Alrosa Swot Analysis

1. Introduction.

The purpose of this report is to familiarize reader with the detailed description of the Alrosa Company and provide with the results of the analysis that was made mostly based on the company’s annual reports within 5-years period. In the process of the analysis the SWOT-analysis also was done, where strong and weak sides of the Alrosa Company, as well as possible opportunities and threats were identified. Additionally this report contains the company’s market analysis, where its current condition on the home market was described.

2. General description.

ALROSA is one of the largest Russian group diamond mining company, which occupies a leading position in the world by the number of diamond mining (OJSC

SWOT analysis. Strengths Weaknesses
Internal • the world's largest supplier
• the largest resource base
• long-term contracts • court proceedings in progress
• high dependence on market conditions Opportunities Threats
External • marketing policy development • exchange rate risk

Strengths:
• In 2014 ALROSA proved its leading position as a diamonds’ supplier. ALROSA enterprises extracted 36.2 million carats of rough diamonds and company accounts for over 25% of the world market for today (Annual report, 2014).
• ALROSA has the largest resource base and one of the longest estimated mining reserve periods among the major players in rough diamond market. The organized sales system enabled the Company to earn a record income of over $5 billion from sales of its products in 2014 (Annual Report, 2014).
• Due to an effectively organized sales system based on long-term contracts ALROSA achieved high results. The balanced system of sales to the largest participants of the global rough diamond market is integrated in the Company’s long-term development program (Annual Report, 2014).
Weaknesses:
• Following the results of 2010, the number of court proceedings in progress where ALROSA Company defends suits is 27; total amount of complaints is 16,701,000 RUB (Annual Report,