An examination of De Beers in terms of its value chain and its components.
Analytical Essay # 140322 |
5,750 words (
approx. 23 pages ) |
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Abstract
The paper relates that De Beers' value chain begins with its Central Selling Organization or the CSO. The paper explains that while De Beers maintains some interest in mining activities its first real value center begins with the grading process of diamonds within the framework of its CSO operations where diamonds are assigned their market values (Cadieux, 2005, p.4). The paper reveals that for De Beers, the value chain can be described as being a sequence of primary business activities that add utility as well as value to its products or services (Value, 1996), and therefore, any organization can be subdivided into the components that add value to each of its processes comprising the production and delivery of its product or service. The paper relates that the reasons for examining an organization such as De Beers in this respect are many, but put briefly, being aware of a firm's value chain and its components tends to offer the greatest opportunity for De Beers to identify its sources of sustainable competitive advantage (Value, 1996, para.2).
From the Paper
"De Beers' value chain begins with its Central Selling Organization or the CSO. While De Beers maintains some interest in mining activities its first real value center begins with the grading process of diamonds within the framework of its CSO operations where diamonds are assigned their market values (Cadieux, 2005, p.4). For De Beers, the value chain can be described as being a sequence of primary business activities that add utility as well as value to its products or services (Value, 1996). Therefore, any organization can be subdivided into the components that add..."
Tags:de, beers, analysis
A strategic analysis of De Beers.
Analytical Essay # 130361 |
750 words (
approx. 3 pages ) |
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In this article, the writer notes that the Supplier of Choice (SOC) program, which De Beers formed as part of its overall business strategy, consisted of four aspects that moved the diamond industry from the free-wheeling market it had been to a more consistent and standardized industry. The writer discusses that the primary functions that the SOC serves are to elevate the performance and quality standards of the supplier network across the diamond industry by requiring them to meet minimum performance criteria related to finance, manufacturing, distribution and ethics.
Tags:de, beers, diamond, industry
Marketing Analysis of De Beers Diamonds
A marketing analysis of how De Beers has become the leading name in diamonds.
Research Paper # 119162 |
3,668 words (
approx. 14.7 pages ) |
9 sources |
MLA | 2010
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$ 61.95
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This paper gives an in-depth analysis of De Beers, the South African company that controls almost all of the world's diamond production. A brief history of the diamond industry is given first. Then, the author presents several of De Beer's best known marketing strategies that have become ingrained in our society. These include campaigns for diamond engagement rings, eternity rings, and marketing aimed at affluent single women. The paper continues by describing how De Beer's became a name brand. The second half of the paper explores the "dark side" of the diamond industry, with an emphasis on the working conditions in the diamond mines and treatment of workers. Also discussed are the national conflicts that have terrorized countries such as Sierra Leone over control of their diamonds. The paper concludes by calling on De Beer's to improve its image and take responsibility for its actions and treatment of workers.
TOC
Introduction
History of Diamonds
Who is De Beers?
The True Value of Diamonds
A Diamond is Forever
The Diamond Engagement Ring
Public Relations: Making Prospects Aware
Marilyn is De Beers' Best Friend
How do you Make Two Months' Salary Last Forever?
The Future of Diamonds
The Diamond Eternity Ring
Women of the World, Raise Your Right Hand
The Branding of Diamonds
The Secret Side of Diamonds
Conflict Diamonds
Bibliography
Literary References
Web References
APPENDIX 1
APPENDIX 2
From the Paper
"Diamonds are currently the most expensive gems available for sale; and rightly so, diamonds are rare and valuable. Except that they are not. Although the belief that diamonds are rare and valuable is widely held, it is entirely false. The value of diamonds lies in nothing more than a brilliant marketing campaign coupled with an even more brilliant channel distribution system. When buying a diamond, the consumer can extend their thanks to De Beers for the hefty price tag."
Tags:advertising, advertising slogans, Sierra Leone, mining, work conditions, colonization
A review of the challenges that face De Beers Consolidated Mines, LTD and the company's strategic capability to revive their diamond operations.
Analytical Essay # 106877 |
1,983 words (
approx. 7.9 pages ) |
9 sources |
MLA | 2008
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$ 37.95
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This paper discusses the history and development of De Beers Consolidated Mines, LTD from its founding in 1888 until today. It specifically looks at the severe competition that De Beers faces today and the challenges that it needs to overcome. The paper then analyzes the company's strategic capability to revive the diamond operations and retrieve the desired financial and non-financial results.
Table of Contents:
Thesis Statement
Company Description
Company Problems
Conclusions
From the Paper
"But during recent years, they have been faced with a wide series of challenges. The most relevant problems refer to a diminished public perception (in Africa for instance, they have been accused of paying rebels to extract diamonds and with the money received, these rebels would purchase weapons and engage in violent reactions ) which often materializes in loss of customers. Then, electrical power problems and the restrictions imposed in South Africa are yet another matter of concern. The best way to resolve the issues would be for De Beers Consolidated Mines to change their approach to the market and develop new strategies that do not apply to monopoly, but to highly skilled, developed and experienced company that wants to revive the industry and make a difference."
Tags:diamond, mines, extraction, Kimberley, trade
A case study of De Beer's international diamond monopoly and its implications.
Case Study # 146669 |
1,506 words (
approx. 6 pages ) |
10 sources |
APA | 2011
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$ 29.95
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The paper provides an overview of the company of De Beers and discusses its monopolizing power, its effects on African countries and the company's change of strategy. The paper explains the Kimberley process and the relationship of a monopoly to Christianity. The paper concludes that the case of De Beers illustrates how monopolies can use their power to generate conflicts in undemocratic coutries, but, once awareness is raised regarding the gravity of such actions, the monopoly power can be restricted or even eliminated.
Outline:
Company Overview
Monopoly Status
Relation to Christianity
Conclusion
From the Paper
"The Diamond Trading Company, De Beers Group's distribution arm is sorting, valuing and selling approximately 40% of the world's rough diamonds from the value point of view. The De Beers Group has either joint-ventures or wholly-owned interests in South Africa, Bostwana, Namibia and United Kingdom and has shops in many other countries, except in United States. This last market, despite being the second largest in the world as size (Associated Press, 2004), is one in which De Beers sells its diamonds through intermediaries since the World War II, which corresponds to the moment the company it was charged for the first time with price fixing. In 2004, the diamond seller was fined $10 million in Columbus, Ohio as part of an agreement that resumed the company's selling activity directly in the US market. However, this wasn't the first charge the company was brought in the US. In 1994, De Beers was charged along with GE for keeping diamond prices artificially high at a worldwide level. The charges were dismissed as the US courts didn't have the jurisdiction outside the US and De Beers is headquartered in South Africa."
Tags:Kimberley, process, Christianity, blood, diamonds, Africa, civil, war
Van der Spuy (2008) discussed the De Beers Diamond Company and the realization of management that the pension fund could have a long-term detrimental impact on the business. This was because while the find provided a potentially secure future for ...
Essay # 138015 |
2,000 words (
approx. 8 pages ) |
5 sources |
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Van der Spuy (2008) discussed the De Beers Diamond Company and the realization of management that the pension fund could have a long-term detrimental impact on the business. This was because while the find provided a potentially secure future for workers, in relation to the company it did not provided for an accurate assessment of what employee pensions would be until those employees retired. Consequently management believed that there was the risk that if a large number of workers in the workforce of over 7,000 would retire, the company could possibly find itself in financial straits. In response to this concern the company proposed a new pension fund format to the workers. Yet, while the company could have simply told the employees that the new fund would go into effect, the company elected to educate their employees about the positive and negative factors associated with both finds and allow the workers to make up their own minds and choose a plan that was appropriate for their lives. Furthermore, the company provided for meetings about the funds, guest speakers that would elaborate on both funds and a website that was directly related to both plans.
From the Paper
A Matter of Trust: Article Analysis Van der Spuy (2008) discussed the De Beers Diamond Company and the realization of management that the pension fund could have a long-term detrimental impact on the business. This was because while the find provided a potentially secure future for workers, in relation to the company it did not provided for an accurate assessment of what employee pensions would be until those employees retired. Consequently management believed that there was the risk that if a large number of workers in the workforce of over 7,000 would retire, the company could possibly find itself in financial straits. In response to this concern the company
Tags:article, analysis, hr
This paper is a literature review to answer the question: "Does diamond advertising lead to civil strife that damages international relations and causes vast amounts of human suffering?"
Research Paper # 55553 |
3,255 words (
approx. 13 pages ) |
8 sources |
MLA | 2004
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$ 56.95
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This paper explains that advertising contributes to the conditions that cause prices to increase, making diamonds ever more valuable for clandestine transactions among the world's criminals and terrorists. The author points out that the media is responsible for carrying the messages that create the demand; the mine owners create the profit motive. The paper concludes that, even though diamonds reach the consumer via a number of criminal, corrupt, or terrorist individuals or organizations, De Beers's advertising is at the root of the civil wars, international ill will, and maiming and murdering of civilians, which happens in the countries that produce at least the so-called "blood diamonds".
From the Paper
"It was noted in the introduction that De Beers conducted an advertising campaign to decrease the number of those "forever" gemstones available for resale from family treasures, as well as using advertising worldwide to increase demand. This article contends that De Beers, which had been directly involved in Sierra Leone until the 1980s, did much more to control the prices paid for diamonds, which would in turn control the lengths people would go to in order to obtain them. After the beginning of the Sierra Leone civil wars, De Beers "its attempts to mop up supplies everywhere in the world, De Beers not only sustained the artificially high price of diamonds, it also undoubtedly bought diamonds from war zones"."
Tags:de-beers, pricing, demand, root, blood
A discussion on Greg Campbell's book "Blood Diamonds: Tracing The Deadly Path of the World's Most Precious Stones".
Term Paper # 148942 |
1,462 words (
approx. 5.8 pages ) |
1 source |
MLA | 2011
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The paper looks at how Greg Campbell's book "Blood Diamonds: Tracing The Deadly Path of the World's Most Precious Stones" tells the story of how De Beers took over the mining and the marketing of diamonds. The paper discusses the violence and bloodshed that is a near-constant theme within the process of mining diamonds in Sierra Leone, and highlights how Campbell contrasts this to the advertising and selling of diamonds in the global marketplace that is slick, glossy, high-tone and offers not the slightest hint of bloodshed and the chopping off of men's hands at the mines. The paper discusses Campbell's contention that the diamonds al-Qaeda acquired from Sierra Leone were linked to the hijackings of the Twin Towers and examines the De Beers' PR representative's justifications of the horrors caused by conflict diamonds.
Outline:
The Economics of Diamonds
The African Diamond Economy and Terrorism
From the Paper
"The story of how one company took over the mining and the marketing of diamonds is told very thoroughly by Campbell. That company is De Beers, and having been established in 1888 and at that time in control of 90 percent of all the diamonds in the world, De Beers spent the twentieth century pursing a plan that was "...as simple as it was ruthless: buy as much of the world production as possible and tightly control global distribution" (Campbell, p. 108). Much like the OPEC group can control the price of oil by cutting back on production, De Beers has controlled the price of diamonds by "curtailing either production or distribution" - putting only enough stones on the market to keep the price up where De Beers wants it (Campbell, p. 108).
"And even though De Beers ended up owning most of the diamond mines in the world, in the same way as a cartel owns the trafficking rights to heroin and cocaine in Mexico, or Columbia, to be able to keep the price up beyond diamonds' real actual value, De Beers also had to promote the myth that for anyone anywhere in the world, if you fall in love with a woman you must give her a diamond to seal the deal. Campbell spends a fair amount of narrative on the De Beers' marketing strategies, as if to prove what a bunch of fools the men of the world are when they fall for marketing phrases like "A diamond is forever," and "Show her that you'll love her for another thousand years" (Campbell, p. 112).'
Tags:Sierra, Leone, mines, violence, al-Qaeda
A look at different types of market structures including monopolies, oligopolies and cartels.
Comparison Essay # 149164 |
1,185 words (
approx. 4.7 pages ) |
4 sources |
APA | 2008
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$ 24.95
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The paper discusses the characteristics of monopolies and looks at De Beers as an example of a company that had a monopoly on the diamond market. The paper then looks at oligopolies and how America's beer industry fits the model of an oligopoly, and finally, the paper discusses cartels and one of the most recognizable cartels worldwide that is the Organization of the Petroleum Exporting Countries (OPEC).
From the Paper
"Although it is no longer the case, in the 1980's, De Beers had a monopoly on the diamond market (McConnell, 2002). At this time the company marketed 80% of the world's diamond supply. In order to maintain a monopoly price the company would change the number of diamonds sold depending on the demand. Any additional diamonds mined would be stockpiled during times of low demand so they could be used when the demand increased. The company was also able to limit entry into the market by other companies. They convinced independent companies that there would be a higher profit if they marketed through De Beers. If a company tried to market diamonds on their own, De Beers was able to use their stockpiles to flood the market with similar diamonds. They would also buy and stockpile the diamonds produced by independent companies. Through their methods, de Beers was able to control the diamond supply until mid 2000 (McConnell, 2002).
"Unlike a monopoly, an oligopoly consists of multiple firms, although the number is limited to a small group (Perloff, 2007). Each firm is able to affect the prices of the market and the actions of each affect the other firms in the market. In order to maximize profits, each company must consider the actions its competitors. Entry into these markets can be limited in a number of ways, including government licenses or patents. These firms can function independently or work together so that all can profit (Perloff, 2007)."
Tags:supply, demand, competition, price, welfare, OPEC
A paper which discusses sexist and offensive messages in advertisements.
Analytical Essay # 8299 |
1,300 words (
approx. 5.2 pages ) |
4 sources |
APA | 2002
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$ 26.95
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The paper provides an overview of the topic of sexism and offensive messages in advertisements. It points out that the average American views up to 3000 advertisements a day and therefore the messages that come across have a huge impact on the viewer. The paper uses the example of De Beers diamond ads as an example of sexist advertising and offers suggestions, such as boycotting products, as a means to control offensive messages.
From the Paper
"The ways in which women are stripped of their individuality through traditional advertising tropes can be seen in a DeBeers billboard that was recently easily spotted when driving on local freeways. What is so striking about this ad is that it manages to be offensive and sexist without actually portraying any women at all. But by trading on sexist stereotypes that should be long dead (or rather, should never have existed in the first place but most certainly have no business being brought in to play now) it qualifies as a perfect example of how are inundated with messages in the mass media that diminish women in a way that should make us all ashamed."
Tags:advertisers, billboard, competition, product