basically, we do not have any strict punishments. Later, we hope to make a rule: the equipment on your site Authorized for use only in the course Intro to Supply Chain Management at Cape Breton University taught by Sahand Ashtab from Jan 30, 2019 to Jun 29, 2019. Use outside these parameters is a copyright violation.
Page 9 9B17D020 is for you to use. If you meet the target you can use it for free. If not, we may charge you . . . however, this is a possible method, and we have never tried it.” Constant Encouragement for Recyclers Conflicts also arose between Tetra Pak and its recyclers, which mainly focused on the recycling progress. Tetra Pak China emphasized sustainable development of the recycling chain and applied a long-term recycling rate. However, the target was not aligned with those of the recyclers. According to one recycler, “the mission is not a stiff number; it is an expectation . . . what happens if [it is] not met, and [there is] nothing they can do?” Another recycler expressed a similar concern: Tetra Pak gave us lots of help along our development; it also gave us lots of pressure [by] investing in capacity. I have to maintain it. If I can’t collect the volume, or I can’t sell more products, it means cost to us. . . . The company is mine; there are many employees. I have to be responsible. On the other side, Tetra Pak China believed it played a facilitating role by constantly encouraging the recyclers. According to Wan: Relatively speaking, we are not in the recycling business, we are standing far and high. We could help them to see the trend for this industry, we could tell them which direction they could go. . . . Sometimes it is unavoidable. Many recyclers are small companies; they may at many times be content with their current situation. They may think, “I have a capacity of 20,000 tons, I have a profit rate of 10 per cent, 12 per cent is good enough.” Then I will tell them where is the industry growth area, what it will look like, if you hold this opportunity, your business may double. Tetra Pak China praised Fulun as an exemplar among its peers. As Wan outlined, “Now it has a new plant plan; the investment is very big, with over 100 million RMB. Why would it be willing to do so? He is an entrepreneur with a further insight. He is considering the development in the next 10 years. . . . We wish the recyclers can have a long-term view [like Fulan].” TETRA PAK CHINA’S RECYCLING ACHIEVEMENT After the creation of the recycling chain, Tetra Pak’s recycling levels increased from almost nothing in 2004 to about 28 per cent in 2015. Approximately 167,300 tonnes of UBCs were recycled in China—the equivalent of more than 16.7 billion standard 250-millilitre cartons (see Exhibit 2). Tetra Pak proved that it was possible to build up a recycling chain even without enforcement or supporting legislation in a developing country. However, Long’s questions remained for further exploration: How could Tetra Pak continuously motivate recyclers to grow even bigger? How could Tetra Pak support the recycling activities to achieve an even higher recycling rate? How could Tetra Pak achieve the recycling target without much
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- Fall '19
- Tetra Pak, Tetra Pak China