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Circular economy from the perspective of SMEs sector

Karman Agnieszka, Gavryshkiv Antonina

Zeszyty Naukowe. Organizacja i Zarządzanie / Politechnika Śląska

2022

z. 155

143--174

Purpose: The main objective of the paper is to determine the way SMEs perceive the circular economy concept and to establish factors influencing introduction of CE pratices. In particular, answers to the following research questions are sought: (1) Is the CE concept familiar to and well-understood by entrepreneurs?; (2) What are the strongest challenges and barriers for SMEs with regard to the introduction of the CE?; (3) Which factors determine SMEs’ introduction CE practices. Design/methodology/approach: SMEs were selected as the subject of the research. The study was quantitative in character. A questionnaire study and statistical analysis (structural equation modeling in it) were used. Findings: The paper focuses upon challenges associated with the implementation of the circular economy in SMEs, barriers for implementation and determinants. The results revealed that the concept is familiar and well-understood. However, businesses do not perceive it as a source of economic benefits. The following fields were considered as problematic: improvement of recycling efficiency, exploitation of production by-products, and substitution of non-renewable resources. Structural equation modeling revealed that introduction of CE practices is determined by several institutional factors, perceived risk and external standards and norms. Originality/value: The paper extends previous work concerning the management of SMEs by undertaking the issue of CE introduction. In particular, it focuses on the perception of barriers and stimulators CE practices and responding to several recent calls for research on CE awareness in SMEs. Another novel element can be find in using the theory of reasoned action (TRA) to explain the factors conditioning the introduction of CE practices into SMEs.