Abstract
Several actors – including governments, academics, and NGOs – are calling for an urgent shift to circular economy. Nevertheless, few research attention centers on tools or frameworks to support organizations engaged in the creation of circular value. This research leverages design thinking in the field of business model innovation, with the aim to uncover its implications for circular value co-creation. Based upon a multiple case study design, this research shows that higher levels of cybernetics coupled with a more circular mindset can contribute to the creation of circular value, but only the highest levels of cybernetics in combination with a highest circular mindset result in self-sustaining circular value in systems in which multiple stakeholders are engaged. The theoretical and managerial implications emphasize the contribution of design thinking in the process of implementing circular business models and the concept of circular self-sustaining value as central to their success.