VNU Journal of Science: Earth and Environmental Sciences, Vol. 40, No.

3 (2024) 34-47

Original Article
Status and Potential of Implementing Circular Economy
for Plastic Recycling Business in Craft Villages
in Northern Vietnam - A Case Study in Hung Yen Province

Ta Thi Yen1,*, Bui Le Thanh Khiet2, Vu Thi Ngoc Anh1

1
Hanoi University of Natural Resources and Environment, Phu Dien, Bac Tu Liem, Hanoi, Vietnam
2
Institute for Circular Economy Development, Vietnam National University Ho Chi Minh City,
Thu Duc City, Ho Chi Minh City, Vietnam

Received 08 April 2024

Revised 8 August 2024; Accepted 7 September 2024

Abstract: Encouraging and promoting the implementation of a circular economy (CE) is crucial for
reducing emissions, minimizing production costs, and promoting resource efficiency and circularity.
Plastic production and recycling activities are prevalent in craft villages. However, alongside
economic benefits, these activities also generate significant environmental concerns. It is essential
to investigate CE implementation's status and potential in these businesses to promote enterprises in
craft villages to transition to a circular economy. This study assesses the current state of CE adoption
by plastic businesses in plastic recycling villages based on the ReSOLVE framework. The research
findings indicate that the practices are still at the initial implementation stage and lacking specialized
measures for environmental management and practical solutions. The study also identifies the
strengths and weaknesses of enterprises in craft villages when transitioning to a circular economy
and proposes solutions to promote CE adoption among plastic businesses in craft villages.
Keywords: Circular economy, Plastic waste, craft village, ReSOLVE framework, environment.

1. Introduction* by the Ellen MacArthur Foundation (EMF) at the

World Economic Forum in 2012: “A circular
More than 100 definitions of the circular economy is a restorative and regenerative system
economy have been proposed to date. The most by intention and design. It replaces the end-of-
widely accepted definition is the one presented life concept with restoration, shifts towards
________
* Corresponding author.
E-mail address: [email protected]
https://doi.org/10.25073/2588-1094/vnuees.5098
34
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renewable energy, eliminates toxic chemicals have shown the socio-economic benefits and
that hinder the reuse of materials, and aims to risks to the environmental quality of plastic
eliminate waste by designing materials, recycling craft villages [5, 7].
products, technical systems, and business To improve environmental quality, recycling
models” [1, 2]. efficiency, and energy consumption in craft
According to Clause 1, Article 142 of the villages, transitioning to a circular economy is
Environmental Protection Law 2020, a circular essential for Vietnamese plastic manufacturing
economy is an economic model in which the businesses in these areas. Evaluating the current
activities of design, production, consumption, implementation status of the circular economy is
and service aim to reduce the extraction of raw necessary to support this transformation, identify
materials and materials, extend the life cycle of areas for improvement, and capitalize on
products, limit waste generation, and minimize potential opportunities.
adverse environmental impacts. The definition The circular economy is a research area
of the circular economy in the Environmental attracting significant interest from various
Protection Law 2020 provides a framework for stakeholders. Several studies have been
promoting this model in Vietnam. It is a vital tool conducted in this field, including overviews of
for achieving the country's sustainable international experiences on circular economy
development goals [3]. and suggestions for Vietnam [8, 9], research on
Thus, from an overall perspective, the circular economy models for Vietnam's plastic
circular economy is an economic system that industry [10], and explorations of developing a
continuously regenerates and restores, changing circular economy in Vietnamese businesses [11].
how goods and services are designed, produced, These studies provide a solid scientific and
and consumed. Therefore, a circular economy is theoretical foundation for implementing a
understood as a closed operating cycle. The circular economy in Vietnam, particularly within
output products of this process or waste can be the plastic industry. However, prior research has
returned, becoming production materials and yet to assess the current status and potential of
input for another process. This will help reduce implementing a circular economy for plastic
natural raw materials, save resources, reduce businesses, especially those in craft villages.
negative environmental impacts, and protect the The ReSOLVE framework was used to
ecosystem and human health. evaluate the implementation of CE practices in
Plastic recycling is a type of production the facility/sector [1]. The ReSOLVE
within scrap recycling craft villages. It involves framework is a set of six business actions built
using plastic items, such as cans and bottles, on preserving natural resources, optimizing
from the waste stream to create raw materials for resources, and eliminating negative external
new recycled plastic products. Plastic recycling effects. The framework's actions are Regenerate,
in craft villages in Northern Vietnam is a Share, Optimize, Loop, Virtualize, and
widespread practice. These craft villages are Exchange. The framework is commonly used to
typically small-scale, often operating at a evaluate the implementation of CE practices in
household level, and clustered together with a various sectors, such as the built environment
long tradition. Production technology remains [12], municipal waste management [13],
manual, and input materials are mostly manufacturing industry [14], climate change
uncleaned scrap. Most production facilities lack [15], planted tree sector in Brazil [16], and the
measures to control pollution, treat waste, and water and wastewater sector [17, 18]. However,
ensure necessary labor protection [4, 5]. this tool has not yet been used to determine
Therefore, although the quantity is small, plastic potential circularity in the plastic industry. In the
recycling craft villages have been causing severe past, our research used the ReSOLVE
environmental problems [5, 6]. Some studies framework to identify current and potential
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practicing CE in the plastic sector. There are a economy. In addition, articles and books have
lot of differences between the plastic industry been researched and used to evaluate the current
and plastic in craft villages. status of plastic waste research in Vietnam and
This study fills this gap by assessing the worldwide.
current state and potential of implementing a
circular economy for plastic businesses in plastic 2.2. Sociological Investigation Methods
recycling craft villages of Vietnam.
Phan Boi and Minh Khai in Hung Yen
province are two villages known for plastic
2. Methods recycling. These villages primarily focus on
purchasing, producing, and trading recycled
2.1. Methods of Collecting Secondary Information plastic products.
Their source materials include used plastic
This study gathers information on the bags, components, and packaging, collected
Vietnamese plastics industry from various domestically and even imported. Notably, plastic
sources, including national reports or research on in these two craft villages is limited. This lack of
plastic waste, relevant legal regulations, and advanced technology creates significant pressure
practical solutions for implementing a circular on the environmental quality of both villages [19].

Figure 1. Method diagram.

Plastic collection and recycling activities in Phan Boi plastic craft villages: i) Primary
plastic craft villages form a production chain collection: Establishments purchase plastic
supplying recycled plastic to the local and waste from households and waste collectors and
surrounding areas. The survey identified four resell it to other businesses; ii) Secondary
primary types of production in Minh Khai and collection: Individuals and businesses purchase
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scrap plastic from primary collectors within and determine the current application of the circular
outside the villages. The collected plastic is then economy model in plastic production and trading
sorted and resold; iii) Primary recycling: businesses. The research steps are outlined in
Producers buy scrap plastic from secondary Figure 1.
collectors and other sources and then process it
into plastic granules; and iv) Secondary 2.3. Evaluation Method of Implementing Circular
recycling: Producers create plastic products, Economy According to the Resolve Analysis
such as bags, chairs, tables, cups, and mugs. Framework
This study focuses on two primary
production types, primary and secondary There are six business actions to implement
recycling, to investigate and assess their the principles of the circular economy
knowledge and circular economy practices. The representing significant circular business
number of primary and secondary recycling opportunities depicted by the ReSOLVE
enterprises in these two craft villages is limited, framework [1]. This study uses the ReSOLVE
and access to these enterprises is also framework [1, 20] to assess activities toward a
challenging. Therefore, this study only surveyed circular economy in plastic businesses in craft
30 businesses in Minh Khai and Phan Boi craft villages. Specifically, the evaluation criteria are
villages using interview questionnaires to as follows:

Table 1. Circular practices were used to evaluate facility performance [16]

ReSOLVE Description of practices

Has waste management for regeneration of what can be used.
Practices reverse logistics of the inputs used.
Regenerate Generates non-toxic residues in the process.
Uses raw material from renewable sources.
Uses energy from renewable sources (clean).
Performs sharing (cars, rooms, materials for professional use, appliances, etc.).
Practice sharing with other companies (equipment, training, resources, raw materials, etc.).
Share Uses second-hand (used) products.
Provides rental, sharing, leasing and concession services.
Performs life cycle analysis of products.
Invests in technology to increase product performance/efficiency and its useful life.
Invests in technology to optimize the use of resources and reduce waste generation.
Invests in continuous improvement.
Avoids/reduces the generation of waste in the process.
Campaigns on conscientious consumption.
Encourages customers and suppliers to reduce consumption.
Optimize Uses production methods based on cleaner production, avoiding the generation of waste
through the maximum use of inputs.
Replaces the use of toxic substances.
Refuses to buy and sell products with dangerous components.
Refuses products or services from companies that do not respect environmental legislation.
Has a closed cycle for using water in the process.
Has a high technological level of research and development.
Practices product reuse.
Loop Uses reusable and/or recycled inputs (e.g., packaging).
Encourages the consumption of reused products.
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Encourages the reduction of consumption of products and resources.

Encourages recycling and reconditioning as an alternative to disposal.
Encourages the use of waste for energy production.
Products are designed with the possibility of reuse and recycling in mind.
Practices recycling of materials.
Performs the extraction of substances from waste.
Practices dematerialization in sales (use of digital technologies).
Practices dematerialization in purchases (use of digital technologies).
Virtualize Uses technological resources that reduce the use of offices and travel.
Uses advertising and digital marketing campaigns.
Provides solutions in the form of services, product-service system.
Replaces the use of non-renewable materials with more advanced ones.
Exchange Updates products/services.
Updates older technologies with more efficient ones.

To quantify the level of practice application, 3. Results and Discussion

a scaled scoring system from 0 to 10 is used, with
0 points assigned to “Nonexistent” (KTT), 4 3.1. Current Status of Production, Business, and
points to “Newly Implemented” (MTH), 7 points Awareness of the Circular Economy of Some
to “Established” (DTL), and 10 points to Plastic Businesses in Craft Villages
"Optimized” (TUH). We then recorded the
average scores and standard deviations for
adopting each practice and action group within
the ReSOLVE framework.

2.4. SWOT Analysis

SWOT analysis evaluates an organization's

internal strengths and weaknesses and external
opportunities and threats within its environment.
Internal analysis identifies the organization's
resources, capabilities, core competencies, and
competitive advantages. The external analysis
identifies market opportunities and threats by Figure 2. Production scale according
examining competitor resources, the industry to investment capital.
environment, and the broader external
environment [21]. A survey of plastic manufacturing
This study employs a SWOT analysis to enterprises in craft villages revealed that most
identify the strengths, weaknesses, respondents (40% to 43.33%) were small and
opportunities, and challenges plastic medium-sized businesses with investment
manufacturing enterprises face in Minh Khai and capital below 1 billion VND. These businesses
Phan Boi craft villages implementing circular primarily engage in initial plastic recycling.
economy initiatives. Based on these findings, They purchase plastic waste collected by
appropriate circular economy implementation households, then sort, clean, and grind or shred
solutions for these enterprises will be proposed. it into plastic granules and flakes. Some
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businesses produce plastic products such as Overall, the complete application of

bags, chairs, tables, cups, and mugs. environmental management solutions remains
During the survey, when the concept of very low (0-10%) (Fig. 4).
circular economy was not explained, a
significant portion of businesses (86.7%)
reported not implementing any circular economy
practices (Fig. 3a). However, after the concept
was presented, this number dropped to 73.3%
(Fig. 3b). This suggests that many businesses,
particularly small ones, were unfamiliar with the
idea of the circular economy. Their resource-
saving practices likely stemmed primarily from
cost-reduction goals rather than a conscious
effort toward circularity (Fig. 3).

Figure 4. Rate of application of environmental

management solutions by businesses
in the study area.
Note: KAD: Not applicable; MP: Partially
applicable; HT: Fully applicable.

Figure 3. Percentage of establishments applying

circular economy practices.

A survey of businesses in craft villages

revealed a concerning lack of environmental
management practices. Most (73.3% - 90%) do
not implement any solution, with information Figure 5. Essential action strategies in encouraging
sharing being the least adopted (90%). This the adoption of a circular economy.
suggests a reluctance among businesses to share
production and management knowledge. Partial Interviews identified businesses' most
implementation of environmental solutions is critical strategies for promoting circular
also limited, ranging from 3% to 23.3%. While economy adoption: a supportive business
partially applied renewable energy (23.3%) and environment (particularly market cooperation)
cleaner production solutions (20%) are the most and educational initiatives (Fig. 5). This aligns
common practices, they focus primarily on cost- well with the current awareness regarding the
saving within the production process rather than circular economy. Since the concept is not yet
a commitment to environmental sustainability. widely understood, a market environment that
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promotes circular practices is crucial. 3.2. Assess the Current Status of Implementing the
Additionally, educational policies are essential Circular Economy Model in Plastic Businesses
to raise awareness and shift mindsets among According to the ReSOLVE Framework
businesses and workers. This shift prioritizes
environmental protection alongside economic The results of the investigation and
benefits, ultimately contributing to a sustainable interviews with 30 plastic plants on
economy. implementing practices belonging to 06 action
groups according to the ReSOLVE framework
are presented in Table 2 and Figure 6 as
weighted score evaluations.
Table 2. Implemented Circular Economy in the plastic recycling businesses, according
to the ReSOLVE framework

Standard
Average
Re- Point deviation
Description of practices point
SOLVE Code σ
KTT MTH ĐTL TUH Total
Has waste management for
Re1 0 0.8 0.5 0 1.3
regeneration of what can be used.
Practices reverse logistics of the inputs
Re2 0 0.3 0.5 0 0.8
used.
Regenerate Generates non-toxic residues in the
Re3 0 0.1 0 0 0.1 0.6 0.2
(Re) process.
Uses raw material from renewable
Re4 0 0.8 0 0 0.8
sources.
Uses energy from renewable sources
Re5 0 0 0 0 0
(clean).
Performs sharing (cars, rooms,
materials for professional use, S1 0 0.1 0 0 0.1
appliances, etc.).
Practice sharing with other companies
(equipment, training, resources, raw S2 0 0.1 0 0 0.1
materials, etc.).
Share
Uses second-hand (used) products. S3 0 0.5 0.5 0 1 0.3 0.1
(S)
Extends the life of products with
S4 0 0.3 0 0 0.3
designs aimed at durability.
Provides rental, sharing, leasing and
S5 0 0 0 0 0
concession services
Performs life cycle analysis of
S6 0 0 0 0 0
products.
Invests in technology to increase
product performance/efficiency and its O1 0 0.3 0.2 0 0.5
useful life.
Invests in technology to optimize the
use of resources and reduce waste O2 0 0.4 0.5 0 0.9
generation.
Invests in continuous improvement. O3 0 0 0.5 0 0.5
Avoids/reduces the generation of
O4 0 0.9 0 0 0.9
Optimize waste in the process.
0.7 0.2
(O) Campaigns on conscientious
O5 0 1.1 0 0 1.1
consumption.
Encourages customers and suppliers to
O6 0 0 0 0 0
reduce consumption.
Uses production methods based on
cleaner production, avoiding the
O7 0 0.3 0.2 0 0.5
generation of waste through the
maximum use of inputs.
Replaces the use of toxic substances O8 0 0.4 0 0 0.4
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Refuses to buy and sell products with

O9 0 0 0.5 0 0.5
dangerous components.
Refuses products or services from
companies that do not respect O10 0 0.5 0.5 0 1
environmental legislation.
Has a closed cycle for using water in
O11 0 0.8 0 0.7 1.5
the process.
Has a high technological level of
O12 0 0 0 0 0
research and development.
Practices product reuse. L1 0 0.7 0.5 0 1.2
Uses reusable and/or recycled inputs
L2 0 0.5 0.5 0 1
(e.g., packaging).
Encourages the consumption of reused
L3 0 0.7 0 0 0.7
products.
Encourages the reduction of consumption
L4 0 0 0.5 0 0.5
of products and resources.
Encourages recycling and
Loop reconditioning as an alternative to L5 0 0.1 0 0 0.1
0.5 0.2
(L) disposal.
Encourages the use of waste for energy
L6 0 0 0 0 0
production.
Products are designed with the
possibility of reuse and recycling in L7 0 0 0 0 0
mind.
Practices recycling of materials. L8 0 0 0.5 0 0.5
Performs the extraction of substances
L9 0 0.4 0 0 0.4
from waste.
Practices dematerialization in sales
V1 0 0.3 0.2 0 0.5
(use of digital technologies).
Practices dematerialization in
V2 0 0.3 0.2 0 0.5
purchases (use of digital technologies).
Vertualize Uses technological resources that
V3 0 0 0 0 0 0.3 0.1
(V) reduce the use of offices and travel.
Uses advertising and digital marketing
V4 0 0.3 0 0 0.3
campaigns.
Provides solutions in the form of
V5 0 0 0 0 0
services, product-service system.
Replaces the use of non-renewable
E1 0 0 0 0 0
materials with more advanced ones.
Exchange
Updates products/services. E2 0 0.7 0 0 0.7 0.4 0.2
(E)
Updates older technologies with more
E3 0 0.4 0 0 0.4
efficient ones.

Note: KTT: Nonexistent; MTH: Newly Implemented; DTL: Established; and TUH: Optimized.

An evaluation using a weighted scoring individual score within this group (1.5 points)
system was conducted based on a survey and (Fig. 6c).
interviews with 30 plastic businesses. The It can be seen that the practices of the
evaluation assessed their implementation of Optimize-O group are focused on businesses,
practices within six action groups defined by the especially large-scale businesses. These
ReSOLVE framework. The results revealed practices all contribute to increasing economic
generally low scores across all six action groups, benefits for enterprises, such as reducing
indicating that most practices are not widely investment costs in input materials and reducing
implemented in these small-scale enterprises. output waste treatment costs. Besides, saving
Among the action groups, "Optimize" resources and costs is mainly brought about by
achieved the highest average score (0.7 points). the water reuse process (the closed cycle of water
Notably, the practice of "Having a closed-loop use). However, this group's practice of
water system in the process" received the highest "Encouraging customers and suppliers to reduce
42 T. T. Yen et al. / VNU Journal of Science: Earth and Environmental Sciences, Vol. 40, No. 3 (2024) 34-47

consumption" is not implemented at all by reduce their customer base and lose potential
businesses because businesses do not want to customers.

a. Regenerate b. Share

c. Optimize d. Loop

e. Virtualize f. Exchange

Figure 6. Results of six action groups in the ReSOLVE framework.

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Following "Optimize", practices within the materials." This suggests that a primary focus on
"Regenerate-Re" group achieved an average economic benefits may overshadow resource
score of 0.6 points (Fig. 6a). This group conservation and environmental protection
emphasizes waste management to regenerate efforts. Similarly, a study by Rizos et al.
materials and closed-loop water systems, identified a lack of skills within small- and
practices that align with businesses' desire to medium-sized enterprises (SMEs) as a
save resources during plastic production and significant barrier to implementing the circular
recycling. However, "Using energy from economy. These businesses often fail to recognize
renewable (clean) sources" stands out as the only the potential benefits of adopting more advanced
practice absent (0% adoption) within this group. technologies, which can reduce environmental
Interviews revealed that businesses perceive impacts and generate cost savings [23].
transitioning to renewable energy as expensive The Share (S) and Virtualize (V) action
and difficult to manage. As previous studies groups (Fig. 6b and Fig. 6e, respectively) see
have demonstrated, the information exchange almost no implementation among plastic
system within logistics is limited in supporting manufacturers. This reluctance likely stems from
the transition to a circular economy. Goods a culture of confidentiality, as most businesses
flows, including those involved in reverse hesitate to share internal production information
logistics and supply chain management, are to avoid potential losses. Additionally, 100% of
managed through logistics services. The current companies do not conduct a "Life Cycle
network design is a barrier to achieving circular Assessment" (LCA). While LCA is crucial for
economy goals and requires adaptation to identifying opportunities to implement a circular
facilitate seamless shifts between transportation economy, it remains a new concept for many
modes [22]. businesses, leading to a lack of adoption.
The "Loop" action group (Fig. 6d) ranked The barriers to implementing a circular
third in performance with an average score of 0.5 economy within plastic enterprises identified in
points. This group extends reuse beyond waste this study align with findings from other
materials (Regenerate-Re) to include inorganic research. For example, a study by author Jaeger
or "technical" materials. These materials can be and colleagues highlighted several challenges
recycled or, even better, remanufactured. faced by plastic enterprises, including the quality
"Reusing products" is the most common practice of recycled materials, the complexity of the
within this group, scoring a relatively high 1.2 supply chain, coordination issues among
points, second only to "closed-loop water use" companies, product design and production
and "waste management". This highlights the limitations, difficulties in product dismantling,
cost-effectiveness and importance of reuse in and high initial investment costs [24].
saving raw materials and boosting economic Based on the business surveys and circular
efficiency. However, two practices within economy practice evaluations, here are some
"Loop" remain unimplemented: "Encouraging general observations on plastic production and
the use of waste to produce energy" and recycling practices in the study area (Table 3).
"Designing products for reuse and recycling".
Survey results show these practices score 0 Table 3. Analysis SWOT in plastic businesses
points due to perceived difficulty, cost, and the
Strengths (S) Weaknesses (W)
challenge of measuring their effectiveness. - Recycling and - Haven't had access to
The Exchange (E) action group (Fig. 6f) production of plastic regulations/policies/pra
stands out for its minimal implementation. products takes place ctice guidelines for the
Notably, 100% of plastic manufacturing concentrated in craft plastic industry.
facilities do not engage in "Replacing the use of villages. - Recycling technology
non-renewable materials with more advanced is not modern,
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- Abundant labor especially for small economy systems. Therefore, based on the
source, low labor costs. businesses; having current status of CE practice in plastic recycling
- Have its own difficulty investing in craft villages and CE implementation in
collection and recycling technological change. Vietnam, this study proposes several solutions to
system. - Raw materials are
promote the CE implementation process for the
- Large recycling mainly imported from
market. abroad.
plastic industry, especially for plastic businesses
- Possesses a skilled - Business awareness of in craft villages.
workforce and the plastic waste and - Solutions to maintain O – Re – L
potential to create value recycling is not implementation for large-scale enterprises:
from waste. complete. A clear legal framework, from Party
Opportunities (O) Threats (T) guidelines to national laws and policies, is
-The Government and - Documents guiding essential to support the development of a circular
state pay attention to the practice of circular economy, particularly within the plastics
and promote the economy for the plastic industry. This framework should be
implementation of industry are not yet complemented by an official website that
circular economy available
provides easily accessible models for circular
through regulations - Businesses are not
codified in legal willing to economy practices. This website can empower
documents. convert/change the use plastic manufacturers to make environmentally
- Encourage and have of renewable energy. responsible choices by providing information on
mechanisms to - The scale of energy and fuel conservation, using renewable
encourage businesses to businesses is often energy sources, and emissions reduction. This
implement circular medium and small, so two-pronged approach – establishing a legal
economy. they have limited foundation and offering practical guidance – will
- The plastic industry is access to information drive the transition towards a circular plastics
one of the industries and willingness to economy. Large enterprises generally have
with natural potential invest/improve
better access to information and technology than
suitable for production technology.
implementing a circular small enterprises. To address the gaps identified
economy. in Re – O – L practices, the following solutions
are recommended for this group: i) Regenerate-
3.3. Promoting Circular Economy in Plastic Re: Innovate recycling technology, utilize
Businesses renewable energy to reduce environmental
emissions, and enhance the quality of recycled
According to the results of assessing the products to improve their competitiveness; ii)
level of implementation of circular economy Loop-L: Extend the lifecycle of plastic products
(CE) solutions according to the ReSOLVE through redesign, enabling easier recovery,
framework, it is evident that most plastic reuse, and recycling of used products; iii)
manufacturing enterprises in craft villages have Optimize: Employ less toxic production
not yet adopted circular economy practices. processes and promote reduced consumption
Although there are existing policies and legal - O – Re – L approach solutions for small-
regulations to promote the transition to a circular scale businesses:
economy, there is a need for more detailed sub- Small businesses typically need more time to
law regulations to provide specific guidance for transition to a circular economy. To start, we
different industries and enterprises. This should launch an educational campaign to
includes clearly defined incentive mechanisms, increase awareness and understanding of the
implementation procedures, and evaluation circular economy and its benefits among this
criteria. Inconsistent recycling standards and group. Then, it's essential to guide how to
infrastructure create barriers to efficient circular transition, helping these businesses identify their
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position in the plastics and recycling supply economic instruments to protect the
chain and implement suitable strategies. environment. Fostering public-private
Government support facilitates access to capital, partnerships is crucial to raising awareness
appropriate production facilities, and advanced among plastic businesses about the importance
production and recycling technologies. A of circular economy principles.
comprehensive, multi-faceted roadmap is
necessary to effectively promote the circular
economy transition for plastic businesses, 4. Conclusions
particularly small-scale enterprises.
- Solutions to improve the ability to access A comprehensive study was conducted to
and implement E – S – V in all scale businesses: evaluate the applicability of the ReSOLVE
The analysis of the E – S – V above activities framework within the context of plastic
indicates that most businesses have not businesses operating in craft villages. To assess
implemented these solutions. Therefore, this the current state and potential for improvement
study proposes several strategies to promote E – of circular economy practices, a weighted
S – V adoption. scoring methodology on a 10-point scale was
For the Exchange element, a successful employed. The findings indicate a low adoption
transition to a circular plastics economy rate of circular economy principles among most
necessitates a comprehensive approach businesses. Notably, the 'Optimize' category
encompassing policy, public awareness, and exhibited the highest performance with a score
technological innovation. Firstly, businesses of 0.7, while the 'Share' and 'Virtualize'
should modernize production technology by categories demonstrated the lowest levels of
replacing non-renewable materials with implementation.
advanced alternatives and fostering research and A SWOT analysis was performed to gain a
development of production technologies that deeper understanding of the factors influencing
support biodegradable, reusable, and circular economy adoption, identifying the
environmentally friendly products. businesses' strengths, weaknesses, opportunities,
Increased sharing within the plastics supply and threats. The plastic craft village boasts a
chain is crucial to implementing the Share action skilled workforce and the potential to generate
of the ReSOLVE framework. This involves value from waste. However, limited knowledge
sharing assets (e.g., cars, rooms, professional of circular economy principles, inadequate
infrastructure, and negative public perception
equipment, appliances) or resources (e.g.,
pose challenges. Opportunities arise from
equipment, training, raw materials) among
government and state attention to and promoting
businesses.
circular economy through formalized
Regarding the Virtualize element,
regulations. Threats include restricted access to
integrating information technology into information and a reluctance to invest in or
production and business operations is essential. improve production technology. Based on these
This includes utilizing technology to reduce insights, the research proposes actionable
office space and travel, employing digital recommendations to stimulate the integration of
marketing campaigns, and offering service- circular practices within the studied region.
based solutions. Future efforts necessitate the involvement of the
Implementing these E – S – V strategies government, regulatory bodies, non-
requires a clear legal framework with detailed governmental organizations, and businesses in
guidelines. This framework should encompass fostering the implementation of the circular
general circular economy regulations, specific economy in plastic craft village enterprises.
implementation responsibilities, incentive Simultaneously, policy frameworks that
mechanisms to encourage adoption, and incentivize and support enterprises, coupled with
46 T. T. Yen et al. / VNU Journal of Science: Earth and Environmental Sciences, Vol. 40, No. 3 (2024) 34-47

detailed circular economy implementation Environment- the Situation and Solutions,

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