Circular value creation

In linear business models, most of the product value – created by the combination of different production factors (like natural resources, labor, energy, etc.) – is destroyed at the end-of-life of a product, e.g. the destruction of the physical integrity of the product due to recycling or landfilling. Within the circular economy the product value is exploited through various circular design principles and strategies that support the effective use of products and prolongs its lifetime. These include among others the design and realization of product-service-systems; reselling, refurbishing, and remanufacturing activities; or collaborative practice (like sharing, prosuming, co-creating). In the research topic „Circular value creation” we will analyze how product and business models can move from a linear logic to a holistic circular economy business model.

It comprises the following steps:

  • understand, analyze and question the logics of product and business model development in order to detect barriers and drivers for long-living products,
  • develop processes for sustainable product development and construct a framework for circular business model transformation,
  • assess the (needed) interactions between design requirements (e.g. design for reparability, design for upgradability, design for modularity) and circular business model development,
  • develop change management processes for transforming business models from a linear to a circular model
  • develop co-creation methods to integrate all circular business network partners including prosumers in the product design process


For more information please contact Max Marwede and Florian Hofmann