Circular Economy in the Danish Lifestyle Industries

Abstract

As consumption patterns increase and the environmental crisis becomes more serious, the need to uncover new innovate solutions to current production methods is more urgent than ever. One of the more discussed solutions to this is circular economy. This research aims to investigate how Danish lifestyle organizations, fashion, and interior design brands, might create value through circular economy. This will be investigated by also looking into which circular business models are being used, the different types and levels of value it might create and how the transition to circularity is managed in the best way. The research is based on primary data from three qualitative interviews with experts from different Danish lifestyle organizations that all operate with circular economy. The collected data is analyzed by using three different theoretical frameworks for circular business model strategies, value creation and assessment of the work environment for creativity. The analysis portrays how different circular business models are implemented and communicated, that value is created on several levels and that the management’s role is important in terms of nurturing creativity. On behalf of the analysis the thesis discusses whether circular economy could be the solution to the problems, and how the measurability of the concept of value is a difficult exercise. It further discusses the creative industries and why they are viewed upon as special in relation to this research. The thesis concludes that Danish lifestyle organizations can create value through circular economy for both the user, their own organization, their ecosystem, and the society, but that organizational value wasn’t as dominant as some of the other levels. Lastly, the thesis presents different suggestions for future research that could strengthen the research, develop further on the findings, and apply it to other industries.