This paper is designed to guide businesses towards understanding and overcoming common internal barriers when scaling circular business models. Researched and written by the Ellen MacArthur Foundation, it draws on the first-hand experiences of more than 30 companies in its Network that are leading the transition to a circular economy.
The research identifies 10 internal barriers frequently preventing circular business models from scaling, each one common across industries, regions, types of circular business model, and stages of business maturity. Together, these insights can help businesses spot common pitfalls early and scale circular business models with greater confidence.
“Most circular business models never make it past the pilot stage. Here’s how to change that.
Taking lessons from the experience of pioneering companies in our Network, this report points to practical steps that businesses can use to avoid common pitfalls and enable circular business models to reach transformative scale.
Circular business models hold transformative potential for businesses today. They can unlock new revenue streams, strengthen customer loyalty, and shield companies from material price volatility and supply disruptions – all while delivering on climate and biodiversity goals. But these benefits only materialise when models move beyond small-scale pilots to reach meaningful scale.
The challenge is clear: while pilot programmes are multiplying across industries, few are successfully scaling up. Failed attempts generate valuable learnings, but companies rarely share these insights openly, making it difficult to understand common barriers and the ways to overcome them.”
