Circular Transition in the Built Environment: Business Model Readiness and the Pathways to Collaboration

Author(s)

Abstract
The Swiss construction sector, responsible for over 80% of the country’s total waste generation and a third of national CO2 emissions, faces growing pressure to transition toward a circular economy (CE). Despite increasing awareness, the sector remains characterized by fragmented initiatives and limited systemic adoption. This study investigates how key industry actors (architects, construction companies and associations) interpret, implement and enable CE principles within Switzerland’s built environment. Combining an extensive literature review with fifteen semi-structured expert interviews, the research analyses both conceptual understanding and practical application of circular strategies across stakeholder groups. The findings reveal that while technological and design-oriented innovations are emerging, financial and organizational structures remain predominantly linear, constraining large scale implementation. To address this gap, the study introduces the Circular Economy Business Model Canvas (CEMBC), an adapted analytical framework that translates circular principles into nine interrelated business model dimensions. Applied empirically, the CEMBC exposes key asymmetries: architects exhibit high conceptual engagement yet limited financial integration; construction companies show practical experimentation but weak systemic coherence; and associations act as facilitators, though constrained by cultural and economic inertia. The results highlight three critical levers for progress necessary to overcome current barriers: ecosystem collaboration, lifecycle cost accounting and the creation of new circular revenue streams. Ultimately, this research contributes to both academic and professional disclosure by providing a structured methodology for assessing circular maturity and by positioning business model transformation as a prerequisite for a viable and scalable circular transition in the construction sector.

Keywords
Circular economy, Swiss construction sector, Business model transformation, Business Model Canvas, Circular value creation, Ecosystem collaboration, Circular maturity assessment

Cite this paper
Simon Pfister Ph.D., Alissa Rigo B.Sc. HSG, Pauline Gagg B.Sc. HSG, Circular Transition in the Built Environment: Business Model Readiness and the Pathways to Collaboration , SCIREA Journal of Management. Volume 9, Issue 3, June 2025 | PP. 249-292. 10.54647/management630182

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