An overview of the circular economy

This chapter aims to provide directors, managers, and shareholders an overview of the circular economy (CE) phenomenon, in terms of its purpose, implications, and considerations. We start by defining the CE and providing a brief overview of its historical roots. We then discuss the benefits of a CE, in terms of environmental, social, and economic implications, in addition to the challenges of transitioning to a CE model. We conclude our chapter by highlighting some elements that directors, managers, and shareholders should consider in the transition to a circular model. The chapter relies on a case study within one organization focusing on the prevention of food waste and on its valorization, Mission Loop, to illustrate its key points. Mission Loop recognizes it cannot stop food waste on its own, instead working to develop a movement in its industry by building relationships to enable every food manufacturer to source raw materials based on a CE model. However, it does not need to stop there - all businesses can and should adopt a more circular business model to support the continuation of our planet. Therefore, we are reaching out to directors, managers, and shareholders to start a movement of our own.