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Interdisciplinary Studies

SUSTAINABLE BUSINESS MODEL INNOVATION IN THE CIRCULAR ECONOMY: A MULTI-CASE ANALYSIS OF EUROPEAN FIRMS

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Abstract

The transition toward a circular economy has compelled firms to rethink traditional business models and adopt sustainable innovation strategies. This study investigates how European companies implement sustainable business model innovation (SBMI) within the circular economy framework. Using a qualitative multi-case analysis of firms across manufacturing and service sectors, the research identifies key drivers, strategies, and barriers associated with circular transformation. The findings reveal that successful firms integrate sustainability into core value creation processes rather than treating it as an auxiliary function. However, institutional constraints, cost structures, and market readiness remain significant challenges. The study contributes to interdisciplinary research by linking business innovation, environmental sustainability, and economic transformation.

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References

1.Bocken, N. M. P., Short, S. W., Rana, P., & Evans, S. (2014). A literature and practice review to develop sustainable business model archetypes. Journal of Cleaner Production, 65, 42–56. https://doi.org/10.1016/j.jclepro.2013.11.039

2.Foss, N. J., & Saebi, T. (2017). Fifteen years of research on business model innovation. Journal of Management, 43(1), 200–227. https://doi.org/10.1177/0149206316675927

3.Geissdoerfer, M., Savaget, P., Bocken, N. M. P., & Hultink, E. J. (2017). The circular economy – A new sustainability paradigm? Journal of Cleaner Production, 143, 757–768. https://doi.org/10.1016/j.jclepro.2016.12.048

4.Kirchherr, J., Reike, D., & Hekkert, M. (2017). Conceptualizing the circular economy. Resources, Conservation and Recycling, 127, 221–232. https://doi.org/10.1016/j.resconrec.2017.09.005

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