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Circular Economy has emerged to face current unsustainable economic trends. Clarifying and promoting tools for embedding circularity in firms' business models is becoming crucial. Notwithstanding Eco-Innovation has been recognised as a fundamental link to connect Circular Economy with business models restructuring, still little consensus exists on the interlinkages among the concepts of Eco-Innovation, Circular Economy and Circular Business Models. This research aims to understand which innovations can favour the transition from linear to closed-loop processes, and to identify circular business models using the lens of Eco-Innovation practices. We recognise three groups of innovations that are expected to drive firms' business towards circularity, leading to the identification of an original Product Life-Cycle Categorisation. An exploratory empirical analysis is finally developed on the basis of Italian Small and Medium Enterprises' data, in order to show the ability of our categorisation to distinguish across eco-innovative practices that are driven by (partly) heterogeneous determinants. Highlights: Designing new ways of creating value in accordance with circular economy strategies is becoming crucial The lack of theoretical guidance around the role of Eco-Innovation for circular economy may hinder firms' ability to put in practice circular business models A categorisation of eco-innovative practices desirable for circular economy can support firms to put forward business models changes Heterogeneous drivers are involved in the adoption of different typologies of circular innovations [ABSTRACT FROM AUTHOR]

E-waste has one of the greatest impacts on the environment and is the fastest-growing waste stream globally. The ever-ongoing growth in our economy and unsustainable consumption patterns ask for a change. Use-oriented product-service systems (u-PSS) are a promising business model to address this change by acting toward a circular economy. However, the implementation of u-PSS can face various challenges because it requires a fundamental shift in how companies interact with consumers as well as consumers' preferences. Therefore, this study aims to identify factors of acceptance for adopting u-PSS for electronic devices in Austria. To gather specific data, an online survey was conducted with 287 participants. The hypotheses were tested using multiple regression analysis. The results reveal that out of the tested factors, environmental awareness and information are the most important factors of acceptance. For a successful implementation, key determinants include service provision, device durability, and comprehensive information about u-PSS. [ABSTRACT FROM AUTHOR]

The intersection of the Internet of Things (IoT) and the circular economy (CE) creates a revolutionary opportunity to redefine economic sustainability and resilience. This review article explores the intricate interplay between IoT technologies and CE economics, investigating how the IoT transforms supply chain management, optimises resources, and revolutionises business models. IoT applications boost efficiency, reduce waste, and prolong product lifecycles through data analytics, real-time tracking, and automation. The integration of the IoT also fosters the emergence of inventive circular business models, such as product-as-a-service and sharing economies, offering economic benefits and novel market opportunities. This amalgamation with the IoT holds substantial implications for sustainability, advancing environmental stewardship and propelling economic growth within emerging CE marketplaces. This comprehensive review unfolds a roadmap for comprehending and implementing the pivotal components propelling the IoT's transformation toward CE economics, nurturing a sustainable and resilient future. Embracing IoT technologies, the authors embark on a journey transcending mere efficiency, heralding an era where economic progress harmonises with full environmental responsibility and the CE's promise. [ABSTRACT FROM AUTHOR]

Firm‐level adoption of circular business models is a crucial part of the transition toward circular economy, but companies that delve into such pursuits often encounter a series of barriers that hamper their success. Although multiple studies on barriers to circular economy have been made, there is a lack of understanding of how barriers are formed under firm‐specific characteristics such as sectoral conditions and the type of circular business model adopted. To bridge this gap, we illustrate a barrier framework in a multiple‐case study including nine Swedish firms. We derived about 28 barriers within five categories of circularity approaches (design, waste, service, platform, and nature) across three sectors (furniture, electronics, and garment). This research contributes to the circular economy literature by revealing how adhering to certain sectors and circular business approaches significantly changes the way barriers are perceived by firms. The outcomes may support both practitioners and policymakers as they facilitate circular economy transitions. [ABSTRACT FROM AUTHOR]

Circular start-ups (CSUs) are gaining popularity to radically rethink the linear resource flows of global production systems and adopt ambitious approaches towards a circular economy from inception. For CSUs, the institutional environment is particularly relevant; this is because the complex nature of sustainability challenges requires a deep engagement with institutions to drive transitions from linear to circular practices. This article analyses how and why institutional factors influence CSUs in the highly entrepreneurial region of Catalonia in Spain. Based on a multiple case study, our findings demonstrate that CSUs are affected by informal institutions through founder motivations, their ability to create opportunities and social values. Formal institutions influence CSUs regarding the previous experience of founders, accessible ecosystem actors and supportive laws and regulations. These findings are important for effective policymaking to develop adequate support mechanisms and understand the particular challenges and opportunities CSUs face compared to traditional start-ups. [ABSTRACT FROM AUTHOR]

In recent years, circular business models have attracted the attention of many business fields. The agri-food sector is also facing new challenges in order to reduce losses and food waste along its supply chain. In this context, the adoption and application of circular business models provide opportunities to promote the transition towards a more sustainable performance and a more economically suitable future. Therefore, the current research has identified the benefits of using circular business models in the agri-food sector with a qualitative approach and a meta-synthesis method. In this regard, the number of 57 related studies was evaluated and finally, after reviewing, 29 articles were selected and analyzed using the seven-step model of Sandelowski and Barroso, in two stages of open coding and axial coding. In this way, the most important identified benefits of using circular business models in the agrifood sector were categorized into five main categories: economic, environmental, value chain, marketing and social. In the end, according to the propositions of the research, suggestions were presented. In an important example, the policy makers and those involved in the agri-food sector should raise the awareness of the society (through culture building by television and radio and schools) and farmers (through holding courses and helping to revalue the product and by-products and their labeling). In addition, the creation of facilities and financial incentives can also be effective in providing the prerequisites for the implementation and success of circular business models in agri-food sector. [ABSTRACT FROM AUTHOR]

Simple Summary: The United Nations' goals for sustainability, like Zero Hunger by 2030, urge us to find new ways to produce food without harming nature. As traditional resources for feed, like soymeal and fishmeal, become scarcer and more expensive, exploring alternative protein sources is one options. Research on using insect meal instead of fishmeal shows promise in terms of animal growth and feed efficiency. This paper assesses the socio-economic benefits and costs of production of insect meal to substitute fishmeal in feed, while also focusing on factors that would affect performance most. The study evaluates the economic value of insect-based products, waste, and greenhouse gas reduction as socio-economic benefits. Data from laboratory trials and case studies on black soldier fly and yellow mealworm reveal negative balances of socio-economic benefits and costs; however, it is possible that upscaling and more effective technologies could move this positively. Changes in nutrient market values could also shift the balance as well as prevent impact on marine ecosystems from reduction fishery; this was not evaluated but could contribute to the overall outcome. Thus, although the current assessment shows a negative balance, it does not necessarily mean that the production of insect meal for feed is not beneficial for society in the long term. Sustainability targets set by the United Nations, such as Zero Hunger by 2030, encourage the search for innovative solutions to enhance food production while preserving the environment. Alternative protein sources for feed, while conventional resources like soymeal and fishmeal become more expensive and scarcer, is one of the possibilities. Studies on substituting fishmeal with insect meal show promising results in terms of animal growth and feed efficiency. This paper aims to assess the socio-economic benefits and costs of insect meal substituting fishmeal in feed and to highlight the factors influencing performance most. The study evaluates the economic value of insect-based products, waste reduction, and reduced greenhouse gas emissions as socio-economic benefits. It combines empirical data derived from laboratory trials and two case studies covering black soldier fly (Hermetia illucens) and yellow mealworm (Tenebrio molitor). Current analyses reveal negative socio-economic balances, emphasizing that reduction of operating and investment costs through upscaling and technological advancements can give a positive move, as well as factors such as current market valuations for nutrients can change significantly. Thus, a negative balance at the moment does not mean that insect rearing, and larva processing are not desirable from a long-term socio-economic perspective. [ABSTRACT FROM AUTHOR]

Copyright of Galician Journal of Economics / Revista Galega de Economía is the property of Universidad de Santiago de Compostela, Servicio de Publicaciones and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)

Leasing has proven to be a business model that is perfectly suited to the circular economy. It significantly contributes to sustainable development by enabling the reuse of machinery and equipment after each lease period and by including preventive maintenance and overhauls within and between lease terms. This helps to extend the life cycle of equipment, promote value recovery, and reduce waste. This paper examines an imperfect preventive maintenance (PM) strategy applied to equipment rented under the terms of "free leasing". In free leasing, the lessor makes the equipment available to the customer for a specified period of time without charging rent. In return, the customer is required to purchase the equipment's consumables exclusively from the lessor. The lessor is also responsible for the maintenance of the equipment at the customer's premises. The greater the quantity of consumables used by the customer, the more the equipment will deteriorate. Consequently, the lessor must be able to determine the most effective approach to preventive maintenance, ensuring that it aligns with the customer's planned usage rate while maximizing profit. This work proposes a PM strategy to be adopted by the lessor during the free lease period. This strategy involves the performance of imperfect PM actions just before the start of the lease period and then periodically. Different packages of preventive actions can be applied each time, with each package having a different cost depending on the level of effectiveness in terms of rejuvenating the equipment. Minimal repairs are performed in the event of equipment failure. The decision variables are the PM period to be adopted and the maintenance efficiency level to be chosen for each preventive intervention. The objective is to determine, for a given customer with an estimated consumption rate profile of consumables, the optimal values of these decision variables so that the lessor maximizes their profit. A mathematical model is developed to express the lessor's average profit over each lease period. A solution procedure is developed for small instances of the problem, and an Artificial Bee Colony algorithm is implemented for larger instances. A numerical example and a sensitivity analysis are presented. [ABSTRACT FROM AUTHOR]

In the modern economic context, the growing emphasis on sustainability and efficient management of resources is leading to comprehensive changes in business models. The circular economy, aimed at minimizing waste and maximizing resource utilization, is emerging as a crucial aspect of this transformation. It is a response to the uncontrolled exploitation of natural resources and energy sources, accelerated industrial development, as well as excessive consumption, which were the basis of economic growth and development in the 20th and early 21st centuries. In this context, innovative financial instruments play a significant role in supporting and financing circular practices. This paper explores the role of innovative financial instruments within the circular economy, analyzing how these instruments encourage sustainable practices, support innovation and contribute to efficient resource management.

Circular business models (CBMs), such as product-service systems, are rapidly gaining traction in light of a transition to a more circular and sustainable economy. The authors call for a new approach to inform and guide the development and adoption of these CBMs. The main reason is that different actors in the service ecosystems or networks linked to these business models—such as firms, customers, and governmental bodies—may be reluctant to join or even impede the transition to a circular economy. Based upon an abductive analysis of 133 CBM papers with the Motivation-Opportunity-Ability (MOA) framework as organizing structure, the authors theorize about how to achieve "circular economy engagement" (i.e., an actor's disposition to embrace CBMs). Specifically, they highlight and illustrate the role of (1) signaling and convincing as motivation-related practices, (2) matching and legitimizing as opportunity-related practices, and (3) supporting and empowering as ability-related practices. The authors provide illustrative cases for each of these practices along with a discussion of the theoretical and practical implications and the remaining challenges—all with the key aim to push the transition to a circular economy forward. Graphical Abstract [ABSTRACT FROM AUTHOR]

The environmental and economic benefits of adopting a circular economy (CE) approach could be significant for firms. The CE and packaging constitute a fundamental binomial for our economy, yet there are still few studies of the advantages for food value chains, especially in the wine sector. Therefore, in this paper, we address this research gap by measuring the environmental and economic performance of a circular business model (CBM) adopting the wine industry as a reference. We apply a combination of Life Cycle Assessment (LCA) and Life Cycle Costing (LCC) methods to a small Italian winemaking firm, which implements a circular strategy through the take‐back and refurbishment of wine packaging components. Results show that by implementing this sustainable and CBM, a firm can reduce greenhouse gas (GHG) emissions from 8 to 90% and save from 6 to 63% of its economic costs. [ABSTRACT FROM AUTHOR]

In recent years, multiple crises have shown the fragility of global supply chains. In particular, climate change sheds light on the never-ending waste of resources caused by the linear economic model. In response, circular economy emerges as a promising alternative. Companies must rethink and innovate their business models, product life cycles, and underlying mindsets for a systemic transition. Cross-sectoral collaboration in networks is necessary to redesign, reuse, recycle, and remanufacture products and close the loop of material flows. First, projects and research on the concepts of open source hardware, open innovation, and open design show that openness can be a game-changer for the circular economy and circular business models. Although there has been growing interest, there is still a lack of comprehensive research examining possible synergies of openness and circularity, as well as identifying patterns for integrating these concepts into business models. This paper explores possible ways, prerequisites, and obstacles of open source concepts enabling circular value creation in industry. We combine explorative data from a literature review and more than 10 interviews with open source and circular economy experts. Furthermore, a total of 38 case studies of circular or open or open & circular business models were identified and selected for analysis. The empirical results were triangulated with existing business model patterns from the literature. The study presents a framework to describe open and circular business models and four prototypical patterns. In an exploratory approach, we identify necessary lines of future research in order to facilitate open source movements toward a circular economy. The paper provides insights for academics and practitioners from production and supply chain management. It combines interdisciplinary perspectives to unlock the potential of open source concepts and collaboration for enabling a circular economy. [ABSTRACT FROM AUTHOR]

With the need to transition to a Circular Economy being highlighted at government and industry level, business research has focused on how firms incorporate circular business practices. However, there is a lack of research on what motivates and drives businesses to implement environmental and CE practices, specially from an Australian context. This research aims to understand what factors drive and motivate businesses to implement sustainability practices, using a survey distributed among businesses operating in Victoria, Australia. The results show that the major motivation for businesses to implement actions was the belief of doing the right thing. Although financial returns were not considered a major driver, the results reveal that firms may not implement environmental activities if it is not financially viable. The responses also illustrate that understanding of CE‐related terminology within businesses were low, and that this could be a result of common terms used within the Australian context. Improving the ethical and moral conscience of business decision makers and incorporating wider CE actions into the general concept of doing the right thing could increase businesses implementing CE practices more broadly. [ABSTRACT FROM AUTHOR]

Although the circular economy is considered an avenue to sustainable development, the transition toward circularity is moving slowly. Academic literature has examined how various factors can affect the adoption of circular business models in specific industries and organizational types. However, no research has systematically reviewed the determinants of circular business model adoption. Through a systematic literature review, this study provides a holistic overview of the determining drivers of and barriers to the adoption of circular business models. Building on a sample of 67 journal articles, this study identifies 54 different determinants and classifies them into eight macro categories: culture, regulation, market, strategy, business case, collaboration, operations, and knowledge. The findings can guide policy‐makers, researchers, and decision makers across industries in understanding what obstacles to avoid and drivers to employ when they wish to increase circular business model adoption. [ABSTRACT FROM AUTHOR]

The intersection of the Internet of Things (IoT) and the circular economy (CE) creates a revolutionary opportunity to redefine economic sustainability and resilience. This review article explores the intricate interplay between IoT technologies and CE economics, investigating how the IoT transforms supply chain management, optimises resources, and revolutionises business models. IoT applications boost efficiency, reduce waste, and prolong product lifecycles through data analytics, real-time tracking, and automation. The integration of the IoT also fosters the emergence of inventive circular business models, such as product-as-a-service and sharing economies, offering economic benefits and novel market opportunities. This amalgamation with the IoT holds substantial implications for sustainability, advancing environmental stewardship and propelling economic growth within emerging CE marketplaces. This comprehensive review unfolds a roadmap for comprehending and implementing the pivotal components propelling the IoT’s transformation toward CE economics, nurturing a sustainable and resilient future. Embracing IoT technologies, the authors embark on a journey transcending mere efficiency, heralding an era where economic progress harmonises with full environmental responsibility and the CE’s promise.

Sustainability targets set by the United Nations, such as Zero Hunger by 2030, encourage the search for innovative solutions to enhance food production while preserving the environment. Alternative protein sources for feed, while conventional resources like soymeal and fishmeal become more expensive and scarcer, is one of the possibilities. Studies on substituting fishmeal with insect meal show promising results in terms of animal growth and feed efficiency. This paper aims to assess the socio-economic benefits and costs of insect meal substituting fishmeal in feed and to highlight the factors influencing performance most. The study evaluates the economic value of insect-based products, waste reduction, and reduced greenhouse gas emissions as socio-economic benefits. It combines empirical data derived from laboratory trials and two case studies covering black soldier fly (Hermetia illucens) and yellow mealworm (Tenebrio molitor). Current analyses reveal negative socio-economic balances, emphasizing that reduction of operating and investment costs through upscaling and technological advancements can give a positive move, as well as factors such as current market valuations for nutrients can change significantly. Thus, a negative balance at the moment does not mean that insect rearing, and larva processing are not desirable from a long-term socio-economic perspective.

The transition towards a circular economy compels manufacturing companies in the transportation industry to reassess how they create, deliver, and capture value for their customers. Autonomous electric vehicles, with their advanced connectivity, autonomy, and efficiency, offer innovative business opportunities and services. However, there is limited knowledge concerning the sharing of autonomous electric vehicles in the business-to-business (B2B) market, particularly for industrial manufacturing companies. This study aims to identify the prerequisite criteria and potential innovative business models for sharing autonomous electric vehicles within a B2B context. To investigate this phenomenon, the study employs a case study approach within the heavy-duty vehicle industry, which involves a vehicle manufacturer and customers from a specific industry sector. The findings reveal that economic gain, service quality, and accessibility serve as prerequisite criteria for sharing autonomous electric vehicles in a B2B context. Furthermore, by leveraging a morphological framework, the study outlines five business model scenarios to explore the potential of sharing autonomous electric vehicles in enhancing B2B mobility. This research contributes to the field of business model innovation in a B2B context by introducing a model that delineates both the prerequisite criteria and potential business model concepts for the B2B sharing of autonomous electric vehicles. [ABSTRACT FROM AUTHOR]

Copyright of Transformations in Business & Economics is the property of Vilnius University and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)

This article aims to highlight the level of maturity of the circular economy according to the ReSOLVE framework, the level of maturity of technical and biological cycles, and the level of maturity of sustaining and disruptive innovation in Brazilian and Portuguese craft brewing companies. Through a multiple case study in the craft brewery sector in the state of Santa Catarina (Brazil) and in the city of Porto (Portugal), a qualitative study was developed by means of a documentary analysis of secondary data, technical visits, and application of on‐site interviews with 11 Brazilian and 11 Portuguese companies. The results indicate that (I) Brazilian and Portuguese companies are at different maturity levels concerning the circular economy, according to the ReSOLVE framework; (II) the maturity levels of the technical and biological cycles can be identified in the recycling practices of both cases, with the 11 Portuguese companies operating at the optimized level while the Brazilian companies are moving toward optimization; and (III) regarding innovation maturity levels, sustaining innovation is incorporated and optimized in these 22 companies. Concerning disruptive innovations, the results show that Brazilian and Portuguese companies are at different stages. This study contributes to theory by linking circular economy constructs and innovation and introducing gastronomy as a new link between these constructs. For practitioners, it highlights the stages of maturity and practical actions that can guide the improvement of maturity levels. In terms of limitations, we cite the geography and population of the countries and states addressed, the pandemic, differing production volume between companies, and the scope of the businesses. We suggest that future studies replicate or expand the sample to other geographic regions, as well as apply the framework to other business segments. [ABSTRACT FROM AUTHOR]

The circular economy promotes a transition away from linear modes of production and consumption to systems with circular material flows that can significantly improve resource productivity. However, transforming linear business models to circular business models posits a number of financial consequences for product companies as they need to secure more capital in a stock of products that will be rented out over time and therefore will encounter a slower, more volatile cash flow in the short term compared to linear direct sales of products. This paper discusses the role of financial actors in circular business ecosystems and alternative financing solutions when moving from product‐dominant business models to Product‐as‐a‐Service (PaaS) or function‐based business models. Furthermore, the paper demonstrates a solution where state‐of‐the‐art artificial intelligence (AI) modeling can be incorporated for financial risk assessment. We provide an open implementation and a thorough empirical evaluation of an AI‐model, which learns to predict residual value of stocks of used items. Furthermore, the paper highlights solutions, managerial implications, and potentials for financing circular business models, argues the importance of different forms of data in future business ecosystems, and offers recommendations for how AI can help mitigate some of the challenges businesses face as they transition to circular business models. [ABSTRACT FROM AUTHOR]