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The role of experimentation and emergent strategies in developing and scaling circular business models
University of Borås, Faculty of Textiles, Engineering and Business. (Textile Value Chain Management (TVCM))ORCID iD: 0000-0002-7751-4566
2023 (English)In: PROCEEDINGS 5th PLATE Conference / [ed] Kirsi Niinimäki, Kirsti Cura, 2023Conference paper, Published paper (Other academic)
Sustainable development
According to the author(s), the content of this publication falls within the area of sustainable development.
Abstract [en]

The circular economy is an emerging field characterised by complexity and innovation. As such, strategy likely emerges out of practice in a less planned manner. However, this view is largely missing in the growing field of circular business models (CBM) where strategies are assumed to be planned before they are implemented in a rational top-down process. Drawing on an analysis of how a secondhand organisation grew from a single store to become one of few larger commercial secondhand retail organisations, this study aims to illustrate the role of experimentation and emergent strategy-making. The findings, presented as two narratives, show that an experimental approach where strategy emerges from action has played a vital role in the organisation’s development. This suggests the need to widen the scope when discussing strategy-making for CBM growth and look beyond tools and metrics used for planning.

Place, publisher, year, edition, pages
2023.
Keywords [en]
Emergent strategies, Experimentation, Circular economy, Scalability, Secondhand
National Category
Economics
Research subject
Textiles and Fashion (General)
Identifiers
URN: urn:nbn:se:hb:diva-30958ISBN: 978-952-64-1367-9 (electronic)OAI: oai:DiVA.org:hb-30958DiVA, id: diva2:1817242
Conference
5th PLATE Conference, Espoo, Finland, 31 May – 2 June, 2023.
Available from: 2023-12-05 Created: 2023-12-05 Last updated: 2024-05-03
In thesis
1. Circular business models in fashion retail: Exploring the complexity of scaling
Open this publication in new window or tab >>Circular business models in fashion retail: Exploring the complexity of scaling
2024 (English)Doctoral thesis, comprehensive summary (Other academic)
Abstract [en]

Circular business models (CBMs) have gained much attention in the fashion retail industry as a solution and opportunity for transitioning to more sustainable practices. Resale (i.e., second-hand) has proven to have an especially high growth potential in fashion retail. However, for CBMs to play an important role in the transition to a more sustainable fashion retail industry, they must be able to scale and displace linear consumption. What this means is currently obscure. Consequently, the purpose of this thesis is to theoretically and empirically explore and describe the scaling of fashion retail CBMs. This is addressed through qualitative research detailed in five appended papers. Using different theoretical perspectives and methods, such as literature reviews, interview studies, and a case study, the thesis and its sub-studies examine how the scaling of CBMs can be described, as well as which strategies are used in the fashion industry. Based on the interplay between theoretical frameworks, from both general management literature and social innovation literature, and empirical material, the thesis suggests a synthesis of three general perspectives on how the scaling of fashion retail CBMs can be described: firstly, as a phenomenon that mainly concerns the focal organisation; secondly, as a phenomenon that concerns both the focal organisation and its impact on the external environment; and finally, as a process that is formed and shaped over time. Additionally, seven main strategies employed by fashion retail CBMs in their efforts to scale were also identified. The findings also show that, depending on the perspective, CBMs can have different objectives when it comes to scaling. If scaling is perceived as mainly concerning the focal organisation, then strategies, for example, will focus on internal improvements for organisational efficiency. If it is perceived using a wider perspective, also including impacts on the external environment, then strategies that focus on changing formal and informal institutions will also be employed. The process perspective views these strategies as they connect over time in order to achieve scale. Understanding that scaling can be described in different ways and have different strategic foci is an important contribution to both theory and practice. The different perspectives influence how both managers and researchers approach the issue of CBM scaling, and what challenges and strategies they include in their analysis. By articulating and systematically describing different perspectives on CBM scaling, this thesis brings clarity to a complex concept.

Place, publisher, year, edition, pages
Borås: Högskolan i Borås, 2024
Series
Skrifter från Högskolan i Borås, ISSN 0280-381X ; 150
Keywords
circular business models, scaling, fashion retail, second-hand, resale
National Category
Business Administration
Research subject
Textiles and Fashion (General)
Identifiers
urn:nbn:se:hb:diva-31729 (URN)978-91-89833-46-3 (ISBN)978-91-89833-47-0 (ISBN)
Public defence
2024-06-05, Vestindien C, Skaraborgsvägen 3A, Borås, 10:00 (English)
Opponent
Available from: 2024-05-13 Created: 2024-03-27 Last updated: 2024-05-13Bibliographically approved

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