lim_{x\to 1}\frac{x^3-1}{x-1}.
\]
If we directly substitute \(x=1\), then:
\[
\frac{1^3-1}{1-1}=\frac{0}{0}.
\]
This is an indeterminate form.
So, we factorize the numerator.
Using the identity:
\[
a^3-b^3=(a-b)(a^2+ab+b^2),
\]
we get
\[
x^3-1=(x-1)(x^2+x+1).
\]
Therefore,
\[
\frac{x^3-1}{x-1}
=
\frac{(x-1)(x^2+x+1)}{x-1}.
\]
Cancel the common factor \((x-1)\):
\[
= x^2+x+1.
\]
Now substitute \(x=1\):
\[
1^2+1+1=3.
\]
Hence,
\[
\lim_{x\to 1}\frac{x^3-1}{x-1}=3.
\]