Product details

By continuing to use our site you consent to the use of cookies as described in our privacy policy unless you have disabled them.
You can change your cookie settings at any time but parts of our site will not function correctly without them.

Abstract

Hitexal Diamonds Pvt Ltd, a diamond manufacturing company in Surat, India, was liquidated in 2007 because of dwindling profits and huge market competition. The company was among the several other small and medium diamond manufacturing units which operated in Surat, the diamond hub of the world. Though the demand for polished diamonds in the world was increasing it was coupled with growing global competition and the change in consumer behaviour demanding better quality. These factors forced the diamond manufacturers in Surat to operate on thinner margins. Faced with the similar situation the owner of Hitexal Dimonds, opted to liquidate the company, which had four diamond manufacturing units and invested in other lucrative sectors like real estates. Mr Patel, retrospect’s on the possible strategies which could have saved the company. An investment in IT was overlooked, as he was reluctant then, to invest in something which would have added to the indirect costs and interfered with the informal business approach.
Location:
Industry:
Size:
200-250
Other setting(s):
August 2014

About

Abstract

Hitexal Diamonds Pvt Ltd, a diamond manufacturing company in Surat, India, was liquidated in 2007 because of dwindling profits and huge market competition. The company was among the several other small and medium diamond manufacturing units which operated in Surat, the diamond hub of the world. Though the demand for polished diamonds in the world was increasing it was coupled with growing global competition and the change in consumer behaviour demanding better quality. These factors forced the diamond manufacturers in Surat to operate on thinner margins. Faced with the similar situation the owner of Hitexal Dimonds, opted to liquidate the company, which had four diamond manufacturing units and invested in other lucrative sectors like real estates. Mr Patel, retrospect’s on the possible strategies which could have saved the company. An investment in IT was overlooked, as he was reluctant then, to invest in something which would have added to the indirect costs and interfered with the informal business approach.

Settings

Location:
Industry:
Size:
200-250
Other setting(s):
August 2014

Related