The main difference between these two production systems lies in the conception of the model. The linear economy is designed to extract the raw material, produce a good or product, use it and discard it. In other words, this model is based on the concept of "disposability" and requires large quantities of materials and energy.

The circular economy differs fundamentally from the traditional model in designing the product as a good to be revalorised or rethought and to extend its useful service life. Consumption of raw materials is reduced by reintroducing recycled, re-used and re-manufactured materials into the system, thus closing the circle. The circular economy therefore promotes a more intelligent and efficient use of raw materials, thus conserving the environment and natural resources.