...Ethical movie review Title: Blood Diamond Year: 2006 Studio: Virtual Studios Producer: Warner Bros. Director: Edward Zwick Country: United States of America 0.1 Introduction The following essay will examine ethical issues addressed through the movie “Blood Diamond”. The two main issues identified and discussed are; child soldiers and conflict diamonds. My main lens of ethical theories will consist of the four western theories, this includes, egoism, utilitarianism, ethics of duties and ethics of rights. Even though these theories are based on ethical absolutism, I will still try to apply a pluralistic view. Additionally, some of these theories will be expanded and other theories that do not tend so much towards ethical absolutism will be added. The following section will concentrate more on how these issues occurred and try to give some potential answer to the problems. In order to do so descriptive ethical theories will be tools in the examination. Finally the conclusion will be presented by a combination of a film review and a short summary of the findings in the text. 1.1 Children with guns The first of the two ethical issues that will be examined is the use of kids as soldiers. In order to do so I believe I have to take a subjective role on the subject, looking from a rebel soldier. The reasons for this is because I believe objective or western views on this topic will in the end state that this is neither moral or ethical. In order to get a more interesting...
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...De Beers Diamond Company Social Performance of Organizations Business 475 August 4, 2014 De Beers Diamond Company De Beers is a multinational privately owned diamond mining company established in 1888 by Cecil Rhodes. The company specializes in trading and manufacturing diamonds. Rhodes invested capital made from renting water pumps to miners and started buying mining claims. Rhodes knew the acquirement was on an untapped market. He purchased diamond fields owned by two brothers named “De Beer.” He even began purchasing from his rival Barney Barnato. The Rothchild family, Ernest Oppenheimer and JP Morgan were some of the companies first financial partners, their investments helped expand the business. By 1902 De Beers controlled 90% of the world’s diamond production. Ernest Oppenheimer, a rival diamond producer, owned the production company (Anglo American Corporation). Oppenheimer essentially bought his way onto the De Beers board of directors. In 1927, he became the chairman. Under his leadership, De Beers began making exclusive deals with its suppliers and buyers; this strategy made it impossible to have transactions with other companies and quickly became monopolized. De Beers is known for maintaining a strong hold on the industry and for absorbing its competitors by using it’s dominate position in the diamond industry. De Beers has been implicated in multiple scandals that involve price fixing and antitrust behaviors. There have been revolts against...
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... De Beers Introduction For generations, diamonds have been marketed as tokens of power and love. For some however, diamonds have a more utilitarian appeal. Easily concealed, immensely valuable and largely untraceable, stones from rebel-held mines have raised billions of dollars on world markets to finance revolution in Angola, Sierra Leone and the Democratic Republic of Congo (DRC). For years these "conflict diamonds" have encourage rebel leaders to arm and equip their armies in violation of UN weapons and financial sanctions. Diamond monopoly De Beers is notable for its monopolistic practices throughout the 20th century, whereby it used its dominant position to control the international diamond market. The company used several techniques to exercise this manipulation over the market: Firstly, it persuade independent producers to join its single channel monopoly, it flooded the market with diamonds similar to those of producers who refused to join the cartel, and lastly, it purchased and stockpiled diamonds produced by other manufacturers in order to price control through supply. In 2000, the De Beers forced to change the model, due to certain unavoidable factors such as the decision by producers in Russia, Canada and Australia, to distribute diamonds outside of the De Beers channel, thus effectively ending the monopoly. The De Beers family of companies started operating under a set of guiding rules known as the Diamond Trading Company Best Practice Principles (BBP)...
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...Organizations The De Beers Diamond Corporation Dr. Beth Kane Business 475: Business and Society January 28, 2014 The De Beers Diamond Corporation is a multinational diamond mining, hops, trading, and manufacturing business. In this paper the nature, structure, and types of product this corporation is involved well be analyzed. As with every large corporation stakeholders salient stakeholders are involved with the shaping of the companies direction, three key stakeholders relationships and roles will be evaluated. There are five key points for primary stakeholders wielding influence inside the corporations mainframe and the evidence of this behavior at De Beers. During the building and development of most businesses there are social issues that arise to challenge the structure and integrity of the corporation, De Beers faced this as well. This paper will detail the issue in which De Beers faced as well as the corporate and social changes that were wrought from the situation. This paper will also cover a hypothetical situation were a first person narrative of the roles of forming a stakeholder coalition. During this hypothetical situation the leader role will explore three (3) potential holdups for the the forming of a stakeholder coalition. The De Beers Diamond Corporation is a privately owned multinational conglomerate established in 1888 by Cecil Rhodes. Rhodes invested money made from renting water pumps to diamond miners into buying mining...
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... A symbol of prestige and love around the world has caused horrific violence across the diamond-rich nations of Africa. Diamonds, the hardest and most powerful substance known to man, are mined or stolen to fund armed conflict by rebel groups seeking to overthrow West African governments. During the 1990s diamonds obtained by rebel groups, conflict diamonds, made up twenty percent of the diamond market. After a decade long battle, the diamond industry, national governments and civil organizations collaborated to combat the illicit trade of conflict diamonds with the Kimberley Process. Sector Interest In this case, the diamond industry; countries with legitimate diamond businesses and retail operations; and nongovernment organizations collaborated as major sectors to end trade of conflict diamonds. The diamond industry’s main interest in the Kimberley Process was to develop a certification scheme that guaranteed customers that diamonds were conflict-free. Countries with legitimate diamond businesses and retail operations were concerned that economies would be affected and retail sales would decline. Nongovernment organizations called for an end to the violence and civil war. Collaborative Partnership for Problem Solving The major sectors in this case concerned with conflict diamonds could not have resolved the issue unilaterally because of individual weaknesses. Experts...
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...Impact of Vertical Integration Table of Contents What is Vertical Integration?3 De Beers Summary3 Internal strengths of vertical integration5 External strengths of vertical integration6 Disadvantages of vertical integration7 Quad/Graphics and vertical integration7 Four types of Vertical Integration 7 Ownership and Breadth of De Beers 9 Conclusion 10 References11 What is Vertical Integration? Vertical integration is a powerful corporate strategy that when implemented under the right circumstances can work towards the organizations advantage. Vertical integration describes a firm's control over several or all of the production and or distribution steps involved in the creation of its product or service. This integration takes the assets that was owned by two organizations and combines it into a single business; this creates either a joint ownership, or the sale of one firm’s assets to another business. This strategy is more advantageous then contracting with an outside company since usually it creates lower operating costs and more control over quality of its products or services. Forward and backward integration in an organizations’ value chain is an attempt to strengthen a company’s business model. Although there are different forms of vertical integration, its main approach is either to expand operations backward into an industry that produces inputs for the company, or forward into an industry that distributes the company’s products. According to Harrigan...
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...From Dirt to Distribution: The Diamond Purchasing Process and its Flaws Gregory Greenberg SCM 302 Sullivan University Fall 2013 Abstract: The diamond industry has often time been at the center of controversy due to the way that diamonds are excavated, refined and purchased. The term “blood diamond” is often applied to those stones which are mined in area’s of Africa that suffer from civil war due almost entirely to bloodshed over diamond mine rights. In response the diamond industry enacted the Kimberley Process in 2003. This process basically now requires all major diamond distributers to purchase diamonds from legitimate channels. This paper will discuss the process beginning at diamond excavation all the way to final distribution and the serious ethical issues and controversies that are hidden inside. From Dirt to Distribution: The Diamond Purchasing Process and its Flaws In order to understand the process and appreciate the work and time that goes into diamond distribution it is best to start right off with a visual aid. The following is a step-by-step process from taking a diamond from dirt to distribution (Oriana, 2012): ORIANA DIAMONDS (SURAT) PRODUCTION AND TECHNOLOGY ↓ Rough purchases Worldwide ↓ Oriana Diamonds Surat polish factory ↓ Weight Check and Sorting Varieties Head Loupe, Loupe, Lights, Scale ↓ Sorting by purity and shape Head Loupe, Loupe , Light, Sieves ↓ Separating each stone in individual packets ↓ Blocking 4 Auto Blocking machines...
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...DeBeers “A Diamond is Forever” Prepared April 16, 2012 For decades, De Beers has been the preeminent name in diamonds. Thanks to a stockpile of the world's rough diamond supply, indelible marketing schemes and even negotiations with foreign governments for their diamonds, De Beers has been the most important name in one of the world's most lucrative businesses for almost a century. This paper will review the billion dollar rise and fall of a monopoly that has crushed competitors and cash-strapped governments since the 1800s. Diamonds became a symbol of love thanks to De Beers, which is fitting, since De Beers became what it is today because of a love story: the love of money. In the beginning, the diamond trade took place mostly in India and Brazil. With the discovery of diamonds in South Africa, the trade simultaneously took off and became much less profitable. Up until the mid-1800s, diamonds were a rarity and could be seen only on the hand of a monarch. But the diamond rush that began in South Africa in the second half of the 19th century flooded the market with diamonds, killing demand. It would take some ingenious plotting and advertising to keep the diamond's reputation as intrinsically valuable and desirable, which is where De Beers comes in (Goldschein, 2011). Company History and Overview De Beers got its start when English-born businessman Cecil Rhodes, broke into the diamond business in South Africa by renting water pumps to miners before buying diamond fields...
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...analysis……………………………………………………………… page 10 Jewelry supply chain…………………………………………………………. page 16 Industry value chain, Jewelry Retail………………………………………….. page 19 Company analysis……………………………………………………………… page 24 SWOT…………………………………………………………………………… page 46 Financial ratios…………………………………………………………………… page 50 Strategies………………………………………………………………………… page 53 Preferred strategy……………………………………………………………….. page 60 EVA……………………………………………………………………………… page 62 Blue Nile balance sheet…………………………………………………………… page 63 References…………………………………………………………………………. Page 64 Executive Summary Blue Nile is a publicly traded company. The company was established in 1999 and is headquartered in Seattle, WA and is one of leading online retailers of diamonds and fine jewelry. In addition to serving the U.S. market, Blue Nile offers products to selected countries through its Canadian and UK websites. 70% of their sales are from engagement rings and wedding bands and they are known for being a high-end jewelry retailer. The company offers its products on its websites without actually holding the products. Because of its unique business model, it is able to sell its products at much lower prices than the competitors. After a thorough analysis of the trends impacting the market, and Blue Nile in particular, we have come up with a strategy that will maintain and improve the company’s position in the industry. By increasing its focus on marketing, Blue Nile should be able to gain more of...
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...as new sources of competition and suspicion about conflict diamonds, Gareth Penny had to rethink the basics A diamond may be forever, as De Beers' famous advertising slogan contends, but is the same true of a business model? That was the question facing Gareth Penny, managing director of De Beers, in the late 19'90s, when the famed diamond cartel found itself beset by a series of events that ultimately forced it to examine and then retool its business strategy. Since the company was founded in 1888, De Beers followed a strategy of supply control. In addition to mining its own diamonds, it bought diamonds from other producers and had what it called the "central selling organization," controlling some 90% of the world's diamonds. Its tight control over such a vast amount of supply enabled De Beers to keep prices high for a commodity that is neither particularly scarce nor useful. If a competitor offered diamonds on the market outside of De Beers' central selling organization, De Beers would simply flood the market with similar stones, thus eliminating any pricing power the competitor might offer. By the end of the 1990s, the business model of controlling supply and managing how much of its inventory went to market at any time was no longer effective: New sources of diamonds were discovered in sufficient quantity that they could be sold competitively outside of De Beers' central selling organization. Demand for diamonds was dropping at a time when demand for other luxury goods...
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...Beers and the Conflict Diamonds De Beers is the most recognizable name in the diamond industry and since it was established in 1888 by Cecil Rhodes; the company have been linked to the “blood diamond” trade because for a long time they had the control of supply and demand of the diamond industry. De beers dominated the diamond market for the best part of the 20th century, but the creation of synthetic diamonds and the discovery of new diamond deposits in other countries have created new challenges and De Beers have been obligated to deviate from their traditional ways of doing business. Q1. The diamond industry is exclusive in comparison to other industries because of the nature of their product. Diamonds are unique and the competitive rivalry is limited to only a few producers. The diamond industry has been able to create a high demand of their product because they have the ability to control the supply. Other industries such as electronics and technology face stiff competition and do not have the ability to control the market as the diamond industry does. Industries other than the diamond industries offer a great deal of alternatives for their services and products, but when it comes to the diamond industry; the alternatives are somewhat limited. While other industries struggle to stay afloat; the diamond industry continues to grow and presents an attractive opportunity for investors. Q2. I believe that anyone or any company that purchase conflict diamond has no regards for...
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...儿都不值钱。 Diamonds are not such high in value and rare in amount. On the contrary, diamond mine are one of the common minerals. In fact, in European and American areas, there are even more cut- diamonds than vehicles. They are valuable, however, they could not be exchanged freely like other products as the prices for second-hand diamonds are far below its origin. Besides, the natural diamonds can now be replaced by rhinestones. Actually, diamond might be worthless without its traditional image of romance. 钻石市场供大于求。世界上钻石的供给量，一直都超过它的需求，按照经济学供需规律，钻石应该会跌价，变得很便宜才对。但是，戴比尔斯通过持续买进市场上多余的钻石，来维持它的高价，估计到目前为止，戴比尔斯已囤积了价值超过百亿美元的钻石了。戴比尔斯还能支撑多久，还能持续买进多少市场上的钻石，没人能回答。 In diamond market, supply always exceeds demand. According to economic rules, the price will finally drop. However, De Beers have controlled and manipulated the price by continuously purchasing the stockpiles of diamond that come from other competitors. The price of which, has amounted to more than $10 billion up till now. How long can De Beers last and how much diamonds can they buy? No one knows. 天价打造的“浪漫形象”。戴比尔斯在世界钻石市场的成功，可以说是一个近乎达到垄断的完美范例。它一方面总能刺激市场对钻石的需求，另一方面则减少钻石供给，即使在1955年通用公司（GE）研究实验室宣布发明了人造钻石后，戴比尔斯公司仍能成功维持钻石的高价完美形象。事实上，戴比尔斯公司每年花在广告上的费用多达1.6亿美元，不断传递着“Diamonds are Forever”的信息，持续钻石浪漫的传奇。 They has put much emphasis as well as financial resources on preserving the romantic image of diamonds. To be frank, De Beers spends as high as $160million in advertising every year, continuously conveying the idea of ‘Diamonds are Forever’...
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...Until the beginning of the eighteenth century all known diamonds came from the Golconda region near Hyderabad in India. Pliny wrote an incredible account of how diamonds were found in an inaccessible valley. The locals threw meat into the valley and the diamonds stuck to it. Eagles carried off the meat to their nests from which the diamonds were recovered. At their peak the Golconda diamond fields probably supported many thousands of workers but were practically exhausted by the late seventeenth century. In 1844 diamonds were discovered in Brazil and for a while the Chapada Diamantina, or Diamond Highlands, in the state of Bahia, became the diamond capital of the world attracting prospectors and adventurers in the same way that the California Gold Rush did. A series of major diamond finds in South Africa from 1867 onwards, coinciding with a decline in production in Brazil, soon made it by far the biggest source of diamonds. As in Brazil and Indian the first finds were alluvial but by 1869 diamonds were being mined in South Africa. Their value depended on their rarity and Cecil Rhodes realised that if suppliers competed against each other that would be threatened. By the end of his short life Rhodes had gained control of the diamond mines and extended British rule over much of southern Africa. Mark Twain said of him that when he stands upon the Cape of Good Hope, his shadow falls to the Zambesi (Twain, 1904). One area that was not under British rule was South-West Africa...
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...company’s competence? Who is the company? What’s their background? What do they know about buying and selling diamonds? Established in 1989, Rare Investment is proud to be one of Canada’s leading authentic Rare Jewel Diamond Houses with unrivalled expertise in the sales and service of natural fancy colored diamonds and rare jewel investments. Through our 30-year history in the industry and our long-standing reputation with the industry’s leading mining and polishing companies, we provide investors with direct access to the world’s rarest diamonds with the greatest potential for appreciation. CREDIBILITY In any organization ‘credibility’ is paramount. When looking to invest in diamonds, we encourage investors to learn about a company’s leadership and credibility. Rare Investment's strategic operations are overseen by an executive team with expertise and experience in rare diamond valuation, diamond education, brand management, as well as significant expertise in the diamond trade. Rare Investment is backed by a sophisticated team of industry experts, GIA certified diamond advisors, highly-educated market researchers and the long-standing reputation of Rare Investment. Our brokers of rare jewels are highly skilled in valuing rare diamonds and have world renowned experience searching the world’s most coveted mines for the rarest and finest natural fancy colored diamonds with the greatest potential for appreciation. COST Has the company made money for investors? What kind...
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...as a result of DeBeers unethical research behavior they have been convicted along with the General Electric Company by the US justice department for conspiracy to raise prices in the $500 millions-a-year industrial diamond industry. "The indictment charges GE and DeBeers, which account for 80 percent of the industrial diamond market, with conspiring to fix and raise prices worldwide."(San Antonious, 2012) The DeBeers corporation was first guilty and second showed a direct correlation of purposely breaking the no-tolerance segment of the US law called the Sherman Act. Cartels: The Sherman Act’s first offence for even operation are unafraid thru intimidation and threats to acquire or control whatever item they go for to all suppliers/workers, businesses, the public or middle-man altogether. Next, DeBeers illegal cartels withheld large sums of the discovered diamonds they had acquired so they can hike up diamond prices. So, DeBeers could make it seem publicly that there was a perception that there was a shortage in supply of available diamonds to buy, therefore causing the public market to scurry to buy them at absorbent prices because they had to. Later as the demand of the market became more financially beneficial to them as a corporation, they made the diamonds more available, therefore allowing DeBeers to have financial gain on four parties directly: suppliers, businesses, the public and middle-men. So because of DeBeers acting unethically, they are facing years of jail-time...
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