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From Managerial Awareness to Behavior in the Circular Economy: The Role of Personality Traits and Organizational Support

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Business Strategy and the Environment

Published online on

Abstract

["Business Strategy and the Environment, EarlyView. ", "\nABSTRACT\nAs businesses are increasingly integrating circular economy (CE) principles to promote concrete sustainability actions, understanding which managerial aspects may align with this change becomes paramount. Employing a conceptual framework based on Cognitive‐Affective Personality System (CAPS) and Organizational Support theories, this study explores whether and how managers' personality traits affect their circular economy awareness (CEA), whether this awareness translates into circular economy behavior (CEB), and how perceived organizational support (POS) can strengthen this relationship. Using PLS‐SEM on a sample of 125 managers from five European countries, our findings reveal that extraversion and agreeableness positively affect managers' CEA, while neuroticism negatively impacts it. Notably, we suggest that the CEA positively relates to CEB, and that this effect is significantly strengthened when managers perceive high organizational support, which facilitates the translation of awareness into action. Overall, the research suggests profound implications for organizations, managers, and policymakers in fostering more circular business orientation, advocating for strategic organizational changes that align managerial awareness and behaviors with broader sustainability goals, and thereby advancing the implementation of CE strategies within corporate settings.\n"]