Our Directors believe that our competitive strengths are as follows:

	We understand the needs of our customers We believe that our customers value our ability to provide solutions to meet their needs. Our keen understanding of our customers' business and our in-depth knowledge about the diamond industry help keep us ahead of our competitors. We have dedicated product managers, customer service teams and a network of overseas sale and marketing offices to better identify and serve the technical needs of our customers. We have good working relationships with our customers. We work closely with our customers to find out their needs and to resolve the technical issues they face. Our management and sales teams keep abreast of the latest trends and technological developments in the diamond industry in order to provide suitable advice and services to our customers. This has enabled us to retain our customers for many years.
	We have an established track record for innovation and strong brand name We have an established track record. Our products are used by major industry participants such as GIA1, HRD2, EGL3, Tiffany & Co. Ltd, Karp Index Limited, Venus Jewels, Overseas Diamonds Bvba, Lazare Kaplan Nv and Rosy Blue Nv. We believe our proven track record strengthens our ability to market our products and services to new customers. We have successfully established a strong brand identity within the diamond industry. We believe that our brand development approach enables our products to penetrate rapidly in the diamond industry markets. Our approach involves branding and positioning, marketing and brand extension. This has allowed us to develop and build up goodwill rapidly in our brand, which increases the sales of our products. We believe that such a strategy has proven effective as our turnover has constantly increased over the past three years.
	Opinion leaders in the industry mainly use our products Our products are used, almost exclusively, by the major gemological laboratories worldwide including GIA, AGS4, HRD, IGI5, EGL, AGL6, CGL7 and NGTC8. These leading gemological laboratories use our products as their primary measuring systems for the diamond's proportion and, in some instances, the symmetry as well. This is a strategic advantage over our competitors, as their selection of our products as their measuring equipment effectively endorses them, as perceived by the other industry players.
	Our products are modular and are "Add-Ons" to our existing product platforms Our new products in our existing product lines have historically been either improvements to existing software, or hardware that is designed to be modular add-ons to existing hardware platforms. The modular nature of our products enables our customers to upgrade their existing products with additional functionality by simply upgrading the software of the machine (for software improvements), or by affixing the new modular component (for new hardware products with a different yet complementary function) to their existing hardware platform, without a need to completely replace the existing product. For example, the DiaExpertTM and DiaMarkTM are hardware add-ons to the same DiaMensionTM hardware platform and hence our customers, who originally had the measurement system for the cut of the polished diamond, the DiaMensionTM, can now enjoy the benefits of scanning, planning and marking of the rough stones afforded by the DiaExpertTM and DiaMarkTM by simply affixing the new hardware onto their existing DiaMensionTM platform. We believe that this modular feature gives our products a competitive edge. Our products are easily upgradeable to meet the changing needs of our customer's business and keep them abreast of the newest technologies in the diamond industry, hence encouraging customer loyalty to our products. Moreover, this enhances our market potential by ensuring that our existing customers (in addition to new customers) continue to be a market for our new products.
	We focus on quality products and services We are dedicated to delivering quality products and services to our customers. We have implemented stringent quality controls in our development and production processes and our development and production staff are provided with on-going training.
	We have highly experienced and dedicated management and development teams Our business activities are managed by our experienced and dedicated management and development teams. In particular, our development team possesses a high level of technical knowhow, allowing us to develop products that meet the requirements of our customers. Our employees are regularly trained and updated on new programming languages, trends and products. Our CEO, Executive Directors and Executive Officers have extensive working experience and in-depth knowledge of the industry.
	We own proprietary rights to our products The intellectual property on which our products are based has been developed and owned by us.

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Abbreviations: Gemological Institute of America (GIA): Founded in 1931 by Roger Shipley, this non- profit organization upholds the highest standards for grading diamonds and other precious gems. The GIA has one of the most-respected and well-regarded gemological laboratories in the world; GIA was responsible for developing and standardizing the diamond grading system that is used today by nearly all other gem labs. Hoge Raad voor Diamant or The Diamond High Council (HRD): HRD is a laboratory that offers a grading report. EGL - European Gemological Laboratory: EGL has franchises in a number of cities around the world which grade diamonds and offer a diamond grading certificate. American Gem Society (AGS): An educational institution for gemological studies. The AGS Labs were created primarily to develop and promote universally-accepted standards for grading cut. International Gemmological Institute (IGI): A laboratory that offers a grading report. IGI also produces written appraisals. Association of Gem Labs of all Japan (AGL) Central Gemological Laboratory (CGL) National Gem Testing Center (NGTC)