RESUMO
Objetivo: Essa pesquisa teve como objetivos avaliar a percepçâo do consumidor em relaçâo ao consumo de produtos resultantes do processo de upcycling e compreender os aspectos positivos e negativos da prática do upcycling e de que forma impacta as dimensőes sociais, ambientais e económicas das organizaçöes que adotam esse processo. Referencial teórico: Diante da preocupaçâo com o meio ambiente, as organizaçöes tem buscado por práticas sustentáveis que se tornem vantagens competitivas. Entre essas alternativas surge o upcycling, caracterizado pelo reaproveitamento de residuos eliminados transformando-os em novos produtos de valor agregado. Método: Foi realizada uma pesquisa aplicada quantitativa-qualitativa. A etapa quantitativa da pesquisa foi realizada por meio de um survey para avaliar a percepçâo do consumidor. Na etapa qualitativa, foram realizadas entrevistas semiestruturadas com gestores que utilizam o upcycling no processo produtivo. Resultados e conclusão: As análises apontam que o upcycling é considerado uma alternativa sustentável de produçâo e consumo. Entretanto, existem barreiras que precisam ser superadas no que tange a utilizaçâo e disseminaçâo dessa prática, para que a temática seja cada vez mais discutida pela sociedade e aplicada nas organizaçöes, impactando as relaçöes de consumo. Implicates da pesquisa: A pesquisa contribui teoricamente fornecendo informaçöes derivadas da coleta de dados primários a respeito da visâo de consumidores e gestores das organizaçöes pesquisadas sobre o upcycling. Como contribuiçâo prática, espera-se a conscientizaçâo da sociedade, tanto os consumidores quanto as organizaçöes já existentes e as que estâo por surgir, sobre a existencia e as múltiplas possibilidades na utilizaçâo do upcycling. Originalidade/valor: O estudo também contribui com a reflexâo sobre a utilizaçâo de novas práticas socioambientais que podem ser aplicadas nas organizaçöes, diante da perspectiva do consumidor e dos gestores.
Palavras-chave: Upcycling. Sustentabilidade. Meio Ambiente. Economia Circular.
ABSTRACT
Objective: This paper aims to assess consumer perception of the use of upcycled by-products and understand the positive and negative aspects of upcycling practice and how it impacts the social, environmental, and economic dimensions of organizations that opt for this process. Theoretical framework: Environmental concerns have made organizations look for sustainability-oriented innovation practices that can become competitive advantages. Upcycling, characterized by the reutilization and transformation of waste into new value-added products, is among the alternatives. Method/design/approach: Quantitative-qualitative applied research was performed. The quantitative stage of the research was carried out using a survey to assess consumer perception. In the qualitative stage, semi-structured interviews were conducted with administrators who use upcycling in their production process. Results and conclusion: The analyses indicate that upcycling is considered a sustainable alternative for production and consumption. However, there are barriers that need to be overcome as regards the use and dissemination of this practice, so that the theme can be increasingly discussed in society and applied by organizations, impacting consumer relationships. Research implications: This research contributes theoretically by providing information derived from the collection of primary data, as regards consumer and administrator's views on upcycling. From a practical perspective, it is expected this contribution can raise the awareness of society, consumers, existing organizations, and those yet to emerge for the existence and multiple possibilities of upcycling. Originality/value: The study also contributes to the reflection on the use of new socio-environmental practices that can be applied in organizations, from the perspective of consumers and administrators.
Keywords: Upcycling. Sustainability. Environment. Circular Economy.
1INTRODUCTION
Expressions of concern about the future of the planet are increasingly common among organizations and consumers. In view of this and seeking to reduce environmental impact, innovative practices emerge to reinsert products that would otherwise be discarded (Singh, Sung, Cooper, West & Mont, 2019). In this sense, the need for change in production methods and consumption models to reduce such impacts became evident.
There is increasing environmental awareness of the urgency to address environmental challenges and further the understanding of governance mechanisms for sustainability, demanding the involvement of different actors in the transition to a more resource-efficient society (Singh et al., 2019).
Thus, consumption goes beyond the mere act of consuming, since it is an activity in which behaviours, ideas, interests, and preferences that symbolise the individual's belonging and relationship with society are inscribed (Calado & Perdigão, 2020).
It is accepted that a new understanding of consumption and development needs to be welcomed in contemporary society. One that prioritizes fair social and economic growth, produces meaning and identity. It is in this scenario that the concept of 'upcycling' emerges, a process in which products and materials no longer in use or about to be discarded are reutilized, repaired, upgraded, and remanufactured in order to increase their added value, enhancing the perception of the product (Singh et al., 2019).
Therefore, production starts prioritizing sustainable practices that impact on the efficiency of organizations (Kularatne, Wilson, Mansson, Hoang & Lee, 2019) and such sustainable practices, in addition to being considered competitive advantages, occur due to the scarcity of resources, consumer awareness feedback on products/processes, environmental regulations, and cost savings (Raut et al., 2019).
The focus of this study is upcycling, characterized by the reutilization of waste, transforming it in new value-added products using less energy and means for its reuse (Paula, Barauna & Lira, 2020). In order to deepen our study on the subject, this research was divided in two objectives. The first is to assess consumer perception and response to upcycled by-products. The second is to understand the positive and negative aspects of upcycling and how it impacts social, environmental, and economic dimensions of the organizations that opt for this process.
The present study is justified as it contributes to the research field of organizational studies by understanding the perception of consumers and administrators as regards upcycling and its use in the Brazilian market.
This study was structured in five topics: the present introduction, theoretical framework, methodological procedures used in the research, major findings, and final considerations.
2THEORETICAL FRAMEWORK
The concept of upcycling emerged from a need for production and consumption profound shift. It was addressed by William McDonough and Michael Braungart in their 2002 book Cradle to Cradle: Remaking the Way We Make Things. According to these authors, the purpose of this concept is to prevent high quality materials from being dumped, but rather valued instead as they can be re-utilized. Thus, with the decrease in the consumption of new raw materials for the creation of new goods, there is consequently a decrease in the use of energy, contamination of air and water, and the gases behind the greenhouse effect (Lucietti et al, 2018).
Todeschini, Cortimiglia, Callegaro-De-Menezes and Ghezzi (2017) affirm that upcycling makes part of the context of sustainability as it reutilizes resources that would otherwise be discarded, extending their life and reducing the need to use new natural resources. According to these authors, upcycling is different from recycling as the latter implies a conversion of existing materials to create different products, in addition to involving high energy consumption, being considered the last option of the 3 Rs (reducing, reutilizing, and recycling).
In this sense, upcycling within a circular economy sounds like a sustainable option, as it is practised continuously and cyclically, since circular economy is based on reducing the linear production-consumption system and the value of products, materials, and resources end up being kept in the economy for a longer period, minimizing wastage (Barreiro-Gen & Lozano, 2020).
It is important to emphasize that upcycling also comprises a process that is different from what occurs with downcycling, since in upcycling there is the attribution of value to rejected materials, in addition to the possibility of reducing the negative effects on the environment and without the need to further use of energy and chemicals (Moreira, Marinho, Barbosa & Bizarría, 2018). Upcycling can therefore be defined as a process in which products and materials no longer in use or about to be discarded can be recovered in order to increase their value. This is the main difference of upcycling in relation to recycling (downcycling), as the value in recycling is generally at least partially lost (Singh et al., 2019).
Upcycling activities are influenced by the social, economic, and political context in which they occur. According to Bridgens et al. (2018), upcycling can be used to attend to basic human needs such as the use of waste to build sheltering, or as art or craft. In addition, the availability of raw material, the end goal, and the craftsmanship involved in the design, manufacture, and redefinition of the materials differ in line with the cultural and geographical reality of the place.
Furthermore, in the face of social and environmental challenges, sustainability-oriented innovation is needed, that is, innovation that adds value to sustainable development and exerts a positive influence on the economic, social, and environmental dimensions (Gaudig, Ebersberger & Kuckertz, 2021). Thus, according to Egelyng et al. (2017), upcycling denotes the innovation potential for applications that allow not only monetary appreciation, but also the reduction of environmental impact in relation to economic value. In other words, it is a dual process of adding monetary value and reducing environmental impact per unit of resource.
The term upcycling can be identified in different sectors of the economy such as furnishings, appliances, fashion, and many others. The growing number of publications on upcycling in various distinct areas also shows that the concept has been receiving increasing attention from numerous corporations, researchers, and professionals from recent years. According to research by Sung (2015), the main areas that study the topic are: engineering and technology, design and administration, with approaches ranging from literature survey to experiments and case-studies.
Aus (2011) highlights the advantages of utilizing upcycling such as: to minimize energy resources, value existing materials, create the "new" unique product from the "old", and the opportunity to select the best process from an environmental and socio-ethical perspective. Aschemann-Witzel and Stangherlin (2021) make a systematic review on food and beverage waste and conclude that upcycling is a relevant practice of innovation oriented towards sustainability, contributing to the reduction of waste and the efficient use of resources. In addition, according to these authors, when product communication emphasizes the environmental benefits, consumers are more predisposed to accept them.
In this sense, Kamleitner, Thürridl and Martin (2019) make an analogy with the Cinderella tale to explain that, like the character in the story, many reutilized products involve a biographical transformation, from tattered past identity to a product with a valuable new but different status. The authors argue that tradespeople need to help their customers infer such stories by highlighting the 'ragged' past identity of the products, as making this aspect salient increases demand for repurposed products.
McEachern, Middleton and Cassidy (2020) bring innovative solutions to encourage sustainable behaviour change concerning apparel consumption. The authors explore creative methods such as upcycling workshops and theatre performance, increasing consumer understanding, interest, and commitment to sustainable attitudes. Thus, they defend two strands of sustainability policies. The first focusing on apparel acquisition practices through a more effective approach such as contemplative theatre performance, and the second focusing on apparel disposal through upcycling.
It is noted, from the studies presented, the importance of upcycling for the environment and for economy. Investigating the phenomenon demonstrates a topic of relevance in practice, since evaluating consumer perception regarding consumption of upcycled by-products can help executives develop new and more creative ways of rethinking their businesses, and even repositioning their brands. In addition, by analysing upcycling from the perspective of administrators, it becomes possible to understand the economic, social, and environmental benefits that companies can obtain by using this process.
Based on the conceptual elements presented above, it became possible to conduct the current research using the methodological procedures detailed below.
3METHOD
This study is characterized as quantitative-qualitative research. With quantitative research it is possible to investigate levels of reality, while qualitative research seeks to analyse values, beliefs, and opinions, allowing for one study to bring reflections to be deepened by the other (Minayo & Sanches, 1993).
Thus, the first objective of this study is to assess consumer perception of upcycled by-products. For this, a quantitative research of the descriptive type was carried out and data collected through a survey and the use of questionnaires.
The questionnaires were sent by email or messaging apps, in a non-probabilistic way, for convenience. The link to the survey directed the respondents to questionnaire designed using Qualtrics software. The sample consisted of 136 valid questionnaires, and the data was collected between January and May 2021. The analyses were performed by the Statistical Package for the Social Sciences (SPSS) software, using descriptive and frequency statistics.
The products and description of each of them were presented (Figure 1), using five different products and this was the only distinction between the questionnaires applied, as each respondent evaluated only one product. The links were sent randomly.
The first question was about the respondent's awareness about upcycling. After the participant answered the question, an upcycling concept would appear on the screen to situate the respondent. The text was as follows: "Upcycling basically consists of giving a new purpose to materials that would otherwise be discarded, using creativity and conferring quality equal to or even better than that of the original product." This made it possible for the respondent to follow the questionnaire even if the person was not initially familiar with the concept of upcycling.
The second question asked the respondent about having already purchased a product resulting from upcycling, including the possibility of answering: "I'm not sure", since it might not have been completely clear what the concept entailed, and considering still that the person could not identify an upcycled product from any other ever purchased.
Next, one of the following images was presented (Figure 1) and the explanatory text about each upcycled product. All products shown are real and are being, or have already been marketed.
In the next question, the respondent would need to state whether or not they knew the product, and then answer four questions, using a 7-point likert scale, to show their perception regarding the consumption of upcycled by-products: purchase intention, environmental benefit resulting from the acquisition, whether they would opt for that product compared to a substitute with the same function, and rate their perception of the quality of the product.
Finally, it was asked if the respondent would be interested in purchasing an upcycled product, not necessarily any of those shown in the survey. Interest was measured using a 7-point likert scale, with 1 representing "no interest" and 7 "very interested", ending the survey.
In addition to the consumer perspective, it is also important to understand the perspective of administrators who use upcycling. Therefore, the second objective of the survey was to understand the positive and negative aspects of upcycling and how it impacts on the social, environmental, and economical dimensions of the organizations that opt for this process.
To serve this purpose, a pre-selection of companies that use upcycling in their production process was made. Searches using the terms 'upcycling' and 'company' were carried out on the Google search platform, and with the results obtained, Brazilian companies were pre-selected by reading their respective websites.
As an exclusion criterion, the companies should mention in the description of their activity that they used upcycling regardless of the segment of their products. Thus, after further refinement, 30 companies were selected. All 30 pre-selected companies were contacted via email and invited to participate in the survey. Those that did not reply to the email were then contacted by phone. Of these, six replied and their executives were willing to participate in the interviews. The interviews were carried out between January and February 2021.
The data in this research was collected through semi-structured interviews, with the objective of obtaining from the interviewees aspects they considered relevant on a given topic, from a topic guide with formulated questions (Godoy, 2010). Six executives were interviewed online using the 'Microsoft Teams' platform. The interviews were recorded with the permission of the participants. After the last interview, data saturation was noted, that is, a point was reached at which the responses did not convey additional information through further interviewing (Thiry-Cherques, 2009).
The interviews were then transcribed and analysed using ATLAS.ti software. After transcription and encoding the interviews, the data was examined using content analysis, that is, all content was classified into categories suggesting that each element had something in common, allowing its grouping by the existing common part.
4FINDINGS AND DISCUSSION
This topic presents the discussion of the findings of the data analysis of this study and its subtopics are divided in: (1) Quantitative analysis of consumer perception, (2) Qualitative analysis of administrator perception, and (3) Discussion of the findings.
4.1Quantitative analysis of consumer perception
The main objective of the quantitative stage of the research was to assess consumer perception in relation to the consumption of upcycling by-products, focusing on consumer awareness about upcycling; in the analysis of the consumer's perception in relation to the products, gathering information about purchase intention, benefits, preferences, quality, and interest in acquiring them.
The field of consumer behaviour seeks to understand, explain, and predict consumer behaviour through the use of models. Many of these models were used and adapted to try and explain how and why consumers incorporate, or not, sustainability issues into their purchasing behaviour patterns. In the waste management literature, there has been a move away from the attempt to describe "the recyclers" through their attitudes and rather identify concrete actions. The marketing literature has been focusing on consumer's perception of environmental issues, rather than their identifiable characteristics. This is a key-point which, if understood, will allow marketing professional to take a different perspective on segmentation, based less on a mass market approach to demographics and more on consumer beliefs (McDonald & Oates, 2006).
Starting the presentation of the findings, the quantitative stage of the research received 136 valid questionnaires, applied after a pre-test of the data collection instrument.
Regarding the characteristics of the survey respondents, in relation to gender, 69.117% were female and 30.882% male. The predominant age group among the participants was between 25 and 40, and 53.333% were in this age group. The data on family income shows 43.511% declaring that they receive between 4 and 10 minimum-wage salaries. About the place of residence, 75.735% of the participants reside in the city of Curitiba (state of Paraná, Brazil).
The analyses of the specific questions were the following: regarding the question: "Do you know what upcycling is?" 90.441% of the respondents stated they did not know the term, as shown on Table 1:
From the answers obtained in the questionnaires, it became clear that the term upcycling needs to become better known as only 9.558% participants knew its meaning. Strengthening the concept in the minds of consumers and making the process of upcycling clear to them, reinforcing that it is a way to add value to a product and a positive action on the part of manufacturers may well boost brands and the upcycling market altogether.
On Table 2 the data for question: "Have you ever bought an upcycled by-product?" is presented. Most respondents, 45.588%, said they were not sure, which is justified by their answer to the previous question.
However, when the concept of upcycling was presented to the participants in the survey, so that they could continue to answer the questionnaire, the concept understood, 34.558% of the respondents said they had already purchased um upcycled by-product.
It was not asked from where the participants knew the products, nor if the respondent's memory was of products similar to the samples, or the very same presented in the images. The question served as a check because knowing the product, the participant could consider other factors not related to upcycling in their judgement. Alongside, the sample was analysed disregarding the respondents that knew the product, as well as those who had already purchased an upcycled by-product. The results did not show significant discrepancies, therefore, the respondents were kept in the sample.
The analyses regarding respondent perception of upcycled by-products were obtained using a 7-point likert scale, in which 1 meant "totally disagree" and 7 "totally agree". The responses obtained are shown in Table 4.
Analysing the questions that investigated respondent's perceptions in relation to the products, most respondents were in favour of upcycling. A total of 63.234% of respondents stated gaining awareness about upcycling influenced their purchasing intention favourably, increasing it.
As Wekeza and Sibanda (2019) explain, intentions of consumer buying behaviour are generally an attribute of human behaviour. While a consumer's purchase intent is an early plan that may not necessarily lead to a real purchase in the future, a positive purchase intent suggests an increase in the likelihood of the individual purchasing the product.
Regarding environmental benefits provided by upcycling, 91.910% of the respondents agreed that the method benefits the environment, which can be a justification for the increase in purchase intent. According to Mkhize and Ellis (2020), consumers who show a pro-environment behaviour have their intentions positively influenced in relation to products with pro-environment appeal. The authors point out that the strengthening of environmental awareness and concern has led, for example, to an increase in purchase intention of organic products.
Continuing the analyses, 83.087% of the participants would opt for an upcycled product in case they were looking for something similar.
Regarding the perceived quality of the products, 80.145% of the respondents felt safe to say that an upcycled product has the same quality of a similar product produced with non-reutilized materials. The very concept of upcycling brings the premise that the product used as raw material must be transformed into a new product of superior quality even though, as explained by Singh et al. (2019), this is the great challenge for upcycling, that is, to ensure a predictable and stable flow of reutilized materials and products of consistent quality for production.
The last question was: "On a scale of 1 to 7, how interested are you in purchasing an upcycled by-product (consider any product, not just those shown here)?" The items in the scale reflected: 1 "no interest" and 7 "very interested". The answers are shown on Table 5.
According to the findings, 80.880% of the respondents said they were interested in purchasing an upcycled by-product. Li, Wang, Li & Liao (2021) explain that consumers have shown a profile of people that seek innovation. Such consumers motivated by new stimuli and seeking exclusivity are therefore increasingly inspired to purchase sustainable products. In addition, sustainable products have less negative impact on the environment than common products, helping consumers realise the advantages.
It is possible to consider that the sample in this survey got a positive perception in relation to upcycled by-products, bringing some evidence to respond to the objective of this quantitative research. It was also possible to meet the specific objectives of this research, the first being to raise consumer awareness as regards upcycling, which was minimal, with the result of 90.441% of respondents who did not know the meaning of the word upcycling.
The main contribution of this quantitative research resides in characterising the opinions of a heterogeneous group of people who endorse results already verified by bibliographic references, that upcycling is a production alternative that deserves attention and investment. It can not only serve a portion of consumers engaged in sustainable causes, but also those who are looking for these products and do not rule out the possibility of purchasing an artifact made with materials that gained a new meaning and perceived added value in the modification process.
4.2Qualitative Analysis of administrator perception
In this study, administrator-executives who use upcycling in their brand production process were also interviewed. All respondents are business owners and perform various functions in their business, such as: finance, marketing, commercial, accounting, and development of company strategies.
Among the six interviewees, five are women and only one male. The age of these executives varies between 32 and 47 years old. In addition, the interviewees are from different states of Brazil, namely: Paraná, Sāo Paulo, Rio de Janeiro, and Santa Catarina. Of the six executives interviewed, five are engaged in the creation and production of apparel and accessories, and one with interior design and furnishings. The pieces include accessories such as earrings and necklaces made from construction waste, customized jeans made with reutilized raw materials, jackets made from kite and surf sail material, furniture and baseboards, and women's and men's apparel.
The social, environmental, and economic impact of upcycling and its negative and positive aspects are presented below.
4.2.1 Impacts of using upcycling
Upcycling impacts the way consumers and administrators think and act. Such impacts were identified according to the sustainability tripod. The Triple Bottom Line concept (Elkington, 1997) analyses business action and the way development becomes economic, social, and environmental, and not just focused on profit. For a company to be prosperous, profitable, and to offer quality to its stakeholders, it needs to be managed based on these three pillars of the triple bottom line (TBL) theory, constituted by economic aspects, social equality, and environmental conservation (Carvalho & Lourenço, 2013).
Social dimension
From a social point of view, executives affirm that upcycling contributes to the generation of jobs, and consequently reduces poverty rates, once through work people gain dignity. In addition, it contributes to the reduction of mass production, child labour, and exploitation of the workforce, according to the report of executive E6: "There's no way I'm here working on these jeans and thinking on the environment without thinking about the social issue, the poverty issue, harassment, racial issues we see every day. So there are several issues: mass production, exploitation of the workforce, child labour, everything you can say: I can't agree with that " (E6).
Upcycling impacts the social aspect and makes people involved in this process part of a work that can help them improve their living conditions through humanized actions. Social cooperation is a significant mechanism that strengthens the community in the neediest layers of the population, while such issues can only be overcome through the combined action of public and private stakeholders (McEachern, Middleton & Cassidy, 2020).
Another social impact of using upcycling is empowerment and poverty reduction for those involved in this production process. This is already happening as the executives interviewed can be characterized by being small entrepreneurs, giving opportunities to service providers and suppliers who experience financial difficulties for working with materials that would otherwise be discarded. It is also noted that, because upcycling uses creativity, the people involved in the process feel proud of the final product they deliver, raising their self-esteem, as reported by interviewee E1: "In our company, the seamstresses are proud. Besides, upcycling is also empowering me and empowering my customers, because they know how many pairs of trousers are there in the product. So, it is empowering a cycle of social issues, and they feel proud of that" (E1).
Empowering leaders present themselves as people who positively influence their employees to do more than what is asked, go beyond what was proposed, and to be visionaries. Thus, when employees are part of the decision process, leaders dedicate themselves and become more involved in the process, promoting the development of the organization and empowering their employees (Fernandes, 2018).
The social pillar contributes to the growth of the social body, the corporate citizenship, the execution of occupational conduct, and guarantees individual rights (Paz & Kipper, 2016). Thus, the more people look for upcycled by-products, more jobs it will generate, as there will be a greater demand for production, reducing poverty rates and other inequality issues, promoting a more dignified, ethical, and sustainable society.
Another social impact concerns the dissemination of more conscious consumption, as reported by interviewee E1: "Surely there is a difference in consumer habits in this creation of a new narrative to change consumer perception of what textile waste is, and if he or she really needs to buy so many clothes that just stay there unworn" (E1). This social impact is also addressed in the studies of McEachern, Middleton and Cassidy (2020), when they report innovative ways to change the consumption of apparel in a sustainable way, reducing the impact of immediate consumption in fashion.
Thus, the main question about this pillar of sustainability is to find a social way for such actions to be practised. Social actions impact the whole ecosystem, because if people seek to become aware of all the benefits of using upcycling, they will also meet the economic and environmental pillar.
Environmental dimension
From an environmental point of view, upcycling impacts the environment from the moment it implies a need to change. This method has been helping to reduce waste and allows for a new form and destination of the upcycled by-products, since materials previously rejected start to have new value added to them, integrating creativity, innovation, and sustainability. This generates a positive impact on people's quality of life by not using chemical components that pollute soil, air, and water, as executive E6 reports: "Through upcycling, I manage to recover products, for example, pants that could go to the landfill, impact the soil, or be incinerated, impacting the air, the surroundings, the area " (E6).
Several studies relate the use of upcycling and the positive impact on the environment (Souza, Borsato & Bloemhof, 2017; Horodytska, Kiritsis & Fulanna 2020), since there is a decrease in waste disposal, as well as no need to use new natural resources (Todeschini et al., 2017).
There is an environmental impact in the use of upcycling, from a product that could go to waste and from the use of this method the material gets reutilized and transformed into something new, thus allowing for a new cycle to begin, within a circular economy. This transformation rises from a moment of awareness, generating a great positive impact on the environment, as executives E1 report: "Because in recycling you end up going through a process that uses energy, and often chemical processes for you to finally produce a new fabric, even if it is organic cotton, it also uses a lot of natural resources, whereas upcycling doesn't. You use what you already have. So it just snapped me out of it. Wow! This makes a lot of sense" (E1).
It is interesting to note that the speeches mention the environmental benefits of upcycling when compared to recycling (downcycling). There is a great differential in upcycling as it reduces the negative impacts on the environment without the need for using chemicals, and it transforms what would be otherwise discarded into a new product with added value (Moreira et al., 2018).
In the environmental pillar, it can be analysed that sustainable actions impact on the reduction of the irradiation of greenhouse gases; liquid and solid residuals; use of water; environmental laws; conscious utilization of raw materials used in manufacturing; environmental conservation, among others (Paz & Kipper, 2016). It is noted that executives understand that the use of upcycling as a production process is beneficial for the environment, and consequently for society as a whole.
The fashion industry, a market in which almost all executives interviewed operate, generates much negative impact on the environment. Therefore, it is necessary to find a solution for the reutilization of products that would otherwise be discarded, as with the increase in the commercialization of these items, the greater their disposal in the environment will be (Lucietti et al., 2018).
Economic dimension
Economic sustainability involves production, distribution, and consumption of goods or services in a sustainable way, that is, it means to seek profitable business growth, although causing less environmental impact (Carvalho & Lourenço, 2013). Thus, organizations seek to meet current needs, preserving and looking for new ways in which to continue producing and generating resources for the future. This aspect has also been considered by the executives using upcycling in their businesses, as interviewee E2 reports: "The idea was never to buy new raw materials; so we received donations. We had the idea of using a system of exchange whereby for every two kites that come in the project, we hand out one jacket to the donor" (E2).
It is noted that, from an economic point of view, upcycling contributes to the generation of income for those involved in the process (model makers, seamstresses, material donors), and also for the executive, but with practically zero impact on the environment. Another economic aspect that leads the executive to use upcycling is the high financial return, since there is an added value to the product, due to very history of its production, as it is handcrafted and exclusive, and this brings a good profit margin. Interviewee E2 highlights this aspect: "It is not a cheap product. We have a high cost. As we don't produce in scale, it is practically handmade, so the jacket's price at the point of sale, that is, to a person who wants to buy it is R$ 750,00. It is a very expensive jacket. You think, there are people who pay this price when they could be buying a new jacket for some, I don't know, R$ 550 or R$ 600,00, but they prefer to buy this jacket. There is a story behind it, it has purpose, it 's nice, and it has a history " (E2).
According to Egelyng et al. (2017), through upcycling, it is possible to combine reduction of environmental impact and add monetary value to the business, allowing for an economy that contributes to financial growth in a sustainable manner.
Upcycling also produces economic impact because from the moment the method became known, in 2002, when it was mentioned in the book "Cradle to Cradle: Remaking the Way We Make Things" (Braungart & Mcdonough, 2002), it became a differential in the market, as it contributes to the entire economic process, generating employment and income, moving the market even more by bringing in new entrepreneurs, but in a sustainable way. Interview E3 said: "I have decided that I could take advantage of the opportunities to have my own business, that business where you can decide on your time and work from home. It was a big turn of events in my life, and in the end all for the better, much better than I had ever expected. So it started like "I want to sell something on the internet to make my money ". And after that it all started to gain other proportions, I didn't even know what a 'brand' was" (E3).
Creative entrepreneurs, like the executives that were interviewed, use upcycling to assimilate productive activities that can be carried out sustainably, recognise new market environments, and understand the benefits of creativity in an ever changing environment (Silva et al., 2018).
4.2.2Negative aspects of using upcycling
It is important to mention that the executives also found negative aspects to the use of upcycling. The main one is the limited production capacity of the items sold. Many who use upcycling are small companies, micro-entrepreneurs, and they cannot produce on a large scale, often being incapable of meeting the demand, as executive E6 reports: "Idon't need to produce on a giant scale, but I would like to increase my production a little, you know? Upscaling a bit, just to have better revenue, to be able to expand, right? I don't manage to expand because I don't have the capital for it, I don't have the structure; there are several issues. And then the upcycling technique makes my situation worse, it doesn't help, because I could try and expand little by little, if I could upscale, if it would be easier, but it's not. And this is a production limitation, which for me is a negative point" (E6).
In addition, it can be mentioned that some brands discuss upcycling, but they have not yet been able to manage production wastage, as executive E4 reports: "Negative for me is because I'm a frantic creator, so I've also started thinking I'm also generating quite a lot of waste, even doing upcycling" (E4).
This type of difficulties is also mentioned in the studies of Harris, Roby and Dibb (2016) who have identified barriers and challenges faced by sustainable apparel. For these authors, there are barriers to sustainability in the behaviour of purchase, care, and disposal of apparel on the part of consumers, as: (i) sustainability of apparel is very complex; (ii) consumers are very diverse, as are their ethical concerns; and (iii) buying clothes is not so much an altruistic purchase. Targeted interventions have been proposed to consumers, suppliers, buyers, and retailers to encourage more sustainable behaviour as regards production, purchase, care, and disposal of apparel. These interventions range from standardising sustainable apparel design and increasing ease of purchase, to changing clothing washing instructions and increasing upcycling, recycling, and repair.
It is noteworthy that another negative point of upcycling is the appropriation of the term by companies that claim to use this method to gain brand visibility, as reported by interviewee E1: " This happens a lot in the fashion world, especially when people appropriate the term and do 'greenwhasing'. This is a masquerade because, as I've told you, it is the essence of upcycling that you can produce on a very small scale " (E1).
Many products cause negative effects on nature, that is, they are not sustainable for the environment, like vehicles, for example. Thus, many organizations launch bogus campaigns advertising sustainable consumption and take advantage of that to, in fact, do "greenwashing", that is, they deceive consumers as regards environmental concerns when this in fact does not occur (Ferreira, Cunha, Barbosa & Toschi, 2019).
Also, another negative aspect is misinformation. There is a lack of awareness among people about what upcycling is, as the term has not yet been widely disseminated and only a few consumers and entrepreneurs have heard about this production process and its benefits for the environment. Executive E5 comments on this issue as follows: "The main challenge is the difficulty of developing products that use upcycling in a market like Brazil, where education basically does not consider this type of concept, lacking to understand the importance of preserving the environment, and where there 's also a lack of socially responsible businesses " (E5).
It is essential that the community and schools develop strategies to disseminate the relevance of sustainable methods in the production chain to society. The relationship of eco-fashion, including craftspeople and students was addressed by the study of Karina (2016), being an example of how eco-fashion can engage communities and students in favour of a more sustainable environment.
4.2.3Positive aspects of using upcycling
There are several positive aspects for executives to use upcycling. One of them is the relationship of this practice to a more sustainable lifestyle. With a more conscious production, companies and executives can produce innovative, creative, and sustainable products for consumers. Interviewee E5 comments on this positive aspect: "In fact, from the point of view of reutilizing materials, sustainability is actually a concept closely associated with a positive impact on the environment, because we're talking about a few thousands of tons of waste that are removed from our environment. Our company has always opted for trying and being a leader in what we do, bringing innovative and unique products to consumers " (E5).
Executives are concerned with contributing to the preservation of the environment through the sustainability involved in the production process and consider upcycling to be a good way to achieve this goal. If one seeks sustainable development, one needs to redefine society's relations with nature, and a significant change of the civilizing process (Todeschini et al., 2017).
Another positive point for executives using upcycling is the manufacturing of a quality differentiated product, what makes the business more competitive, as there will not be any other similar products in the market. Thus, by using upcycling, the company becomes a market leader, banking on its difference, as reported by executive E2: "The brand has garnered one of the most emblematic successes we could possibly imagine; it's a pure, exclusive, beautiful, incredible, desirable, colourful, and totally upcycling business " (E2).
Particularly in the fashion industry, companies that understand consumer pain and present a humanized solution to assuage it are capable of creating products that will be seen as having more quality and potentially more added value, showing a competitive advantage in the market (Gonçalves & Lopes, 2007).
Through upcycling, it is also possible to foster creativity. Upcycling is one of the most sustainable and creative techniques existing today and with it, it is possible to re-create as many times as wished, as it allows an infinity of possibilities, according to executive E6: "Upcycling stimulates design creativity, with each cut, each process, so for me, that's also a positive point. If we live in a society where people copy and paste everything, you go to a shopping centre and all the clothes there are basically the same, I have a job that allows me to develop my creativity on a daily basis. For me, this is an extra positive point, because I am evolving, and so is my creativity; it's an endless world of creation; it's all about creating and reutilizing" (E6).
Upcycling allows the free use of creativity, and this is a fundamental process in circular economy, as it proposes attractive different products to consumers through innovation, creation, and creativity. Especially in times of crisis, awareness of the economy becomes integrated with creative economy in which creativity, through a change of concepts and products, becomes the support of monetary and economic value (Garcia, 2017).
The financial aspect is also a positive one, when executives use upcycling, as mentioned by interviewee E6: "Another positive impact for me, as an entrepreneur not financially privileged in society, is being able to source my raw material for R$5.00. So, it makes my work viable, my training, because if it wasn't for that possibility, I'm not sure how I would be working today, you know? I would be doing something else, if I hadn't found upcycling and this path, so it made my work possible " (E6).
It is noted that the use of upcycling in business allows the executives to develop products at low cost but high financial return, generating income and contributing to the economic sustainability of businesses.
4.3Discussion of the findings
In what regards environmental issues, upcycling contributes to sustainable practices and this is perceived by the respondents to the quantitative survey when 91.910% agree that purchasing an upcycled by-product benefits the environment. In the qualitative research, executives explain how the process brings important contributions to environmental conservation. Interviewee E5 stated that her production has an efficiency from the point of view of greenhouse gas emissions in the region of 30%, and interviewee E6 emphasized the reduction of the impact on air and soil pollution upcycled products promote.
These facts are confirmed by the literature on this theme, for example in Rasmussen, Birkved and Birgisdottir (2019), who state that the upcycling strategy presents promising results in eco-efficiency and lower global warming potential, particularly in the production phase.
Analysing the difficulties faced by producers, the survey shows that one of the great barriers is the lack of awareness about upcycling and its practical contributions in practice, like sustainability. In fact, 90.441% of the respondents said they had never heard of the term, and 45.588% were not sure of ever having bought and upcycled by-product. In the qualitative research, interviewee E6 commented that his employees (seamstresses and patternmakers) had never worked in a similar process, or ever thought of upcycling as an alternative for employment and income.
According to an article published by Upcycle (2022), the latest study by Circle Economy carried out a survey that indicates that only 8.6% of the world invests in circular economy, what stands to demonstrate the lack of awareness and dissemination of upcycling practices was not just something found by this survey, but that it is still a production strategy in development at a global level.
Quantitative research brought data that shows that bringing this type of information to society is an alternative capable of changing public perception about upcycling, making it gain more space in the market. Indeed, 63.234% of the respondents stated that knowing the product is upcycled increases purchase intent, and 83.087% would prefer a product similar to those presented in the survey would they be looking for something with the same functions.
This tendency was also recorded in the article of EcoDebate (2021), which presented data on the growth in the search for sustainable consumption alternatives, collected by the World Wildlife Fund (WWF) published in May 2021. The study points to a 71% increase in searches for sustainable products on the internet between 2016 and 2020. The research analysed several countries, where 80% of the world's population is concentrated. Such results demonstrate the existence of a greater public interest on the subject.
Another relevant point in the analyses is the fact that the survey respondents associate upcycled by-products with quality products. For the question asking if an upcycled by-product had the same quality as a similar product made from non-reutilized materials, 80.145% of the respondents agreed with the statement. In the qualitative research, interviewee E2 commented that the brand is one of the most emblematical successes, making the product be seen as exclusive and an object of desire.
Interviewee E5 also commented on the possibility of bringing innovative and unique products to the market through upcycling. These factors mentioned by the executives demonstrate that the sense of quality can be related to the perception of exclusive products, with differential and added value. Such factors can also be decisive to increase interest in the products. At the end of the quantitative survey, 80.880% of the respondents said they were interested in purchasing an upcycled product.
Perception of quality is fundamental for positioning upcycled products, since compared to other techniques for reutilizing raw materials, upcycling creates products with more added value and quality that the initial or original ones, and for this a novel process of creativity and technology capable of transforming a discarded product into an innovation is needed (Moreira et al. 2018).
From the research findings, the contribution of upcycling as a sustainable production and consumption alternative became quite clear. In the managerial area, upcycling has emerged, not only as an affordable solution for producers to obtain low-cost raw materials, and as a practice that used to be more common in developing countries due to their limited resources, but also now in developed countries that have given more attention to the upcycling of objects/products in a commercial perspective, due to the visibility these products receive (Slotegraaf, 2012; Hartman, 2014; Vadicherla & Saravanan, 2014).
5FINAL CONSIDERATIONS
This research analysed upcycling with the intent of meeting two objectives: assess consumer perception regarding the consumption of upcycled by-products, and understanding the positive and negative aspects of upcycling practice and how it impacts the social, environmental, and economic dimensions of the organizations that have opted for this production method. From the analysis of the findings, the study was able to address the main issues related to upcycling, both from the perspective of consumers and administrators.
The first objective was to assess consumer perceptions in relation to consumption of upcycled by-products, with information collected via a survey. With this data, the respondent's opinions were obtained as regards the factors that characterise their perception of the products, purchase intention, benefits for the environment, choice of similar products, quality, and acquisition interest.
The questions were formulated based on previous work on upcycling, seeking to confirm the findings of these studies. The results reinforce the literature on the subject, which had few studies on the acceptance of furnishings and appliance items, expanding the understanding of upcycling consumption and reporting a positive positioning of the respondents. The findings also contribute to studies on sustainable consumption, since upcycling is based on production that values the maintenance and promotion of environmental, social, and economic aspects in its production process.
The second objective of this study, understanding the positive and negative aspects of upcycling and how it impacts the social, environmental, and economic dimensions of the organizations that opt for this process, was achieved through semi-structured interviews with executives who use upcycling in their production process. Through the analysis of the interviews, it is possible to affirm that for these executives, the positive aspects of using upcycling comprehend the possibility of both administrators and consumers being able to engage a more sustainable lifestyle; preservation of the environment; in addition to the manufacture of a quality differentiated product, bringing more competitiveness to the business. Furthermore, it is possible to constantly stimulate creativity, with freedom in the creation of products allowing good financial return, especially due to the low cost of production, generating income and contributing to the economic sustainability of the business.
On the other hand, the negative aspects of using upcycling include limited production capacity and difficulty in managing waste after production. The executives of the interviewed organizations create and present products that carry a differential for society, and each product is exclusive and unique, and for this reason they are unable to develop a large scale production structure. Another negative point is misinformation, that is, people's lack of awareness about upcycling.
It is still possible to infer that upcycling responds to the demands of the Triple Bottom Line, impacting social relationships, as it contributes to generating jobs, reduce mass production, and consequently, poverty. Thus, the people involved in this process are part of a work that makes it possible to improve living conditions through humanized actions, empowering and elevating self-esteem through the use of creativity to produce something that is unique and exclusive, disseminating a form of conscious consumption. The environment is also impacted by upcycling as it allows for a reduction of solid waste and avoids the use of soil and water pollutant chemicals. Finally, the economic impact of upcycling concerns the generation of income for those involved in the production process, in addition to financial return for producing exclusive items with perceived added value.
Thus, this research contributes theoretically by providing relevant information on upcycling derived from the collection of primary data regarding the views of consumers and the administrators of the organizations surveyed. As a practical contribution, it is hoped that this research can contribute to the raise of awareness in society, both that of consumers and of organizations - the already existing ones and those yet to emerge - about the existence of multiple possibilities in the use of upcycling and stimulate its practice.
This study is limited by the risk of generalizing results, which here illustrate consumer perception of the characteristics of the researched sample, as well as portraying the reality of certain organizations from the point of view of their executives, considering size and field of activity.
For future research, it is suggested to apply the questionnaire and conduct the interviews in different scenarios, in order to compare results, enabling the corroboration or refutation of the findings in the study, to expand the debate and further contribute to the advancement of research on the subject, both from the theoretical and practical point of view.
1 Pontificia Universidade Católica do Paraná, Paraná, Brasil. Email: [email protected] Orcid: https://orcid.org/0000-0002-8087-487X
2 Pontificia Universidade Católica do Paraná, Paraná, Brasil. Email: [email protected] Orcid: https://orcid.org/0000-0002-7096-4572
3 Pontificia Universidade Católica do Paraná, Paraná, Brasil. Email: [email protected] Orcid: https://orcid.org/0000-0002-6295-0453
4 Pontificia Universidade Católica do Paraná, Paraná, Brasil. Email: [email protected] Orcid: https://orcid.org/0000-0002-9166-6494
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Abstract
Objetivo: Essa pesquisa teve como objetivos avaliar a percepçâo do consumidor em relaçâo ao consumo de produtos resultantes do processo de upcycling e compreender os aspectos positivos e negativos da prática do upcycling e de que forma impacta as dimensőes sociais, ambientais e económicas das organizaçöes que adotam esse processo. Referencial teórico: Diante da preocupaçâo com o meio ambiente, as organizaçöes tem buscado por práticas sustentáveis que se tornem vantagens competitivas. Entre essas alternativas surge o upcycling, caracterizado pelo reaproveitamento de residuos eliminados transformando-os em novos produtos de valor agregado. Método: Foi realizada uma pesquisa aplicada quantitativa-qualitativa. A etapa quantitativa da pesquisa foi realizada por meio de um survey para avaliar a percepçâo do consumidor. Na etapa qualitativa, foram realizadas entrevistas semiestruturadas com gestores que utilizam o upcycling no processo produtivo. Resultados e conclusão: As análises apontam que o upcycling é considerado uma alternativa sustentável de produçâo e consumo. Entretanto, existem barreiras que precisam ser superadas no que tange a utilizaçâo e disseminaçâo dessa prática, para que a temática seja cada vez mais discutida pela sociedade e aplicada nas organizaçöes, impactando as relaçöes de consumo. Implicates da pesquisa: A pesquisa contribui teoricamente fornecendo informaçöes derivadas da coleta de dados primários a respeito da visâo de consumidores e gestores das organizaçöes pesquisadas sobre o upcycling. Como contribuiçâo prática, espera-se a conscientizaçâo da sociedade, tanto os consumidores quanto as organizaçöes já existentes e as que estâo por surgir, sobre a existencia e as múltiplas possibilidades na utilizaçâo do upcycling. Originalidade/valor: O estudo também contribui com a reflexâo sobre a utilizaçâo de novas práticas socioambientais que podem ser aplicadas nas organizaçöes, diante da perspectiva do consumidor e dos gestores.