EXTERNALITIES FOR BUSINESS DECISION MAKING OF CIRCULAR ECONOMY IMPLEMENTATION IN SMART CITIES


Kaewunruen S., Cheng Lee B. Z., Lı D., Teuffel P., Dönmez Çavdar A., Valta O., ...Daha Fazla

ECO4ALL Mid-Term International Conference, Iasi, Romanya, 09 Mayıs 2025, ss.286-295, (Tam Metin Bildiri)

  • Yayın Türü: Bildiri / Tam Metin Bildiri
  • Doi Numarası: 10.47743/eco4all.2025.1.21
  • Basıldığı Şehir: Iasi
  • Basıldığı Ülke: Romanya
  • Sayfa Sayıları: ss.286-295
  • Karadeniz Teknik Üniversitesi Adresli: Evet

Özet

Externality is either an indirect cost or indirect benefit that is caused by one party but financially incurred or received by another. Externalities can be negative or positive. A negative externality is the indirect imposition of a cost by one party onto another. A positive externality, on the other hand, is when one party receives indirect benefit as a result of actions taken by another. For a successful business model of any publicly funded project, direct and indirect benefits and costs must be fully established to derive a positive business case (e.g. based on benefit over cost ratio). This paper contributes to Eco4All by deriving new insights into the stakeholders’ challenges, consumers’ value chain, business processes and obstacles in the implementation of circular economy concepts within smart city environments. The main aim of the study is to determine externalities and enable the policies to implement a common circularity framework for inclusive application and assessment in smart cities to support decision-making for all value chain stakeholders and consumers enhancing the implementation level of the European Circular Economy Action Plan (ECEAP). Based on extensive industry expert interview, our new findings reveal the lack of value transfer across stakeholders and consumers, and there is an urgent need for more actionable and pragmatic solutions for circularity (including technology enabler, social value enabler, circular business model, human capability & behavior, and standard & legislation).