Abstract: The circular economy is a model of economic activity that involves sharing, reusing, and regenerating resources through a production process that extends the life cycle of products. The principle of the circular economy contrasts with the traditional linear model based on the typical pattern: extract, produce, use, and throw away based on an assumption of unlimited natural resources. Observing the principles of the Circular Economy is part of the broader framework of the Sustainable Development Goals (SDGs) set out by the United Nations, which impose constraints on businesses but open vast possibilities for development. At this time, there is a need for a strategic reconversion of our economic system that will steer it towards the "circular economy" and at the same time consider the productive structure of our country, which is made up of small and micro-enterprises. The reconversion of production processes requires significant structural investments with medium- to long-term returns, which are particularly burdensome for small enterprises. In addition, the basis of productive reconversion based on circular models is innovation, which is necessary to compete in a knowledge-based economy (OECD "SME Enterprise Outlook 2019"). The 'network contract', introduced by Law 33/2009, which has been supplemented several times, has been identified as one of the most effective organizational models to meet the needs of our small enterprises. In fact, through a versatile and flexible structure, it can facilitate the overcoming of the structural deficiencies present in our production system and promote the development of the territories where these enterprises are located. After an analysis of the regulatory characteristics of the network contract and the trend of its diffusion in Italy, an attempt will be made to understand the dynamics, logic and aims that led to the creation of the network contract to respond to the challenges launched by the circular economy. To this end, specific cases of network contracts will be examined, appropriately selected in the regional and national context, to highlight the shortcomings and opportunities in both the legal and managerial spheres regarding the development of business policies based on the circular economy. The present study will contribute to the literature as it identifies the main areas of challenge and possible solutions for the transition to the circular economy through the analysis of network contracts. Moreover, it constitutes a support for both management and policy makers because it aims to highlight the characteristics and opportunities of a business model established by Italian legislation, but which could constitute a reference model for the rest of Europe.

The network contract: a business model for Circular Economy

S. Spallini
;
2021-01-01

Abstract

Abstract: The circular economy is a model of economic activity that involves sharing, reusing, and regenerating resources through a production process that extends the life cycle of products. The principle of the circular economy contrasts with the traditional linear model based on the typical pattern: extract, produce, use, and throw away based on an assumption of unlimited natural resources. Observing the principles of the Circular Economy is part of the broader framework of the Sustainable Development Goals (SDGs) set out by the United Nations, which impose constraints on businesses but open vast possibilities for development. At this time, there is a need for a strategic reconversion of our economic system that will steer it towards the "circular economy" and at the same time consider the productive structure of our country, which is made up of small and micro-enterprises. The reconversion of production processes requires significant structural investments with medium- to long-term returns, which are particularly burdensome for small enterprises. In addition, the basis of productive reconversion based on circular models is innovation, which is necessary to compete in a knowledge-based economy (OECD "SME Enterprise Outlook 2019"). The 'network contract', introduced by Law 33/2009, which has been supplemented several times, has been identified as one of the most effective organizational models to meet the needs of our small enterprises. In fact, through a versatile and flexible structure, it can facilitate the overcoming of the structural deficiencies present in our production system and promote the development of the territories where these enterprises are located. After an analysis of the regulatory characteristics of the network contract and the trend of its diffusion in Italy, an attempt will be made to understand the dynamics, logic and aims that led to the creation of the network contract to respond to the challenges launched by the circular economy. To this end, specific cases of network contracts will be examined, appropriately selected in the regional and national context, to highlight the shortcomings and opportunities in both the legal and managerial spheres regarding the development of business policies based on the circular economy. The present study will contribute to the literature as it identifies the main areas of challenge and possible solutions for the transition to the circular economy through the analysis of network contracts. Moreover, it constitutes a support for both management and policy makers because it aims to highlight the characteristics and opportunities of a business model established by Italian legislation, but which could constitute a reference model for the rest of Europe.
2021
978-2-931089-15-6
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Utilizza questo identificativo per citare o creare un link a questo documento: https://hdl.handle.net/11586/392835
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