Circular Business Models: Sustainability and Profitability in the Furniture Sector

José António Porfírio, Ricardo M. Rodrigues () and Carlos Silva
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José António Porfírio: Social Sciences and Management Department and Centre for Global Studies (CEG-UAb), Universidade Aberta
Ricardo M. Rodrigues: University of Lisbon
Carlos Silva: Universidade Europeia

A chapter in Efficiency and Optimization in Business Practice, 2025, pp 43-59 from Springer

Abstract: Abstract The circular economy is increasingly considered a relevant approach to address sustainability efforts and concerns. However, balancing sustainability with an organization’s profitability is still an open research topic. This chapter is focused on the contribution that circular business models offer in achieving this balance. We begin by reviewing the debate on the challenges related to the growth in population, consumption, and pollution, among others, while considering the planet’s finite resources. The existing imbalance highlights the importance of circular business models and their successful implementation for organizations that are working to align their operations with the increasing pressure for sustainability. We decided to focus on the furniture sector because it is a traditional economic sector contributing to economic development and job creation across various European regions and worldwide. By examining this sector, we expect to highlight how circular business models are a step ahead, enhancing organizations’ efficiency and simultaneously allowing organizations to achieve their sustainability and profitability objectives. It is relevant to consider that, despite the circular business model’s alignment with public policies, we need to acknowledge the critical role of consumers in the journey toward circularity. We argue, as do other authors, that there are several hurdles on the path to circularity. One way to address these hurdles is by involving consumers in collaborative efforts alongside businesses, policymakers, and researchers.

Keywords: Circular Business Models; Sustainability; Profitability; Furniture Sector (search for similar items in EconPapers)
Date: 2025
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DOI: 10.1007/978-3-031-97641-4_3

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