Product design and business model strategies for a circular economy

TLDR

The shift from linear to circular business models introduces practical challenges and adopts Stahel’s concepts of slowing, closing, and narrowing resource loops. The study develops a framework of product design and business model strategies to guide companies toward a circular economy and identifies future research directions. The authors present a framework listing product design and business model strategies, with illustrative examples, to help decision‑makers transition to a circular economy.

Abstract

The transition within business from a linear to a circular economy brings with it a range of practical challenges for companies. The following question is addressed: What are the product design and business model strategies for companies that want to move to a circular economy model? This paper develops a framework of strategies to guide designers and business strategists in the move from a linear to a circular economy. Building on Stahel, the terminology of slowing, closing, and narrowing resource loops is introduced. A list of product design strategies, business model strategies, and examples for key decision-makers in businesses is introduced, to facilitate the move to a circular economy. This framework also opens up a future research agenda for the circular economy.