Analysing the roadblocks of circular economy adoption in the automobile sector: reducing waste and environmental perspectives

Agrawal, Rohit, Wankhede, Vishal A., Kumar, Anil and Luthra, Sunil (2020) Analysing the roadblocks of circular economy adoption in the automobile sector: reducing waste and environmental perspectives. Business Strategy and the Environment, 30 (2). pp. 1051-1066. ISSN 0964-4733

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Abstract / Description

The automobile industry is one of the most rapidly growing sectors in our society. The increase in demand for vehicles drives the growth of the automobile sector worldwide. Fabrication of vehicles consumes an enormous amount of water, energy, and resources, thereby increasing carbon emissions. Non-biodegradable and manufacturing waste after the end of life usage results in a significant contribution to incineration, landfills, air acidification and water eutrophication. The adoption of circular economy (CE) initiatives can play a significant role in dealing with increasing waste and environmental pollution. The main goal of CE is to recycle and reuse materials to reduce waste and also to minimise environmental impacts. This article strongly supports the adoption of CE in the Indian automobile industry. For the successful adoption of CE in the Indian automobile sector, firstly, it is important to analyse roadblocks to the adoption. Twenty potential roadblocks towards the adoption of CE have been identified from a literature review and in consultation with experts in the field. To capture the vagueness of the data and to carry out a robust analysis, a TOPSIS method with Fuzzy theory is employed. The results reveal that roadblock ‘lacking ability to deliver high quality remanufactured products’ is ranked first among all considered roadblocks. This study will help the Indian automobile industry, decision-makers, research practitioners and government officials in developing effective strategies for adopting CE in Indian automobile companies. Sensitivity analysis has been conducted to validate the stability of results.

Item Type: Article
Uncontrolled Keywords: business strategy; environment; roadblocks; automobile industry; circular economy; Fuzzy TOPSIS
Subjects: 600 Technology > 650 Management & auxiliary services
Department: Guildhall School of Business and Law
Depositing User: Anil Kumar
Date Deposited: 09 Oct 2020 08:30
Last Modified: 08 Oct 2022 01:58


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