The potential of circular businesses in the post-COVID era: a system dynamics view
The last decade has witnessed the flourishing interest of scholars and policymakers to the application of Circular Economy (CE) principles, which has been pointed out as a compelling goal for business and society at current times of Coronavirus pandemic. This paper aims to describe the roles of companies and consumers in CE implementation, the basic mechanisms of circular business creation and diffusion, and their potential contribution to the recovery post-COVID. For the purpose, it has been adopted a system dynamics (SD) view to build an insight model integrating selected literature inputs. Distinguishing between “born circular” and “converted circular” businesses, model dynamics highlight the interplay of circular businesses and responsible consumers, postulating key feedbacks able to affect, respectively, the conversion of companies and people to virtuous productive and consumption behaviours. Finally, the consolidation of such mechanisms contributes to the alleviation of specific socioeconomic and environmental issues ascribable to the Coronavirus spreading.
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