E3S Web Conf.
Volume 130, 2019The 1st International Conference on Automotive, Manufacturing, and Mechanical Engineering (IC-AMME 2018)
|Number of page(s)||9|
|Published online||15 November 2019|
Drivers and Barriers of Mobile Phone Remanufacturing Business in Indonesia: Perspectives of Retailers
Department of Mechanical Engineering, Petra Christian University,
Jl. Siwalankerto 121-131
2 Centre for Business in Society, Coventry University, Coventry CV1 5FB, United Kingdom
* Corresponding author: email@example.com
Remanufacturing is deemed to be effective in reducing WEEE. Existing studies on remanufacturing mostly focus on operational issues, product acquisition, and pricing. However, some doubts about remanufacturing business arise in developing countries, where there is less regulation on remanufacturing and less environmental awareness. This study aims to investigate the prospects of remanufacturing business from the retailers' perspectives through in-depth interviews on three retailers in Surabaya, Indonesia. The main drivers for mobile phone remanufacturing business are its affordable and competitive price, big demand for popular mobile phones and high-end mobile phone, the opportunity for specification upgrade, and its suitability with the needs of Indonesian people. The main barriers for remanufacturing business are the possibility for cannibalizing new mobile phones' market share, the uncertainty of core supply, discontinuity of replacement part supply, lack of product knowledge among consumers and retailers, hesitation of retailers to sell remanufactured products, and lack of strict and clear regulations about remanufacturing business. Findings of this study provide insights to prospective mobile phone remanufacturers of what needs to be tackled to start a prosperous business. On the theoretical side, it provides complementary knowledge to existing studies that have been conducted mostly on countries that have higher environmental awareness.
Key words: Case study / Closed-loop supply chain / Short-life cycle product / Waste electrical and electronic equipment (WEEE)
© The Authors, published by EDP Sciences, 2019
This is an Open Access article distributed under the terms of the Creative Commons Attribution License 4.0, which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited.
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