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Management article
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Reference no. SMR62301
Published by: MIT Sloan School of Management
Originally published in: "MIT Sloan Management Review", 2021
Length: 7 pages
Topics: Strategy

Abstract

Leading European manufacturers are adopting circular business models, whereby they identify and collaborate with business-ecosystem partners to achieve environmental benefits while still meeting profit targets. The authors' analysis of how 15 large companies are making the transition reveals challenges in aligning incentives and motives among partners, identifying new partners, involving customers, and planning for extended implementation.

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Abstract

Leading European manufacturers are adopting circular business models, whereby they identify and collaborate with business-ecosystem partners to achieve environmental benefits while still meeting profit targets. The authors' analysis of how 15 large companies are making the transition reveals challenges in aligning incentives and motives among partners, identifying new partners, involving customers, and planning for extended implementation.

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