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Sustainable development and circular economy: The role of institutional promotion on circular consumption and market competitiveness from a multistakeholder engagement approach
Author(s) -
AlonsoAlmeida María del Mar,
RodríguezAntón José Miguel,
BagurFemenías Llorenç,
Perramon Jordi
Publication year - 2020
Publication title -
business strategy and the environment
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 2.123
H-Index - 105
eISSN - 1099-0836
pISSN - 0964-4733
DOI - 10.1002/bse.2544
Subject(s) - circular economy , promotion (chess) , sustainability , consumption (sociology) , stakeholder , sustainable development , business , sustainable consumption , industrial organization , economic system , perception , marketing , environmental economics , economics , political science , management , ecology , sociology , social science , neuroscience , politics , law , biology
Abstract The transition from a linear economy to a circular economy (CE) is a real challenge to achieve long‐term sustainability. To push CE in the market, institutional promotion could become a key driver to positively impact both circular consumption and the competitiveness of the market. This paper analyzes the influence that soft and hard initiatives have on circular consumption and market competitiveness. Based on a survey of 1,281 respondents from different types of stakeholders, structural equations modeling statistical analysis was run. Results show that soft initiatives support the achievement of both objectives, whereas hard ones only influence greater circular consumption. However, the perception of the different stakeholders considered is very heterogeneous. It is indicative that not all institutional promotion initiatives are effective. Thus, institutions should guide, in an adequate and differentiated manner, their efforts to promote CE and sustainable development depending on the stakeholder they are targeting.