THE BUSINESS MODEL, THE SILENT RULER OF DESIGN LOGIC

Paper in proceeding, 2013

In a traditional linear business model (LBM), focus is on maximization of a product’s value at point of sale (POS) and devaluation towards obsolescence, creating a path dependency towards faster replacement cycles to retain sales volumes. Resulting in increasing volumes of waste and pollution from products being disposed of, with low incentives or possibilities for recovery by e.g. reuse and remanufacturing. Based on a case study of a bicycle manufacturing SME, using an interventionist research setting, findings are that a business model change affects the existing design logic quite effectively. It seems that the business model is conditioning the decision logic of senior management and has to be addressed first in firms that want to make significant ecosustainability improvements.