Agency Organization System: A Financing Model for Revolutionizing the e-Waste Recycling Business in Guiyu, China

ideas4action@wharton.upenn.edu Environmental Sustainability, IdeaHub, Infrastructure & Economic Development, South-East Asia

The vision of this proposal is to actively address the E­-waste recycling problem present in
developing countries, using Guiyu as a protocol case. Our solution puts forward a financing
model primarily focusing on linking discrete supplies and demands through an Agency
Organization (“AO”), reducing inefficient costs incurred in the course of unorganized trades.

Outlining the difficulties faced by Guiyu, our proposal identifies problems associated with
the locality including oversupply of untreated E­-waste and excess of undertrained workers
who dissemble e­-waste using crude methods and contributing to the overall environmental
Pollution.

Our proposal advances a solution on both the locality and a new business opportunity. On
locality, the AO channels E­-waste to local workers, providing basic training and protection
upon participating in the membership scheme. Parts dissembled by members would be
converted to credits, with which members could exchange for cash or life necessities. The
dissembled parts would then be delivered to recyclers on the same logistic chain as the
receipt, ensuring cost ­efficient distribution.

On business opportunity, the AO would license a “Green Label System”(GLS), under which
manufacturers utilizing materials recycled from the system could attach green labels to their
products as a new eco-­friendly brand. It is envisaged that in the course of time, public
awareness of the E­-waste problem would shift demand towards the sustainable usage of
properly recycled materials.

Team Chinglish
Sui Fung Walter Tsang, Bachelor of Laws, City University of Hong Kong, Class of 2017
Chung Yin Kwok, Bachelor of Laws, The University of Hong Kong, Class of 2017
Eugene Oscar Yuen, Bachelor of Laws, City University of Hong Kong, Class of 2017
Kai Tim Timothy Chan, BBA Information Systems, The Hong Kong University of Science and Technology, Class of 2018
Chun Wai Chung, Bachelor of Laws, City University of Hong Kong, Class of 2017