Leveraging Digital Platforms for Circular Economy: A Value Creation View

The practical role of digital platforms in fostering a circular economy (CE) among businesses remains unresolved. Unlike previous research on digital platforms and firm performance, this study analyzes the bridging function of the value creation system from a value creation perspective. It identifies resources (business model innovation) and relationships with other value creators (closed-loop supply chains) as key elements for achieving CE. Using survey data from 243 firms, this study validates the significant roles of business model innovation and closed-loop supply chains in mediating the relationship of digital platforms to achieve CE. This narrows the theoretical gap and expands value creation-based CE research.