Understanding the relationship between institutional pressures, supply chain integration and the adoption of circular economy practices

Abstract

This paper explores the role of institutional pressures and supply chain integration in the adoption of Circular Economy practices. Using a Delphi-like approach and leveraging on a panel of 30 experts in the field of Circular Economy, this study aims to gain additional insights into how coercive, normative, and mimetic pressures can drive the implementation of circular supply chains. The findings reveal a hierarchy of institutional pressures, with coercive market and regulatory pressures having a greater impact compared to normative and mimetic pressures. Additionally, the study identifies various responses to these pressures, illustrating different trajectories towards the implementation of Circular Economy practices. Furthermore, the research investigates the role of supply chain integration. Generally, a higher level of supply chain integration can amplify the effect of institutional pressures, promoting the adoption of incremental Circular Economy practices. However, it is noteworthy to mention that supply chain integration may also hinder the adoption of more radical Circular Economy approaches, favouring the retention of linear supply chains.

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