The USA has always provided the largest market for customers and retail buyers of the natural diamonds. They would use punitive measures against other countries who stood in their way.
This single distribution channel has been at the core of our ability to regulate the diamond market and without this means of distribution, De Beers and the entire diamond industry would greatly suffer. The stockpiling we currently utilize to control the supply of diamonds and, more specifically, control the price of diamonds, is eating away at our profits, resulting in a low stock price.
E—Ecological factors.De Beers was reorganizing to better compete with the synthetic diamond market. Branding We need to continue our marketing efforts aimed at branding our diamonds. To this end, De Beers launched the Best Practice Principles BPP Assurance Programme in making compliance to the standard a contractual condition of supply to De Beers Related Documents Essay Critical Analysis Of Social Media Critical Analysis of Social Media Social media has been used in various contexts to refer to the many forms of web-based platforms and technologies that are used by people globally to interact socially with one another online. Harvard Business School Publication: Exhibit 1 PEST Analysis Items of high importance are marked with an upward arrow for strong positive forces and a downward arrow for strong negative forces. T—technological factors to create new processes and products. De Beers Chairman Nicky Oppenheimer backed non-governmental organisations NGOs , which have slammed a watchdog group ahead of a key meeting next week. For about 80 years, the De Beers diamond company has pulled off the biggest marketing scheme ever known to mankind. The other large economic issue we are facing is our method of stabilizing the diamond prices. Alrosa began to take the market share from DeBeers after their Soviet contracts became void. Under the Kimberley Process certification programme, which came into effect in , participating governments agree to issue a certificate to accompany all exports of rough diamonds. Their reputation for bullying and unethical business practices is well documented. E—the economic factors in the external environment. These are the issues that have been focused on in this memo.
However, behind every success come with a price. Exhibit 1 PEST Analysis Items of high importance are marked with an upward arrow for strong positive forces and a downward arrow for strong negative forces.
The supply of diamonds was influenced by political factors. Diamonds are not a necessity and the lack of a diamond does not make ones life materially different.
They own this unique niche and if they decided to enter the synthetic diamond market, it would hurt their branding.