Authors: Patrick Planing
Addresses: Pforzheim Business School, Pforzheim University, Germany
Abstract: The overall aim of this paper is to develop a new conceptual framework for the role of business models in a circular economy. The shift towards a circular economy will be mandatory in order to sustain growth despite the limited amount of resources on our earth. Yet, a fundamental understanding of the business models needed to achieve this goal is still missing. Reviewing existing research as well as professional and for-business publications, the author develops a conceptual model by clustering and abstraction. The first part of this paper demonstrates that, despite wording differences, a predominant agreement on a basic structure for new business models in a circular economy has emerged in the field. The second part develops a conceptual model for the transition towards a circular economy by introducing a hierarchical structure of new business models. By outlining the roadmap towards result-oriented business models, this structure will contribute to a faster transition into a circular economy.
Keywords: business model development; circular economy; business innovation; business model innovation.
International Journal of Business and Globalisation, 2018 Vol.20 No.1, pp.71 - 83
Received: 04 Aug 2016
Accepted: 16 Aug 2016
Published online: 05 Dec 2017 *