first 2 pages summary on this paper
and the 3rd page
Case preparation questions:
1. What are the alternatives open to Argyle Diamonds in its relationship with the CSO? Should Argyle break away from the CSO? If they continue the contractual arrangement, what form should it take?
2. What factors determine the success of Argyle Diamonds?
3. Why is the CSO so strong? Why have Zaire, Botswana, and Russia failed to establish rival marketing systems for diamonds? Is there any reason to believe that Argyle would do any better?
4. Lay out the industry value chain for diamonds and consider the competitive forces acting on each step in the chain. Where do the CSO and Argyle concentrate their efforts?
NOTE: An important piece of information missing from the case is the way price is set between producers and the CSO. Producers receive the same price from the CSO as the diamonds are sold to the ‘sight holders’, less10% deducted as a CSO marketing fee. Also, don’t confuse ‘coloured’ diamonds, which are essentially discoloured, low grade diamonds ranging from pale yellow through to dark brown, with ‘fancies’ – the scarce, highly valued pink and lavender diamonds.
“keep the answers related to topic 2”
use simple english
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