The circular economy concept has taken the business and policy world by storm.
In a circular economy, waste is minimised along the entire life-cycle of a product, including reducing waste during raw material sourcing, design and manufacture, and eliminating the disposal of products by reusing, refurbishing, or recycling them. This resource efficiency leads to a cost reduction for companies, and the environmental benefits may increase customer loyalty and fortify industry reputations. Promoting a circular economy also provides businesses with an incentive to become more innovative, flexible, and competitive.
The World Economic Forum estimates that adopting a circular economy model would save over US $1 trillion per year from materials savings alone, and could help to reduce resource prices and supply disruptions. There are a number of global efforts focused on supporting a circular economy by assisting businesses adapt their operations, including international initiatives such as the Platform for Accelerating the Circular Economy and the Ellen MacArthur Foundation.