Under the current model of consumption ‘take-make-dispose’, energy, labor, and natural inputs are all termed as waste right after consumption of the product. The resources are finitely available and our demands are increasing exponentially. To conserve the natural resources, we need to vertically retain their value in the supply chain via innovations in technological, social, and business operations – A Circular Economy Model.
A circular economy is a model of regenerative production which aims to prove that economic growth doesn’t necessarily lead to environmental degradation if the resources are managed strategically. It proposes a model of ‘Minimal waste’ by keeping the material input in the circular loop either by reusing, then refurbishing or recycling until the final value is degraded to zero. Even with the zero value, the material could be shredded and used as a raw material. This way, a product enters a circular process, and thus, pressure on natural resources is reduced.