The vision of a circular economy (CE) promises both profitability and eco-sustainability to industries, and can, from a material and energy resource flow perspective, be operationalized by combining three business and design strategies: closing loops; narrowing and slowing down resource flows by material recycling, improving resource efficiency; and by extending product life by reuse, upgrades and remanufacturing. These three strategies are straightforward ways for industries to radically reduce their use of virgin resources. From a product design perspective, it is doable. However, from a business perspective, it is no less than a revolution that is asked for, as most Original Equipment Manufacturers (OEMs) have, over time, designed their organizations for capturing value from selling goods in linear, flow-based business models. This thesis aims to contribute to the discourse about CE by exploring practical routes for operationalizing circular product design in a “stock-based” CBM. The approach is three-fold. Firstly, the role of design as a solution provider for existing business models is explored and illustrated by case studies and interviews from the automotive industry. Secondly, challenges and possibilities for manufacturing firms to embrace all three strategies for circularity are explored. Thirdly, implications for designing products suitable to stock-based CBMs are discussed. In spite of the vast interest in business model innovation, a circular economy, and how to design for a circular economy, there are still many practical, real-life barriers preventing adoption. This is especially true for designing products that combine all three of the circular strategies, and with regard to the risk of premature obsolescence of products owned by an OEM in a stock-based business model. Nevertheless, if products are designed to adapt to future needs and wants, business risks could be reduced. The main findings are that CE practices already have been implemented in some respects in the automotive industry, but those practices result in very low resource productivity. Substantial economic and material values are being lost due to the dominant business and design logic of keeping up resource flows into products sold. The primary challenge for incumbent OEMs is to manage, in parallel, both a process for circular business model innovation and a design process for future adaptable products. / <p>This licentiate studies have been financed by the Swedish EnergyAgency. The Appended Paper I is a part of the research project:Future-adaptivity for more energy-efficient vehicles, a collaborationbetween RISE VIKTORIA and Academy of Design &amp; Crafts,University of Gothenburg.</p>

Background – Circular business models, CBMs, are an emerging topic of interest within the textile and clothing, T&amp;C, sector. They provide a new framework to tackle current environmental and social issues by redesigning a linear model previously base on the assumption of endless availability of fossil fuels and other natural resources. CBMs change these underlying assumptions in order to be regenerative and waste-less. A company´s knowledge has to be aligned with the overarching paradigm and assumptions that guide the business model, hence, the process of creating new knowledge to sustain this shift, appears to be essential. Knowledge creation enables businesses to continuously adapt to new contexts and prevent them from becoming obsolete. As such, it constitutes an enabler to develop the internal capabilities of companies to innovate. Purpose - This study is focused on understanding how knowledge is created within T&amp;C companies in the shift from a linear business model to a circular one. It is of interest for the study to uncover the ways in which knowledge about circularity is created and translated into business practices. Further, it also expects to explore the companies’ main internal barriers identified in this process. Methodology – The research was conducted through a single case study with an abductive approach, building on the theoretical perspective of Nonaka and Takeuchi’s knowledge creation theory and the SECI model for knowledge conversion. Semi-structured interviews with Dutch denim company employees were the basis for collecting primary data, supplemented by secondary data gathered through archival review. The data was analysed qualitatively through thematic content analysis. Findings – Results show that knowledge creation is enabled by personal motivation, company focus on circularity and long-lasting business relationships. Several knowledge creation practices related to the dimensions of socialisation, externalisation, combination and internalisation are identified, while different levels of process and knowledge complexity can be observed within each dimension. Internal barriers hindering circular knowledge creation relate to the complexity of circular concepts, individuals´ time, personal interest and previous knowledge on the topic. System-oriented internal barriers relate to finance, scale and company focus. Further, the role of regulations, as an external system-oriented barrier, is considered of relevance for this research. Practical implications &amp; Research limitations – This thesis creates new insights into a relatively unexplored area, knowledge creation processes in the context of CBMs. Further the specific delimitation to the denim segment within the T&amp;C sector, shares experience and guidance with practical implications for knowledge management, from companies within a segment which has a high degree of product and process innovation compared to other T&amp;C segments.

Background: The resource demanding textile industry has long been linked to the linear economy, an economy contributing to negative effects on the environment. However, there is an alternative to the linear economy, namely the circular economy. In a circular economy, a closed-loop design is promoted in order to eliminate the negative effects of the linear economy. However, in the context of the Swedish textile industry, there is a lack of case studies on the topic and especially regarding experienced barriers to a circular business model as well as drivers and enablers needed to overcome these barriers. Purpose: The purpose of this research is to support the development of the Sustainable Development Goal 12: sustainable production and consumption. This is done through exploring the experienced barriers to circular business models among companies in the Swedish textile industry at a macro and micro level, but also drivers and enablers in order to overcome these barriers. Method: This research follows an interpretivist view and an inductive approach based on a cross-case analysis of five companies. The research is qualitative and semi-structured interviews were conducted with open questions. The identified themes were analysed and interpreted with a careful awareness of the trustworthiness and ethical considerations. Conclusion: The result showed five barriers which appeared to be the most common across the companies. Namely, technological un-readiness, circularity costs, market unacceptance, financial shortage and knowledge gap. For these barriers, possible solutions in the form of drivers and enablers were identified. According to the findings, the identified drivers and enablers which have the greatest potential of positive impact on the barriers were as follows: knowledge sharing, collaboration, regulatory changes, more research and refocus of efforts

Background As of today the textile and fashion industry mainly relies on a linear production model, also referred to as the take-make-waste system. This economy depends solely on the single use of raw materials leaving space for an open-ended production and no intention of salvaging or recovering resources. Such a system cannot be supported by the environment in the future; therefore, several stakeholders are starting to embrace circular production systems and a closed-loop economy. One example of these efforts is take-back schemes (TBS) which strive to make the fashion industry more regenerative and restorative by narrowing, slowing, and closing the resource loops. Nonetheless, practitioners and academia have found adversities during the implementation stage which instead require competent knowledge, skills, and unique capabilities to achieve a successful performance. Purpose To achieve a successful implementation of a TBS, companies require unique capabilities that allow them to adapt and adopt a sustainable innovation. Therefore, this study investigates the dynamic capabilities (DCs) needed to implement a TBS in order to provide practitioners and academia with a guide that eases the application, overcomes the known adversities as well as explores the relationship between these and the relevant DCs. Methodology The research was based on a multiple case study method embracing abductive reasoning by extending the theory of DCs for circular business model implementation to TBS within the fashion industry. Semi-structured interviews were conducted with three companies applying different types of take-back schemes; the primary data was strengthened by document research and a validation round of interviews. The data was analyzed through qualitative thematic content analysis. Further, the characteristics of the study lend themselves well to be represented through a qualitative causal loop diagram appropriate for developing novel solution strategies such as the DCs. Findings The results show, through the use of two maps, that several DCs have to be developed when implementing a TBS in order to reach a substantial competitive advantage in the form of a cost leadership, differentiation or focus strategy. Further, the causal loop maps also shed light on the different relationships between DCs and how these can be exploited to overcome the difficulties or utilizing the possibilities in implementing a TBS. Practical implications and research limitations - The thesis creates new insights on TBS implementation through the use of DCs by presenting two causal loop maps. Thus, aiding practitioners and allowing them to quickly recognize their current situation against the maps as well as what changes need to be made following the suggested capabilities. The study is limited by the choice of interviewed companies, which represent only retailers with TBS in Sweden.

Purpose: This thesis aims to contribute to the literature on how the value chain for electronic components can be leveraged to obtain circular business models (CBM). By implementing activities in the value chain, circular economy (CE) can be enhanced and a circular value chain obtained. The purpose lies in mapping out activities in the value chain of electronic components and existing barriers to acknowledge where circularity can be increased by CE strategies. Based on this observation, the future path towards CBM will be facilitated. This thesis aims to answer the following research questions: What are the main barriers for a circular value chain in electronic components? and How can the transformation towards a CBM for electronic components be facilitated by a circular value chain?  Method: A qualitative case study has been carried out at Volvo CE. The study is of an abductive approach, where previous theories on CE strategies and value chains were utilised to understand how the transformation towards a CBM can be applied for electronic components. A literature review of the key concepts was conducted and primary data was collected through interviews and one focus group for validation. The data has been analysed through the use of a thematic analysis. Findings: Findings suggest that four areas are of high importance in a circular value chain for electronic components: management, technology department, suppliers relations and aftermarket. The main barriers hindering CE are insufficient objectives, inadequate external value chain integration, limited education, and inertia in technological development. Findings show that the barriers can be mitigated through enhancing CE in the following activities: strategy and organisational vision; cooperation and partners; education and qualifications; innovation and technical development. The result presents how the circular value chain is interconnected with a CBM, visualising how the key activities will facilitate the transformation towards a CBM.  Theoretical contributions &amp; managerial implications: This thesis contributes to the scarcity of literature on value chains in electronic components and adds to research on the connection between value chains and circular business models. The thesis can act as guidance for managers when making the transformation towards a CBM, by highlighting how CE activities can be applied for a more circular value chain.  Limitations and future research: This is a single case study, making the study limited in how applicable the findings are to other industries and countries. Future studies can validate the result by examining value chains in similar companies, to improve the generalisability of our result. This thesis is limited to investigating the value chain from a strategic perspective and we acknowledge that a mapping of the operational value chain can be a matter for future research. We focus on collaboration, but operations that enhance CE in daily activities in production of electronic components are yet to be investigated.

As more companies in the resource-intensive fashion industry start their transition journeys towards circular business models (CBMs), driven by social and regulatory pressures, understanding how companies navigate this transformative process is crucial. This thesis contributes to prevailing research by analysing the challenges faced by linear companies in the fashion industry when adopting more circular models through various initiatives, dividing them by the CBM they apply, and considering their corresponding solutions to these challenges. By interviewing nine companies and four industry experts, we investigated the CBMs: product life extension, circular supplies, resource recovery, and product-as-a-service. Our findings indicate some common challenges include uncertain market demands, high costs and complex logistics, which caused profitability concerns and impeded companies’ transitions. Meanwhile, some challenges were CBM or company-specific. Companies employing circular supplies and resource recovery models faced cost considerations related to material price and availability, while product life extension models struggled with material access and limitations within the organisation or network. Significant market challenges were observed for the product-as-a-service model. To cope with these challenges, companies maintained small-scale CBMs and/or gradually scaled them based on changing circumstances or built collaborative networks within the value chain. Strengthening internal human capital was another coping strategy.

Purpose - The aim of the study is to further bridge the gap regarding adoption of Circular Business Models (CBM) more specifically in this case, the barriers to the adoption of Green Steel CBMs, and how Business Models (BM) can be configured for the adoption of Green Steel CBMs. Method - The research questions in the study were answered through a thematic analysis based on a three-phase data collection consisting of two informal meetings with industry specialists and 25 semi-structured interviews, followed by eleven additional interviews from a Green Steel conference to validate the findings of the semi-structured interviews. Findings - The analysis of the interviews resulted in eight identified barriers towards Green Steel CBM adoption, and eight enabling factors for the configuration of BM components specified for Green Steel CBM adoption. Furthermore, the findings present a framework showcasing how to utilize the enabling factors to overcome the barriers for the facilitation of CBMs in the steel industry.  Theoretical contribution – The study contributes to existing literature by providing a steel industry perspective on the barriers for the adoption of CBMs and presenting a framework for the configuration of BMs to overcome the barriers. The study further contributes with managerial insights to the literature towards the Green Steel transition, in contrast to the existing technical perspectives that previously has been conducted. Practical contribution - The study offers practical guidance for decision-makers in the steel industry and other industries undergoing similar transitions. The framework work as guidance for the configuration and adoption of Green Steel CBMs, highlighting the role of collaborations between stakeholders to enable new revenue streams and economic opportunities. Limitation and future research – The study was conducted with a restricted number of interviews and geographical reach, making the generalizability of the study limited. Future research could broaden the scope to include perspectives from additional regions, industry segments and stakeholders. / Syfte - Syftet med studien är att överbrygga kunskapsgapet gällande adopteringen av cirkulära affärsmodeller, mer specifikt i detta fall, barriärer för adopteringen av cirkulära affärsmodeller för Grönt Stål och hur affärsmodeller kan konfigureras för adopteringen av affärsmodeller för Grönt Stål. Metod - Forskningsfrågorna i studien besvarades genom en tematisk analys baserad på en datainsamling i tre faser bestående av två informella möten med branschspecialister och 25 semistrukturerade intervjuer, följt av elva intervjuer från en konferens om Grönt Stål för att validera resultaten av de semistrukturerade intervjuerna. Resultat - Analysen av intervjuerna resulterade i åtta identifierade barriärer för adopteringen av cirkulära affärsmodeller för Grönt Stål, samt åtta möjliggörande faktorer för konfigurationen av affärsmodells komponenter som specificerats för adopteringen av cirkulära affärsmodeller för Grönt Stål. Ytterligare presenteras resultaten i ett ramverk som visar hur man kan använda de möjliggörande faktorerna för att övervinna barriärerna och främja cirkulära affärsmodeller i stålindustrin. Teoretiskt bidrag – Studien bidrar till befintlig litteratur genom att tillhandahålla ett stålindustriperspektiv på barriärerna för adopteringen av cirkulära affärsmodeller och presentera ett ramverk för konfigurationen av affärsmodeller för att övervinna barriärerna.  Praktiskt bidrag - Studien ger praktisk vägledning för beslutsfattare inom stålindustrin och andra industrier som genomgår liknande omställningar. Ramverket fungerar som vägledning för konfigurationen och adopteringen av cirkulära affärsmodeller för Grönt Stål, och belyser rollen av samarbeten mellan intressenter för att möjliggöra nya affärsmöjligheter.  Avgränsningar och framtida studier – Studien genomfördes med ett begränsat antal intervjuer och geografisk räckvidd, vilket gjorde studiens generaliserbarhet begränsad. Framtida forskning skulle kunna bredda omfattningen till att inkludera perspektiv från ytterligare regioner, branschsegment och intressenter.

The Circular Business Model (CBM) is one way to achieve a more sustainable future. Its goal is to reduce the use of natural resources which are becoming more scarce on our planet. The aim of the study is to investigate the consumer behavior and the determinants of the willingness to adopt Product Service System (PSS), one of the models of CBM. Through previous research, five main factors were identified: Economical Value, Flexibility, Trust, Desire to Own and Peer Influence. Furthermore, some literature argue that environmental awareness has an influence on the consumers’ choice of consumption. Therefore, this factor is considered and used as a moderating variable in the conceptual model. The primary data was collected through an online questionnaire and the hypotheses were tested through multiple regression analyses. Seven out of the twelve hypotheses were accepted. The study also concludes that environmental awareness does not have a high impact on the model. The environmental awareness did only have a positive moderating effect in the peer influence factor. It was determined in the study that economical value has the highest impact on the model.

The fashion industry has for several years been driven by fast cycles of cheap industrial mass production and unsustainable consumption. At the same time the burden on the environment has been significant. New business models to prevent the environmental impact have therefore been developed, and circular business models have gained interest. Remanufacturing as one of the central activities within circular business model is not a new concept for the fashion and apparel industry, but there is a lack of focus of how to prioritise and develop the concept. The focus of the study is to understand the relative importance of the challenges and the enabling conditions that influence the adoption of remanufacturing as transition towards a circular economy within the fashion and apparel industry. The purpose is also to show the practitioners’ perspective on a relatively new phenomenon within the fashion and apparel industry, which can clarify how to further prioritise and direct the development of the concept. Furthermore, it is also expected to identify and investigate what might be the main challenges and the enabling conditions within remanufacturing. This research is conducted through a mixed method with a deductive approach where knowledge about generic challenges and the enabling conditions within remanufacturing was collected from a systematic literature review, as a modification of a Delphi method. An utilisation of online questionnaires led to verify relative importance of challenges and the enabling conditions for an adoption of remanufacturing as a transition towards a circular economy within the fashion and apparel industry. The result from the online questionnaire was analysed through finding consensus among the collected data. The result shows that the most important perspective for an adoption of remanufacturing was related to business model-, costs- and consumer perspective. Specifically, the challenge with how to change the business model seemed to be essential, and the lack of financial benefits and influencing the consumer behaviour was received to be of great importance. Identified enablers were collaborations and communication. There was no agreement among the most important challenges and the enabling conditions. However, the operations- and core- perspective where considered important by many. Significant consensus was found between the practitioners and their opinion about what influences an adoption of remanufacturing as a transition towards a circular economy. The practitioners’ verification and opinions of challenges and the enabling conditions can serve as support for managers in an adoption of remanufacturing, and provide guidance regarding what is essential to consider for an transition towards a circular economy. This study highlights and identifies what motivates and makes the adoption of remanufacturing attractive, as a way to transition towards a circular economy, in particular it provides support and guidance regarding how strategies can be developed and where to focus further development.

The transport sector is one of the main contributors to greenhouse gas emissions worldwide. A current solution to this problem is the introduction of electric vehicles into our transport fleets. However, this solution comes with its challenges; for instance, the environmental impact of batteries once they reach their end-of-life. The circular economy is an approach to manage ecological electromobility issues while providing economic and societal wellbeing. A starting point for the implementation of a circular economy can be found in the implementation of circular business models. Because the circular economy requires its actors to think in systems, the collaboration between multiple stakeholders is essential. However, most circular business model frameworks are focusing on the focal firm, which is not sufficient to encourage cross-collaboration between organizations. Therefore, this study outlines the development of a new framework that focuses on a multi-stakeholder perspective. I propose the “framework for multi-stakeholder circular business model innovation” to explore win-win-win scenarios for the management of 2LB. I conducted a study in collaboration with Svealandstrafiken, Mälarenergi and Västerås Stad. The organizations were involved in data collection via a series of interviews and the validation of the framework through a workshop. The proposed framework consists of a process of four phases subdivided into eight steps that meant to address key challenges organizations are facing to achieve circularity. Within these four phases, the framework encourages discussions on shared values and visions between all stakeholders at an early stage. As a consequence, better collaborations and relationships are formed, which positively benefits the development of circular business models.