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Purpose: This paper aims to explain what managers will want to know about the circular economy by covering some of the key issues and discussing an approach which may help organisations to move towards the circular economy. Design/methodology/approach: This is a conceptual paper, which blends theory and hard facts to achieve its aims. Findings: This paper presents a framework which uses multiple levels of analysis to explain how organisations can prepare for and implement circular economy practices. Originality/value: This paper makes relevant contributions for both academics and practitioners by providing essential practical guidance on the "what", "how" and "why" of the circular economy, which can help managers to plan and implement a convincing business case for this sustainable approach. [ABSTRACT FROM AUTHOR]

With the global economy not yet 10% circular, businesses are key stakeholders in designing new forms of resource use, especially large multinationals. However, compared with the wealth of studies on 'born sustainable' start‐ups, there is minimal case study or interview based research into how incumbent companies are approaching this transition. Focusing on plastics, we ask: how does one incumbent multinational company approach the circular economy transition? This paper presents a case study of the incumbent multinational chemical company Dow, a leading plastics manufacturer. Varied external stressors and drivers for the circular economy act upon a company (which also has its own imperatives), resulting in tentative steps towards circular economy. To date, these steps have tweaked the existing system rather than radically altering the business model. For companies, like for the entire global economy, this transition has only just begun. This paper identifies key drivers, enablers and barriers of the circular economy, none of which are fixed or immutable. Knowing which levers for change are available and effective could help policy makers to shift gear to enable quicker progress towards circularity. Overall, broad based support and engagement is needed to progress the circular economy, hence all stakeholders have roles to play in demanding and enacting circular practices. [ABSTRACT FROM AUTHOR]

The urgent need to act against climate change is emphasized in many initiatives, such as the Sustainable Development Goals, the European Green Deal, and the Circular Economy Action Plan. The role of the industrial sector is crucial. Companies, however, have to operate in a very complex environment driven by digitization and are supposed to be more sustainable. This paper explores how companies can implement the ecological transformation, with a focus on the role of digital technologies and data in enabling the twin transition. This paper proposes an approach to support SMEs in the twin transition through a combination of digital and sustainable business model development. The concept includes an interdisciplinary methodology that combines qualitative and quantitative approaches, focusing on the latter. The suggested method collection includes adaptations of the business model canvas, value proposition analysis, data-driven decision-making, and the integration of environmental and economic considerations using the system of environmental-economic accounting. In particular, approaches to define the quantification of economic as well as ecological value will be key levers for sustainable implementation. By leveraging these approaches, SMEs can navigate the challenges of digital transformation and sustainability and contribute to a more sustainable future. [ABSTRACT FROM AUTHOR]

The circular economy concept is popular among developed countries contributing to sustainable production, efficient resource utilization, a new economic model, and higher skill job creation. In production and consumption, it is inevitable in our modern life that we are used to the traditional linear economy cradle-to-cradle model. With the gap in developing countries within the Southeast Asia region, this research aims to understand the motivators and barriers to circular economy business model adoption among the manufacturing firms in Malaysia. Subsequently, the impact of sustainable production will be studied based on the circular economy business model adoption. Using the Theory of Planned Behavior and Partial Least Squares Structural Equation Modeling, this study assesses the responses of 102 respondents from various industries with environmental management systems within Malaysia. Survey-based primary data was gathered to understand motivators and barriers that negatively influence the circular economy business adoption, affecting sustainable production. The findings show that motivators have a positive impact while barriers have a negative impact on circular economy business model adoption. Apart from the barriers and motivators, the research also assesses the level of circular economy adoption among manufacturing firms with certified environmental management systems. This implies a general overview for manufacturing firms in Malaysia regarding circular economy adoption and contributes to the studies done in developing nations. In conclusion, motivators positively impact the adoption of the circular economy business model, while barriers have a negative effect. In addition, adopting the circular economy model has a positive relationship with sustainable production. [ABSTRACT FROM AUTHOR]

The digital age we live in offers companies many opportunities to jointly advance sustainability and competitiveness. New digital technologies can, in fact, support the incorporation of circular economy principles into businesses, enabling new business models and facilitating the redesign of products and value chains. Despite this considerable potential, the convergence between the circular economy and these technologies is still underinvestigated. By reviewing the literature, this paper aims to provide a definition and a conceptual framework, which systematize the smart circular economy paradigm as an industrial system that uses digital technologies during the product life-cycle phases to implement circular strategies and practices aimed at value creation. Following this conceptualization, the classical, underlying circular economy principle, 'waste equals food', is reshaped into an equation more fitting for the digital age—that is to say, 'waste + data = resource'. Lastly, this paper provides promising research directions to further develop this field. To advance knowledge on the smart circular economy paradigm, researchers and practitioners are advised to: (i) develop research from exploratory and descriptive to confirmatory and prescriptive purposes, relying on a wide spectrum of research methodologies; (ii) move the focus from single organizations to the entire ecosystem and value chain of stakeholders; (iii) combine different enabling digital technologies to leverage their synergistic potential; and (iv) assess the environmental impact of digital technologies to prevent potential rebound effects. [ABSTRACT FROM AUTHOR]

The rapid development of information and communication technologies (ICT) has enabled the prevailing digital transformation (i.e. digitalization), where physical products can be readily digitized in the virtual space and seamlessly interconnected. Meanwhile, industries are ever increasingly adopting service business models (i.e. servitization), so as to offer not only physical products but also services as a solution bundle to meet individual customer needs. Such convergence of both digitalization and servitization (i.e. digital servitization) has triggered an emerging IT-driven business paradigm, smart product-service systems (Smart PSS). As a novel paradigm coined in 2014, to the authors' knowledge, only 2 conference papers have provided some literature review to date, and many issues remain uncovered or not comprehensively investigated. Aiming to fill this gap, this paper has conducted a systematic review of Smart PSS or related papers published ever since its first brought up to date (30/06/2019), and selected 97 representative items together with other 37 supplementary works to summarize the tendency towards Smart PSS, its business and technical aspects, current challenges, and future perspectives. From the survey, it is found that several hybrid concerns are the key challenges faced, and self-adaptiveness with sustainability, advanced IT infrastructure, human-centric perspectives, and circular lifecycle management are the core future perspectives to explore. It is hoped that this work can attract more open discussions and provide useful insights to both academics and industries in their exploration and implementation of Smart PSS. [ABSTRACT FROM AUTHOR]

Purpose: A systematic review of the literature on circular business models was performed, for synthesis of what it reveals about the role and value of data in those models. The increasing quantity of supply-chain and life-cycle data available has potential to be a significant driver of circular business models. The paper describes the current state of knowledge and identifies avenues for further research related to use of various forms of data in the models. Design: A systematic review of literature on the use of data in circular business models was carried out, to inform understanding of the state of knowledge and provide a firm foundation for further research. Findings: The literature reviewed points to fragmented understanding of the role and value of data in circular business models. Nonetheless, scholars and practitioners commonly see data as a driver and enabler of circular economy. The article identifies two distinct approaches to value for data as presented in the corpus and discusses what types of data seem to be valuable in a circular business-model context. Among the further research opportunities are work on data as a source of business-model innovation and on collaboration in capturing the value of data in circular business models. Value: The study provides new insight on the nexus of circular business models and data, and it represents one of the first comprehensive reviews addressing data's value in a networked circular-economy context. [ABSTRACT FROM AUTHOR]

Sustainable luxury research has received growing attention in the most recent years as it requires firms and supply chains to design circular business models and strategies to tackle environmental, financial, and social issues. However, previous research still falls short to deepen how luxury firms design and manage sustainable supply chain practices according to the circular principles. This paper adopts bibliometric and network analysis to evaluate a sample of 747 papers published over the last 35 years. The descriptive statistics and science mapping approaches utilizing cocitation analysis were performed with VOSviewer software to contribute to the ongoing development of sustainability in luxury research with the aim to develop a systemic framework for circular supply chain and offer a comprehensive overview on the topic. The main findings of this paper will help academicians and practitioners to improve the body of knowledge on the topic and provide an overview of promising future research avenues. [ABSTRACT FROM AUTHOR]

The paper prepared in the form of a book review is a review of the book written by the authors Peter Lacy, Jessica Long and Wesley Spindler. The book is entitled "The Circular Economy Handbook, Realizing the Circular Advantage". The book was published by Palgrave Macmillan in 2020. Apart from their academic background, the authors of the book are world-acknowledged experts experienced in leading the world's largest circular economy and sustainability strategy programs and studies, advising the senior leaders of the Fortune 500 companies and public organizations towards zero-waste policies and the circular economy. The book was written as a support to the effort made by the World Economic Forum, the Forum of Young Global Leaders, the Platform for Accelerating the Circular Economy (PACE) in the development of the circular economy and the forewords in the book were written by PACE's C.E.O. and other program co-founders and the world-known thought leaders in those specialized fields. [ABSTRACT FROM AUTHOR]

A business model (BM) is a new unit of analysis distinct from the product or the company, with broader boundaries than the traditional way to regard a company. More exactly, it can be defined as a systemic and integrated view to create and deliver value to its customers. However, issues related to social and environmental aspects have been neglected by the BM approach. Most of the traditional business models (BMs) have only one goal, which is to create financially profitable companies. This “narrowness of mind” has been tackled by several authors due to the rising of Corporate Social Responsibility (CSR) strategies, which have been amplified, due to the rising of the Circular Economy (CE) paradigm. CSR actions are part of predominantly linear BMs, in which the overall achievement of the organization has been measured following the grade of implementation of said measures. The literature demonstrates that the CSR actions applied have been effective. However, we must question whether this is enough, and that leads us to three questions linking CSR and sustainability with BMs under a triple theoretical framework. Owing to the need to study the change of model, the goal of this paper is to perform a bibliometric analysis of the existing literature about CSR, sustainability, and CE simultaneously which can help us to put the need for and importance of this line of research into context. This paper is also a contribution for the new BMs that stem from the collaboration between enterprises and Universities.

The industrial revolution and economic activity have led humanity to unprecedented success in the production and development of technology, but also to a super-consumer society that has managed to consume more of the earth's resources than it is possible to reproduce on its own. We, humans, have changed the earth, the climate, and destroyed species faster than any other species. Bioeconomy is perceived as the innovative answer to the needed fundamental transformation of the production systems to overcome the present lock-in situation. In the recent years the European Union has given unappealable support to greening the economy across the Community. Policies, strategies, financial mechanisms are introducing the green practices and business models in key sectors and economies. A new era of economic revolution follows, in which Bulgaria also needs to take its role. The present paper tackles the emerging challenges and progress in moving towards the sustainability, which requires a fundamental shift in industry, education and science, institutions, and community. [ABSTRACT FROM AUTHOR]

Responsible production and consumption requires firms, political decision-makers and consumers to adapt to durable practices. Adapting a circular economy helps us achieve this objective, but in industries like the textile and fashion ones, due to the impact their companies have on the environment, responsible management of waste and usage of secondary raw materials should be part of their business model. In this paper we have sought to highlight through a few examples of good practices the role and impact that one of the major players within this industry, namely the H&M Group, has, through initiatives and innovations, on the transition towards a circular business model. [ABSTRACT FROM AUTHOR]

The circular economy (CE) has been gaining traction in recent years as it promises a change for good, in terms of environmental, social, and economic benefits. The major changes required to implement circular economy business models (CEBMs), can prove to be especially difficult for organisations. This study provides a holistic analysis of the effect of CE institutional policies on the development of CEBMs in organisations, by exploring not only production-oriented policies, which have been the focus of previous research, but also consumption policies. Consumption policies, in the form of regulatory and information policies, are oriented towards consumers and have the potential to affect the demand for CE products, which in turn affects the development of CEBMs in organisations. The paper is framed within the institutional theory and the context of the European Union. Our results reveal that consumption policies have a positive, albeit diminishing, effect on the CEBMs. Our paper finds that regulation is the most impactful policy, having a larger impact than production policies. Our results highlight the important role of institutional policies in fostering consumers' demand for CE products and of consumption policies as tools to be employed by governments in fostering CEBMs and achieving sustainability. • Consumption policies have a positive, albeit diminishing, effect on the CEBMs. • Regulation for consumption is more impactful than production policies. • Institutional policies are crucial in fostering consumers' demand for CE products. • Consumption policies are an essential tool for governments to foster CEBMs. [ABSTRACT FROM AUTHOR]

The world's current model for economic development is unsustainable. It encourages high levels of resource extraction, consumption, and waste that undermine positive environmental outcomes. Transitioning to a circular economy (CE) model of development has been proposed as a sustainable alternative. Artificial intelligence (AI) is a crucial enabler for CE. It can aid in designing robust and sustainable products, facilitate new circular business models, and support the broader infrastructures needed to scale circularity. However, to date, considerations of the ethical implications of using AI to achieve a transition to CE have been limited. This article addresses this gap. It outlines how AI is and can be used to transition towards CE, analyzes the ethical risks associated with using AI for this purpose, and supports some recommendations to policymakers and industry on how to minimise these risks. [ABSTRACT FROM AUTHOR]

This study analyses how startups implement circular business models supported by innovation and Industry 4.0, in which strategic stakeholders for value creation are to be found in this specific business ecosystem. The theoretical framework of circular business models supported by innovation was used for analysing the startups based on some assumptions of stakeholder theory. Fifty-one startups were selected, which correspond to the unit of analysis for this study on the improvement of supply chains through circular business models supported by innovation aimed at sustainability in organizations. We conducted a multiple case study whose results suggest that: (i) circularity is strategic for the business to assume its commitment to a sustainable development agenda, especially regarding pollution prevention and proactive action; (ii) visionary entrepreneurs are actively engaged with circular economy practices and technological innovation to promote a circular flow for their business ecosystem; (iii) Industry 4.0 is still incipient, but it is synergistic and beneficial for a successful circular economy in startups; and (iv) primary stakeholders are the activators of circular cycles in the startups surveyed. The present study contributes to the literature in four ways by: (i) presenting a framework which brings together exploratory theoretical propositions on strategic stakeholders for startups, innovative capabilities and assumptions of circular business models; (ii) validating exploratory theoretical propositions with 51 startups; (iii) providing lessons learned so far by the startups which are in line with the assumptions of circular business models for triggering their innovation capabilities and promoting Industry 4.0; (iv) providing an original typology of circular economy assumptions and technological innovations adopted by startups. The originality of this study lies in presenting useful insights for motivating managers to: (i) invest in circular business to become one of the first entrants and earn extra profits; (ii) make investments in circular business and technological innovations to obtain efficiency, practicality and process optimization; (iii) internalize Industry 4.0 technologies concomitantly with technological innovations and circular economy to generate systemic effects; (iv) integrate relevant stakeholders of the business ecosystem to generate a synergistic and effective effect for sustainable development. [ABSTRACT FROM AUTHOR]

The circular economy is promoted as a contributor to sustainable development; however, the process of circular business model innovation remains under‐explored to date, hindering its implementation. Dynamic capabilities research provides a theoretical perspective to explore how incumbent firms can innovate in rapidly changing environments. An abductive qualitative research is done through an exploratory multiple case study on 10 incumbents that implemented a circular business model innovation. We identify 26 practices, aggregated in 12 micro‐foundations of the dynamic capabilities of sensing, seizing, and reconfiguring. By integrating the few empirical studies characterizing dynamic capabilities for sustainability‐oriented business model innovation, we offer a comprehensive framework of 33 practices. This study proposes that the most relevant practices for circular business model innovation processes are adopting a lifecycle perspective, employing sustainability‐oriented instruments, ideating sustainable value propositions, developing a sustainability strategy and culture, and engaging and coordinating stakeholders in the business ecosystem. We also suggest seven particularly relevant practices for long‐term business model transformations (e.g., top management commitment), four for innovations focused on short and medium loops of the circular economy (e.g., early customer engagement), and four for long loops (e.g., business ecosystem coordination). This study corroborates and expands recent research on dynamic capabilities for sustainability‐oriented innovation and provides practitioners with a set of 33 skills, processes, procedures, and activities to be prioritized to successfully innovate their business models for the circular economy. [ABSTRACT FROM AUTHOR]

Drawing on the concept of decoupling, from institutional theory in organizational studies, this paper explains how organizations mitigate demands for circularity. Seven Swedish apparel companies that have started collecting used clothes as a form of engagement with circular business models serve as case studies. The paper shows how outsourcing and internal separation allow these companies to buffer their business model and core way of creating value from emerging demands. It also shows how companies pro-actively work at influencing institutional demands for circularity by making these demands compatible with their own interests. The concept of decoupling thereby provides key insights into the development and implementation, or absence thereof, of circular business models. [ABSTRACT FROM AUTHOR]

The current planetary crisis and the perceived urgency necessitates more sustainable production and consumption patterns. Businesses, particularly the multinationals, play a key role in transitioning to a circular economy, which provides a promising approach to achieving the UN Sustainable Development Goals. Industry 4.0 technologies can theoretically support this transition and enable circular economy through, for example, data-driven and smart business processes. However, merging these new technologies with a circular economy is not a straightforward and well-established process and it fundamentally changes the business value chain. Therefore, this paper provides a systematic overview to help better understand the transition process to circular business models and the enabling role of industry 4.0. Merging these concepts underlines that many factors are interrelated and should be investigated in a holistic way instead of siloes. The findings imply that changes transcend business boundaries, including new value chain characteristics and operation models and indicate the interconnected nature of certain factors along the product lifecycle, including service-based models, circular design, reverse flows, consumers and users, and collaborations. This paper proposes a conceptual transition framework to address how new circular business models can integrate digitally adaptive transformations and proposals for future research are reflected upon. • Circular economy transition goes beyond the boundaries of one company and affects many elements in a business model. • Transition to circular business models implies that technological and human changes introduce challenges and paradoxes. • Different Industry 4.0 tools can be applied across business model elements to introduce circular economy principles. • We propose a conceptual transition framework that facilitates the transition from traditional to circular models. • We underline the benefits Industry 4.0 tools offer as well as the interconnected nature of the circular economy transition. [ABSTRACT FROM AUTHOR]

Assessing business models' sustainability impacts has become necessary to help firms transition towards a more sustainable and circular economy. Most firms face multiple challenges in developing sustainable business models. Many of these challenges can be solved by assessing the sustainability impacts of various business model designs. Various sustainability assessment tools and processes have been developed, each fitting different organizational needs in the sustainable business model innovation process. This paper seeks to develop a deeper understanding of this organizational process by analyzing the extant sustainability assessment frameworks and tools for business models and synthesizing the findings into a set of design principles (as meta-artifacts). We draw on a systematic literature review using a qualitative meta-synthesis approach. The proposed design principles can serve as guidelines in helping a company integrate sustainability assessment into its business model innovation process. The paper concludes by presenting a research agenda for future work in this area. [ABSTRACT FROM AUTHOR]

The textile industry is faced with many problems today. In addition to having to meet customers' changing preferences and expectations, who wish to stay abreast of fashion trends and stand out from the crowd, it also needs to make efforts to change its image of one the biggest polluters in the world it has earned due to production processes consuming large amounts of resources that end up as piles of household waste. The circular economy (CE) model to reduce the environmental footprint seems to be the right solution for textile companies implementing sustainable development strategies. This paper discusses the principles of the CE model and makes an attempt at explaining how textile companies transition to it. It is based on the analysis of 34 textile companies sampled from among the members of the European Circular Economy Stakeholder Platform, which was conducted using a special analytical checklist compiled from the ReSOLVE and BECE frameworks. Because of the proportions and degree of integration between strategic and operational practices they used to achieve circularity, they were divided into integrated, hybrid, and selective organisations. [ABSTRACT FROM AUTHOR]

The importance of knowledge management in facilitating a successful transition to a circular economy through the creation of a circular business model, as a substitute for the conventional linear economic approach, has not been extensively explored. The capacity of a company to coordinate, generate, and disseminate knowledge plays a crucial role in developing environmentally friendly industries and creating new employment opportunities. This article employs a literature review methodology to establish the connection between knowledge management and the shift towards a circular economy. The findings reveal that a company's eco-innovation process relies heavily on strategic knowledge management. Consequently, a comprehensive understanding of the system and self-motivated creativity are crucial components of expertise in creating sustainable circular business models. Hence, companies must consistently enhance their knowledge base to improve business processes, eco-efficiency, and eco-innovation. [ABSTRACT FROM AUTHOR]

In times of climate change, biodiversity loss, or growing natural resource scarcity, the circular business model (CBM) concept is increasingly attractive, promoting the reorganization of current value creation architectures and supply chains toward a sustainable system of production and consumption. Driven by a vision of continued economic expansion and growth on a planet with finite natural resources, CBMs are endorsed by political institutions, multinational corporations, business consultancies, and academia. Some argue that CBM configurations contribute to a more holistic and radical change in the existing business logics than approaches that achieve incremental resource efficiency improvements. However, how "holistic" and "radical" are CBMs theoretically constituted in academia if we consider the deep structural and paradigmatic shifts in societies necessary to deal with the challenges associated with the Anthropocene? Prior studies do not examine the inherent normative settings and the operational change approaches beneath CBM concepts. To reconstruct the theoretical foundations of CBMs critically, the recent CBM body of academic literature is systematically reviewed according to (1) the legitimacy of CBMs (why should it be done) (2) the modes of value creation and offerings (what should be done), and (3) the core principles of CBM integration into daily business (how should it be done). From this synthesis, the predominant notion of sustainability behind the CBM concept can be revealed. This study argues contemporary scientifically constructed CBMs need to be reconsidered if they are intended to contribute to a profound economic transition toward sustainability. Hence, the paper shows how principles from more "holistic", "radical", and pluralistic economic approaches can widen CBMs and how future research can help to diversify the concept. [ABSTRACT FROM AUTHOR]

Abstract This paper analyses 143 cases about the implementation of various and often interlinked, integrative, Resource Efficiency Measures (REMs). These REMs have been brought in a framework distinguishing on the one hand a cluster of supply side measures, demand side measures and life cycle measures with a synergistic mode of operation. They further have been related to clear classes or Business Model Changes (BMCs) that can support their implementation, notably changes in the supply chain (SC), internal processes (IP), customer interface (CI), financial model (FM) and the value proposition (VP). The BMCs were further characterised in terms of typical Implementation Barriers (IBs) that were reported in the cases, i.e. institutional, market, organisational, behavioural and technological barriers. Our study could not confirm some common theoretical wisdom, such as that firms mainly focus on 'simple' REMs like cleaner production and green products. Indeed, we could not confirm that REMs with a high scope and degree of change, often perceived as complex to implement, faced more Implementation Barriers than others. In general most Implementation Barriers play a role in all types of REMs and BMCs, although also some weak patterns were found. Internal processes BMCs were mainly hampered by institutional and technological factors. Value proposition and Financial model BMCs faced mainly behavioural and market barriers. Customer interface BMCs encountered additionally organisational barriers, while supply chain BMCs face a mix of all classes of barriers distinguished in this study. This is one of the first studies on business models and resource-efficiency looking at a large set of cases which is a step forward from the single case studies that dominate current literature. Yet, follow-up research should overcome weaknesses in our approach, such as a possible bias towards success cases and be more quantitative in analysing the effort it takes to overcome IBs. [ABSTRACT FROM AUTHOR]

Investigating the benefits of sustainable business models for our societies is an important and timely topic. This Special Volume contributes to current research by exploring a variety of sustainable models in use around the world. The accepted articles provide an overview of the various organizational forms, management mechanisms, sustainability solutions, challenges, theoretical lenses and empirical evidence, i.e. fundamental elements in the study of sustainable business models. In this introductory paper, the thirty-seven articles included in this Special Volume are presented, organized in four approaches to sustainable business models: 1/the generalist approach, 2/the technology-based approach, 3/the entrepreneurship and innovation approach and 4/the behavioral approach. In conclusion, avenues for future research are formulated, with a call for solid theory building, more sophisticated research methods, focus on the interplay of sustainable with existing conventional business models, and systemic consideration of the role of governments in advancing sustainable business models. [ABSTRACT FROM AUTHOR]

In the rise of global emphasis on circular economy, the automotive firms in an emerging economy such as India in this context are bracing themselves for circular supply chain to recover the expended resources after formalization of End-of-life vehicle (ELV) norms, but these firms lack the knowledge about how to transform from Product-Service System (PSS) business model to circular business model. The extant literature doesn't mention clearly as to what drivers and sub-drivers are needed for adoption of circular principles in PSS business model. This paper aims to propose a multi-theoretical framework (the resource-based view, resource-dependence theory, and stakeholder theory) and identifies and evaluates drivers and sub-drivers. The paper adopts Grey-Decision-Making Trial and Evaluation Laboratory multi-criteria decision-making method to evaluate the inter-relationship between the sub-drivers. A structural model has been developed based on the outcome of the empirical analysis. The study recommends that firm should focus on the important drivers (sub-drivers) – Circular Value Marketing (Recovery/Recycling information on a Product), Circular Services (Supplier adaptability for closed resource loop), Circular Product Design (Design of Sustainability Capability), and Reverse Flow Drivers (Incentives in Secondary Market for Recoverable Products). The implications are related to design, sourcing, and marketing functions and suggest the adoption of the influencing drivers and sub-drivers to create circular value. This study contributes to the literature of the circular supply chain by discriminating the causal relationships between factors that would help managers to develop product service systems strategy(s) to create circular value in the supply chain. [ABSTRACT FROM AUTHOR]

In this paper, we describe and analyze the novel type of circular economy business model that we define herein as "open circular economy business model." Unlike a typical circular business model based on six R-imperatives (reuse, recycling, redesign, regenerate, reduce, and recover), the analyzed business model leads to greater flexibility as it allows the incorporation of raw materials from the external organizational context into the internal sustainable production cycle. Hence, the societal benefits of adopting an open circular economy business model are potentially more significant than in the case of a conventional circular economy business model because it allows greater distribution of the benefits among heterogeneous external actors that interact with the organization. The study is based on the single case study of the Italian manufacturing company, which obtained significant market success by applying an open circular economy business model in the first few years since its incorporation. By examining in-depth interviews with principal organizational decision-makers triangulated with internal and external secondary data analysis, we describe the model's main characteristics while highlighting its strengths and weaknesses. The commercial success of the studied organization can be an incentive for direct and indirect competitors to implement similar business models resulting in the activation of system-level circularity-oriented behaviors. [ABSTRACT FROM AUTHOR]

The purpose of this research is to better understand the obstacles and limits that Belarus faces in moving to a circular economy (CE). Three separate studies were used to achieve these goals. In the first study, a research-based questionnaire was created to collect data on the business operations of Belarusian enterprises and their use of circular business models. In the second study, we used an interview-based assessment of the Belarusian economy's circularity. In the final section, we used the analytic hierarchy process (AHP) method to analyze the impediments to the circular economy in the Republic of Belarus. The overall findings of this three-part study indicate that businesses are interested in and working to adopt various CE activities like waste management, resource efficiency, cost savings, and carbon emissions. However, Belarus lacks planning possibilities and CE-related initiatives due to a lack of consistent legal standards or frameworks. This is one of the earliest CE-focused studies on Belarus, focusing on the country and giving policy recommendations for the country's transition to a CE. [ABSTRACT FROM AUTHOR]

The circular economy is commonly acknowledged as a solution to ecological problems such as resource depletion and waste emissions. New economic opportunities emerge by transitioning from a linear to a circular economy and innovative business models are needed to translate these opportunities into business reality. In recent years, researchers have investigated a variety of approaches to circular business models, but few studies have been conducted associating internal company dynamics with sustainable circular business approaches. Consequently, the purpose of this study is to investigate the internal dynamics of young and small‐scale companies in Germany that adopt a sustainable circular business model. This study focuses on internal barriers, enablers, competences and drivers to sustainable circular business model implementation. A case‐based research design was applied, drawing on semi‐structured interviews with 12 founders of businesses and organisations with a sustainable circular business model. The study develops four strategies to overcome barriers to sustainable circular business model adoption in young and small‐scale companies: (1) human‐centeredness in all activities affected by circular business model adoption, (2) high commitment for circularity on the managerial level, (3) requirement of special skills and competences and (4) consideration of cultural aspects inside and outside the company. Further empirical research about established and international incumbents with a sustainable circular business model is needed to be able to compare the internal dynamics of big and small companies in international contexts. [ABSTRACT FROM AUTHOR]

Changing from a linear to a circular economy in business poses a number of real-world difficulties for businesses. The following research paper investigates the definition of circular economy and its key features in order to gain a clearer appreciation of the ramifications of this change. The business procedures of the company known as Lush are analyzed in order to address these issues from a practical perspective. A synthesis of the most common characteristics and what the principle entails would be deduced as a result of the established examination of the literature, leaving an opening for any additional study in later works in which each element proposed in this article can be expanded upon. The results show that circular economy is a vast topic that may be tackled in a variety of ways. The findings of this study can also be utilized to better understand how businesses might apply the theoretical framework in real-world situations.

The circular economy is billed as a solution to increase economic growth while reducing environmental impact. It is argued that retaining the value of products, components and materials by fostering the "inner loops", such as reuse, refurbishment and remanufacturing, increases the resource-efficiency. However, published environmental assessments estimating the actual impact of these so-called circular outcomes are inconclusive. This paper presents the results of a systematic literature review of previous environmental assessments on circular products and circular business models, focusing on the tighter technical loops including reuse, refurbishment, and remanufacturing. Mapping reveals factors that influence the environmental impact of circular products and other aspects that should be incorporated in environmental assessments. Even though 239 papers were identified that discuss the environmental impact of circular products and/or circular business models, the far majority only considers a traditional product in a traditional sales model that is remanufactured and compares the impacts of remanufacturing with manufacturing new products. While it is important to quantify the impacts of remanufacturing, it is remarkable that product design strategies for circular economy (e.g. design for remanufacturing, upgradability, modularity) and product-service systems or other types of circular business models are usually not considered in the LCA studies. A lack of studies of products with so-called circular designs that are utilized within circular business models is apparent. In addition, many assessments are static analyses and limited consideration is given to future increases in the share of renewable energy. One can thus question how well the available environmental assessments quantify actual circular products/offerings and the environmental performance gains they could provide in a circular economy. The results show that there is an urgent need for more LCAs done in a way that better captures the potential benefits and deficiencies of circular products. Only then will it be possible to make robust claims about the environmental sustainability of circular products and circular business models and finally circular economy in total. [ABSTRACT FROM AUTHOR]

This paper examines the role of small entrepreneurial companies and their partnerships with large corporations to advance the circular economy (CE). The authors provide insights from a U.S.-based empirical study that involved 12 companies and examined the emerging drivers, current challenges and future opportunities for advancing waste repurposing and product reuse. Many large companies fail to incorporate CE principles into their business strategy due to lack of mandates, costs, logistical hurdles and inertia. This presents an opportunity for entrepreneurial companies with innovative business models to fill the gap and provide critical links for corporations in reverse supply chains while creating new business opportunities with social benefits. The study found that despite the lack of federal regulations in the U.S. a growing number of corporations are partnering with entrepreneurs to reduce waste and advance product reuse. Key drivers for such trends include sustainability commitments and zero waste goals by companies and municipalities, European Union and U.S. state mandates, reputation and the growing focus on local sourcing. Technology, knowledge, and strategic partnerships between entrepreneurs and corporations play a critical role in reducing financial costs, time, energy, environmental impacts and resources, thus helping establish viable business models. The authors propose a new framework for corporate-entrepreneur collaborations to advance a CE. The study contributes to the research on the relationship between entrepreneurial innovation and the development of CE principles within corporate supply chains, a field that is still in its infant stage. [ABSTRACT FROM AUTHOR]

Product-Service Systems (PSS) are widely recognised as promising models for increasing circularity and sustainability in business, but the extent to which they contribute to sustainability is still debated. While growing and insightful, the literature on PSS sustainability fails to cover all the relevant aspects and to take stock of the ways PSS can be conceptualised as contributing to strong sustainability. We contend that if PSS are to be designed to be strongly sustainable, clear guidance is needed based on both clear normative premises and sound empirical knowledge. Based on systematic and non-systematic literature reviews on the drivers of PSS (un)sustainability and a long-course field work on the development of PSS in Brussels (Belgium), the paper identifies important sustainability challenges that PSS frequently face and that PSS initiatives should address. These challenges are articulated with insights from the sustainable business models literature and anchored in a strong sustainability pre-analytical stance. An original analytical framework based on 5 dimensions (access, substitution, systemic dematerialisation, territorial anchoring and sufficiency) and 15 criteria of Strongly Sustainable Product-Service System (SSPSS) is proposed. • Product-Service Systems (PSS) still need guidance to be developed in a transformative way towards sustainability. • PSS sustainability is appraised in relation to ecological economics, strong sustainability and sustainable business models. • Identification of what makes PSS strongly sustainable is performed through literature reviews and in-depth field work. • Criteria and relevant questions along five dimensions characterise "Strongly Sustainable Product-Service Systems" (SSPSS). • A definition for SSPSS is proposed. [ABSTRACT FROM AUTHOR]

In recent years, the circular economy and the bioeconomy have increasingly been developed in France, driven by public policies. In this article, innovative circular bioeconomy business models in the French agrifood domain are studied concerning main drivers, business model elements, circular economy principles, enablers and barriers, and sustainability benefits. The study is based on an online review and analysis of 44 local, collaborative and small-scale initiatives. It appears that the strategies of the businesses are based on the seven circular economy pillars laid out by the French Agency for the Environment and Ecological Transition, mostly recycling, sustainable procurement, and industrial and territorial ecology. Geographical embeddedness and the relational proximity of actors are other crucial factors that play a role in the success of these business models, next to pro-environmental consumer trends and local public support. The outcomes further reveal that all three sustainability dimensions are integrally considered in France, with environmental and social dimensions slightly prominent above the economic one. The application of the game concept and its seven building blocks (time, playing fields, pieces, moves, players, rules, wins or loses) allows this study to demonstrate the essential elements of emerging business models within bioeconomy systems, their dynamic interrelations and the need for full policy attention. [ABSTRACT FROM AUTHOR]

Based on the assumptions of circular economy, resource recovery, and innovation, the aim of this research is to analyze the relationship between innovation constructs, resource recovery practices, Circular Economy Business Models (CEBMs), and value creation in a fast‐growing emerging economy. A set of empirical data from 443 companies in the pet industry were used. In terms of methodology, the study was processed using the SPSS software, using Structural Equation Modeling, with manipulation of primary data. CEBMs demand greater engagement, internalization of initiatives, and synergy with the operating ecosystem of the pet industry. Innovation is present but has the potential for expansion through adherence to the innovation ecosystem and its technological package, partnerships, and relationships so that companies can scale up and create value with the support of resource recovery practices. The results of this study can be useful for companies in the pet industry, as it allows the identification of areas and practices that require their attention to improve organizational performance and create value for the business based on initiatives supported by the assumptions of circular economy and sustainability. [ABSTRACT FROM AUTHOR]

Sustainable transitions typically require collaboration between multiple actors in the value chain or value network. Recent research has emphasized mapping of stakeholders and values as a starting point for identifying opportunities to realign these relationships, followed by business model experimentation to enable change. However, a simple mapping exercise does not consider the interplay between actors' concerns, business models, and interpretations of sustainability. Pedersen et al. (2022) advocated that aligning concerns is essential to collaborative design and innovation, and requires continuous negotiation between multiple actors. Here, we present a microlevel in‐depth case study to examine how alignment across central value chain actors may be facilitated through the staging of numerous negotiations during the innovation process. Drawing on the staging negotiation spaces co‐design framework, we provide insight into the content of multiple negotiations concerned with different aspects of sustainability during the development of a more sustainable laundry service system on the Danish island of Bornholm. Our findings illustrate how both value chain actors and a third‐party intermediary stage negotiations, and elaborate the framework by attending to the strategic navigational efforts of network alignment through negotiations. [ABSTRACT FROM AUTHOR]

Today's linear economic model is increasingly problematic. Creating a closed-loop model in production and consumption is a preferred alternative to address environmental and social damages associated with the linear economy. This paper proposes the Ecocanvas as a single tool backed by a methodology for enabling businesses to coherently formulate unique circular value propositions based on a lifecycle perspective. The tool is valuable for rethinking and personalizing sustainability and circular economy by more practically tackling the three dimensions of sustainable development while being adaptable to the organization's context. To a better understanding of the Ecocanvas value, this paper describes the tool's key features and elements through a detailed analysis of small to medium scale winery business models. We contribute to the debate on sustainability and business model literature while providing a practical tool for industry and policymakers transitioning towards a circular model. In addition, this paper contributes to the circular economy body of literature through the development and application of the Ecocanvas that focuses on a holistic approach. As a practical contribution, this study develops and provides a structured, well-researched, and tested tool supported by a methodology that can be used by many stakeholders. Further research could explore the practicality of the Ecocanvas methodology through case studies in different sectors of activities and contexts. Image 1 • Today's linear economic model is problematic, a closed-loop alternative is needed. • Ecocanvas allows organizations to create a unique circular value proposition. • Ecocanvas incorporates environmental and social aspects in a holistic tool. [ABSTRACT FROM AUTHOR]

Circular Economy is the optimal point of sustainability, given that it offers a set of practices capable of generating more sustainable operations, making sustainability feasible in organizations. To measure the innovations brought by Circular Economy, there is a recent need to develop circularity indicators, mainly for micro level (companies and products). Furthermore, the complexity of Circular Economy implies in a set of multi-dimensional indicators instead of a single one. This paper aims to develop a set of indicators linking Circular Economy principles, Circular Business Model and the pillars of Sustainability. The set of indicators was developed based in the hypothetic-deductive approach, following a number of iterations (cycles) and testing the theory in the empirical world. A mix of research methods (e.g. expert consulting, user's feedback, and case studies) was applied. The proposed indicators should be able to achieve the principles of the Circular Economy, and, at the same time, help to meet the specificities and needs of each circular business model. The main contribution of this paper is the development of a group of indicators, focused in the three dimensions of Sustainability (environmental (from material perspective), economic and social), applied in Circular Business Models to capture the innovations brought by Circular Economy that conventional indicators do not measure. Moreover, they will help any company to identify areas with high importance and potential for improvement, and thus increase Circular Economy performance in an efficient, clear and prompt manner. These indicators were applied in three Brazilian companies which have three different Circular Business Models. The results show that data from economic and social dimensions was not available or was diffused in the companies. It represents a barrier because most of the positive impacts gained with Circular Economy are presented in the social dimension, including job creation, mindset change, etc. Image 1075 • Development of a set of indicators applied to Circular Business Models to capture the innovations brought by Circular Economy. • Set of indicators based on Sustainability, principles of Circular Economy and linked with Canvas Business Model Generation. • These indicators were applied in three Brazilian cases: plastic, textile and electro-electronic companies. [ABSTRACT FROM AUTHOR]

To achieve positive economic, environmental, and social benefits, many incumbent manufacturing firms attempt to apply circular economy principles to their business practices. However, these firms often struggle to change their existing linear business models to circular models because the steps required for successful transformation are still poorly understood. Based on a multiple case study of eight business model transformation journeys, this article proposes a roadmap for circular business model transformation. It provides a step-by-step process to enable circular transition, allowing companies to meet environmental, social, and financial objectives and proactively address sustainability. [ABSTRACT FROM AUTHOR]

The process of developing sustainable and circular business models is quite complex and thus hinders their wider implementation in the market. Further understanding and guidelines for firms are needed. Design thinking is a promising problem solving approach capable of facilitating the innovation process. However, design thinking does not necessarily include sustainability considerations, and it has not been sufficiently explored for application in business model innovation. Given the additional challenges posed by the need for time-efficiency and a digital environment, we have therefore developed a design thinking-based framework to guide the early development of circular business models in an online and efficient manner. We propose a new process framework called the Circular Sprint. This encompasses seven phases and contains twelve purposefully adapted activities. The framework development follows an Action Design Research approach, iteratively combining four streams of literature, feedback from sixteen experts and six workshops, and involved a total of 107 participants working in fourteen teams. The present paper describes the framework and its activities, together with evaluations of its usefulness and ease-of-use. The research shows that, while challenging, embedding sustainability, circularity and business model innovation within a design thinking process is indeed possible. We offer a flexible framework and a set of context-adaptable activities that can support innovators and practitioners in the complex process of circular business model innovation. These tools can also be used for training and educational purposes. We invite future researchers to build upon and modify our framework and its activities by adapting it to their required scenarios and purposes. A detailed step-by-step user guide is provided in the supplementary material. [Display omitted] • Design thinking frameworks are adapted for circular business model innovation. • The Circular Sprint contains 12 activities to be applied in 7 innovation phases. • The method combined literature research, expert feedback and 6 workshops. • Sustainability orientation can support divergent and convergent innovation phases. [ABSTRACT FROM AUTHOR]

The circular economy holds the potential to significantly reduce resource use. However, attempts to fully utilize its potential have fallen short so far. Based on a longitudinal interview‐based study, we examine how micro, small and medium enterprises (MSMEs) in the UK fashion industry advance the circular economy (CE). Whereas the dynamic capabilities framework is mostly used for medium and large businesses, our findings advance the current literature, demonstrating how the distinctive development and use of dynamic capabilities enable MSMEs to act in agile ways, allowing them to introduce, test and advance CE solutions, while providing them with more resilience during times of crises. Our study further shows that fashion MSMEs adopt circular economy business models (CEBMs) by going beyond conventional, technology‐focused approaches currently dominating business thinking. The research highlights MSMEs' ability to engage in circular practices through an extension of existing business models in the form of close interactions with their customers demonstrating the importance and potential of extended business‐customer engagement in businesses' attempts to adopt CE practices. [ABSTRACT FROM AUTHOR]

Sustainable development and the circular economy are two important issues for the future and the competitiveness of businesses. The programs for the integration of sustainability into industrial activities include the reconfiguration of production processes with a view to reducing their impact on the natural system, the development of new eco-sustainable products and the redesign of the business model. This paradigm shift requires the participation and commitment of different stakeholder groups and industry can completely redesign supply chains, aiming at resource efficiency and circularity. Developments in key ICT technologies, such as the Internet of Things (IoT), help this systemic transition. This paper explores the phases of the transition from a linear to a circular economy and proposes a procedure for introducing the principles of sustainability (environmental, economic and social) in a manufacturing environment, through the design of a new Circular Business Model (CBM). The new procedure has been tested and validated in an Italian company producing ceramic tiles, using the digitalization of the production processes of the Industry 4.0 environment, to implement the impact assessment tools (LCA—Life Cycle Assessment, LCC—Life Cycle Costing and S-LCA—Social Life Cycle Assessment) and the business intelligence systems to provide appropriate sustainability performance indicators essential for the definition of the new CBM. [ABSTRACT FROM AUTHOR]

As the unfolding climate crisis escalates, incumbent manufacturing companies are increasingly sensing and seizing sustainability opportunities—ideas that help to generate value in a more sustainable way than existing alternatives. Prior literature has underscored the importance of opportunity recognition and has theorized various types of circular business models to address sustainability in practice. However, there is a knowledge gap regarding the step in between: undertaking an assessment that provides a foundation for subsequently pursuing a circular business model. Based on a multiple case study of four innovation projects pursuing sustainability, this article identifies capability assessment, ecosystem alignment, and value‐capture viability as key dimensions in evaluating sustainability opportunities prior to circular business model design and development. These insights are aggregated into a framework that allows companies to conduct a systematic assessment of sustainability opportunities in practice. The framework provides new theoretical implications for the literature on circular economy and business model innovation, and it offers hands‐on advice for management practice. [ABSTRACT FROM AUTHOR]

The authors endeavor to investigate the intersection and relationship between sustainability, business models and a circular economy. These three concepts are believed to be at the heart of finding a solution to creating and implementing a circular economy. The three pillars of sustainability (society, environment and economics) have been identified as the golden thread when applied to developing circular economies and the business models used in these circular economies. These three pillars highlighted the areas of intersection and engagement between the circular economy and business models. The three pillars, or stakeholders, need to be considered equally and, where there is sacrifice and benefits, they need to be balanced. A scoping review was chosen, as the starting point, to ascertain the literature in the field. The results of the scoping review showed a lack of research conducted at the point of intersection between these three fields. Finding a solution by creating and implementing a circular economy will have positive effects on the economy, environment and society, as there is, proverbially, "not much time left" and everyone in the process will sacrifice and benefit. The research has highlighted the need to explore the intersection and relationship between sustainability, business models and the circular economy as a concept, and future research should develop frameworks to guide the development and implementation of this intersection to include all relevant stakeholders. [ABSTRACT FROM AUTHOR]

The integration of sustainability in the circular economy is an emerging paradigm that can offer a long term vision to achieve environmental and social sustainability targets in line with the United Nation's Sustainable Development Goals. Developing scalable and sustainable impacts in circular economy business models (CEBMs) has many challenges. While many advanced technology manufacturing firms start as small enterprises, remarkably little is known about how material reuse firms in sociotechnical systems transition towards circular business models. Research into CEBMs integrating sustainability and environmental conservation is still in its early stages. There has been increased interest in sustainability and circular economy research, but current research is fragmented. The innovation surrounding CEBMs eludes some firms with relatively limited evidence of the transitional perspective necessary to integrate aspects of sustainability. This lack of evidence is especially applicable to the context of circular economy practices in small and medium enterprises in the United States regarding capabilities, operations obstacles, and elements of success in designing circular business models. Based on a qualitative, interview-based inductive study of a material reuse firm, our research develops a conceptual model of the critical success factors and obstacles that are part of implementing circular economy practices. Firms must first manage strategic enablers and monitor tactical enablers to achieve sustainability goals. In this study, we identify the underlying enablers of how these capabilities affect the transition to a CEBM that integrates sustainability. The framework emerging from our findings highlights the interplay of CEBM, innovation success factors, and obstacles at a micro-level. The investigation of a material reuse firm serves as the foundation for developing a framework for how managers can alter a company and revise the business model to transition towards a more innovative circular economy. [ABSTRACT FROM AUTHOR]

Most firms, especially small and medium enterprises (SMEs), find it difficult to integrate circular economy strategies within their business models. Moreover, there is a lack of research on approaches for the successful implementation of circular economies in SMEs in the field of manufacturing. To fill this gap, we investigate the antecedents of absorptive capacity in successful circular economy business cases using a qualitative multiple‐case study. Focusing on the horticultural sector, we interviewed six Italian SMEs using NVivo 12 for the analysis. The data were then classified into first‐order and second‐order categories and then sorted into absorptive capacity dimensions. Our results highlight the significant contribution provided by absorptive capacities to the circular economy in SMEs. We highlighted three antecedents for each absorptive capacity dimension and explored their key concepts. Our study contributes to the academic literature on the links between absorptive capacity and corporate sustainability by providing insights into the role of acquisition, assimilation, transformation and exploitation capabilities in the successful implementation of circular economy practices. [ABSTRACT FROM AUTHOR]

No project for the transition to the circular economy can be carried out by a single organisation. This research addresses a gap by presenting a process and a set of tools to facilitate the development of circular business models. It contributes to building circular ecosystems by visualizing the parties involved, connecting and aligning their business models. Applying our framework can train people and help organizations achieve collective outcomes. Credence can be given to our claims as they have been tested in various contexts. 400 students and practitioners were involved in 9 business cases. An application is presented using data from a real case and a combination of role games. • The paper presents a process to develop circular business models for sustainability. • It identifies and justifies the gaps which this circular business model addresses. • It helps visualize, connect and align the circular business models of organizations. • 15 workshops with 400 students and practitioners provided positive feedback. • One of the 9 cases is presented as an illustration of how our model can be applied. [ABSTRACT FROM AUTHOR]