De Beers and the Global Diamond Industry Harvard Case Solution & Analysis

De Beers Consolidated Mines to successfully manage the global diamond industry for decades, supporting prices at all stages of the value chain, reducing price volatility and increased consumer demand. By the end of the 20th century, however, a number of forces threatened De Beer role and profitability. New diamond mining company to sell their products on the open market, and not through the Central Selling Organization of De Beers. New competitors have tried the class and polish diamonds outside the value chain, De Beers. Some sellers have been buying shares in the new mines in order to create their own value chain. New technologies offer the ability to create synthetic diamonds, which would be indistinguishable from diamonds created by nature. Government threatened antitrust action. Meanwhile, the illegal trade in "conflict diamonds" was supporting revolutionary groups and disrupting the market. De Beers now had to decide whether to keep their traditional functions, or to start a new strategy. Specifically, De Beers, under a shift in the retail jewelry business products in a joint venture with France's Moet Hennessy, Louis Vuitton luxury goods company, which will sell De Beers brand of diamond jewelry. "Hide
by David W. Conklin, Daniel Cadieux Source: Richard Ivey School of Business Foundation 17 pages. Publication Date: July 15, 2005. Prod. #: 905M40-PDF-ENG

De Beers and the Global Diamond Industry Case Solution Other Similar Case Solutions like

De Beers and the Global Diamond Industry

Share This