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Towards a transformative model of circular economy for SMEs

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  • Zhu, Bing
  • Nguyen, Mai
  • Sarm Siri, Nang
  • Malik, Ashish

Abstract

This study develops a transformative conceptual model for small and medium-sized enterprises (SMEs) from emerging markets, using a multilevel perspective (MLP) framework. The transformative model highlights four phases through which circular economy (CE) practices present their transformative characteristics. Our model maps the transition and interactions of the four phases, three systems at three levels of analysis: macro-, meso- and micro-level. The distinctive contribution of our model is that it presents a temporal view of how firms evolve towards a CE and actors’ vital role and agentic resources in implementing transformative change. Following the four stages of transition: emerging, filtering, stabilizing, and transforming, our transformative model of SMEs focuses on the adoption of the CE approach by analyzing macro-, meso- and micro-level influences to achieve sustainable development and offer a solid foundation for future studies. We develop several testable propositions with implications for practice for SMEs and for entrepreneurship theory in delivering sustainable innovation.

Suggested Citation

  • 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.
    • Handle: RePEc:eee:jbrese:v:144:y:2022:i:c:p:545-555
    DOI: 10.1016/j.jbusres.2022.01.093
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    Cited by:

    1. Kayikci, Yasanur & Kazancoglu, Yigit & Gozacan-Chase, Nazlican & Lafci, Cisem & Batista, Luciano, 2022. "Assessing smart circular supply chain readiness and maturity level of small and medium-sized enterprises," Journal of Business Research, Elsevier, vol. 149(C), pages 375-392.
    2. Malik, Ashish & Budhwar, Pawan & Kandade, Kiran, 2022. "Nursing excellence: A knowledge-based view of developing a healthcare workforce," Journal of Business Research, Elsevier, vol. 144(C), pages 472-483.
    3. 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.

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