Title: Do clusters matter for a circular economy?

Authors: Ineza Gagnidze

Addresses: Faculty of Economics and Business, Ivane Javakhishvili Tbilisi State University, Flat 74, D. Bakradze St. 6a, 0119, Tbilisi, GE, Georgia

Abstract: This paper aims to demonstrate the potential role of clusters for transitioning to a circular economy. Drawing on Gottfried Leibniz's quote "the present is big with the future, the future might be read in the past, the distant is expressed in the near", the author uses the opinions of recognised researchers and argues for a positive answer to the question posed in the title. On the ability of clusters to successfully introduce a circular economy, the author develops views in three directions: first: a circular economy is at the core of the way to achieve sustainable development and sustainability; second: social capital occurring in clusters is one of the best tools for transitioning to a circular economy and for achieving it with less investment than in independent firms; third: the universities in clusters can play a pivotal role in addressing challenges for transitioning to a circular economy.

Keywords: cluster; circular economy; Industry 4.0; digital transformation; sustainable development; sustainability; SMEs; small and medium-sized enterprises; the theory of individual behaviour; university; system; network.

DOI: 10.1504/IJMABS.2024.144446

International Journal of Markets and Business Systems, 2024 Vol.5 No.2, pp.128 - 145

Received: 01 Dec 2023
Accepted: 08 Feb 2024
Published online: 13 Feb 2025 *

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