Circular Economic Business Model among F&B SMEs in Bali Indonesia
Description
This study explores how small and medium-sized food and beverage (F&B) businesses in Bali, Indonesia, adopt Circular Economy (CE) practices. Analyzing 235 responses, the research found that a strong sustainability culture is the primary catalyst for CE implementation. Internally, innovation capability and employee knowledge strengthen this culture, while external factors like financial support, clear regulations, and stakeholder engagement provide crucial momentum. These drivers foster implementation readiness and positive attitudes, leading to CE adoption. The benefits are twofold: improved environmental outcomes (less waste, lower resource use) and enhanced financial performance through cost savings, new revenue, and employee incentives. The study concludes that CE is both an ecological responsibility and a strategic business asset for tourism-based economies. It recommends that policymakers combine top-down regulations with bottom-up capacity building and financial aid, while managers should integrate CE into their strategy, upskill employees, and forge cross-sector partnerships.