The transition to a circular economy (CE) is vital for sustainable development, and this has prompted a need for studies on its nuanced implementation across sectors. This research investigates the divergent perceptions and implementations of CE in bio-based and non-bio-based industries by examining the Austrian wood- and plastic-based innovation systems (WCEIS and PCEIS) employing the technological innovation systems framework, with primary data from semi- structured interviews (N = 34). The findings reveal significant differences: WCEIS, aligning with prior literature, adopts a more opportunistic and positive strategy, while PCEIS exhibits intensified barriers, emphasizing mitigation of prevalent negative conditions. The insights reveal WCEIS embracing business model innovation and corporate image improvements as key drivers, leveraging potential economic value creation and resource efficiency, whereas PCEIS is molded by internal motivations, societal responsibilities, and a quest to alleviate its prevailing negative image by focusing on mitigating challenges in recyclates availability and sorting processes. However, both sectors perceive CE as a pivotal market opportunity. Specifically, a “pull” effect stemming from entrepreneurial motivations and positive market potentials guides WCEIS, while a “push” effect arising from urgent external constraints and remediation needs directs PCEIS. This denotes the essential divergence and convergence in their pathways toward CE. The study accentuates the imperative of strategic, sector-specific interventions and a recalibration in Austrian policy to bolster infrastructural developments, normalize secondary raw materials, and enrich public engagement. Recommendations propose targeted subsidies and training for WCEIS and community-driven initiatives and education for PCEIS, highlighting the importance of addressing unique challenges and capitalizing on the inherent drivers in each system to realize ecological aspirations.
Read full abstract