| Abstract |
Circular business models operate differently from traditional linear models: by developing products designed for disassembly, reuse, and recycling; by using materials and products for as long as possible; and by replacing physical products with virtual ones, they aim to reduce the environmental impact of their operations and facilitate the creation of a more sustainable future. In this article, the framework for circular business models is discussed from two perspectives: first, a systematic literature review is conducted to explore the academic point of view; second, a comparative policy review is conducted to analyze the past, present, and future visions of Germany and Japan in relation to their circular transition, particularly with regard to each country's vision of circular business models. A first outcome is a synthesis of current circular business model archetypes and the developed circular business model matrix, which adds value to the literature by providing information on circular goals, strategies, the actors involved, and the social and political implications of each circular business model typology. A second outcome is a comparative, in-depth analysis of the current policy frameworks and strategies for circular business models in Germany and Japan. This article outlines the main ways in which both countries are currently making the transition to a circular economy, providing an important knowledge base for further development. |