| The idea of Circular economy was introduced into China at 1990s. During this 10 more years, the Circular economy has gotten a rapid development in China and Zhejiang province with the propelling force from the government. We have got many achievements in the development of Circular economy, but also got the problems. The problem how can the mechanism of Circular economy work well under the market economy is most obviously. This problem restricts the advancement of the efficiency and levels of the development of Circular economy in China and Zhejiang province, and so, the researches deep into the mechanism of Circular economy and its significance to the development of Circular economy are of great meanings.Based on the introduction of the status and pressure of the development of Circular economy in Zhejiang province and the analysis of the limitation which described as high cost and low efficiency of the mode in which the government was the main body of the Circular economy participators, this essay firstly emphasized that besides the propelling force from the government, we should take the building of the mechanism of Circular economy which based on the benefit-drive be the foundation of the development of Circular economy at the same time. These reflected the background, the aims and significances of this essay. Then the essay pointed out its directions and emphases by narrating and summarizing the works contributed by scholars both home and abroad about the mechanism of the Circular economy. In the main text, this essay expatiated on the concept, the composing and the function of the mechanism, and clearly analyzed the contents of the behaviors of Circular economy conducted by corporations, and how the corporations get the benefits from these behaviors. The essay also explained how the techniques, the structure and scale of the industry and the information support the function of the mechanism, and how the exterior conditions affects the function, where the exterior conditions contains the law and criterions, the prices of resources, the property rights of resources and circumstance, and so on. After these theoretical analyses, combining the typical cases of the Circular economy practices took place in Zhejiang province by the tools of EoCM, the essay proved that enterprises can get enough impetuses to participate in the Circular economy by the function of mechanism, and then the enterprises can be the main body of the development of Circular economy in deed. Besides of these analyses, the essay also analyzed the course of the turning of producing mode from wide and linear to intensive and circular by using the theory of investment, and indicated the cost and risk of the turning course can be cut down greatly with the using of efficient tools and the support from favorable interior and exterior factors. At the last part of this essay, the essay pointed out the main problems in the building of the mechanism of Circular economy by summarizing the status of the mechanism in Zhejiang province now, and then gave out the corresponding suggestions to the problems. |
