Circular Economy and Financial Aspects: A Systematic Review of the Literature

Abstract

The objective of this article is to analyze the pre-existing studies that investigate the link between the circular economy and financial aspects in order to understand the evolution of the circular economy literature and its relationship with finance. In addition, it proposes an investigation of empirical evidence of economic-financial gains resulting from the adoption of circular production practices. The methodology used to achieve this goal was a systematic review of the literature and bibliometric analysis. Thus, it was possible to conclude that the barriers faced by companies adopting the circular economy in relation to financial performance are defined by (i) the size of the business and the initial investment cost, (ii) difficulties for micro and small companies, (iii) to a more complex structuring of the business, and (iv) greater exposure to risk, as the circular economy is a new concept and is and not as representative as a linear standard system. The results show that few studies investigate corporate gains from circular production, which is, therefore, an important topic for future research and the major contribution of this paper.

Green Logistics, Green Human Capital, and Circular Economy: The Mediating Role of Sustainable Production

“…Five items from the research of Agyabeng-Mensah and Tang [16], Chang [109], and Shoaib et al [110] were utilized to quantify the GHC of the companies. Four items from Zeng et al [61] and Ali et al [111] were then used to evaluate the mediator SP. We estimated the businesses' CEP using six items from Zhu et al [112] and Zeng et al [61].…”

“…Four items from Zeng et al [61] and Ali et al [111] were then used to evaluate the mediator SP. We estimated the businesses' CEP using six items from Zhu et al [112] and Zeng et al [61]. Table 2 lists the measurement units and their respective sources.…”

“…Green intellectual capital, particularly green human capital, must be regarded as one of the crucial managerial competencies when studying the talents that may be applied to the CE [23]. Implementing the 3Rs (reduce, reuse, and recycle) within businesses is also viewed as a DC using interdependent CE activities to reach a single objective [61]. Consequently, a company's expansion of CE-related operations must adhere to a specific capability and activity generation trajectory [62].…”

“…The CE provides chances for sustainable development and growth while addressing critical problems such as resource and environmental preservation [61]. It enables implementing a 3R approach to reduce, reuse, and recycle resources as much as feasible [94].…”

“…We use cleaner energy during production processes Zeng et al [61], Ali et al [111] SP2 Environmentally friendly production technology and production processes are emphasized.…”