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Emerging markets, business models, information technology.

This case is designed for MBA groups or students from MSc in Management, International Business, Logistics, Information Systems or Environmental Management programs. It can be covered in courses on Strategy, Process Management, International Business, Process Management, Supply Chain Management and Managing Information Systems.

Returpack is a Hungarian company dealing with reverse vending machines (RVMs) that collect aluminum beverage cans, even in crushed form, based on a worldwide technology innovation. All RVMs are online and monitored and managed remotely. RVMs are mainly “fed” by the poorest, often homeless people, who are still motivated by the extremely low (less than 1 euro cent for a can) incentive that comes from the selling of the aluminum waste to recycling smelters. Based on the success of the business model in Hungary, projects were planned in the USA, Austria, Romania, and Turkey in 2013. However, beyond economic, legal and cultural challenges, a dramatic decline in the global aluminum waste prices early in 2014 questioned the return on investment at these projects. Advancements in the material-recognition technologies at waste sorting plants raise further questions.

Evaluating the business model innovation in the case by combining the different approaches of the business model concept with the knowledge on the recycling industry, the crowdsourcing method and the Internet of Things. Based upon this, students may identify and evaluate options for implementing the business model in and adapting to new markets, also by simulating these changes in a formal (numerical) business model.

Teaching notes are available for educators only. Please contact your library to gain login details or email support@emeraldinsight.com to request teaching notes.

Strategy.

CSS 11: Strategy

The subject area is operations management.

The case is to be used at master’s level, for example, MBA courses on operations management, operations research, logistics management and supply chain management.

It was the morning of 20 September 2012 and the three directors of Distromed Bioclean Pvt. Ltd. were in the office discussing the developments from past night’s meeting with the Rajkot Chapter of the Indian Medical Association. They are a bio-medical waste treatment facility involved in collection, treatment and disposal services and charge yearly subscription fees. On 13 September 2012, fuel prices had gone up consecutively for the second year. Last year, the doctors resisted the fee hike and seemed reluctant this year again. In response, management of the company was looking for ways to minimize the total distance travelled by its fleet to reduce the operating cost.

The paper enables illustration of concepts of routing/scheduling and generation of optimal solutions in a realistic setting; and developing the understanding regarding the travelling salesman problem, Chinese postman problem and the entire family of vehicle routing problems and vehicle scheduling problems.

Teaching notes are available for educators only. Please contact your library to gain login details or email support@emeraldinsight.com to request teaching notes.

CSS 9: Operations and Logistics.