Circular economy and new ways of doing business in the tourism sector

Abstract

In alternative to the current linear economic model of extraction use and disposal, the emerging concept of circular economy stresses the importance of maintaining the value of products, materials and resources inside the economy thus reducing waste generation and improving sustainability. The opportunity of switching to a circular model of production and consumption is currently explored in different economic sectors, including tourism. This paper investigates the transition towards circular economy in the area of tourism. After a review of the most relevant literature on the subject, some concrete examples of circular economy applied to tourism destinations and companies are examined and compared. The implications of the transition towards circular economy in the area of tourism, mainly in terms of new business models and practices, are then analysed and discussed. Further research on the topic and the investigation of additional case studies is finally suggested. Key words: circular economy, tourism development, business models, sustainability