Leadership role in sustainable future of circular economy: Climate, economy, and environment interplay

The issue of climate change is a significant concern in contemporary society characterized by a volatile, uncertain, complex, and ambiguous (VUCA) environment. Asian nations are also dealing with issues related to climate change. The objective of this study is to ascertain the relationship between climate change and its impact on both the economy and the environment. This research examines the moderating influence of leadership skills on the variables of climate change, the economy, and the environment. The study employed a time lag research design to gather data in Pakistan. The analysis was based on a structural equation modelling approach with a sample size of 4,243 participants. The results suggest that leadership skills have a significant moderating impact on the relationship between climate change and the economy, and between climate change and the environment. The research highlights the impact of climate change on the economy and environment of a developing nation. The findings indicate that effective leadership abilities are necessary to manage environmental and economic conditions for long-term sustainability. The study holds significant implications for both theoretical and practical domains, particularly in enhancing climate control by incorporating leadership competencies. This research contributes to the concept of circular economy by showcasing the complex relationship between climate change, environment, economy, and leadership. The research extends noteworthy avenues for future exploration, laying the foundation for further contributions to the existing body of literature related to circular economy.