The economic challenges resulting from Covid-19 have forced companies and industries at large to reassess their value propositions. Along with the tremendous health concerns, the coronavirus has also brought unprecedented disruption to the global economy, pushing the business community to modify the way it operates. The changes that have taken effect during the coronavirus will likely reshape the way we conduct business in the future.
Managers and entrepreneurs across all sectors are asking a range of pertinent questions: Are they equipped to operate in the new remote environment? Do their values align with the changes taking shape in consumer sentiment and ideals? How adaptable are they to the dynamic digital landscape? Do they have the right corporate structures in place to provide the higher level of transparency required of them?
The diamond industry is no different. Covid-19 has led the trade to a crossroads and presented an opportunity to address the many challenges it has faced in the past decade. At the same time, it is important to recognize the value the industry contributes to society and the shortcomings it still faces. The recently published November Rapaport Research Report presents those factors in the form of a SWOT analysis — a look at the strengths, weaknesses, opportunities and threats facing the diamond industry at the end of 2020.
An outline for the report, titled “A Chance to Rebuild,” was first presented in Rapaport’s quarterly Diamond Trends Webinar on October 21, with the hope of stimulating dialogue in the broader trade.
At the heart of the discussion, we asked ourselves: What would the diamond industry look like if we could build it from scratch? While we do not have a definitive answer to that question, we can say it would be very different from the way it has operated historically. The analysis helps to clarify what those differences would (or should) be.
In many ways, the industry is on the right track in tackling the challenges it faces, but it still needs to address a range of market forces.
