Strategies and drivers of innovations in the circular context: The case of Italian SMEs

Abstract The circular revolution has emerged as one of the greatest current and future challenges for Europe and globally. In this new paradigm shift, everyone is called to contribute, from consumers to firms. Small and medium-sized firms, thanks to their size, dynamism, and strong presence across Europe, can play an active role in driving change. Their innovative activities/approaches can guide them both toward a circular future and toward the path of sustainable growth. This work aims to analyze the drivers that push firms to adopt a circular innovation path, using data from a two-period survey of Italian manufacturing SMEs. By focusing on key variables identified in the literature, the results demonstrate a certain heterogeneity among the drivers influencing the five categories of circular innovation considered.