Abstract
Circular economy strategies are increasingly promoted as solutions to resource depletion and waste generation. However, higher material circularity does not necessarily ensure stronger sustainability performance, especially in reuse systems that depend on logistics, cleaning, infrastructure, and stakeholder participation. This study develops an integrated framework that combines Life Cycle Sustainability Assessment (LCSA) and the Material Circularity Indicator (MCI) to evaluate circular business models more comprehensively. The framework integrates environmental assessment using Life Cycle Assessment with the ReCiPe endpoint method, economic assessment through Circular Economy Life Cycle Costing, social assessment through Social Life Cycle Assessment, and circularity assessment using MCI. These dimensions are normalized and weighted to generate a Final Sustainability Score. The framework is illustrated through a reusable silicone food-container system in Indonesia. The results show that circularity improvement does not automatically lead to overall sustainability gains. The case produced a low environmental score of 0.0251, an economic score of 0, a social score of 0.534, and an MCI score of 0.392, resulting in a Final Sustainability Score of 0.2306. Although the improvement scenario increased the score to 0.283, the system remained far from fully sustainable or circular. The novelty of this study lies in explicitly integrating MCI into LCSA within a single normalized and weighted framework. This approach enables circularity and sustainability performance to be assessed simultaneously and helps identify trade-offs that may be overlooked when circularity indicators are used in isolation. The findings offer methodological and practical implications for assessing circular business models, particularly in developing-country contexts.