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Circular Business Model Innovation: Inherent Uncertainties
RISE, Swedish ICT, Viktoria.
RISE, Swedish ICT, Viktoria.
2015 (English)In: Business Strategy and the Environment, ISSN 0964-4733, E-ISSN 1099-0836Article in journal (Refereed) Published
Abstract [en]

Abstract_x000D_ Circular business models based on remanufacturing reuse promise significant cost savings as well as radical reductions in environmental impact. Variants of such business models have been suggested for decades, there are notable success stories such as Xerox photocopiers. Still, we are not seeing wide spread adoption in industry. This paper examines causes for hesitation. Drawing on a hypothesis-testing framework of business model innovation we show that circular business models imply significant challenges to proactive uncertainty reduction for the entrepreneur. Moreover, we show that many product-service systems variants, while facilitating return flow in circular business models, further aggravate the uncertainty reduction issue. Through a longitudinal action research study we provide a counter example to many of the challenges identified in previous studies, which could be overcome in this case._x000D_

Place, publisher, year, edition, pages
2015.
Keywords [en]
Circular Business Model, business model innovation, customer development, product-service systems, circular economy, Remanufacturing
National Category
Computer and Information Sciences
Identifiers
URN: urn:nbn:se:ri:diva-31911DOI: 10.1002/bse.1906OAI: oai:DiVA.org:ri-31911DiVA, id: diva2:1151769
Available from: 2017-10-24 Created: 2017-10-24 Last updated: 2018-01-13Bibliographically approved

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