Jia, et. al. Teaching Case: Tetra Pak: Sustainable Initiatives in China Tetra Pak: Sustainable Initiatives in China Fu Jia, Ph.D., University of Exeter Business School, Streatham Court, Rennes Drive Exeter, UK, EX4 4PU,
[email protected], Tel: +44 (0) 1392722125 Zhaohui Wu, Ph.D., College of Business, Oregon State University, Corvallis OR 97331-2603,
[email protected], Tel: +(1) 541.908.0720 Prof. Jonathan Gosling, University of Exeter Business School, Streatham Court Rennes Drive, Exeter, UK, EX4 4PU
[email protected], Tel: +44 (0) 1392722568 ABSTRACT This case enables students to explore and evaluate the ways in which Multinational Companies (MNCs) implement their sustainability initiatives in China. The case begins with an overview of the Chinese dairy industry, followed by an introduction to Tetra Pak (TP) Global, Tetra Pak China and competition that Tetra Pak faces in China. Then the case introduces the service-based sustainability strategy at Tetra Pak China, with detailed explanation of three initiatives: FSC certification, pasture land management and creating a recycling system. The objective of the case is to show how pressures to improve environmental sustainability are driving new approaches to supply chain management. It provides students with the following frameworks to analyze the dissemination of sustainability initiatives in the supply chain: stakeholder theory, industrial ecology, recycling, and servitization. In addition, this case offers insights into the emerging market of China. The complexity of TP’s initiatives and the innovative resulting supply chain practices (TP is involved in three supply chains: packaging, dairy and recycling) provides rich information for students to analyze.