Circular economy and the hospitality industry: A comparison of the Netherlands and Indonesia

Abstract

The concept and practice of the Circular Economy is a key response to sustainability concerns, pioneered by the manufacturing sector and mainly explored from a developed economy perspective. This leaves a gap in relation to other sectors and contexts. This research investigates the adoption of circular economy initiatives and barriers to their implementation in the hospitality sector in the Netherlands and Indonesia through a comparative case study. Findings suggest that businesses in the Netherlands are hindered by their prioritization of delivering quality service as well as insufficient access to information on actionable circular interventions. For Indonesia, the predominant barriers include weak infrastructure, lack of regulatory enforcement and facilitation, and a lack of education and mindset. Our results provide an emerging economy perspective to knowledge of the circular economy, an under explored area of research. We also provide insights into the application of the circular economy in the hospitality industry. We uncover new challenges, especially in the context of emerging economies, and are able to confirm the relevance of previously identified barriers to both emerging economy and hospitality industry contexts.