Spinning the circle: unravelling the “why?” behind social motivations in circular economy entrepreneurship

Juan D. Borrero and Shumaila Yousafzai

Journal of Enterprising Communities: People and Places in the Global Economy, 2025, vol. 19, issue 4, 881-912

Abstract: Purpose - This study aims to investigate how circular entrepreneurs integrate social objectives within the circular economy (CE), with a particular focus on the often-overlooked social aspects of CE sustainability. It explores the motivations behind circular entrepreneurs’ pursuit of social goals and the specific strategies they use. Design/methodology/approach - Drawing on perspectives from the social and solidarity economy and the ethics of care, this multiple-case study examines the drivers that lead entrepreneurs to adopt socially focused circular business models. This study introduces a framework for understanding these motivations and presents the concept of circular necessity entrepreneurship. Findings - The analysis reveals a strong reliance on circular strategies, particularly beneficial for resource-constrained smaller enterprises. It identifies diverse social motivations among entrepreneurs: while some are driven by aspirations for systemic change and justice − leading to solidarity-driven and care-centric approaches − others emphasize community betterment through job creation, gender equality advocacy and work−life balance. Research limitations/implications - This study focuses on a specific geographic area, necessitating further research to enhance generalizability. Practical implications - The proposed model reinforces ethical values in organizations, leading to stronger business performance and creating new business opportunities within society. Originality/value - By advancing the social dimension alongside environmental and economic pillars in CE discourse, this research offers new insights into circular entrepreneurs’ motivations and strategies, providing pathways to amplify social objectives within the CE framework.

Keywords: Circular economy strategy; Social motivations; Sustainability; Circular entrepreneurship; Spain (search for similar items in EconPapers)
Date: 2025
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Persistent link: https://EconPapers.repec.org/RePEc:eme:jecpps:jec-01-2024-0003

DOI: 10.1108/JEC-01-2024-0003

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