Circular Business Models in the Service Sector — A Multiple Case Study Comparing Traditional and Hybrid Organizations

Abstract: The objective of this research paper is to bridge two concepts: CE and Hybrid Organizations, i.e., organizations with a purpose which aims to manage the TBL (economic performance combined with social and environment impact), in the service sector. To conduct this explanatory research, the choice was made to pursue an inductive approach based on a multi-case study. This study highlights that, in terms of CE in the service sector, there is not the for-profit organizations, which would be “nasty” players and, the Hybrids that would be “ethical” players. However, this study also highlights that being a Hybrid motivates to engage further in the battle around sustainable stakes and TBL management.

Key words: circular business model, circular economy initiatives, contingency theory, hybrid organization, inductive multi-business case study

JEL codes: Q5