ABSTRACT

Circular entrepreneurship is important in accelerating sustainability changes in society. Shifting towards the circular economy paradigm requires systemic changes in terms of rules, norms, attitudes, and behaviour. There is a need to increase our understanding about what supports and what constrains circular start-ups in their quest to drive sustainability change. In this chapter we examine the role of institutional environment in catalysing circular entrepreneurship. We present a comparative study of institutional environments of circular start-ups in Finland and Italy. The results of the in-depth analysis of the regulative, normative, and cognitive-cultural pillars of institutional environment increase our understanding about the catalysing mechanisms for circular economy entrepreneurship.