Difficulties for the integration of the circular economy in the strategic sustainable management of SMEs in Arequipa, Peru

Velásquez Chacón E.; Salinas Gainza F.R. · European Public and Social Innovation Review (2024) · DOI: 10.31637/epsir-2024-1203

Resumen

Introduction: The circular economy promotes responsible production and consumption, focused on improving environmental quality, economic prosperity and social equity. This study assesses the internal and external barriers in growing companies adopting the circular economy as part of a sustainable strategic management. Methodology: A quantitative and explanatory study was conducted through 276 surveys of food, beverage, textile and footwear companies, all with circular economy initiatives. Results: The findings indicate that small and medium-sized enterprises (SMEs) face moderate internal barriers and difficulties in their strategic sustainable management. Although barriers exist, SMEs show willingness to adopt eco-sustainable practices and transparent communication. Discussion: Internal barriers include resistance to change, lack of knowledge, limited resources and risk aversion, while external barriers include market immaturity, lack of transparency, unfair competition and low environmental commitment. This limits the adoption of the circular economy, especially vis-à-vis countries that prioritise technological, legislative and market issues. Conclusions: SMEs are not sufficiently prepared to promote sustainable management or circularity practices due to weak environmental strategies. It is essential to strengthen their internal capacities and external support to move towards a sustainable circular economy.

Instituciones: Universidad Nacional de San Agustín de Arequipa