IDEAS home Printed from https://ideas.repec.org/p/hal/journl/hal-03004851.html
   My bibliography  Save this paper

Critical success and risk factors for circular business models valorising agricultural waste and by-products

Author

Listed:
  • Mechthild Donner

    (UMR MoISA - Montpellier Interdisciplinary center on Sustainable Agri-food systems (Social and nutritional sciences) - Cirad - Centre de Coopération Internationale en Recherche Agronomique pour le Développement - IRD - Institut de Recherche pour le Développement - CIHEAM-IAMM - Centre International de Hautes Etudes Agronomiques Méditerranéennes - Institut Agronomique Méditerranéen de Montpellier - CIHEAM - Centre International de Hautes Études Agronomiques Méditerranéennes - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement - Institut Agro - Montpellier SupAgro - Institut Agro - Institut national d'enseignement supérieur pour l'agriculture, l'alimentation et l'environnement)

  • Anne Verniquet

    (Sofies SA)

  • Jan Broeze

    (Wageningen Food & Biobased Research - WUR - Wageningen University and Research [Wageningen])

  • Katrin Kayser

    (International Biogas and Bioenergy Competence Center - Partenaires INRAE, IBBK Fachgruppe Biogas GmbH)

  • Hugo de Vries

    (UMR IATE - Ingénierie des Agro-polymères et Technologies Émergentes - Cirad - Centre de Coopération Internationale en Recherche Agronomique pour le Développement - UM - Université de Montpellier - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement - Institut Agro - Montpellier SupAgro - Institut Agro - Institut national d'enseignement supérieur pour l'agriculture, l'alimentation et l'environnement)

Abstract

For a transition from a linear, ‘take-make-dispose' economy to a sustainable usage of all constituents of renewable resources in cascading and circular pathways, new business models valorising streams that are currently considered as waste are needed. The aim of this article is to understand critical success and risk factors of eco-innovative business models that contribute to a circular economy via agricultural unavoidable waste or by-products valorisation. 39 cases were studied focusing on agricultural side stream conversion into valuable products. Semi-structured interviews were performed and secondary data collected. Cases were analysed according to types of initiatives, main objectives, resources and valorisation pathways, as well as external and internal factors that have influenced the businesses over time. Following success and risk factor categories are identified: (1) technical and logistic, (2) economic, financial and marketing, (3) organisational and spatial, (4) institutional and legal, (5) environmental, social and cultural. Herein, specific factors for the agricultural sector are innovative conversion technologies, flexible in and out logistics, joint investments in R&D, price competitiveness for bio-based products, partnerships with research organisations, space availability, subsidies, agricultural waste management regulations, local stakeholder involvement and acceptance of bio-based production processes. Insights from this study can help farmers and agribusiness managers by defining and adapting their strategies within their local contexts. They also show that for shifting from linear agro-food chains to a circular system, individual businesses need to evolve towards more dynamic and integrated business models, in which the macro-environment sets the boundary conditions for successful operations.

Suggested Citation

  • Mechthild Donner & Anne Verniquet & Jan Broeze & Katrin Kayser & Hugo de Vries, 2021. "Critical success and risk factors for circular business models valorising agricultural waste and by-products," Post-Print hal-03004851, HAL.
    • Handle: RePEc:hal:journl:hal-03004851
    DOI: 10.1016/j.resconrec.2020.105236
    Note: View the original document on HAL open archive server: https://hal.inrae.fr/hal-03004851
    as

    Download full text from publisher

    File URL: https://hal.inrae.fr/hal-03004851/document
    Download Restriction: no
    File URL: https://libkey.io/10.1016/j.resconrec.2020.105236?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Vasileios Rizos & Arno Behrens & Wytze Van der Gaast & Erwin Hofman & Anastasia Ioannou & Terri Kafyeke & Alexandros Flamos & Roberto Rinaldi & Sotiris Papadelis & Martin Hirschnitz-Garbers & Corrado , 2016. "Implementation of Circular Economy Business Models by Small and Medium-Sized Enterprises (SMEs): Barriers and Enablers," Sustainability, MDPI, vol. 8(11), pages 1-18, November.
    2. Minttu Laukkanen & Samuli Patala, 2014. "Analysing Barriers To Sustainable Business Model Innovations: Innovation Systems Approach," International Journal of Innovation Management (ijim), World Scientific Publishing Co. Pte. Ltd., vol. 18(06), pages 1-21.
    3. World Commission on Environment and Development,, 1987. "Our Common Future," OUP Catalogue, Oxford University Press, number 9780192820808.
    4. Juana Camacho-Otero & Casper Boks & Ida Nilstad Pettersen, 2018. "Consumption in the Circular Economy: A Literature Review," Sustainability, MDPI, vol. 10(8), pages 1-25, August.
    5. Stephan Dabbert & Iris Lewandowski & Jochen Weiss & Andreas Pyka (ed.), 2017. "Knowledge-Driven Developments in the Bioeconomy," Economic Complexity and Evolution, Springer, number 978-3-319-58374-7, December.
    6. Marc F. Bellemare & Metin Çakir & Hikaru Hanawa Peterson & Lindsey Novak & Jeta Rudi, 2017. "On the Measurement of Food Waste," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 99(5), pages 1148-1158.
    7. Erik G. Hansen & Friedrich Grosse-Dunker & Ralf Reichwald, 2009. "Sustainability Innovation Cube — A Framework To Evaluate Sustainability-Oriented Innovations," International Journal of Innovation Management (ijim), World Scientific Publishing Co. Pte. Ltd., vol. 13(04), pages 683-713.
    8. Rennings, Klaus, 2000. "Redefining innovation -- eco-innovation research and the contribution from ecological economics," Ecological Economics, Elsevier, vol. 32(2), pages 319-332, February.
    9. Buzby, Jean C. & Farah-Wells, Hodan & Hyman, Jeffrey, 2014. "The Estimated Amount, Value, and Calories of Postharvest Food Losses at the Retail and Consumer Levels in the United States," Economic Information Bulletin 164262, United States Department of Agriculture, Economic Research Service.
    10. Alexandra Jurgilevich & Traci Birge & Johanna Kentala-Lehtonen & Kaisa Korhonen-Kurki & Janna Pietikäinen & Laura Saikku & Hanna Schösler, 2016. "Transition towards Circular Economy in the Food System," Sustainability, MDPI, vol. 8(1), pages 1-14, January.
    11. Zengwei Yuan & Jun Bi & Yuichi Moriguichi, 2006. "The Circular Economy: A New Development Strategy in China," Journal of Industrial Ecology, Yale University, vol. 10(1‐2), pages 4-8, January.
    12. Millar, Neal & McLaughlin, Eoin & Börger, Tobias, 2019. "The Circular Economy: Swings and Roundabouts?," Ecological Economics, Elsevier, vol. 158(C), pages 11-19.
    13. Alan Murray & Keith Skene & Kathryn Haynes, 2017. "The Circular Economy: An Interdisciplinary Exploration of the Concept and Application in a Global Context," Journal of Business Ethics, Springer, vol. 140(3), pages 369-380, February.
    14. Mateusz Lewandowski, 2016. "Designing the Business Models for Circular Economy—Towards the Conceptual Framework," Sustainability, MDPI, vol. 8(1), pages 1-28, January.
    15. Barros, Murillo Vetroni & Salvador, Rodrigo & de Francisco, Antonio Carlos & Piekarski, Cassiano Moro, 2020. "Mapping of research lines on circular economy practices in agriculture: From waste to energy," Renewable and Sustainable Energy Reviews, Elsevier, vol. 131(C).
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Govindan, Kannan, 2023. "How digitalization transforms the traditional circular economy to a smart circular economy for achieving SDGs and net zero," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 177(C).
    2. Do, Quynh & Mishra, Nishikant & Colicchia, Claudia & Creazza, Alessandro & Ramudhin, Amar, 2022. "An extended institutional theory perspective on the adoption of circular economy practices: Insights from the seafood industry," International Journal of Production Economics, Elsevier, vol. 247(C).
    3. Mechthild Donner & Ivana Radić, 2021. "Innovative Circular Business Models in the Olive Oil Sector for Sustainable Mediterranean Agrifood Systems," Sustainability, MDPI, vol. 13(5), pages 1-21, February.
    4. Barbara Bigliardi & Serena Filippelli, 2021. "Investigating Circular Business Model Innovation through Keywords Analysis," Sustainability, MDPI, vol. 13(9), pages 1-23, April.
    5. Murat Danisman & Erkut Akkartal, 2023. "Defining a New Business Model for Sustainable Biomass Production from Forestry Residues in T rkiye by Using TRIZ," International Journal of Energy Economics and Policy, Econjournals, vol. 13(3), pages 243-253, May.
    6. Ankita Bhowmik & Shantanu Bhunia & Anupam Debsarkar & Rambilash Mallick & Malancha Roy & Joydeep Mukherjee, 2021. "Development of a Novel Helical-Ribbon Mixer Dryer for Conversion of Rural Slaughterhouse Wastes to an Organic Fertilizer and Implications in the Rural Circular Economy," Sustainability, MDPI, vol. 13(16), pages 1-19, August.
    7. Nan-Hua Nadja Yang & Ana Carolina Bertassini & Jéssica Alves Justo Mendes & Mateus Cecílio Gerolamo, 2021. "The ‘3CE2CE’ Framework—Change Management Towards a Circular Economy: Opportunities for Agribusiness," Circular Economy and Sustainability, Springer, vol. 1(2), pages 697-718, September.
    8. Yuan Shen & Linlin Shi & Yueyue Tao & Haihou Wang & Changying Lu & Siyuan Li & Mingxing Shen, 2022. "Sustainability Evaluation and Optimization on the Modern Agro-Pastoral Circular System Integrating Emergy Analysis and Life Cycle Assessment," Sustainability, MDPI, vol. 14(9), pages 1-18, April.
    9. G. Venkatesh, 2022. "Circular Bio-economy—Paradigm for the Future: Systematic Review of Scientific Journal Publications from 2015 to 2021," Circular Economy and Sustainability, Springer, vol. 2(1), pages 231-279, March.
    10. Mechthild Donner & Ivana Radić, 2021. "Innovative circular business models in the olive oil sector for sustainable mediterranean agrifood systems," Post-Print hal-03158870, HAL.
    11. Wen-Kuo Chen & Ching-Torng Lin, 2021. "Interrelationship among CE Adoption Obstacles of Supply Chain in the Textile Sector: Based on the DEMATEL-ISM Approach," Mathematics, MDPI, vol. 9(12), pages 1-24, June.
    12. Antje Bierwisch & Lucas Huter & Juliana Pattermann & Oliver Som, 2021. "Taking Eco-Innovation to the Road—A Design-Based Workshop Concept for the Development of Eco-Innovative Business Models," Sustainability, MDPI, vol. 13(16), pages 1-25, August.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Mechthild Donner & Ivana Radić, 2021. "Innovative circular business models in the olive oil sector for sustainable mediterranean agrifood systems," Post-Print hal-03158870, HAL.
    2. Mechthild Donner & Ivana Radić, 2021. "Innovative Circular Business Models in the Olive Oil Sector for Sustainable Mediterranean Agrifood Systems," Sustainability, MDPI, vol. 13(5), pages 1-21, February.
    3. Anna Barford & Saffy Rose Ahmad, 2021. "A Call for a Socially Restorative Circular Economy: Waste Pickers in the Recycled Plastics Supply Chain," Circular Economy and Sustainability, Springer, vol. 1(2), pages 761-782, September.
    4. Andrea Cecchin & Roberta Salomone & Pauline Deutz & Andrea Raggi & Laura Cutaia, 2021. "What Is in a Name? The Rising Star of the Circular Economy as a Resource-Related Concept for Sustainable Development," Circular Economy and Sustainability, Springer, vol. 1(1), pages 83-97, June.
    5. Chembessi Chedrak & Gohoungodji Paulin & Juste Rajaonson, 2023. "“A fine wine, better with age”: Circular economy historical roots and influential publications: A bibliometric analysis using Reference Publication Year Spectroscopy (RPYS)," Journal of Industrial Ecology, Yale University, vol. 27(6), pages 1593-1612, December.
    6. Yamoah, Fred A. & Sivarajah, Uthayasankar & Mahroof, Kamran & Peña, Iker González, 2022. "Demystifying corporate inertia towards transition to circular economy: A management frame of reference," International Journal of Production Economics, Elsevier, vol. 244(C).
    7. Kirchherr, Julian & Reike, Denise & Hekkert, Marko, 2017. "Conceptualizing the circular economy: An analysis of 114 definitions," Resources, Conservation & Recycling, Elsevier, vol. 127(C), pages 221-232.
    8. Luis Miguel Fonseca & José Pedro Domingues & Maria Teresa Pereira & Florinda Figueiredo Martins & Dominik Zimon, 2018. "Assessment of Circular Economy within Portuguese Organizations," Sustainability, MDPI, vol. 10(7), pages 1-24, July.
    9. Mura, Rita & Vicentini, Francesca & Botti, Ludovico Maria & Chiriacò, Maria Vincenza, 2023. "Economic and environmental outcomes of a sustainable and circular approach: Case study of an Italian wine-producing firm," Journal of Business Research, Elsevier, vol. 154(C).
    10. Omar Alhawari & Usama Awan & M. Khurrum S. Bhutta & M. Ali Ülkü, 2021. "Insights from Circular Economy Literature: A Review of Extant Definitions and Unravelling Paths to Future Research," Sustainability, MDPI, vol. 13(2), pages 1-22, January.
    11. Maryam Hina & Chetna Chauhan & Rajat Sharma & Amandeep Dhir, 2023. "Circular economy business models as pillars of sustainability: Where are we now, and where are we heading?," Business Strategy and the Environment, Wiley Blackwell, vol. 32(8), pages 6182-6209, December.
    12. Marcos Ferasso & Tatiana Beliaeva & Sascha Kraus & Thomas Clauss & Domingo Ribeiro‐Soriano, 2020. "Circular economy business models: The state of research and avenues ahead," Business Strategy and the Environment, Wiley Blackwell, vol. 29(8), pages 3006-3024, December.
    13. Florian Hofmann & Melanie Jaeger‐Erben, 2020. "Organizational transition management of circular business model innovations," Business Strategy and the Environment, Wiley Blackwell, vol. 29(6), pages 2770-2788, September.
    14. Alexandra Barón Dorado & Gerusa Giménez Leal & Rodolfo de Castro Vila, 2022. "Environmental policy and corporate sustainability: The mediating role of environmental management systems in circular economy adoption," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 29(4), pages 830-842, July.
    15. Rizos, Vasileios & Tuokko, Katja & Behrens, Arno, 2017. "The Circular Economy: A review of definitions, processes and impacts," CEPS Papers 12440, Centre for European Policy Studies.
    16. Mark Anthony Camilleri, 2021. "Sustainable Production and Consumption of Food. Mise-en-Place Circular Economy Policies and Waste Management Practices in Tourism Cities," Sustainability, MDPI, vol. 13(17), pages 1-13, September.
    17. Md. Abdul Moktadir & Anil Kumar & Syed Mithun Ali & Sanjoy Kumar Paul & Razia Sultana & Jafar Rezaei, 2020. "Critical success factors for a circular economy: Implications for business strategy and the environment," Business Strategy and the Environment, Wiley Blackwell, vol. 29(8), pages 3611-3635, December.
    18. Zhen Liu & Jing Liu & Mohamed Osmani, 2021. "Integration of Digital Economy and Circular Economy: Current Status and Future Directions," Sustainability, MDPI, vol. 13(13), pages 1-27, June.
    19. Durán-Romero, Gemma & López, Ana M. & Beliaeva, Tatiana & Ferasso, Marcos & Garonne, Christophe & Jones, Paul, 2020. "Bridging the gap between circular economy and climate change mitigation policies through eco-innovations and Quintuple Helix Model," Technological Forecasting and Social Change, Elsevier, vol. 160(C).
    20. Nancy Bocken & Lars Strupeit & Katherine Whalen & Julia Nußholz, 2019. "A Review and Evaluation of Circular Business Model Innovation Tools," Sustainability, MDPI, vol. 11(8), pages 1-25, April.

    More about this item

    Keywords

    Circular economy; Bioeconomy; Business models; Success factors; Agricultural waste valorisation;
    All these keywords.

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:hal:journl:hal-03004851. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: CCSD (email available below). General contact details of provider: https://hal.archives-ouvertes.fr/ .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.