3.4 Regenerative businesses II

Entrepreneurs and intrapreneurs play key roles in the move towards regenerative economies. Their impact can go beyond improving existing models—they have the power to reshape how business works. Circular business models offer much inspiration. But entrepreneurs and intrapreneurs can also focus on using local knowledge and resources to support their operations, staying within the natural limits of their bioregions.

External certification organisations help by setting standards and guiding consumers to make informed choices. Governments can also take an active role by acting as entrepreneurial leaders. They can shape markets and encourage businesses to tackle major social and ecological issues linked to the Sustainable Development Goals (SDGs), ensuring a just transition along the way.

By the end of Subtopic 3.4 Regenerative businesses II, you should be able to:

• distinguish between the roles of entrepreneurs and intrapreneurs in regenerative business

• describe the principles of a circular economy

• explain various circular business models including: circular supply models, resource recovery models, product life extension models, sharing models and product service systems

• describe the conditions that make it easier for businesses to move to circular business models

• discuss the limitations of circular business models including the need for wider economic systems coordination, unintended consequences of circular practices, and the rebound effect

• describe relocalisation and bioregionalism

• explain how businesses can support relocalisation and bioregionalism

• discuss the balance between local and global networks for meeting human needs within planetary boundaries and building resilient social and ecological systems

• describe various external certification and support organisations

• explain the role of the role of external certification programmes in supporting business transition to regenerative practices, distinguishing between whole business certifications and supply chain certifications

• explain the uses and limitations of external certification programmes

• explain how the state can reduce extractive business behaviour through laws and regulations, taxes and balancing power between economic actors  in markets

• explain how the state can supporting transition to regenerative business practices through financial support and assuming risk, research and development, infrastructure, and setting ‘north stars’ for business activities

• explain how the state can ensure a just transition to regenerative business practices through inclusive decision-making and financial, technical and training support for those who are negatively affected