Circular economy business model development: suggestions to a case company

Abstract

The subject of this practice-oriented thesis is developing circular economy business models for a case company, a small Finnish enterprise specialized in reuse aspect of circularity. This task is important, because circular economy is one of the ways to make businesses and societies sustainable. Sustainability is a necessity if we are to live within planetary boundaries.

This study aims at closing the gap between theoretical circular economy business model literature and actual circular economy enterprises’ realities. Case company approach is an efficient way to do this. The study argues that the case company is a representative of a small individual non-technical innovation that can make change in the dynamic multi-level perspective (Geels 2002) – but it can do it only if its business model is viable. The main question in this research is: what could the case company do to become more viable?

I present suggestions for the case company on basis of qualitative analyses of 13 interviews of company clients and other stakeholders and theoretical understanding of circular economy business models. The method of analyses reveals clear thematic entities that relate to academic study concerning circular economy business models and systemic change. Themes describe the interviewees opinions and suggestions for case company service development. The five dimensions detected from the data describe the higher level of circular economy understanding and business model development possibilities.

The findings from the data shed light to several aspects of reuse problematic and hint several new business opportunities in the Finnish circular economy operating field and possible development paths to the case company.