Competition or coopetition? Collaboration strategies for the circular economy

Circular economy (CE) has received significant policy and business interest but the widespread implementation of CE strategies in companies is still low. One of the key reasons might be that CE issues surpass company boundaries. While researchers have noted the importance of collaboration in a CE, more insight is needed in the types of collaborations and how they emerge. This study addresses the following question: Which collaboration strategies do companies use for a CE? We conduct a multiple case study of 47 Danish companies. First, four collaboration patterns for a CE are identified, based on the scope of collaboration (within the traditional value chain or in an ecosystem perspective) and the CE business strategy (add-on or core business). Second, we found that most companies pursue collaboration within their traditional value chain, while fewer companies engage in an ecosystem perspective, and collaborates with other companies, including competitors. Third, within specific industries such as tourism, events and consultancy, where companies identified a shared common, companies do collaborate with competitors and increase the CE potential in the ecosystem. Finally, we coin the term “anti-commons” to refer to malpractices where companies create barriers for others to partake in CE innovation. Future research could dive deeper in collaboration patterns per sector, how coopetition for the commons may be stimulated, and finally, how “anti-commons” practices may be detected and penalised.