Drivers for the implementation of circular economy in the Nigerian AECO industry: a structural equation modelling approach

Abstract

Purpose This study aims to investigate the drivers influencing the implementation of circular economy principles in the Nigerian architecture, engineering, construction and operation (AECO) industry across diverse regions of Nigeria. Design/methodology/approach A quantitative research approach was adopted, using a structured questionnaire distributed to AECO professionals across four selected regions (North Central, North West, South-South and South West) in Nigeria. The data were analysed using Kruskal–Wallis test and structural equation modelling (SEM). Findings The study findings show a robust consensus of opinions among the respondents across regions and professions. The SEM analysis establishes the significant influence of the hypothesized drivers, regulatory and institutional, supply chain collaboration, technological advancements, organizational support and business strategies on the successful implementation of circular economy principles in the Nigerian AECO industry. Research limitations/implications The study is limited to specific regions and professions within Nigeria. Further limitation is the quantitative orientation of this study, which collects data using only a questionnaire. Practical implications The findings imply that stakeholders can adopt a unified approach to promote circular economy principles in the AECO industry. By recognizing the common understanding of circular economy drivers, collaborative efforts can be streamlined to advance sustainability, resource efficiency and circularity in the industry. Originality/value This study contributes to the nascent field of circular economy implementation in the Nigerian AECO industry. It offers a unique perspective by exploring variations in stakeholder opinions, providing insights into the nuanced understanding of circular economy drivers.