Circular Economy - Introduction 101

The circular economy is rapidly emerging as a transformative approach to sustainability, reshaping how we design, produce, utilize and consume resources. A highly insightful course on this topic is offered by Dr. Gordana Kierans on Udemy. 

Key Learnings from the Course: 

Definition: Products and services that maximize use and reuse of materials and other resources can be both growth opportunities and sustainability measures. [Source]

1. Circular economy is opposite of linear economy as it focuses on preserving resources rather than consuming them for growth.

2. Circular innovation applies to diverse sectors like textile sector, e- waste, coffee processing, food wastage, packaging, electronics, toys, automtive industry, sportswear, and more.

3. The Circular Cities Network was launched in 2016 by 12 pioneering cities with the aim to move cities towards circular systems that reuse, recycle, and reduce waste and resource consumption

Business Models

1. Closed-Loop Recycling: Use materials from discarded products to create new ones; e.g., North Face’s program collecting and recycling polyester fabric.
2. Upcycling: Transform used materials into higher-quality products; e.g., Pentatonic makes furniture from smartphone screens or cigarette butts.
3. Downcycling: Convert materials into products of lower quality; e.g., Nike’s reuse-a-shoe program turns old athletic shoes into sports surfaces.
4. Lock-In: Sell a product with necessary consumables that force repeat purchases; e.g., Diapers with reusable covers and compostable inserts.
5. Local Loop: Bring production and consumption closer, using local currency and markets to retain economic value; e.g., Findhorn Eco-Village’s local currency.
6. Industrial Symbiosis: One company's waste becomes another’s resource, creating economic and environmental benefits; e.g., Kalundborg Symbiosis in Denmark.
7. Collection Services: Business model based on collecting used products for recycling or reuse; e.g., Beijing Subway’s recycling incentive program gives transportation credits.
8. Product as a Service: Customers pay for product usage, not ownership; e.g., Philips’ Pay per Lux lighting service with long-term contracts and product responsibility retained by provider.
9. Personalisation: Customize products based on user data, encouraging returns and recycling; e.g., Lyf’s 3D printed modular customizable shoes with QRCodes for lifecycle tracking.
10. Modularity: Design products in easily replaceable modules to extend lifespan; e.g., electric toothbrushes with swappable heads.

Book Recommendations: According to Jim Kwik, a survey of top CEOs revealed that they each read an average 60 books per year. Reading just 45 minutes a day can unlock the lifetime knowledge authors have distilled, helping circle entrepreneurs stay informed and inspired in this rapidly evolving field. Starting a journey into the circular economy can be greatly enhanced by reading foundational and inspiring books. Sharing top recommended reads (too costly for Indian student, better to use library):

1. "Confessions of a Radical Industrialist" by the late Ray Anderson of Interface, an inspiring story of sustainability leadership
2. "The Circular Economy: A Wealth of Flows" by Ken Webster, offering deep insight into circular system thinking
3. The Circular Economy Handbook by Peter Lacy, Jessica Long, and Wesley Spindler, detailing practical organizational strategies for circular transition
4. "Waste to Wealth" by Peter Lacy and Jacob Rutqvist, exploring circular business models in industry

Website Recommendation: EntrepreneurCircle.World is your ultimate membership platform to dive deeper into the circular economy. It offers a vibrant community where entrepreneurs and investors committed to circular economy principles connect, learn, and grow together. Members gain access to exclusive workshops, seminars, networking events, and an extensive library of practical resources to support their circular business ventures.  Please also find LinkedIn Group for Circular Entrepreneurs.