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Impact of Industry 5.0 Technologies and Circular Economy on Sustainable Performance: An Evaluation From Stakeholder Theory Perspective

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  • Juan Guo
  • Long Guo
  • Abdul Waheed
  • Yang Jianhua

Abstract

Industry 5.0 enhances sustainable development by integrating human creativity with advanced technologies, promoting personalized and resilient production. It emphasizes social value and environmental responsibility, whereas circular economy and disaster prevention management are vital for bringing sustainable development. This study explores the connection between the Industry 5.0 (I5.0) model and sustainable performance (SP) by adopting three aspects of sustainability, such as social, economic, and environmental performance, within the Chinese market based on stakeholder theory. Another key objective is to explore the moderating influence of disaster prevention practices (DPP) and circular economy (CE) between the connection of I5.0 and SP, respectively. This study confirmed a positive association between the I5.0 model of technologies and SP by showing the significant role of circular economy and disaster prevention management. This study provides insights into I5.0, which could productively achieve sustainable performance, such as social, economic, and environmental performance. In this scenario, managing the circular economy and DPP can additionally augment the relationships of I5.0 toward sustainable performance. On the other hand, this study reports multiple implications, that is, theoretical and managerial applications, along with certain limitations and future directions.

Suggested Citation

  • Juan Guo & Long Guo & Abdul Waheed & Yang Jianhua, 2025. "Impact of Industry 5.0 Technologies and Circular Economy on Sustainable Performance: An Evaluation From Stakeholder Theory Perspective," Sustainable Development, John Wiley & Sons, Ltd., vol. 33(6), pages 8190-8202, December.
    • Handle: RePEc:wly:sustdv:v:33:y:2025:i:6:p:8190-8202
    DOI: 10.1002/sd.70087
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