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the company is de beers Describe the company's principal-agent problem; - Is your company of choice...

the company is de beers Describe the company's principal-agent problem;

- Is your company of choice a perfect competition model? If yes, describe it. If not, explain how it differs;

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Answer #1

No, De beers is not a perfect competition model because they work as a monopoly, they owned a resources that was exclusive to them and that alowed them to have a monopoly over the wole diamond market in the world, even after they lost the monopoly, there are only a few companies in the world that can competete with De Beers. for a perfect market competition the market should have many firms and none of the firm should have compelete control over it.

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