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Boosting circular economy via the b-corporation roads. The effect of the entrepreneurial culture and exogenous factors on sustainability performance

Author

Listed:
  • Danilo Boffa

    (University of Teramo)

  • Antonio Prencipe

    (University of Teramo)

  • Armando Papa

    (University of Teramo and HSE University, Moscow, Russian Federation)

  • Christian Corsi

    (University of Teramo)

  • Mario Sorrentino

    (University of Campania “Luigi Vanvitelli”)

Abstract

The study aims to analyze the role of informal institutions of Circular Economy (CE) as exogenous factors of improving the effectiveness of Benefit Corporation’ model. In detail, leveraging on the institution theoretical framework, it hypothesized that the level of entrepreneurial culture linked to CE at national level has a positive effect on the sustainability performance towards CE of Benefit Corporations. To this end, a sample of 301 Certified Benefit Corporations collected from the B-Lab dataset for the period 2008–2016 and located in eight European countries (Belgium, Denmark, France, Germany, Italy, Netherlands, Spain, United Kingdom) has been analysed. The findings show that the informal institutions englobed in the cultural dimensions of a country, with specific regard to the role of the entrepreneurial culture related to the CE, seems to actively stimulates the sustainability performance of Benefit Corporations towards CE, as measured through the B-Impact Assessment Score of the operated by B-Lab. The study provides some important implications for theory and practice. Indeed, it contributes to the literature on institutional theory applied to CE, revealing the effective role of informal institutions for the development of circularity and sustainability performance at firm level in the entrepreneurial ecosystem. Also, the full achievement of the sustainability goals of Benefit Corporations passes also through their strongly commitment towards the CE principles. Further, the incorporation of a culture characterized by high entrepreneurial principles towards CE will likely push individuals to build an entrepreneurial mindset for the effective and sustainable development of Benefit Corporations.

Suggested Citation

  • Danilo Boffa & Antonio Prencipe & Armando Papa & Christian Corsi & Mario Sorrentino, 2023. "Boosting circular economy via the b-corporation roads. The effect of the entrepreneurial culture and exogenous factors on sustainability performance," International Entrepreneurship and Management Journal, Springer, vol. 19(2), pages 523-561, June.
    • Handle: RePEc:spr:intemj:v:19:y:2023:i:2:d:10.1007_s11365-023-00835-8
    DOI: 10.1007/s11365-023-00835-8
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