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Environmental practices of the auxiliary companies to the Spanish automobile industry

The automobile manufacturing industry plays a very important role in a country's economy. The importance of automobile manufacturing industry lies in its sheer size and complexity in terms of the direct and indirect influence it commands across many other industries. While millions of people are employed in the automobile manufacturing industry, it is estimated that more than two and half times that number are employed in the auxiliary companies that supply parts to the automobile manufacturing companies. The auxiliary companies represent a group of businesses of various sizes, types, and geographical locations, producing a vast variety of products ranging from the very simple to the extremely intricate. In this study, the current environmental practices of management in the core Spanish auxiliary companies that do business with the automobile manufacturing industry (and thus form a large part of the automobile manufacturing industry's supply chain) are investigated. We show that while automobile manufacturing companies are under scrutiny to become more and more environmentally friendly, not only at their manufacturing stage but also at their products' useful and EOL stages, there appears to be no such burden on the auxiliary companies. Our conclusion is based on an elaborate survey conducted during the fall of 2004 of Spanish auxiliary companies with questions about the characteristics, environmental practices and reverse logistics related activities carried out by the companies.