Diamond Cartel -

The "Diamond Cartel" primarily refers to the historic monopoly maintained by , which controlled up to 90% of the world’s diamond supply for over a century. This guide outlines how they operated, their marketing genius, and why their absolute control eventually faded. 1. The Strategy: Artificial Scarcity

Since diamonds have little practical "use-value" for consumers, De Beers had to create a psychological one. Why The Diamond Cartel Is So Long Lasting Economics Essay Diamond Cartel

The cartel's primary goal was to ensure diamonds remained expensive despite being relatively abundant in nature. The "Diamond Cartel" primarily refers to the historic

: De Beers formed the Central Selling Organization (CSO) to act as a single gateway. They bought rough stones from other miners to prevent them from hitting the open market and lowering prices. The Strategy: Artificial Scarcity Since diamonds have little

: During economic downturns, like the Great Depression, the cartel would withhold supply and stockpile diamonds to keep prices from falling.