Putting the ‘economy’ back in the circular economy

Abstract

AbstractThis paper offers a business‐focused critique centring on the superordinate goal of circular economy (CE) strategy and advances an ideograph that can help economic planners and corporate leaders conceptualize CE strategies that meet the bifurcate goals of strengthening economic resilience while also attenuating resource footprints. The paper, based on critical discourse analysis (CDA) and supported by an extensive literature review, highlights the pervasive manner in which the CE is mischaracterized as a materials circulation (MC) strategy and demonstrates how an oft‐referenced ideograph—the Ellen MacArthur Foundation (EMF) Butterfly—graphically entrenches this characterization. The first contribution that this study makes centres on providing clarity on how CE principles can be integrated with corporate strategy to elevate competitive advantage through resource economic optimization (REO). The second contribution is the development of a reconceptualized ideograph—The Integrated Circular Economy (ICE) model—that better conveys how this strategic perspective on CE and be conflicted with economic networks to deliver better economic and environmental performance.