Circularity in processes and reduction of production costs in European SMEs: the moderating effects of eco-innovativeness and green jobs

Aurore Darmandieu, Concepción Garcés‐ayerbe, Antoine Renucci () and Pilar Rivera‐torres
Additional contact information
Aurore Darmandieu: LIREM - Laboratoire de Recherche en Management (LIREM) - UPPA - Université de Pau et des Pays de l'Adour
Antoine Renucci: LIREM - Laboratoire de Recherche en Management (LIREM) - UPPA - Université de Pau et des Pays de l'Adour

Post-Print from HAL

Abstract: Objectives: This study investigates whether achieving a higher level of circularity in processes has positive effects on firms' production costs. It further explores the role of two moderators in this relation, namely eco-innovativeness in processes and green jobs. • Theoretical background: The study draws on the framework of the Natural-Resource-Based View of the firm, as well as on more recent literature on process-related circular economy practices and eco-innovations. Methodology: In the first stage, a cluster analysis distinguished four groups among 13,117 SMEs based on their circular practices as stated in the Flash Eurobarometer 2017. In the second stage, we tested our hypotheses with four ordered probit models. Results/Implications: There is a gradual path towards Circular Economy among European SMEs, with the implementation of increasingly more circular practices. A higher level of circularity in processes achieved by European SMEs is related to a larger reduction in their production costs. Moreover, eco-innovativeness in processes positively moderates this relation. In contrast, the relative share of green jobs in SMEs' workforce negatively moderates the impacts of circularity on production costs. In practice, by engaging in circularity and eco-innovating, SMEs can contribute to the United Nations goals for Sustainable Development.

Keywords: cost reduction; process-related eco-innovation; green jobs; SMEs; Circular Economy (search for similar items in EconPapers)
Date: 2021-06-28
References: Add references at CitEc
Citations:

Published in XXX CONGRESO DE ACEDE, Asociación Científica de Economía y Dirección de la Empresa, Jun 2021, Cartagena, Spain

There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:hal:journl:hal-04123940

Access Statistics for this paper

More papers in Post-Print from HAL
Bibliographic data for series maintained by CCSD ().