The Impact of Circular Economy Implementation on the Hospitality Supply Chain in Rivers State

This study investigates the impact of circular economy implementation (CEI) on the hospitality supply chain of hotels in Rivers State, Nigeria. A survey research design was employed, targeting hotel management staff, and a sample size of 303 participants was determined using the Cochran’s formula. A simple random sampling technique was used, and data was collected through closed-ended questionnaires. Responses were analyzed using Partial Least Square Structural Equation Modeling (PLS-SEM), with statistical tools like SPSS employed for descriptive statistics. The study examines the relationship between CEI dimensions such as circular economy strategy (CES) and level of investment (LoV) and hospitality supply chain outcomes, including environmental impact, economic impact, and customer perception. Results reveal significant positive relationships between CES and environmental impact (T = 12.578, P < 0.05), economic impact (T = 2.27, P < 0.05), and customer perception (T = 5.418, P < 0.05). Similarly, LoV demonstrated strong positive correlations with environmental and economic impacts, as well as customer perception. R² values of 0.787, 0.897, and 0.843, respectively, indicate that CEI significantly predicts these outcomes, suggesting that circular economy practices can enhance sustainability, economic performance, and customer satisfaction in the hospitality sector. The study concludes that CEI is a critical factor in improving the performance of the hospitality supply chain in Rivers State.