Circular Economy and Opportunities for Smes in Leather Industry of Pakistan
Abstract
Purpose: The leather manufacturing industry in Pakistan is home to many small & medium-sized businesses (SMEs), and this study looks at their experiences with the pros & cons of embracing the circular economy concept. It targets to identify benefits of resource conservation and environmental sustainability, along with the obstacles hindering implementation. Various studies worked on SMEs of different sectors but sustainability challenges faced by leather industry of Pakistan were not discussed in previous works. This study also discusses opportunities for leather industry to implement sustainability. Methodology: The research method was qualitative, and it consisted of semi-structured interviews with managers of production. The data collection process included conducting a semi-structured interview. Saturation theory provided the foundation for the data. Twelve managers from Pakistan, who work for leather companies that have earned the ISO 14000 certification, were interviewed face to face. To gain a better understanding and spot commonalities, the researchers used thematic analysis. Findings: According to the research, some of the biggest difficulties with circular economy stands that not enough people know about it. Opportunities to save money and make enhanced use of possessions are crucial if SMEs are to remain sustainable and competitive. It is feasible to apply circular economy practices in SMEs by addressing the obstacles. It is essential to raise public attentiveness regarding the long-term advantages of a circular economy. Sustainable practices will be easier to implement as a result of this. Implications: The findings underscore the strategic importance of environmental sustainability in improving market positioning for SMEs. This fact cannot be denied that economy has a great share of SMEs. So, Sustainability implementation in SMEs can enhance the share in the success of economy and firms can leverage circular economy principles to attain long-term development and resilience.
Keywords: Leather manufacturing industry, Circular economy, SMEs, Resource efficiency, Barriers to adoption, Sustainable business practices, SME resilience.
