Circular Economy Business Models

The Circular economy (CE) is a system that is designed to be restorative and regenerative in order to transition current linear production and consumption patterns to cyclical ones that remove waste from the system. CE is increasingly seen as way to contribute to sustainable development. To contribute to redesign for the CE, we must all make changes in the way we produce, consume and manage waste.

For more information on the Circular Economy, see the Ellen MacArthur Foundation

5 circular business models 01 Source: Accenture (2014)

One way for organizations to contribute to the CE is through circular economy business models (CEBM). CEBMs work to reduce resource use and waste within production, but also to extend product life cycles and employ strategies that allow the consumer to do more than buy, use and dispose.

Some common archetypes for CE business models: