Growing inequality, the climate breakdown and diminishing resources are challenging our planet and society. These challenges require major systemic change in the logic of value creation, with the aim of shaping new, more responsible business models.
This research, carried out by Circle Economy on behalf of the European Environmental Bureau and Fair-Trade Advocacy Group, provides clarity into some of the potentially harmful side effects of the linear value chain and business models which are unaddressed or underexplored when promoting circular business models. The report dives into three specific business model archetypes within the textiles and electronics sectors that can be considered to slow or close loops when designed to promote circularity. These cases include reverse cycles of repair and maintenance, resale and services such as rental and subscriptions (Productas-a-Service, here referred to as PaaS) both in the textiles and electronics sectors.