| dc.description.abstract | Since the economic development in the 1980’s, Taiwan and other foreign-invested corporations have brought in capital and technology into the Yangtze River area in the eastern China which includes the provinces of Zhejiang, Jiangsu, Anhui, and the city of Shanghai. Based in Shanghai, Suzhou, Kunshan and Wuxi, large Taiwanese electronic assembly corporations such as (廣達，仁寶，微創，英業達，…) have brought in many other members in the electronic manufacturing supply chain, which has helped the development of the packaging industry.
Linerboard paper is the most important raw material for cardboard boxes. There are two types of linerboard paper: kraft liner and the test liner. Test liner is made of 100% wasted paper pulp, and kraft liner is made of around 10~30% virgin pulp and the rest are the wasted paper pulp. Kraft liner cardboard boxes are used mainly for electronics and furniture products, which are relatively higher valued and heavier. Test liner cardboard boxes are used to package food, drinks and common household products.
The case company of this research, Company Y, established its linerboard manufacturing company in Yang Zhou city, Jiang Su province in 2005, and started mass production in April, 2007. Due to Company Y’s relatively low market share in eastern China, it does not hold as much bargain power for raw material（waste paper）price negotiation as other bigger companies. In addition, due to Company Y’s location being on the north shore of Yangtze River, it has higher transportation cost for deliveries to customers of the eastern Chinese regions. Comparing to other competitors in the industry, there is still lots of room to grow and improve for Company Y.
In July, 2012, Company Y start its new line of business: biological wheat straw pulp manufacturing technology in Yangzhou city. As of the first season in 2013, this business has already made great progress and Company Y is planning to expand its production by the end of the year. Company Y has also invested a brand new test liner paper machine of annual capacity of 420 thousand tons, which will start mass production in September, 2013. By that time Company Y will reach its annual capacity to 670 thousand tons. If Company Y could use it’s biological wheat straw pulp for the material of liner board paper making. It could bring up the revolution of liner board paper making in the whole world. By that time the Y company could make and sell both of the kraft and test liner board paper to the boxes making company in the world. For sure the Y company will get a miracle on the liner board paper sales. | en_US |