Dynamics of Adoption of Circular Economy at Regional Level: The Cases of Gran Canaria and Madeira

Abstract

[eng] The circular economy (CE) topic is regarded as an appealing, exciting, and mobilizing concept by different stakeholders, fueled by the consensus reached about climatic change and sustainability. However, companies’ decisions in this area are mainly voluntary in nature. The strategic relevance of tourism based on the extensive range of collaborations and subcontracting, suggests that the former can succeed a role-model, by encouraging other firms to adopt CE measures with support from the regional government and local municipalities. Based on a dataset of 90 hotels in Gran Canaria and Madeira, we identify in this study the drivers of adoption of 4 critical areas aiming at helping decision makers to prioritize investments. The results of this study highlight the critical role of director’s degree of involvement with the CE concept, the impact of barriers, and the easiness (and volume) of access to resources and infrastructure provided by the municipalities. The essential role to be played by sub-national governments is corroborated, which is not the case of with items such as pressure from customers and suppliers.