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Sustainable reverse supply chains and circular economy in multichannel retail returns

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  • Regina Frei
  • Lisa Jack
  • Sally‐Ann Krzyzaniak

Abstract

The percentage of products being returned in multichannel retail are high and further increasing, yet many retailers and manufacturers are unaware of the importance and scale of this issue. They consider dealing with returns as a cost of doing business and are oblivious of the potential for conflicts between their corporate social responsibility commitments and their returns practices. This article investigates how far sustainable practices and circular economy concepts have been implemented in retail returns systems; it identifies vulnerabilities, barriers, and challenges to the implementation of sustainable, circular practices and suggests ways to overcome them, as sustainability, loss prevention, and profit optimisation can go hand in hand with the right approach to the organisation of the reverse supply chain. Implications of this research on strategic management are outlined. The research was conducted using in‐depth interviews and observations with four major retailers in the United Kingdom, 17 structured interviews, 100 retailer website reviews, and three retail community workshops, all with British and other European retailers.

Suggested Citation

  • Regina Frei & Lisa Jack & Sally‐Ann Krzyzaniak, 2020. "Sustainable reverse supply chains and circular economy in multichannel retail returns," Business Strategy and the Environment, Wiley Blackwell, vol. 29(5), pages 1925-1940, July.
    • Handle: RePEc:bla:bstrat:v:29:y:2020:i:5:p:1925-1940
    DOI: 10.1002/bse.2479
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    9. Kannan Govindan & Arash Khalili Nasr & Farzane Karimi & Hassan Mina, 2022. "Circular economy adoption barriers: An extended fuzzy best–worst method using fuzzy DEMATEL and Supermatrix structure," Business Strategy and the Environment, Wiley Blackwell, vol. 31(4), pages 1566-1586, May.
    10. Zhang, Danni & Frei, Regina & Senyo, P.K. & Bayer, Steffen & Gerding, Enrico & Wills, Gary & Beck, Adrian, 2023. "Understanding fraudulent returns and mitigation strategies in multichannel retailing," Journal of Retailing and Consumer Services, Elsevier, vol. 70(C).
    11. Navid Zarbakhshnia & Kannan Govindan & Devika Kannan & Mark Goh, 2023. "Outsourcing logistics operations in circular economy towards to sustainable development goals," Business Strategy and the Environment, Wiley Blackwell, vol. 32(1), pages 134-162, January.
    12. Ahmed Zainul Abideen & Jaafar Pyeman & Veera Pandiyan Kaliani Sundram & Ming-Lang Tseng & Shahryar Sorooshian, 2021. "Leveraging Capabilities of Technology into a Circular Supply Chain to Build Circular Business Models: A State-of-the-Art Systematic Review," Sustainability, MDPI, vol. 13(16), pages 1-26, August.
    13. Yan Dong & Sayed Fayaz Ahmad & Muhammad Irshad & Muna Al-Razgan & Yasser A. Ali & Emad Marous Awwad, 2023. "The Digitalization Paradigm: Impacts on Agri-Food Supply Chain Profitability and Sustainability," Sustainability, MDPI, vol. 15(21), pages 1-27, November.
    14. Mingwei Sun & Katarzyna Grondys & Nazim Hajiyev & Pavel Zhukov, 2021. "Improving the E-Commerce Business Model in a Sustainable Environment," Sustainability, MDPI, vol. 13(22), pages 1-22, November.
    15. Agnieszka D. Hunka & Marcus Linder & Shiva Habibi, 2021. "Determinants of consumer demand for circular economy products. A case for reuse and remanufacturing for sustainable development," Business Strategy and the Environment, Wiley Blackwell, vol. 30(1), pages 535-550, January.
    16. Md. Abdul Moktadir & Anil Kumar & Syed Mithun Ali & Sanjoy Kumar Paul & Razia Sultana & Jafar Rezaei, 2020. "Critical success factors for a circular economy: Implications for business strategy and the environment," Business Strategy and the Environment, Wiley Blackwell, vol. 29(8), pages 3611-3635, December.
    17. Yigit Kazancoglu & Esra Ekinci & Sachin Kumar Mangla & Muruvvet Deniz Sezer & Yasanur Kayikci, 2021. "Performance evaluation of reverse logistics in food supply chains in a circular economy using system dynamics," Business Strategy and the Environment, Wiley Blackwell, vol. 30(1), pages 71-91, January.
    18. Kamal, Muhammad Mustafa & Mamat, Rosnida & Mangla, Sachin Kumar & Kumar, Patanjal & Despoudi, Stella & Dora, Manoj & Tjahjono, Benny, 2022. "Immediate return in circular economy: Business to consumer product return information sharing framework to support sustainable manufacturing in small and medium enterprises," Journal of Business Research, Elsevier, vol. 151(C), pages 379-396.

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