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Knowledge category: Papers and reports

Best Practice Examples of Circular Business Models

Updated on 26.06.2023

This report outlines the basics of circular economy (CE) and discusses and compares ways of categorising circular business models. The report provides best practice examples of circular business models for the textiles and durable goods industry.

Author: Eva Guldmann
Year of publication: 2017

More information

The report outlines 22 examples of circular business models within the textile and clothing industry, and 16 cases within the durable goods industry. The diversity of circular business model examples indicates that individually tailored circular business models can be successfully implemented in most business contexts. The report is rounded by a discussion on the differences between small and large companies and by recommendations for companies on how to get started on the CE journey.

Relevance for Circular Systemic Solutions

The first part of the report describes CE and what can be defined as a circular business model. The report identifies five distinct types of circular business models: circular supplies; resource recovery; product life extension; sharing platform; and product as a service. The report provides case studies that use these circular business models, making this report more practice oriented. The report also tries to address the complete value chain from material manufacturing to customer sales. This report can provide interesting insights for cities and regions that are looking for types of business models that are applicable to textiles or durable goods value chains, and can thus be useful at stages of designing and implementing Circular Systemic Solutions that target these value chains and related economic sectors.

Sectors

CEAP2 key product value chain

CEAP2 key product value chain

CEAP2 key product value chain

e.g. chemicals, cosmetics, bio-based industries

e.g. electrical engineering, furniture and interior, textile and fashion

e.g. B2B services