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De Beers has been known for years as the major diamond distributor of the world. The company started in 1889 in South Africa as a result of a consolidation of several smaller companies, initiated by Cecil Rhodes, a businessman, and Barnet Barnato, a financier. During this time in South Africa, only licensed companies were allowed to trade diamonds, and since De Beers were in control of 90% of the diamond mines, this helped to solidify their top market share position(Hitt, M., Ireland, R., and Hoskisson, R., 2007).
When Ernest Oppenheimer became chairman of the company in the 1930’s, he helped De Beers keep control of the supply of diamonds by bargaining with different rulers of the diamond mining countries; in exchange for a large return, De Beers would have total domination of the diamond mines. In addition to this agreement, De Beers held a function several times within a year which allowed sight holders to purchase a lot of rough cut diamonds at a non negotiable preset......

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Approximate Word Count: 920
Approximate Pages: 4 (250 words per double-spaced page)

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