Fulfilling corporate social responsibility in a Closed-loop supply chain – Evidence from alternative remanufacturing models

Abstract

As increasing awareness is being paid to the natural environment, corporates are now under scrutiny for their ecological footprints. Since the turn of the century, many of the world's leading transnational corporations started to implement close-loop supply chain to reduce emission while maintaining their competitive edges. With the urgent development of social responsibility, how will remanufacturing firms make the trade-offs among economic, environmental and social responsibility benefits? This study answers this question by discussing the effects of corporate social responsibility fulfilment in the two prevailing types of transnational closed-loop supply chain in developing countries: the original equipment manufacturer remanufacturing model in the exporting country and the OEM-authorized retailer remanufacturing model in the importing country. The results of this study inform researchers and practitioners on the balance of economic, environmental, and social obligations for transnational firms.