The impact of external forces on cartel network dynamics: Direct research in the diamond industry

© Roman Grynberg and Letsema Mbayi 2015. This paper describes the impact of external environmental forces on cartel networks. Using a case research approach, this report examines two leading business networks within one industry, over time. The results suggest that (a) bargaining power of intermedia...

Full description

Bibliographic Details
Main Authors: Gupta, S., Polonsky, M., Woodside, Arch, Webster, C.
Format: Book Chapter
Published: 2015
Online Access:http://hdl.handle.net/20.500.11937/63218
_version_ 1848761026212790272
author Gupta, S.
Polonsky, M.
Woodside, Arch
Webster, C.
author_facet Gupta, S.
Polonsky, M.
Woodside, Arch
Webster, C.
author_sort Gupta, S.
building Curtin Institutional Repository
collection Online Access
description © Roman Grynberg and Letsema Mbayi 2015. This paper describes the impact of external environmental forces on cartel networks. Using a case research approach, this report examines two leading business networks within one industry, over time. The results suggest that (a) bargaining power of intermediaries increases with the advent of new and powerful actors, (b) process activities that cartels previously controlled are being outsourced to new actors sometimes based in developing countries, (c) other actors are acquiring resources once dominated by a cartel, (d) external forces triggered by the illegal diamond trade, such as international regulatory constraints, no longer favour cartels like De Beers, and (e) over time, these and additional environment factors are forcing actors like De Beers who perform rigid process activities to become more flexible. For example, forces are moving cartels which relied previously on hand-picked intermediaries in highly controlled networks to market their products to adopt a flexible market-focused expansion of operations in retail contexts.
first_indexed 2025-11-14T10:25:07Z
format Book Chapter
id curtin-20.500.11937-63218
institution Curtin University Malaysia
institution_category Local University
last_indexed 2025-11-14T10:25:07Z
publishDate 2015
recordtype eprints
repository_type Digital Repository
spelling curtin-20.500.11937-632182018-02-06T06:23:50Z The impact of external forces on cartel network dynamics: Direct research in the diamond industry Gupta, S. Polonsky, M. Woodside, Arch Webster, C. © Roman Grynberg and Letsema Mbayi 2015. This paper describes the impact of external environmental forces on cartel networks. Using a case research approach, this report examines two leading business networks within one industry, over time. The results suggest that (a) bargaining power of intermediaries increases with the advent of new and powerful actors, (b) process activities that cartels previously controlled are being outsourced to new actors sometimes based in developing countries, (c) other actors are acquiring resources once dominated by a cartel, (d) external forces triggered by the illegal diamond trade, such as international regulatory constraints, no longer favour cartels like De Beers, and (e) over time, these and additional environment factors are forcing actors like De Beers who perform rigid process activities to become more flexible. For example, forces are moving cartels which relied previously on hand-picked intermediaries in highly controlled networks to market their products to adopt a flexible market-focused expansion of operations in retail contexts. 2015 Book Chapter http://hdl.handle.net/20.500.11937/63218 10.1007/978-1-137-53758-4.0008 restricted
spellingShingle Gupta, S.
Polonsky, M.
Woodside, Arch
Webster, C.
The impact of external forces on cartel network dynamics: Direct research in the diamond industry
title The impact of external forces on cartel network dynamics: Direct research in the diamond industry
title_full The impact of external forces on cartel network dynamics: Direct research in the diamond industry
title_fullStr The impact of external forces on cartel network dynamics: Direct research in the diamond industry
title_full_unstemmed The impact of external forces on cartel network dynamics: Direct research in the diamond industry
title_short The impact of external forces on cartel network dynamics: Direct research in the diamond industry
title_sort impact of external forces on cartel network dynamics: direct research in the diamond industry
url http://hdl.handle.net/20.500.11937/63218