What is a Circular Economy?

A circular economy is one that does not compromise the environment and the people for profit. Introduced by the Ellen McArthur Foundation, works in not only educating but training businesses to shifting towards a circular economic model. "A circular economy represents a systemic shift that builds long term resilience, generates business and economic opportunities, and provides environmental and societal benefits" (Ellen MacArthur Foundation, 2017).

The diagram below is a visual of what a circular economy looks like...

This diagram might look too complex but, it's simple.

Through the use of our increased technology, transparency in our supply chains and de-materialization we can achieve the three basic principles by which this greener economic model is based on:

-Designing out pollution.

-Keeping products and materials in use.

-Regenerate natural systems.

Why a Circular Economy?

Currently our economic systems work under a toxic linear model where the production and consumption of goods ulitmately end up in landfills adding to the destruction of our environment as well as the people. These massive corporations have the power to create significant change for the destruction they cause. While we as consumers can take initiative justice for the people being affected by capitalisms unethical practices, it will take systemic change to dismantle constant oppression.

The adaptation of Circular Economies.

Check out companies who have been taking steps into fully converting their business models into ones that align with a circular economy.

For instance, IKEA a renowned home and furniture company has taken the steps needed to adapt the circular economic business strategy by 2030. Their transparency on how they go about sourcing, designing, producing and transporting products can be read about on their own website. They mention they have seen huge improvements in water, energy and chemical efficiency since partnering with Sweden Textile Water Initiative.

A business is a business and it is understandable that they'd want to see how they benefit from a green economy.

Designing cradle to cradle items, that is reviving recycled materials from previously produced materials, rather than a cradle to grave design, can benefit a companies ethical values and profits. However, for businesses it is important to find more sources from organizations who work in educating and training businesses throughout this process. Companies who are taking ethical approaches such as Milliken and Company, state they see statistics that show higher return from doing the right thing.