From Waste to Value: Second-Hand Retail as a Catalyst for Sustainable Consumption in the Finnish Circular Economy

Abstract This study examines how second-hand retail operated by a Finnish humanitarian social enterprise promotes sustainable consumption within the circular economy (CE). While prior CE research has largely emphasized macro-level policy, industrial systems, and technological solutions, this study focuses on the grassroots role of community-based retail in advancing circularity. Adopting a qualitative case study design, the research draws on semi-structured interviews, participant observation, and document analysis. The findings show that second-hand retail integrates environmental aims, particularly reuse and waste reduction, with social objectives such as welfare support and inclusive employment. The study also finds that communication practices and cultural framing help normalize second-hand consumption and enhance public engagement with circularity. At the same time, challenges remain, including inconsistent donation quality, residual consumer stigma, and limited impact measurement. Overall, the study demonstrates that second-hand social enterprises can function as socially embedded infrastructures that support inclusive and community-based circular transition.