Supply Chain Relationships in Circular Business Models: Supplier Tactics at Royal Smit Transformers

Background: Despite growing popularity, Circular Economy has not reached its full potential. One of the frequently mentioned success factors is adoption a Business Model. However, fueled by (too) many constraints, implementation often hampered so-called vicious cycles. Successful Models require intensive collaboration between buyers and suppliers, with one key questions remaining who takes initiative leads development: buyer or supplier? Methods: Through single case study combining desk research, interviews, participative observations analysis cycles, we investigate how supply chain relationships managed supplier can enhance Models. Results: We show that tactics relax constraints break cycles through (1) buyer–supplier relationship management, (2) functional integration stakeholders (3) incentive management. also that, due to captive conditions, number enabling are indispensable, namely: availability incentives; (joint experimenting develop) circular knowledge; sharing clear visions on circularity; (4) being transparent in possibilities; (5) leadership. Conclusions: As consequence, strategic trust-based partnerships prerequisite for turning into virtuous Future research should role buyer, including shape Finally, relation other next needs be further explored.