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Strategic Management, Business Ethics.

This case is suitable to be used in advanced undergraduate and MBA/MSc level.

The case accentuates the challenges faced by Geetanjali Woollens in its mechanical recycling business which is proving detrimental to its African business expansion plans. The case is developed from the episodes of divergence in January 2018 when the buyers’ non-acceptance of mechanically recycled products initiated a managerial dilemma between “business sustenance” and “sustainable business” for Geetanjali Woollens. Being associated with the recycling business for more than 25 years, Madhukar Ghosh, the General Manager at Geetanjali Woollen recycling unit, was delving upon practical, supply-chain-wide solutions to generate standard acceptance norms for mechanically recycled textiles. For him, ethical purpose of business existence was equally important as the profit motive. Bringing operational clarity and standardized regulatory framework still seemed a big challenge for international policymakers and torchbearers of environmental responsibility, and Governments and NGOs popularizing green initiatives. Lack of policy guidelines for business behavior was exacerbating the business functioning. Madhukar knew that consistent buyer policies and standard regulatory framework could clear some mist and induce maturity in the concept of circular economy. Some formalizations were expected till the end of December 2018, if the deadlines did not get pushed further.

The objectives of this case are as follows:

• to highlight the limitations that recycled apparel and textile products have and the concerns that emerge for buyers, designers, and consumers, due to these limitations;

• to highlight the myopic business vision with which the recycling business is suffering due to the lack of a formalized regulatory framework, which in turn is creating various system barriers and making recycling business an unattractive proposition;

• to appreciate the contribution of mechanical recycling of post-consumer textile waste as a closed-loop manufacturing technique in recouping the eco-impacts of increased disposal of apparel and textile products; and

• to promote discussions for innovative solutions for limitations and concerns related to substances of concern in the recycling business and deliberations for a more effective tracking of such substances to facilitate buyer acceptance of mechanically recycled products.

to highlight the limitations that recycled apparel and textile products have and the concerns that emerge for buyers, designers, and consumers, due to these limitations;

to highlight the myopic business vision with which the recycling business is suffering due to the lack of a formalized regulatory framework, which in turn is creating various system barriers and making recycling business an unattractive proposition;

to appreciate the contribution of mechanical recycling of post-consumer textile waste as a closed-loop manufacturing technique in recouping the eco-impacts of increased disposal of apparel and textile products; and

to promote discussions for innovative solutions for limitations and concerns related to substances of concern in the recycling business and deliberations for a more effective tracking of such substances to facilitate buyer acceptance of mechanically recycled products.