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IoT-Driven Reuse Business Models: The Case of Salesianer Textile Rental Services

In: Business Models for Sustainability Transitions

Author

Listed:
  • Andres Alcayaga

    (Johannes Kepler University Linz (JKU))

  • Hanna Geyerlechner

    (Salesianer Miettex GmbH)

  • Erik G. Hansen

    (Johannes Kepler University Linz (JKU))

Abstract

Service business models such as rental, leasing, and performance contracting can contribute to a circular economy by keeping products, components, and materials longer in use and thereby preserving their value over time. These business models are, however, subject to higher complexity and information demand. Smart products and the Internet of Things facilitate the optimisation of such closed-loop value creation processes. We present an in-depth case study of a textile rental firm, in the business-to-business domain, that has recently become a front-runner in using textiles equipped with Radio Frequency Identification (RFID) chips. The firm has used smart textiles to improve the transparency of the product life cycle, raise awareness on textile losses, and improve procurement decisions. We show that combining smart textiles with a rental business model could accelerate the transition towards circularity and sustainability.

Suggested Citation

  • Andres Alcayaga & Hanna Geyerlechner & Erik G. Hansen, 2021. "IoT-Driven Reuse Business Models: The Case of Salesianer Textile Rental Services," Springer Books, in: Annabeth Aagaard & Florian Lüdeke-Freund & Peter Wells (ed.), Business Models for Sustainability Transitions, edition 1, pages 251-271, Springer.
    • Handle: RePEc:spr:sprchp:978-3-030-77580-3_9
    DOI: 10.1007/978-3-030-77580-3_9
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