Ambidextrous Leadership Initiative Propelling the Circular Economy: The Moderating Role of SME Entrepreneur Orientation

The current study aimed to investigate how the strategic approach of Small and Medium-sized Enterprises (SME) entrepreneurship innovation moderates the relationship between ambidextrous opening and closing behaviour and the adoption of three different circular practices. This study used a sample of 267 manufacturing SMEs in Nigeria. Through PLS-SEM structural equation modelling, it was discovered that only two of the three categories of circular economy (CE) practices are moderated by SME entrepreneurship innovation, despite opening leadership and closing leadership behaviour being positively connected to all three. This unique perspective adds to the body of CE literature, arguing that SME entrepreneurship innovation promotes the adoption of CE practices. In the context of Nigerian manufacturing SMEs, a differentiated perspective of adopting CE practices is also provided.