Antecedents of absorptive capacity in the development of circular economy business models of small and medium enterprises

2021 ◽  
Author(s):  
Luca Marrucci ◽  
Fabio Iannone ◽  
Tiberio Daddi ◽  
Fabio Iraldo
Keyword(s):  
Absorptive Capacity ◽  
Circular Economy ◽  
Business Models ◽  
Small And Medium Enterprises ◽  
Medium Enterprises

scholarly journals From Barriers to Enablers: The Role of Organizational Learning in Transitioning SMEs into the Circular Economy

2021 ◽  
Vol 13 (3) ◽  
pp. 1021
Author(s):  
Sara Scipioni ◽  
Meir Russ ◽  
Federico Niccolini
Keyword(s):  
Organizational Learning ◽  
Circular Economy ◽  
Business Models ◽  
Small And Medium Enterprises ◽  
Sustainable Business ◽  
Fine Grained ◽  
Contextual Elements ◽  
Transfer And Retention ◽  
Multi Level ◽  
Medium Enterprises

To contribute to small and medium enterprises’ (SMEs) sustainable transition into the circular economy, the study proposes the activation of organizational learning (OL) processes—denoted here as multi-level knowledge creation, transfer, and retention processes—as a key phase in introducing circular business models (CBMs) at SME and supply chain (SC) level. The research employs a mixed-method approach, using the focus group methodology to identify contextual elements impacting on CBM-related OL processes, and a survey-based evaluation to single out the most frequently used OL processes inside Italian construction SMEs. As a main result, a CBM-oriented OL multi-level model offers a fine-grained understanding of contextual elements acting mutually as barriers and drivers for OL processes, as possible OL dynamics among them. The multi-level culture construct—composed of external stakeholders’, SC stakeholders’, and organizational culture—identify the key element to activate CBM-oriented OL processes. Main implications are related to the identification of cultural, structural, regulatory, and process contextual elements across the external, SC, and organizational levels, and their interrelation with applicable intraorganizational and interorganizational learning processes. The proposed model would contribute to an improved implementation of transitioning into the circular economy utilizing sustainable business models in the construction SMEs.

scholarly journals Learning from Failure and Success: The Challenges for Circular Economy Implementation in SMEs in an Emerging Economy

2021 ◽  
Vol 13 (3) ◽  
pp. 1529
Author(s):  
Andrea Cantú ◽  
Eduardo Aguiñaga ◽  
Carlos Scheel
Keyword(s):  
Emerging Economies ◽  
Circular Economy ◽  
Business Strategy ◽  
Business Models ◽  
Small And Medium Enterprises ◽  
Emerging Economy ◽  
Implementation Barriers ◽  
Developed Economies ◽  
Multiple Case ◽  
Medium Enterprises

While there is ample research on the barriers and enablers for implementing circular economy (CE) in large companies and developed economies, scant research exists concerning the factors impacting CE implementation in small and medium enterprises (SMEs) in emerging economies. To address this gap, our research seeks to determine the internal and external barriers SMEs face when implementing CE initiatives in emerging economies and identify how they can leverage CE implementation through bottom-up approaches. We present a multiple-case study of five SMEs in Mexico. Our findings suggest that the lack of regional enabling conditions and unsuitability between the CE business strategy and the context can further exacerbate implementation barriers. In this sense, we found that in our study’s unsuccessful case, the company failed to align its business to the particularities of the markets where it operated. Contrary, successful initiatives adopted strategies that incorporated contextual attributes in their business models, such as available infrastructure, current regulations, or consumer characteristics. Our results provide lessons from both failing and successful CE initiatives implemented by SMEs in an emerging economy. This work intends to help practitioners, policymakers, and researchers to create the required enabling conditions to accelerate the transition toward a CE in these regions.

scholarly journals From Barriers to Enablers: The Role of Organizational Learning in Transitioning SMEs into the Circular Economy

2020 ◽  
Author(s):  
Sara Scipioni ◽  
Meir Russ ◽  
Federico Niccolini
Keyword(s):  
Organizational Learning ◽  
Circular Economy ◽  
Business Models ◽  
Small And Medium Enterprises ◽  
Sustainable Business ◽  
Fine Grained ◽  
Contextual Elements ◽  
Transfer And Retention ◽  
Multi Level ◽  
Medium Enterprises

To contribute to small and medium enterprises (SMEs) sustainable transition into the circular economy, the study proposes the activation of organizational learning (OL) processes – denoted here as multi-level knowledge creation, transfer, and retention processes – as a key phase in introducing circular business models (CBMs) at SME and supply chain (SC) level. The research employs a mixed-method approach, using the focus group methodology to identify contextual elements impacting on CBM-related OL processes, and a survey-based evaluation to single out the most frequently used OL processes inside Italian construction SMEs. As main result, a CBM-oriented OL multi-level model offers a fine-grained understanding of contextual elements acting mutually as barriers and drivers for OL processes, as possible OL dynamics among them. The multi-level culture construct – composed of external stakeholders’, SC stakeholders’, and organizational culture – identify the key element to activate CBM-oriented OL processes. Main implications are related to the identification of cultural, structural, regulatory, and process contextual elements across the external, SC, and organizational levels, and their interrelation with applicable intraorganizational and interorganizational learning processes. The proposed model would contribute to an improved implementation of transitioning into the circular economy utilizing sustainable business models in the construction SMEs.

scholarly journals An absorptive capacity-based systems view of Covid-19 in the small business economy

2021 ◽  
Author(s):  
Rosa Caiazza ◽  
Phillip Phan ◽  
Erik Lehmann ◽  
Henry Etzkowitz
Keyword(s):  
Absorptive Capacity ◽  
Business Models ◽  
Small And Medium Enterprises ◽  
Large Share ◽  
Systems Perspective ◽  
Global Recession ◽  
Johns Hopkins University ◽  
Medium Enterprises ◽  
Systems View ◽  
The U.S

AbstractAccording to Johns Hopkins University, by December 2020, more than 78 million SARS-COV-2 (Covid-19) cases have been reported with more than 1.7 million deaths, out of which more than 300 thousand were in the U.S. alone. No country on earth has been untouched by the preemptive creation of a global recession to combat a global disease. Covid-19 has disrupted supply chains, consumption patterns, and business models in a multitude of industries which include a large share of small and medium enterprises (SMEs). SMEs account for the largest share of employment in market-based economies so any discussion of the economic impact of Covid-19 is incomplete without the SME sector. The purpose of this paper is to explore a systems perspective of the Covid-19 pandemic using the absorptive capacity construct.

scholarly journals Circular Business Models and Circular Agriculture: Perceptions and Practices of Dutch Farmers

2021 ◽  
Vol 13 (3) ◽  
pp. 1282
Author(s):  
Hans Dagevos ◽  
Carolien de Lauwere
Keyword(s):  
Circular Economy ◽  
Business Models ◽  
Food System ◽  
Small And Medium Enterprises ◽  
Business Management ◽  
Dutch Government ◽  
Business Operations ◽  
Production Practices ◽  
Medium Enterprises ◽  
The Impact

Although it is not clear yet what a full-grown circular economy (CE) is going to look like, it is clear that the challenges of transitioning to a CE are both impressive and urgent. The Dutch government has expressed the ambition to establish a CE in the Netherlands in 2050. In the wake of this, the Dutch Ministry of Agriculture, Nature and Food Quality laid down a vision on circular agriculture (CA). A key question with respect to both CE and CA is if and to what extent this means business as unusual: How distinct is circular business from normal business operations? The ways in which the notions of CE and circular business models (CBMs) are often introduced suggest a big difference. However, closer scrutiny also reveals that in practice the impact of circularity is less obvious. Against the backdrop of such opposite observations, this paper examines how Dutch farmers perceive circularity and what implications this has for their production practices. Interviews (n = 13) with Dutch farmers show that circular business is adapted in normal business management by some and regarded as a genuine alternative to the conventional food system by others. By taking Dutch farmers as an example, this paper aims to contribute to our understanding of how CE is interpreted in small and medium enterprises (SMEs).

scholarly journals Success Drivers for Implementing Circular Economy: A Case Study from the Building Sector in Colombia

2021 ◽  
Vol 13 (3) ◽  
pp. 1350
Author(s):  
Luz Elba Torres-Guevara ◽  
Vanessa Prieto-Sandoval ◽  
Andres Mejia-Villa
Keyword(s):  
Circular Economy ◽  
Small And Medium Enterprises ◽  
Implementation Process ◽  
Construction Sector ◽  
Direct Communication ◽  
Management Commitment ◽  
Medium Enterprises ◽  
Large Building ◽  
Do So

This paper contributes to the circular economy (CE) literature by investigating the drivers of success of the CE implementation in the construction sector and how those drivers can complement any implementation process in small and medium enterprises (SMEs). To do so, we analyzed the case of TECMO Estructuras Metálicas, using the methodology proposed by Jaca and colleagues to implement the CE in SMEs. It is a Colombian company with more than five decades of experience in the manufacture and installation of steel and aluminum structures for small and large building and infrastructure projects. The data were collected between August 2019 and November 2020 through direct communication with the company via workshops, meetings, and company reports. This research found that five drivers are relevant for implementing CE in the construction sector: fertile ecosystem, management commitment, identification of valuable materials, green teams, and CE intermediaries. Moreover, this study also contributes to teaching the implementation of the CE in companies, since it shows that through the methodology presented, implementation projects can be developed in postgraduate classes.

Another failed M&A: misaligned business models as culprit

2017 ◽  
Vol 38 (5) ◽  
pp. 18-26
Author(s):  
Gaël Le Floc’h ◽  
Laurent Scaringella
Keyword(s):  
Customer Value ◽  
Multinational Enterprises ◽  
Business Models ◽  
Small And Medium Enterprises ◽  
Empirical Studies ◽  
Empirical Literature ◽  
Content Type ◽  
Recent Debate ◽  
Definition Of ◽  
Medium Enterprises

Purpose Literature on business models (BMs) has grown ve ry rapidly since the beginning of the twenty-first century, and although the theoretical and empirical literature has developed significantly, the number of practical and management-oriented studies remains relatively low. A recent debate in the field has focused on the definition of BM invariants: sensing customer needs, creating customer value, sustaining value creation and monetizing value. Extant empirical studies have mainly focused on multinational enterprises (MNEs) and successful BMs; however, this study concentrates on the failure of BMs in the case of small and medium enterprises (SMEs). An important source of a BM’s failure is the misalignment between MNE and SME involved in an acquisition. Design/methodology/approach Looking through the lens of the four BM constants, the aim of this study is to examine the case of the acquisition Domestic Heating (an SME) by Ventilair (an MNE). Findings Although both separate entities were achieving good results and each had a specific BM, the acquisition produced poor results mainly due to the misalignment of the two BMs. The findings lead the authors to make recommendations to practitioners on avoiding BM misalignment during an acquisition. Originality/value The authors encourage practitioners to enhance communication, promote organizational experiments, acknowledge specificities of both entities, foster employee commitment and ensure homogeneity in IT system usage.

scholarly journals PENERAPAN BISNIS MODEL KANVAS DALAM PENENTUAN RENCANA MANAJEMEN USAHA KEDELAI EDAMAME GORENG

2019 ◽  
Vol 13 (01) ◽  
pp. 42
Author(s):  
Novitha Herawati ◽  
Triana Lindriati ◽  
Ida Bagus Suryaningrat
Keyword(s):  
Business Model ◽  
Business Models ◽  
Small And Medium Enterprises ◽  
Primary Data ◽  
Value Proposition ◽  
Middle Income ◽  
Business Model Canvas ◽  
Trade Offs ◽  
Customer Segment ◽  
Medium Enterprises

Business model canvas (BMC) is a strategic management and lean start-up template for developing new or documenting existing business models. It is a visual chart with elements describing a firm's or product's value proposition, infrastructure, customers, and finances. It assists firms in their aligning activities by illustrating potential trade-offs. Business model canvas focuses on the idea of creating value in a business. The purpose of implementation of BMC was to determined the best business planning of fried edamame, when it applied to the industry or MSMEs (Micro, Small and Medium Enterprises). The method in the research used descriptive method, while the data analysis used qualitative analysis. Primary data collection was obtained from interviews.  Analysis was done by compiling the initial hypothesis, hypothesis testing and verification of business model canvas (BMC). The results showed that the business model strategy for fried edamame products in the value proposition component were crispy, natural, labeled and applied good cooking oil for use. The customer segment component were the buyers of the entire Jember Regency including men and women over 20 years old with middle income. Components of revenue streams were fried edamame product sales, sale of unused oil, and sale of edamame peel to farmers, while the component channels were direct selling and retailers for fried edamame product. Keywords: business model, fried edamame, strategy, value proposition

Building Industrial Clusters in Latin America

2012 ◽  
pp. 146-166 ◽  
Author(s):  
Carlos Scheel ◽  
Leonardo Pineda
Keyword(s):  
Latin American ◽  
Business Models ◽  
Light Adaptation ◽  
Small And Medium Enterprises ◽  
Industrial Clusters ◽  
Industrialized Countries ◽  
Scarce Resources ◽  
Policies And Procedures ◽  
Value Propositions ◽  
Medium Enterprises

Analysis of more than 20 projects for clustering small and medium enterprises and supporting organizations in different Latin American countries has uncovered a number of barriers, activities, structures, strategies, policies and procedures that impact competitiveness. These factors mean that there are different appropriate industrial cluster and industrial business models appropriate for the social, economic, and business conditions of the Latin American region. It is difficult to transfer successful practices from industrialized countries to developing regions with a light adaptation, because it is impossible to have “clustering readiness” when resources are scarce, regional and industrial conditions are hostile, and associated capabilities of the participants of clustering are poor or nonexistent. These conclusions are supported by applying a methodology designed by the authors to identify global opportunities and formulate viable cluster structures, capable of converting isolated scarce resources in difficult situations, into world-class regional value propositions.

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