Despite the launch of the Kimberley Process Certification Scheme, an international initiative to stop the flow of “blood diamonds” into the market, otherwise known as conflict diamonds which are “rough diamonds used by rebel movements or their allies to finance armed conflicts aimed at undermining legitimate governments”, as defined by the Kimberley Process, many believe this system is inefficient, and perhaps counterproductive, due to its lack of control over diamond smuggling and proper certification.

Many large diamond retailers have attempted to go above and beyond to ensure that the origin of their jewels are obtained through ethical means which do not entail child labour, war, and smuggling. Tiffany & Co., a major and exclusive North American distributor of consumer diamond jewelry, released a report in August of 2013, a report which asserted its position as socially and environmentally ethical members of the diamond trade ecosystem.

Relating to Friedman’s belief that corporation are better off maximizing profits while conforming to social and ethical norms, these major diamond companies are presenting themselves as responsible citizens in order to eliminate any consumer thoughts on their credibility to maximize profit. However, perhaps they are also truly caring global citizens, who have coincidentally launched their moral campaigns in the heat of the conflict diamond controversy. Based on Freeman’s Stakeholder Theory, it is important to align all the stakeholder’s general interests towards one common goal. In this case it may be to continue to maximize profits, ensure the ethical origins of their diamonds, or another initiative.

Works Cited

“Efforts To Control.” Brilliant Earth. N.p., n.d. Web. 10 Sept. 2014   <http://www.brilliantearth.com/kimberley-process/>.

Jackson, Corinn.  Fashionista.  Breaking Media, Inc., 1 Mar. 2013.  Web.  10 Sept. 2014.  <http://fashionista.com/2013/03/what-jewelry-companies-are-doing-to-ensure-diamonds-are-really-conflict-free>.

“Stakeholder Theory.”  Wikipedia.org.  Wikimedia Foundation, Inc., 8 Sept. 2014.  Web.  10 Sept. 2014.  <http://en.wikipedia.org/wiki/Stakeholder_theory>.

“Tiffany & Co. Releases 2012 Corporate Responsibility Report.” Tiffany & Co. For The Press. N.p., n.d. Web. 10 Sept. 2014.  <http://globalpress.tiffany.com/News/NewsItem.aspx?ID=216>.

Zimmerli, Walther Ch., Klaus Richter, and Markus Holzinger. Corporate Ethics and Corporate Governance. Berlin: Springer, 2007. Print.