Towards Circular Business Models for Sustainability : Exploring Innovation, Implementation, & Environmental Impact
(2025)- Abstract
- Businesses play a key role in transforming production and consumption for sustainability,
where circular business models (CBMs) offer one solution to reduce waste and rethink resource use.
Although CBMs may be able to provide environmental and economic benefits, it is unclear how they can
be implemented effectively and contribute to sustainability goals. To understand how CBMs can
contribute to broader sustainability transformation, this thesis explores the implementation processes
and environmental impacts of CBMs. The research was conducted utilizing an inter- and transdisciplinary
approach, consisting primarily of qualitative analysis of in-depth case studies, followed by a systematic
literature review, and... (More) - Businesses play a key role in transforming production and consumption for sustainability,
where circular business models (CBMs) offer one solution to reduce waste and rethink resource use.
Although CBMs may be able to provide environmental and economic benefits, it is unclear how they can
be implemented effectively and contribute to sustainability goals. To understand how CBMs can
contribute to broader sustainability transformation, this thesis explores the implementation processes
and environmental impacts of CBMs. The research was conducted utilizing an inter- and transdisciplinary
approach, consisting primarily of qualitative analysis of in-depth case studies, followed by a systematic
literature review, and including the quantitative method of life-cycle assessment.
The findings highlight a range of capabilities that are needed for the implementation of CBMs from
operational capabilities such as digitalization and service integration to strategic capabilities like
managing organizational ambidexterity and cultivating mindset shifts. A key contribution of the
dissertation is showing that these capabilities are enabled and developed through dynamic collaboration
processes–– both internally through cross-functional teams and externally through strategic partnerships
that facilitate resource sharing, joint experimentation and learning. The research also contributes novel
empirical insight into the environmental impacts of CBMs, demonstrating that such impacts are highly
context-dependent and influenced by business model design and consumer behavior. Through original
and aggregated life cycle assessments, the dissertation highlights critical impact factors such as
substitution rates, infrastructure, and transport, and discusses environmental trade-offs.
The varied environmental outcomes of CBMs can also be attributed to their primary reliance on efficiency
strategies to reduce waste without questioning overproduction and consumption. The dissertation
extends the conceptual framing of CBMs by integrating sufficiency perspectives, advocating for
production-oriented strategies that target absolute reductions in resource use such as made-to-order
production and limited marketing. It also emphasizes the need to critically examine how organizational
structures influence strategic decisions that often encourage continuous growth without question. By
analyzing both implementation processes and environmental impacts, the dissertation offers a
comprehensive understanding of how business models can more effectively support a circular economy
that contributes to transformative sustainability in production and consumption. (Less)
Please use this url to cite or link to this publication:
https://lup.lub.lu.se/record/85bbe498-88e4-42cc-8a98-cf073d55ee43
- author
- Johnson, Emma LU
- supervisor
-
- Oksana Mont LU
- Andrius Plepys LU
- opponent
-
- Prof. Öhrwall Rönnbäck, Anna, Luleå University of Technology, Sweden.
- organization
- publishing date
- 2025-05
- type
- Thesis
- publication status
- published
- subject
- keywords
- circular business models, organizational transformation, strategic capabilities, environmental impact, life cycle assessment, sustainable innovation
- pages
- 142 pages
- publisher
- The International Institute for Industrial Environmental Economics
- defense location
- Lecture Hall Auditorium, International Institute for Industrial Environmental Economics (IIIEE), Tegnérsplatsen 4, Faculty of Engineering LTH, Lund. The dissertation will be live streamed, but part of the premises is to be excluded from the live stream. Zoom: https://lu-se.zoom.us/j/67436300639
- defense date
- 2025-06-11 13:00:00
- ISBN
- 978-91-988626-4-5
- 978-91-988626-5-2
- language
- English
- LU publication?
- yes
- id
- 85bbe498-88e4-42cc-8a98-cf073d55ee43
- date added to LUP
- 2025-04-28 13:33:36
- date last changed
- 2025-05-12 14:24:55
@phdthesis{85bbe498-88e4-42cc-8a98-cf073d55ee43,
abstract = {{Businesses play a key role in transforming production and consumption for sustainability,<br/>where circular business models (CBMs) offer one solution to reduce waste and rethink resource use.<br/>Although CBMs may be able to provide environmental and economic benefits, it is unclear how they can<br/>be implemented effectively and contribute to sustainability goals. To understand how CBMs can<br/>contribute to broader sustainability transformation, this thesis explores the implementation processes<br/>and environmental impacts of CBMs. The research was conducted utilizing an inter- and transdisciplinary<br/>approach, consisting primarily of qualitative analysis of in-depth case studies, followed by a systematic<br/>literature review, and including the quantitative method of life-cycle assessment.<br/><br/>The findings highlight a range of capabilities that are needed for the implementation of CBMs from<br/>operational capabilities such as digitalization and service integration to strategic capabilities like<br/>managing organizational ambidexterity and cultivating mindset shifts. A key contribution of the<br/>dissertation is showing that these capabilities are enabled and developed through dynamic collaboration<br/>processes–– both internally through cross-functional teams and externally through strategic partnerships<br/>that facilitate resource sharing, joint experimentation and learning. The research also contributes novel<br/>empirical insight into the environmental impacts of CBMs, demonstrating that such impacts are highly<br/>context-dependent and influenced by business model design and consumer behavior. Through original<br/>and aggregated life cycle assessments, the dissertation highlights critical impact factors such as<br/>substitution rates, infrastructure, and transport, and discusses environmental trade-offs.<br/><br/>The varied environmental outcomes of CBMs can also be attributed to their primary reliance on efficiency<br/>strategies to reduce waste without questioning overproduction and consumption. The dissertation<br/>extends the conceptual framing of CBMs by integrating sufficiency perspectives, advocating for<br/>production-oriented strategies that target absolute reductions in resource use such as made-to-order<br/>production and limited marketing. It also emphasizes the need to critically examine how organizational<br/>structures influence strategic decisions that often encourage continuous growth without question. By<br/>analyzing both implementation processes and environmental impacts, the dissertation offers a<br/>comprehensive understanding of how business models can more effectively support a circular economy<br/>that contributes to transformative sustainability in production and consumption.}},
author = {{Johnson, Emma}},
isbn = {{978-91-988626-4-5}},
keywords = {{circular business models; organizational transformation; strategic capabilities; environmental impact; life cycle assessment; sustainable innovation}},
language = {{eng}},
publisher = {{The International Institute for Industrial Environmental Economics}},
school = {{Lund University}},
title = {{Towards Circular Business Models for Sustainability : Exploring Innovation, Implementation, & Environmental Impact}},
url = {{https://lup.lub.lu.se/search/files/218756235/Emma_Johnson_-_Dissertation_-_WEBB.pdf}},
year = {{2025}},
}