Circular economy

Question 1

Defenition

Answer 1

• The value of products, materials and resources is maintained in the economy for as long as possible, and the generation of waste minimized
• an economy where resources coming into the economy are not allowed to become waste or lose its value. Instead, this economy would recover those resources and keep them in productive use for as long as possible
  = the opposite of linnear economy: extract raw-material, produce goods, sell them, use them, throw away

Question 2

Arguments for companies

Answer 2

To capture value and manage risk

• economic savings: material and energy
• risk avoidance: supply chain less vulnerable to price volatility, reputational and political risk
• brand advantage
• new business opportunities: from ownership to access, reuse, remanufacture

Question 3

Negative drawbacks

Answer 3

Circular strategies do not necessarily reduce env. impact

• Increased transports
• Increased maintenance and clearing
• Loss of function, eg durability
• other impacts of material
• increased energy use for avoiding losses in production