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Significant Factors and Challenges Affecting Remanufacturing Business Adoption at an Industrial Scale: A Systematic Review

Author

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  • Muhammad Omair
  • Andreas Christensen
  • Brian Vejrum Waehrens

Abstract

Remanufacturing is considered a highly effective strategy within the circular economy by researchers due to its economic and environmental advantages, as it converts end‐of‐use products (EOUPs) into new‐like products. However, managers often encounter difficulties in adopting and integrating remanufacturing into their businesses, mainly because of complex reverse logistics, the lack of a takeback system, and poor supply chain infrastructure. The current legislation, customers' awareness, and competitive advantages compelled firms to adopt remanufacturing businesses; however, this transformation is challenging to operationalize and scale up for a profitable business because the firm itself is responsible for the supply (by acquiring used products from unknown customers) and market (while ensuring consumer trust in remanufactured products). This scenario has drawn the attention of researchers and experts to identify the significant factors affecting businesses that adopt remanufacturing, as well as the challenges associated with it. Currently, the literature investigates significant factors affecting remanufacturing, but it is fragmented and focuses on specific processes without providing businesses with clear guidance on identifying, adopting, and scaling up remanufacturing. Therefore, a systematic review is required to provide a holistic overview that integrates these significant factors into a framework for remanufacturing transition and scalability. This review systematically examined 67 research articles and applied Gioia's methodology to identify 13 significant factors related to business framework conditions, organizational capabilities, and operational performance in remanufacturing practices. A strategic framework is developed by integrating significant factors to guide manufacturers in understanding the contextual requirements for successfully adopting remanufacturing, operationalizing it, and advancing it to an industrial‐scale business.

Suggested Citation

  • Muhammad Omair & Andreas Christensen & Brian Vejrum Waehrens, 2026. "Significant Factors and Challenges Affecting Remanufacturing Business Adoption at an Industrial Scale: A Systematic Review," Business Strategy and the Environment, Wiley Blackwell, vol. 35(5), pages 7332-7362, July.
    • Handle: RePEc:bla:bstrat:v:35:y:2026:i:5:p:7332-7362
    DOI: 10.1002/bse.70508
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    References listed on IDEAS

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