Adoption of Circular Economy and Environmental Certifications: Perceptions of Tourism SMEs

Abstract

Tourism is one of the most important industries in the world. On the one hand, tourism activities provide a significant boost to many national economies but on the other hand, they severely impact the environment. Tourism SMEs are therefore needed to transform their activities from a linear economy to a circular economy (CE). However, the tourism industry has not yet shown a clear and decisive transition towards CE. There is no or very little academic discussion on why the tourism industry has not yet adopted CE and how tourism SMEs can adopt CE. In this context, we analyzed a sample of 256 tourism SMEs (hotels and accommodations, travel agencies, tour operators, and reservation service activities) based in Cyprus, France, Italy, and Spain. Our survey reveals a ruthless situation regarding the adoption of environmental certifications. There is a very low demand to adopt an environmental certification in the tourism industry. Moreover, the adoption of CE among tourism SMEs is not so high. The main factors that hinder the adoption of green or CE practices are lack of funds, lack of information about potential partners, and lack of skilled personnel. Nonetheless, many tourism SMEs perceive that CE adoption leads to various positive outcomes. Our study provides some suggestions to facilitate the transition towards CE in the tourism industry.