60 4 Case Description and Within-Case Analysis
to remain competitive and also there are not enough people who are willing to pay
mo re .” Through mixed calculation other products produced by the organization
‘subsidize’ the circular economy products. The organization is able to do this because
its products are high-end apparel and therefore are located in the high price segment.
Due to the higher prices of recycled resources, the company currently has no
plans to increase the amount of recycled polyester in its product portfolio. Nev-
ertheless, the company has a strong commitment to caring and protecting for the
environment. The company foresees the price of petroleum and other virgin re-
sources increasing in the future. It has identified a potential competitive advantage
in acquiring knowledge of how to handle these recycled resources before prices for
virgin ones increase.
Another positive effect is customer appreciation. The number of organization
Alpha’s customers who value its commitment to circular economy and return their
products to be recycled is low. However, the organization does attract a certain
group of buyers who have a special interest in ‘green’ products. These customers
which might otherwise have not been interested in the brand have a positive effect
on the economic performance of the organization.
The final impact is the additional revenue gained through the reselling of used
down jackets that have been to returned to the store after customers have had
their use out of them. These jackets are cleaned, repaired and resold generating an
additional income stream for organization Alpha.
To summarize, the approach of case Alpha is quite comprehensive and includes
multiple circular economy approaches. The change towards a circular economy as
well as the integration of a closed-loop production into the manufacturing process
for all consumer goods is mandatory in the eyes of the interviewee.
4.4 Case Beta
4.4 Case Beta
4.4.1 The Company’s Circular Economy Approach
Case Beta has adopted two circular economy approaches (see Table 8). The orga-
nization is implementing the circular economy approach circular supplies at both
product and process level.