Context Of Emerging Economies Research Articles

Reunindo-Se para Transformar Vidas na Desigualdade: Incluindo o Conhecimento Nativo Baseado em Evidências nas Agendas de Educação Inclusiva

ABSTRACT This article uses the case of Afrocentric knowledge on resilience to argue for the presence of indigenous knowledge into inclusive education agendas to enable transformation in highly unequal spaces. The premise is that local, indigenous knowledge serves as evidence of effective and efficient buffering against inequality that gives insight into low-threshold options for transformation. When people are disproportionally structurally at risk they have limited access to resources and their potential to thrive is limited - as is the case in emerging economy contexts. Ironically, although the need for transformation is highest in extremely unequal contexts, knowledge from the Global South and emerging economies remain underrepresented in global discourses on development. Rather, development agendas and mechanisms (including for inclusive education) are grounded in Eurocentric and Global North notions of change, inclusion, wellbeing, resource distribution, and service delivery. Indigenous knowledge provides evidence of how, intergenerationally, people push towards available resources as a way to draw on limited resources and promote inclusive, positive development for many. The article uses the evidence from an Afrocentric indigenous psychology theory, Relationship Resourced Resilience, to posit the use of indigenous knowledge in inclusive education to enable transformation in response to hardship that promotes inclusive, collective wellbeing.

Making of intrapreneurial managers: Investigating unethical behavior, risk-taking, and decision-making speed as antecedents

PURPOSE: The entrepreneurship-ethics nexus draws considerable interest from researchers and practitioners with little resolution. Our purpose with this paper is to contribute to the debate by shedding light on the relationship between managers’ attitudes toward unethical behavior and their subsequent entrepreneurial intention (EI) in an emerging economy context. Given the complex and multifaceted interplay between unethical behavior and EI, we extend our investigation by including decision-making speed and attitude toward risk to explain the relationship further. We take a granular approach to facets of unethical behavior to gain deeper insights into the specificity of influences they pose on subsequent behavioral intentions. METHODOLOGY: Primary data were collected from 214 Kosovan managers employed in companies from different industries. Hypothesized relationships were tested by conducting hierarchical regression analyses. FINDINGS: Our results indicate that managers with higher EI are not necessarily unethical overall. We did not find support for the hypothesis that managers with stronger attitudes toward unethical behavior demonstrate higher entrepreneurial intentions. Focusing on dimensions of unethical behavior, we find that managers who favor bribery are more entrepreneurially inclined. Furthermore, we find that managers who are quick decision-makers and risk-takers express higher EI. IMPLICATIONS: Theoretically, we add to the existing body of research on ethics and entrepreneurship by empirically examining the relationship between attitude toward unethical behavior and EI and the viability of the Theory of Planned Behavior as a framework for integrating unethical behavior in entrepreneurship research. Our study affirms the extension of the theoretical and empirical underpinnings concerning ethics and entrepreneurship, contemplating that they are pervasive across contexts. We provide important practical implications for managers, especially in the corporate entrepreneurship and training context. Managers are encouraged to foster an entrepreneurial-friendly environment that abides by ethical standards. Our study also informs policymakers of the importance of formal education on entrepreneurship as a mechanism to enforce ethical awareness in future entrepreneurs and intrapreneurs. ORIGINALITY AND VALUE: This study is among the first attempts to test the relationship between unethical behavior and EI in a managerial sample and non-western context.

CEO Compensation and Earnings Management-The Moderating Role of COVID-19 Pandemic: Evidence from Bangladesh

This study examines the impact of CEO compensation on earnings management and the moderating role of COVID-19 pandemic on this connection using accrual and real earnings management techniques in an emerging economy context. The annual reports of non-financial enterprises in Bangladesh from 2011 to 2021 have been analyzed in order to compile the data being collected. The methodologies of accrual and real earnings management are utilized in the beginning stages of the study in order to measure earnings management. Following this, the research employs the ordinary least square model in order to determine the findings of the regression. According to the findings of the study, there is a negative correlation between the compensation of CEOs and both accrual and actual earnings management. In addition, during the COVID-19 pandemic phase, businesses had a tendency to participate in real earnings management less frequently than they did before the pandemic outbreak. It is interesting to note that the data underline the fact that CEO compensation and the COVID-19 epidemic combined have a favorable impact on real-earnings management. The findings of the study make a contribution to the existing body of literature on corporate governance by offering insights into the influence that CEO compensation has on earnings management. It is anticipated that the findings of the study will be helpful for corporate policymakers in the process of formulating policies that are suited for lowering the earning management strategies that are utilized in businesses.

Financial accessibility and crime – Empirical study based on panel data from Chinese cities

PurposeThis paper empirically investigates the relationship between financial availability and crime by measuring it across five dimensions: banking, securities, insurance, private lending and digital inclusive finance.Design/methodology/approachThe study utilizes 2011–2017 data from prefecture-level cities as a representative sample. Moreover, these findings remain robust after addressing endogeneity through the use of the historical distance between cities and the railroad network as an instrumental variable.FindingsThe findings demonstrate a significant negative relationship between financial accessibility and crime rates. Heterogeneity exists in the inhibitory effect of different types of financial accessibility on crime, with banking finance exhibiting a stronger inhibitory effect compared to private lending. Areas affected by natural disasters and infectious diseases exhibit a stronger inhibitory effect of financial accessibility on crime rates, particularly in areas with severe shocks of natural disasters and epidemics. This effect is attributed to the low financing threshold and easy access to private lending, which plays a more effective role than bank finance when people face extreme risks.Practical implicationsThere should be stricter regulations imposed on private lending markets and the introduction of more rational legislation aimed at guiding a healthy development within these markets; such measures serve as effective and complementary means for individuals from all walks of life to access credit financing.Social implicationsThe regulation of financial resources by the government should always prioritize ensuring the accessibility of financial policies to cater to the needs of the majority population.Originality/valueThis study is for the first time in an emerging economy context, the causal relationship between financial accessibility and crime. To provide a more comprehensive measure of financial accessibility in a region, this paper proposes a five-dimensional methodology.

Development Policies and Subjective Economic Wellbeing: Evidence From India

In recent years, there has been a significant expansion in India’s development policy discourse accompanied by rights-based approach, grassroots transformation and socio-economic change. Consequently, impact evaluation has become central to development interventions. However, the evaluation of subjective measures within development policy discourse remains under-studied. The purpose of this article is to examine the impact of development policies on subjective economic wellbeing (SEWB) in India. Utilising household data from India human development survey and applying ordered probit regression, we test medium-term impact of development policies on SEWB. The findings show that while development policy does have significant impact in driving SEWB, interaction among development policies also curates interesting perspectives. Moreover, evidence suggests that relative social and economic considerations are significant in driving SEWB. The article attempts to combine insights from the development discourse and an empirical approach to go beyond a critique and draw emphasis on SEWB in an emerging economy context. JEL Codes: O11, O53, R28

Bookkeeping practices and SME performance: The intervening role of owners’ accounting skills

Aside from statutory requirements, Small and Medium-Sized Enterprises (SMEs) hardly take into consideration reliable accounting systems. Therefore, poor and ineffective bookkeeping has contributed to the collapse of some SMEs. This paper examines the intervening role of owners' accounting skills in the relationship between bookkeeping practices and the performance of SMEs in the Ho Municipal Assembly of Ghana using a sample of 296 SMEs. In a structural equation modelling (SEM) framework, the Smart Partial Least Squares (Smart-PLS) software is employed to analyse the relationships between owners' accounting skills, bookkeeping practices, and the performance of SMEs. We find that bookkeeping practices and owners' accounting skills have significant positive effects on the performance of SMEs. Most importantly, we show the existence of a significant indirect relationship between bookkeeping practices and SME performance such that owners' accounting skills positively intervenes the relationship between bookkeeping practices and SME performance. Thus, in the presence of higher owners’ accounting skills, the relationship between bookkeeping and the performance of SMEs is strengthened further. In a typical emerging economy context, while appropriate regulatory bodies, such as the National Board for Small Scale Industries (NBSSI), in the Ghanaian context, and local revenue collection authorities could put forth measures like periodic compliance audits to ensure that registered SMEs are managed by skilled personnel, fostering them to meet basic requirements for keeping records and managing their accounts to improve their performance, it is worth acknowledging that the onus lies on SME managers to recognise the relevance of good recordkeeping and account management practices to ensure sustained business performance.

Online Learning by University Students for Improved Performance in Emerging Economies

The main purpose of this study was to investigate the uptake of online learning as a new normal by university student for improved performance in emerging economies. Objectives of this study is to determine the uptake of online learning by university students, establish effect of online learning on university student performance, and to develop a framework that promote the uptake of online learning by university students in improving their performance in emerging economies. Emerging technologies and practices, such as online learning, are reported and predicted to have the potential to influence the future of global higher education teaching and learning. Lecturers and students in emerging economies contexts are less familiar with the use of digital technologies and had to struggle hard due to the lack of proper training and skills to utilize digital technologies which are inevitable for online learning, be it synchronous or asynchronous. A systematic literature review approach was used. 219 articles were found in the Scopus database, 69 papers were selected for the study. Results showed that online learning has bought positive impact on the lives of students in improving their academic performance for universities in emerging economies. There has been limited research into the use of digital technologies and their effects on student engagement and performance in emerging economies context. The present study was therefore designed to address this gap by focusing on the use of online learning by establishing various digital tools and their roles in fostering students’ online performance. This study therefore recommends a framework that promotes the uptake of online learning by university students in improving their performance in emerging economies through the four pillars of legislative framework, online leaning platforms, infrastructure, and human capital. The theoretical findings of this study therefore offer insights on policy implications for online learning practitioners and policymakers.

How does intellectual capital drive firm performance via dynamic capabilities: evidence from India

PurposeThis study examines how intellectual capital (IC) drives firm performance via the lens of dynamic capabilities (DCs). Drawing on resource-based view (RBV) and dynamic capability view (DCV), the authors elaborate the mediating role of learning, integration and reconfiguration DC in the Indian banking context.Design/methodology/approachA sample of 358 top- and middle-level managers from the Indian banking sector was administered with structured questionnaires for data collection. Structural equation modeling (SEM) and Sobel test were used to analyze the data and test the hypothesized mediating effect.FindingsThe findings reveal that learning and integration DCs are key mediators in IC and banks' performance relationships in an emerging economy context. In contrast, the analysis revealed partial mediating role of reconfiguration DC. Furthermore, the learning DC has been identified as the primary mediating mechanism for transforming bank's IC into performance benefits.Practical implicationsThis study provides an important implication for the IC and DC link by empirically developing and validating a model in the Indian banking sector and making a several contributions to the related literature. This sector needs to incorporate and strengthen their IC and DCs to attain enhanced performance in today's dynamic environment. Bank managers can use these findings to bring their knowledge-related activities to channelize specific DCs to transform banks' IC when seeking to improve overall performance. Theoretically, this study extends previous research by outlining a set of organizational elements that tend to influence firm performances with the help of IC, learning, integration and reconfigurations DCs.Originality/valueAlthough several studies have investigated the links between IC, DC and firm performance, studies on emerging economies are scarce. This study is one of the most in-depth investigations of the relationship between IC, learning, integration and reconfiguration DCs and firm performance in an integrated framework, with a particular focus on the banking sector of an emerging economy.

A contingency study of the performance of new venture logistics firms in Nigeria

Purpose High failure rates characterise the experience of new entrepreneurial ventures in Nigeria and other emerging economies. Reliance on strategic tools such as entrepreneurial orientation (EO) is critical to the growth and survival of new ventures. This empirical study aims to deepen the understanding of the relationship between EO and performance of new venture logistics firms in Nigeria. It further explores the contingent effects of social capital and marketing capabilities on the hypothesised direct relationships from a transport industry perspective. Design/methodology/approach Managers of 650 new venture logistics service providers in selected Nigerian cities were Web-surveyed. Exploratory and confirmatory factor analyses were performed. Regression analysis was further performed. Common method variance and other validity checks were assessed. Findings The 469 valid responses showed a positive relationship between EO and new venture performance (NVP). Social capital and marketing capabilities positively moderate the direct relationship between EO and NVP. Managerial implications suggest that context-specific dynamics must be considered when making strategic EO decisions to aid firm growth and survival. Originality/value This study directly responds to the contingency approach recommendation of past studies (Anwar et al., 2022; Van Stel et al., 2021; Covin and Wales, 2019) using the logistics service and emerging economy context. It also introduces social capital and marketing capabilities as moderators.

The silver lining of supply chain complexity: building supply chain resilience and robustness through exploitation and exploration

PurposeThis study aims to analyse whether the presence of supply chain complexity (SCC) influences firms to improve their supply chain (SC) resilience and SC robustness capability. This study also examines an important paradox: whether investing in both exploitation and exploration practices is conflicting or complementary to enabling SC resilience and robustness in the presence of SCC.Design/methodology/approachThe authors used a survey-based approach to collect 242 useful responses from SC professionals of Pakistani firms, an important emerging economy context. The data were analysed with covariance-based structural equation modelling to statistically validate the model.FindingsThe analysis reveals several key findings: the presence of SCC has a direct, positive influence on SC resilience and SC robustness; while exploitation practices only partially mediate the nexus between SCC and SC resilience, they fully mediate the relationship between SCC and SC robustness; while exploration practices partially mediate the nexus between SCC and SC resilience, they do not mediate the relationship between SCC and SC robustness and SCC has a significant influence on SC resilience and SC robustness sequentially through exploitation and exploration (i.e. one after the other).Practical implicationsThese findings help to reconcile the exploitation versus exploration paradox in cultivating SC resilience and SC robustness in the presence of SCC. The findings assist SC managers in determining how to deploy their limited resources most effectively to enhance SC resilience and SC robustness while facing SCC.Originality/valueThe authors devise and empirically validate a unique framework that demonstrates how the presence of SCC works as a stimulus to build SC resilience and SC robustness.

An investigation into knowledge management adoption and sustainable competitive advantage in an emerging market economy

Purpose Organizations sustain competitiveness by improving product or service quality, performing efficiently or innovating. This paper aims to investigate the relationship between knowledge management (KM) and sustainable competitive advantage (SCA) in business organizations in the Kingdom of Bahrain. The KM initiatives are categorized into knowledge creation, knowledge storage, knowledge transfer and knowledge application. Employees’ attitudes toward workplace knowledge resources are derived from their perceptions of their importance, usefulness and ease of use. Design/methodology/approach This paper adopts a cross-sectional survey design. Data is collected via an electronic questionnaire developed using Google Forms. Purposive sampling used a list of 122 business organizations. Ninety responses were received and taken into consideration for data analysis. Findings Spearman correlation analysis and partial least square structural equation modeling revealed a positive association between KM and SCA. This study reflected a positive association between employees’ attitudes toward knowledge resources and sustaining organizations’ competitive advantages. Originality/value In Bahrain, empirical studies still need to be developed to explore KM in business organizations and investigate its association with SCA. This study aims to fill this gap by examining the relationship between KM and the sustainability of quality, efficiency and innovation-based competitive advantages in business organizations in an emerging economy context.

Re-examining asymmetric dynamics in the relationship between macroeconomic variables and stock market indices: empirical evidence from Malaysia

PurposeThe aim of this research is to re-examine the dynamic linkages between macroeconomic variables and the stock market indices in Malaysia following some transformational changes in the policies and the exchange rate regime.Design/methodology/approachUsing monthly data points for all the economic variables and the stock market index (KLCI Index), the authors applied vector autoregression (VAR) model to examine the relationship. The authors also used impulse response function (IRF) in order to explore the effect of one-unit shock in “X” on “Y” under the VAR environment.FindingsThe authors' study finds a significant relationship between all the macroeconomic variables and the stock market index of Malaysia. The cointegration results indicate a long-term relationship, whereas the vector autoregressive-based impulse response analysis suggests that the Malaysian stock index (KLCI) responds negatively to the money supply, inflation and producer price index (PPI). However, the authors' results indicate a positive response from the stock index to the exchange rate.Research limitations/implicationsThe authors' study's results are based on selected macroeconomic variables and the VAR model. Researchers may find other variables and methods more useful and may provide findings accordingly.Practical implicationsSince the results are quite asymmetric, it would be interesting for the market players, policymakers and regulators to consider the findings and explore appropriate opportunities.Originality/valueWhile the relationship between macroeconomic variables and stock market indices has been widely examined, a significant gap in the literature remains concerning the role of exchange rate variable on the stock market in an emerging economy context.

Transformational Leadership fostering Open Innovation: A Dynamic Capabilities Perspective

Drawing upon dynamic capability theory, this research examines the role of transformational leadership in fostering open innovation in an emerging economy context in Southeastern Europe. Foremost, the study endeavours to tackle a noteworthy limitation, namely the nascent state of open innovation in the current body of literature pertaining to small and medium-sized enterprises (SMEs). Using a quantitative survey, we gathered information from 154 Albanian SMEs respondents. Data was analysed using PLS-SEM on the SmartPLS 4.0 version. The results show transformational leadership has a significant relationship with developmental culture and open innovation. In addition, we found that developmental culture mediates the relation between transformational leadership and open innovation. This research provides important practical implications for policymakers, leaders and industry practitioners to develop new business models for innovation diffusion. It requires shifting the focus from traditional innovation approaches towards new solutions to ensure collaboration and knowledge exchange. Existing researchers have highlighted transformational leadership with open innovation in the Western context. However, open innovation is less explored in Southeastern Europe specifically in SMEs which is an important context to unravel the useful insights. Significantly, open innovation became enabler of value creation, improved competitiveness and economic growth.

Dynamics of Venture Capital and Private Equity Investments in India: An Empirical Analysis

In this study, we explore the inter-dynamics among holding periods, return multiples, fund types, and exit routes of different VC and PE investments in the emerging economy context of India. We employ data spanning from January 2004 to March 2021, and our results indicate that there is a negative association between the holding period and return. The results also indicate that the average holding periods for India-dedicated and foreign funds are not significantly different. Furthermore, the results show that India-dedicated funds outperform foreign funds significantly in generating returns. Finally, the findings suggest that all exit routes can potentially yield similar results, contrary to the prevailing belief that certain exit routes guarantee superior returns. These findings provide useful insights for a spectrum of stakeholders, including entrepreneurs, practitioners, investors, financial analysts, and policymakers.

Evaluating the intention to use Industry 5.0 (I5.0) drones for cleaner production in Sustainable Food Supply Chains: an emerging economy context

PurposeThe purpose of this study is to evaluate food supply chain stakeholders’ intention to use Industry 5.0 (I5.0) drones for cleaner production in food supply chains.Design/methodology/approachThe authors used a quantitative research design and collected data using an online survey administered to a sample of 264 food supply chain stakeholders in Nigeria. The partial least square structural equation model was conducted to assess the research’s hypothesised relationships.FindingsThe authors provide empirical evidence to support the contributions of I5.0 drones for cleaner production. The findings showed that food supply chain stakeholders are more concerned with the use of I5.0 drones in specific operations, such as reducing plant diseases, which invariably enhances cleaner production. However, there is less inclination to drone adoption if the aim was pollution reduction, predicting seasonal output and addressing workers’ health and safety challenges. The findings outline the need for awareness to promote the use of drones for addressing workers’ hazard challenges and knowledge transfer on the potentials of I5.0 in emerging economies.Originality/valueTo the best of the authors’ knowledge, this study is the first to address I5.0 drones’ adoption using a sustainability model. The authors contribute to existing literature by extending the sustainability model to identify the contributions of drone use in promoting cleaner production through addressing specific system operations. This study addresses the gap by augmenting a sustainability model, suggesting that technology adoption for sustainability is motivated by curbing challenges categorised as drivers and mediators.

ESG Performance of Chinese Manufacturing Firms: Does State Ownership Matter?

Purpose - This research aimed to delve into the intricate relationship between government ownership and the corporate sustainability of firms operating within emerging economies, with a particular focus on several key firm-level characteristics such as international experience, the foreign backgrounds of top management teams, and capacity in research and development (R&D). By examining these attributes, the research sought to provide insights into the pivotal role that ownership type plays in shaping the sustainable performance of firms in emerging markets.
 Design/Methodology/Approach - This study empirically investigated Environmental, Social, and Governance (ESG) performance and firm-level characteristics of Chinese listed manufacturing firms from 2010 to 2018.
 Findings - The empirical results showed that government ownership had a significant positive impact on the ESG performance of emerging-market firms, and that the international experience of the firms as well as top manager overseas experience further strengthened this relationship, whereas their inputs in R&D showed no significant influence.
 Research Implications - This paper examined the impact of government ownership identity on firm sustainability outcomes. Our findings reveal significant distinctions in ESG performance between state-owned and privately-owned firms. This study contributes to corporate sustainability literature by investigating the influence of organizational ownership identity and firm-specific heterogeneity on ESG outcome within the emerging economy context.

Evaluation of Carbon Emission Factors in the Cement Industry: An Emerging Economy Context

The cement industry is a major contributor to carbon emissions, responsible for 5–8% of global emissions. This industry is expanding, particularly in emerging economies, and it is expected that CO2 emissions will rise by 4% by 2050. To address this critical concern, this paper identifies ten factors that contribute to carbon emissions in the cement production process through an extensive literature review and prioritises these factors using the Bayesian best–worst method. The data was gathered by conducting a methodical online survey with seven cement industry professionals in Bangladesh, with the aim of gaining insights into the emerging economy. The results illustrate that fuel burning and electricity consumption are the two greatest contributors to CO2 emissions in the cement production process. This research provides guidelines for cement industries in emerging economies on how to reduce CO2 emissions as well as suggesting areas of future research for sustainable cement production.

The impact of CEO power on corporate tax avoidance: the moderating role of institutional ownership

Purpose This study aims to investigate the relationship between chief executive officer (CEO) power and the level of tax avoidance of Tunisian listed companies. It also examines the moderating role of institutional ownership in this association. Design/methodology/approach The sample comprises 306 firm-year observations of companies listed on the Tunis Stock Exchange during the 2013–2020 period. Findings The results indicate that CEO power reduces tax avoidance levels. Moreover, the relationship between CEO power and tax avoidance is more pronounced in the presence of institutional ownership, suggesting that CEOs act less opportunistically when monitored by institutional investors, which results in a reduction in tax avoidance. Practical implications This study suggests that CEO power and institutional shareholders’ influence are important factors in determining firms’ avoidance behavior. This study has significant implications for shareholders and regulatory bodies. Indeed, shareholders apprehend the impact of appointing a powerful CEO on tax avoidance practices. This study may also provide regulators with new insights into the influence of CEO power dimensions and institutional ownership on tax aggressiveness. Originality/value This study fills the gap in the accounting literature by investigating how CEO power may impact tax avoidance behavior and provides empirical evidence on the moderating impact of institutional ownership on this relationship in an emerging economy context characterized by a weakly protected investor setting.

A systematic approach to analyzing the enablers of post-pandemic supply chain resilience in an emerging economy: a fuzzy AHP approach

PurposeThis study aims to identify the enablers of supply chain resilience (SCR) through a literature review and expert panel input in the context of Pakistan and the post-pandemic era. This study also aims to categorize and rank the identified enablers using expert panel input.Design/methodology/approachA review of the extant literature was conducted to investigate and identify the factors that contribute to SCR. The relative ranking of the enablers was carried out by a group of industry and academic experts. The expert panel was convened to compare the main categories and each enabler in pairs and to score the enablers using triangular fuzzy numbers.FindingsThis study identified 16 critical SCR enablers. Using the fuzzy analytic hierarchy process (AHP), these enablers were divided into three groups and analyzed. The results show that financial enablers, technology enablers and then social enablers are prioritized when it comes to SCR in emerging markets. The robustness of the ranking of enablers is tested through sensitivity analysis.Practical implicationsThe results shall be helpful for policymakers and managers to understand the important enablers and also help allocate resources to important enablers. Managers will be able to formulate strategies to achieve SCR in an uncertain environment.Originality/valueThis is one of the first attempts to identify and rank the enablers of SCR in an emerging economy context.

Attaining Sustainable Development Goals through embedding circular economy principles: Evidence from food processing small‐ and medium‐sized enterprises in India

AbstractVarious industries are gradually sifting away from the linear economy and toward the circular economy (CE), but its advancement is crawling far behind the environmental contamination by the food processing industry in developing countries. Hardly any research analyzes the CE performance of food processing small‐ and medium‐sized enterprises (FPSMEs) in an emerging economy context. Hence, developing a CE performance evaluation framework is imperative to facilitate this transition. This research proposes a comprehensive framework for evaluating CE performance based on three real‐world cases of Indian FPSMEs. Initially, 15 essential criteria are shortlisted from the literature and refined by the experts. Afterward, data are collected through questionnaires administered to experts and structured interviews. Next, this research employs a multi‐criteria decision‐making (MCDM)–based approach, in which the Criteria Importance Through Inter‐criteria Correlation (CRITIC) method is used to compute the objective weights of criteria and the Vlse Kriterijumska Optimizacija Kompromisno Resenje (VIKOR) method is used to determine the performances of FPSMEs and rank them accordingly. The results reveal that “investment in Corporate Social Responsibility (CSR),” “use of renewable energy,” “increase in scrap recycling rate,” “total emission,” and “total water consumption” are the top five criteria for CE performance. Investment in CSR emerges as the most influential criterion for strategic corporate transformation, which blends the notions of CE and CSR as a feasible solution for designing circular business processes.