Circular economy as a modern business philosophy

Kolesnik Olga
Ph.D. in Economics, Lecturer, Economics, Law and Business Management Department, Odessa National Economic University, Odessa, E-mail: o.kolesnik@onu.edu.ua, ORCID ID: https://orcid.org/0000-0003-4262-157X

Kochevoi Maksym
Ph.D. in Economics, Associate Professor, Marketing and International Logistics department, Odessa National Economic University, Odessa, E-mail:o.kolesnik@onu.edu.ua, ORCID ID: https://orcid.org/0000-0002-1601-818X

Cite this article:

Kolesnik O., Kochevoi M. (2023) Circular economy as a modern business philosophy. Ed.: V.V. Kovalenko (ed.-in-ch.) and others [Tsyrkuliarna ekonomika yak suchasna filosofiia biznesu; za red.: V.V. Kovalenko (gol. red.)], Scientific Bulletin of the Odessa National Economic University (ISSN 2313-4569), Odessa National Economics University, Odessa, No. 3-4 (304-305), pp. 106-111.

Abstract

The state of zero-waste production in the world can be characterized as a gradual increase in awareness and interest in this topic in most countries of the world. Today, many companies and governments are paying attention to issues of sustainable development and environmental sustainability in production. National and international regulatory bodies are becoming increasingly active in developing and implementing legislation that encourages a zero-waste economy and production. Many companies are using new technologies and innovations to reduce energy and resource costs, increase production efficiency and reduce waste. However, not all countries and companies adhere to the principles of zero-waste production, and in many places the problem of environmental pollution remains quite serious. However, the general trend in the world is the growth of interest and efforts in waste-free production and environmental sustainability. The circular economy, a system that aims to maximize the use of resources and minimize waste, can become a new business paradigm that will contribute to increasing the level of its environmental friendliness. It involves the reuse and recycling of waste materials, instead of dumping them in landfills or releasing them into the atmosphere. A business that uses the principles of a circular economy can get a number of benefits, including reducing resource and energy costs, increasing production efficiency, reducing waste and emissions, improvement of the company's image in the eyes of consumers and investors. Due to the growing awareness of consumers about the problem of environmental pollution and climate change, a business that uses the principles of the circular economy can gain a competitive advantage in the market and attract new customers who support sustainability and ecology. The state of the Ukrainian economy today is difficult due to a number of factors, such as the war, economic instability and external economic factors. However, the use of modern zero-waste technologies can be one of the factors that will contribute to the recovery of the economy. Using a circular economy can help reduce resource costs and improve material and energy efficiency. This, in turn, will contribute to the creation of new opportunities for business development, reduce waste export costs, and also contribute to the development of sectors related to the utilization and processing of waste.

Keywords

eco-awareness, circularity, zero waste, eco-production.

JEL classification: F640, O130, P280; DOI: 10.32680/2409-9260-2023-3-4-304-305-106-111

UD classification: 338.22

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