IDEAS home Printed from https://ideas.repec.org/a/bla/bstrat/v32y2023i1p516-537.html
   My bibliography  Save this article

Proposition of a structural model for business value creation based on circular business models, innovation, and resource recovery in the pet industry

Author

Listed:
  • Edson Kuzma
  • Simone Sehnem

Abstract

Based on the assumptions of circular economy, resource recovery, and innovation, the aim of this research is to analyze the relationship between innovation constructs, resource recovery practices, Circular Economy Business Models (CEBMs), and value creation in a fast‐growing emerging economy. A set of empirical data from 443 companies in the pet industry were used. In terms of methodology, the study was processed using the SPSS software, using Structural Equation Modeling, with manipulation of primary data. CEBMs demand greater engagement, internalization of initiatives, and synergy with the operating ecosystem of the pet industry. Innovation is present but has the potential for expansion through adherence to the innovation ecosystem and its technological package, partnerships, and relationships so that companies can scale up and create value with the support of resource recovery practices. The results of this study can be useful for companies in the pet industry, as it allows the identification of areas and practices that require their attention to improve organizational performance and create value for the business based on initiatives supported by the assumptions of circular economy and sustainability.

Suggested Citation

  • Edson Kuzma & Simone Sehnem, 2023. "Proposition of a structural model for business value creation based on circular business models, innovation, and resource recovery in the pet industry," Business Strategy and the Environment, Wiley Blackwell, vol. 32(1), pages 516-537, January.
    • Handle: RePEc:bla:bstrat:v:32:y:2023:i:1:p:516-537
    DOI: 10.1002/bse.3158
    as

    Download full text from publisher

    File URL: https://doi.org/10.1002/bse.3158
    Download Restriction: no
    File URL: https://libkey.io/10.1002/bse.3158?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Esben Rahbek Gjerdrum Pedersen & Wencke Gwozdz & Kerli Kant Hvass, 2018. "Exploring the Relationship Between Business Model Innovation, Corporate Sustainability, and Organisational Values within the Fashion Industry," Journal of Business Ethics, Springer, vol. 149(2), pages 267-284, May.
    2. Fagerberg, Jan, 2018. "Mobilizing innovation for sustainability transitions: A comment on transformative innovation policy," Research Policy, Elsevier, vol. 47(9), pages 1568-1576.
    3. Bouwman, Harry & Nikou, Shahrokh & de Reuver, Mark, 2019. "Digitalization, business models, and SMEs: How do business model innovation practices improve performance of digitalizing SMEs?," Telecommunications Policy, Elsevier, vol. 43(9).
    4. Deborah Sumter & Jotte de Koning & Conny Bakker & Ruud Balkenende, 2020. "Circular Economy Competencies for Design," Sustainability, MDPI, vol. 12(4), pages 1-16, February.
    5. Rohit Agrawal & Abhijit Majumdar & Kirty Majumdar & Rakesh D. Raut & Balkrishna E. Narkhede, 2022. "Attaining sustainable development goals (SDGs) through supply chain practices and business strategies: A systematic review with bibliometric and network analyses," Business Strategy and the Environment, Wiley Blackwell, vol. 31(7), pages 3669-3687, November.
    6. Marcus Linder & Steven Sarasini & Patricia Loon, 2017. "A Metric for Quantifying Product-Level Circularity," Journal of Industrial Ecology, Yale University, vol. 21(3), pages 545-558, June.
    7. Florian Lüdeke‐Freund & Stefan Gold & Nancy M. P. Bocken, 2019. "A Review and Typology of Circular Economy Business Model Patterns," Journal of Industrial Ecology, Yale University, vol. 23(1), pages 36-61, February.
    8. Genovese, Andrea & Acquaye, Adolf A. & Figueroa, Alejandro & Koh, S.C. Lenny, 2017. "Sustainable supply chain management and the transition towards a circular economy: Evidence and some applications," Omega, Elsevier, vol. 66(PB), pages 344-357.
    9. Kahn, Kenneth B., 2018. "Understanding innovation," Business Horizons, Elsevier, vol. 61(3), pages 453-460.
    10. Di Maio, Francesco & Rem, Peter Carlo & Baldé, Kees & Polder, Michael, 2017. "Measuring resource efficiency and circular economy: A market value approach," Resources, Conservation & Recycling, Elsevier, vol. 122(C), pages 163-171.
    11. Maria Barreiro‐Gen & Rodrigo Lozano, 2020. "How circular is the circular economy? Analysing the implementation of circular economy in organisations," Business Strategy and the Environment, Wiley Blackwell, vol. 29(8), pages 3484-3494, December.
    12. Arundel, Anthony & Bloch, Carter & Ferguson, Barry, 2019. "Advancing innovation in the public sector: Aligning innovation measurement with policy goals," Research Policy, Elsevier, vol. 48(3), pages 789-798.
    13. Marcus Linder & Mats Williander, 2017. "Circular Business Model Innovation: Inherent Uncertainties," Business Strategy and the Environment, Wiley Blackwell, vol. 26(2), pages 182-196, February.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Prosman, Ernst Johannes & Cagliano, Raffaella, 2022. "A contingency perspective on manufacturing configurations for the circular economy: Insights from successful start-ups," International Journal of Production Economics, Elsevier, vol. 249(C).
    2. María Jesús Ávila-Gutiérrez & Alejandro Martín-Gómez & Francisco Aguayo-González & Juan Ramón Lama-Ruiz, 2020. "Eco-Holonic 4.0 Circular Business Model to Conceptualize Sustainable Value Chain towards Digital Transition," Sustainability, MDPI, vol. 12(5), pages 1-32, March.
    3. Kühl, Carl & Bourlakis, Michael & Aktas, Emel & Skipworth, Heather, 2022. "Product-service systems and circular supply chain practices in UK SMEs: The moderating effect of internal environmental orientation," Journal of Business Research, Elsevier, vol. 146(C), pages 155-165.
    4. Animesh Ghosh & Prabha Bhola & Uthayasankar Sivarajah, 2022. "Emerging Associates of the Circular Economy: Analysing Interactions and Trends by a Mixed Methods Systematic Review," Sustainability, MDPI, vol. 14(16), pages 1-41, August.
    5. Roxana Lavinia Pacurariu & Sorin Daniel Vatca & Elena Simina Lakatos & Laura Bacali & Mircea Vlad, 2021. "A Critical Review of EU Key Indicators for the Transition to the Circular Economy," IJERPH, MDPI, vol. 18(16), pages 1-19, August.
    6. Cris Garcia-Saravia Ortiz-de-Montellano & Yvonne Meer, 2022. "A Theoretical Framework for Circular Processes and Circular Impacts Through a Comprehensive Review of Indicators," Global Journal of Flexible Systems Management, Springer;Global Institute of Flexible Systems Management, vol. 23(2), pages 291-314, June.
    7. Usama Awan & Robert Sroufe & Muhammad Shahbaz, 2021. "Industry 4.0 and the circular economy: A literature review and recommendations for future research," Business Strategy and the Environment, Wiley Blackwell, vol. 30(4), pages 2038-2060, May.
    8. Chhimwal, Madhukar & Agrawal, Saurabh & Kumar, Girish, 2023. "Markovian approach to evaluate circularity in supply chain of non ferrous metal industry," Resources Policy, Elsevier, vol. 80(C).
    9. Maryam Hina & Chetna Chauhan & Rajat Sharma & Amandeep Dhir, 2023. "Circular economy business models as pillars of sustainability: Where are we now, and where are we heading?," Business Strategy and the Environment, Wiley Blackwell, vol. 32(8), pages 6182-6209, December.
    10. Graziela Darla Araujo Galvão & Steve Evans & Paulo Sergio Scoleze Ferrer & Marly Monteiro de Carvalho, 2022. "Circular business model: Breaking down barriers towards sustainable development," Business Strategy and the Environment, Wiley Blackwell, vol. 31(4), pages 1504-1524, May.
    11. Ida K. Rovanto & Anu Bask, 2021. "Systemic circular business model application at the company, supply chain and society levels—A view into circular economy native and adopter companies," Business Strategy and the Environment, Wiley Blackwell, vol. 30(2), pages 1153-1173, February.
    12. Manju Saroha & Dixit Garg & Sunil Luthra, 2022. "Analyzing the circular supply chain management performance measurement framework: the modified balanced scorecard technique," International Journal of System Assurance Engineering and Management, Springer;The Society for Reliability, Engineering Quality and Operations Management (SREQOM),India, and Division of Operation and Maintenance, Lulea University of Technology, Sweden, vol. 13(2), pages 951-960, June.
    13. Mechthild Donner & Hugo de Vries, 2021. "How to innovate business models for a circular bio‐economy?," Business Strategy and the Environment, Wiley Blackwell, vol. 30(4), pages 1932-1947, May.
    14. Patricia van Loon & Luk N. Van Wassenhove & Ales Mihelic, 2022. "Designing a circular business strategy: 7 years of evolution at a large washing machine manufacturer," Business Strategy and the Environment, Wiley Blackwell, vol. 31(3), pages 1030-1041, March.
    15. Margaret Oluseyi Lawal & Ochuko Mary Amori, 2023. "SMEs-Enabled Circular Business Models: A Pathway to Sustainable Development (A Study of Some Selected SMEs in Abeokuta, Ogun State)," International Journal of Latest Technology in Engineering, Management & Applied Science, International Journal of Latest Technology in Engineering, Management & Applied Science (IJLTEMAS), vol. 12(09), pages 94-99, September.
    16. L. Rocchi & L. Paolotti & C. Cortina & F. F. Fagioli & A. Boggia, 2021. "Measuring circularity: an application of modified Material Circularity Indicator to agricultural systems," Agricultural and Food Economics, Springer;Italian Society of Agricultural Economics (SIDEA), vol. 9(1), pages 1-13, December.
    17. Pina Puntillo & Carmela Gulluscio & Donald Huisingh & Stefania Veltri, 2021. "Reevaluating waste as a resource under a circular economy approach from a system perspective: Findings from a case study," Business Strategy and the Environment, Wiley Blackwell, vol. 30(2), pages 968-984, February.
    18. Vitiana L'Abate & Nicola Raimo & Francesco Albergo & Filippo Vitolla, 2024. "Social media to disseminate circular economy information. An empirical analysis on Twitter," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 31(1), pages 528-539, January.
    19. Nancy Bocken & Lars Strupeit & Katherine Whalen & Julia Nußholz, 2019. "A Review and Evaluation of Circular Business Model Innovation Tools," Sustainability, MDPI, vol. 11(8), pages 1-25, April.
    20. Chembessi Chedrak & Gohoungodji Paulin & Juste Rajaonson, 2023. "“A fine wine, better with age”: Circular economy historical roots and influential publications: A bibliometric analysis using Reference Publication Year Spectroscopy (RPYS)," Journal of Industrial Ecology, Yale University, vol. 27(6), pages 1593-1612, December.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:bla:bstrat:v:32:y:2023:i:1:p:516-537. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Wiley Content Delivery (email available below). General contact details of provider: http://onlinelibrary.wiley.com/journal/10.1002/(ISSN)1099-0836 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.