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Circular economy adoption by SMEs in emerging markets: Towards a multilevel conceptual framework

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  • Malik, Ashish
  • Sharma, Piyush
  • Sharma, Piyush
  • Vinu, Ajayan
  • Karakoti, Ajay
  • Kaur, Kamalpreet
  • Gujral, Harpreet Singh
  • Munjal, Surender
  • Laker, Benjamin

Abstract

Adding to the growing literature on circular economy (CE) and employing the theoretical lens of change management, this research explores SMEs’ challenges in the emerging markets context of India for adopting CE practices. We use a multi-case qualitative design, interviewing senior leaders and owners of Indian SMEs, CE intermediaries and two large firms on the nature and extent of critical barriers and enablers of CE adoption. Including CE market intermediaries, sustainability and CE managers of large organizations, who are required to educate and incentivize CE adoption of their SME value chain members, we analyze the barriers and opportunities from both sides of the coin. We develop a multilevel theoretical framework grounded in CE and change management literature, which presents the nature and extent of CE activities, barriers and contextual enablers of SMEs’ adoption of CE in emerging markets. Implications for policy, theory and practice are also discussed.

Suggested Citation

  • Malik, Ashish & Sharma, Piyush & Sharma, Piyush & Vinu, Ajayan & Karakoti, Ajay & Kaur, Kamalpreet & Gujral, Harpreet Singh & Munjal, Surender & Laker, Benjamin, 2022. "Circular economy adoption by SMEs in emerging markets: Towards a multilevel conceptual framework," Journal of Business Research, Elsevier, vol. 142(C), pages 605-619.
    • Handle: RePEc:eee:jbrese:v:142:y:2022:i:c:p:605-619
    DOI: 10.1016/j.jbusres.2021.12.076
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    2. Govindan, Kannan, 2023. "How digitalization transforms the traditional circular economy to a smart circular economy for achieving SDGs and net zero," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 177(C).
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    6. Ahmad, Farhan & Bask, Anu & Laari, Sini & Robinson, Craig V., 2023. "Business management perspectives on the circular economy: Present state and future directions," Technological Forecasting and Social Change, Elsevier, vol. 187(C).
    7. Nudurupati, Sai Sudhakar & Budhwar, Pawan & Pappu, Raja Phani & Chowdhury, Soumyadeb & Kondala, Mukesh & Chakraborty, Ayon & Ghosh, Sadhan Kumar, 2022. "Transforming sustainability of Indian small and medium-sized enterprises through circular economy adoption," Journal of Business Research, Elsevier, vol. 149(C), pages 250-269.
    8. Malik, Ashish & Kumar, Satish & Basu, Shubhabrata & Bebenroth, Ralf, 2023. "Managing disruptive technologies for innovative healthcare solutions: The role of high-involvement work systems and technologically-mediated relational coordination," Journal of Business Research, Elsevier, vol. 161(C).
    9. Malik, Ashish & Pereira, Vijay & Budhwar, Pawan & Varma, Arup & Del Giudice, Manlio, 2022. "Sustainable innovations in an indigenous Indian Ayurvedic MNE," Journal of Business Research, Elsevier, vol. 145(C), pages 402-413.
    10. Castro-Lopez, Adrian & Iglesias, Victor & Santos-Vijande, María Leticia, 2023. "Organizational capabilities and institutional pressures in the adoption of circular economy," Journal of Business Research, Elsevier, vol. 161(C).
    11. Zhu, Bing & Nguyen, Mai & Sarm Siri, Nang & Malik, Ashish, 2022. "Towards a transformative model of circular economy for SMEs," Journal of Business Research, Elsevier, vol. 144(C), pages 545-555.
    12. Malik, Ashish & Sharma, Piyush & Kingshott, Russel & Laker, Benjamin, 2022. "Leveraging cultural and relational capabilities for business model innovation: The case of a digital media EMMNE," Journal of Business Research, Elsevier, vol. 149(C), pages 270-282.
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