| Title | Dynamics in the evolution of circular sourcing strategies: Evidence from German frontrunners sourcing for recycled plastics |
|---|---|
| ID_Doc | 21305 |
| Authors | Gothár, E; Schanz, H |
| Title | Dynamics in the evolution of circular sourcing strategies: Evidence from German frontrunners sourcing for recycled plastics |
| Year | 2024 |
| Published | |
| Abstract | Firms' circular sourcing strategies are essential for the transition to a circular economy as they enhance circularity both within individual firms and across industries. A key barrier to the implementation of such strategies is that many approaches still offer a static perspective on resource use without addressing its evolutionary characteristics and dynamic interdependencies over time. Based on the assumption that companies' strategic procurement decisions on recyclate markets show temporal patterns depending on the development of these markets ("marketness"), the dynamics in the complex cause-and-effect structures of circular procurement strategies are analysed longitudinally with the help of causal loop diagrams. Employing a comparative case-study design with the example of German frontrunners sourcing recycled plastics, the paper addresses three recyclate markets at various stages of development, ranging from the emerging market of recovered plastic litter, through the developing market of plastic recyclate from mixed post-consumer packaging waste, towards the well-established market of recycled deposit bottles. The results reveal ideal-typical longitudinal patterns of company leaders' strong commitment to sustainability, facilitated by flexible organisational structures, significant investment in product development, sound supplier relationship management and brand building to sway consumer preferences towards circular products, indicating that market-shaping activities are key in long-term shifts towards circular market transitions. By understanding the dynamics of circular sourcing and their relationship with the development stage of recyclate markets, the study sheds light on potential governance measures to scale-up plastic recyclate markets for a circular plastics economy. It concludes that overall dynamics point to a steady development of firms' circular sourcing strategies and a rapid growth in recyclate application, involving complex challenges of resource circularity that call for carefully targeted regulatory policies. |
| https://doi.org/10.1016/j.jclepro.2024.140561 |
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