global supply chain

The purpose of this assignment is to understand the role that inventory plays in fluctuating prices in a global supply chain.

Review the background information regarding the Hudson Jewelers (A) case study content provided. Additionally, research global supply and demand for diamonds and how prices are affected globally. You must document a minimum of two external sources on your reference page.

You will write a 500-750-word paper addressing the following components.

  1. The introductory paragraph should include an explanation of the role that diamond reserves, or diamond inventory, has in determining prices in the supply chain.
  2. The body of the paper should include a discussion of the ramifications in the supply chain if all diamond reserves flooded the marketplace. Including how the Internet can impact the demand and supply balance in the global diamond business and any ethical issues associated with how the current diamond supply and inventory are managed.
  3. Create a table detailing the components of inventory holding costs and factors that may affect them, such as security costs, obsolescence costs and others. Include an estimate of the inventory carrying cost as a percentage of the item value. The table should be used to support your answers to the above questions.
  4. Finally, conclude with an explanation of how the answers to the above questions contribute to how diamond prices are affected by global supply and demand.


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