Green Rubber: The Revolution of the Rubber Recycling Business Harvard Case Solution & Analysis

Dedicated to offering high-tech alternatives for societal and environmental problems, a privately-owned Petra Group, Malaysian conglomerate, aimed to innovate the recycling of rubber waste. Through its ancillary, Green Rubber Global ("GRG"), the collection increasingly investigated ventures with those needed to be part of increasing demand for environmentally friendly products.

With the support of the state government, GRG opened the first US-based rubber recycling plant in New Mexico, in 2007. Nonetheless, there was industrial skepticism not only about the cost-efficacy of DeLink technology, but also the quality of Green Rubber, partially due to the failure of GRG in the marketplace a decade earlier. Would GRG's past collapses be a stumbling block for its prospect company development? Would increased world-wide expectations for corporate social and environmental responsibility be the stepping stone to a lucrative success? Because "green" claims had been over exploited by marketers recently, there was also cynicism about commercial corporations selling eco-friendly products. Could GRG run a business driven by commercial principles that also aimed to sustain environmental and social improvement? And will GRG gain from its link with the parent company?

PUBLICATION DATE: June 23, 2009 PRODUCT #: HKU835-PDF-ENG

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