Indian Journal of Science and Technology

Abstract

Background/Objectives: The study is aimed at justifying and applying modern economic tools capable of providing favorable conditions for diamond and jewelry manufacturers to be competitive in the world market. Methods/Statistical Analysis: Different methods of analysis have been used in the study: Horizontal (time) and vertical (structural) analysis to determine the structure of the research subject and the effect of each element of the system; trend analysis to determine the main tendency of factors dynamics; comparative analysis of aggregated and averaged indicators on separate elements of the considered sector; factor analysis to assess the impact of individual causes on the performance indicator. Findings: The article presents the results of studying the implementation of the working potential of the diamond cutting and jewelry production in the territory of the free port of Vladivostok on Russky Island. Ground has been given to competitive advantages of creating a diamond cluster project as a resident of the Free Port of Vladivostok, the main risks that could affect the development of the proposed project have been assessed taking into account regional characteristics and the current state of development of the world diamond market and the Russian diamond industry. The model of cooperation with foreign investors has been described and the advantages for manufacturers within the cluster interaction have been shown. The predictive assessment of key financial indicators of the investment project has been made and the synergetic effect of production in the revenue from sales has been calculated. The conceptual suggestions regarding the formation of the cluster infrastructure have been given. Applications/Improvements: Use of cluster coordination strategy mechanisms and other key planning documents will ensure an effective interaction of participants of strategy events implementation.

Keywords: Cluster, Infrastructure, Diamond Industry, Investment Attractiveness, Manufacture, Tax and Customs Preferences