Usefulness of the Ordinal Logistic Biplot: Analysis of the Path Taken towards a Circular Primary Sector in Spain

Abstract

Population growth and greater global interconnection require a profound transformation in how we produce, consume, and manage natural resources. In this sense, the circular transition of the agricultural and livestock sectors is vital to guarantee adequate production without compromising the availability of resources for future generations. In this work, we analyze the level of circular development of the primary sector in Spain using a sample of the 84 largest companies. We utilize the biplot analysis, multivariate graphic models that represent the joint distribution of four scores (constructed with sixteen ecological initiatives), and three financial and geographic variables. These techniques allow for visualization of the status and the relationships between all of them. We evidence an important degree of progress in initiatives associated with the use of non-polluting energy, eco-design, eco-innovation, management, and care of ecosystems. We also observe that the current transition towards a circular primary sector is strongly associated with firms’ capital investments and long-term innovations. On the other hand, the actions aimed at protecting water resources are in an intermediate state of progress, being necessary to invest in additional friendly water initiatives. In this vein, it is advisable to promote public policies focused on promoting the ecological transition of this sector and the research that advances efficient water management.