5 Reasons Why Natural Diamonds Are Overpriced In 2023
1. Limited Supply: Originally, natural diamonds were once thought of as being one of the rarest and most valuable resources on Earth. With its limited supply, they commanded high prices due to its scarcity. Although this traditional way of thinking no longer holds true as diamonds are quite plentiful, the perception of it being valuable remains.
2. Cost of Mining: The costs associated with mining for diamonds are very high. Everything from expensive equipment and labor, to extraction and relocation, add to the price.
3. Industry Structure: The diamond market is monopolistic and highly regulated, which keeps prices high for consumers. The industry is dominated by a few well-established players who control most of the market.
4. Branding: Diamonds have been branded as a luxury item, which has created a mystique around them and inflate their cost.
5. Market Manipulation: The prices of diamonds have been controlled and manipulated by manufacturers sellers, as they keep information about pricing and production
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