CIRCULAR ECONOMY: TOWARDS ENVIRONMENTAL SUSTAINABILITY UNDER THE INFLUENCE OF DIGITAL LEARNING ORIENTATION IN VIETNAM

Abstract

In response to growing sustainability pressures, firms in emerging economies such as Vietnam are increasingly required to move away from conventional linear economic approaches toward circular economy (CE) paradigms. However, the mechanisms through which internal organizational capabilities support CE adoption and environmental performance remain insufficiently understood. Grounded in the resource-based view and associated capability theories, the current research develops and tests a conceptual framework linking digital learning orientation (DLO), digital transformation (DT), CE, and environmental performance (ENP). Specifically, the paper investigates how DLO directly impacts CE, how CE subsequently affects ENP, and how DT moderates the DLO-CE linkage. A quantitative methodology was employed, utilizing data gathered via surveys from Vietnamese enterprises and analyzes the hypothesized framework via partial least squares structural equation modeling (PLS-SEM). The empirical results reveal that DLO exerts a substantial positive influence on CE, DT similarly fosters CE adoption, and CE significantly improves ENP. In addition, DT amplifies the positive association between DLO and CE, suggesting that digital technologies strengthen the capacity of learning-driven firms to succeed in implementing circular practices. These results provide a comprehensive understanding of the synergistic effects of organizational learning and digital competencies on achieving sustainable goals. Furthermore, this work enriches the existing body of knowledge regarding digital transformation, circular economy paradigms, and ecological performance, while also offering practical implications for managers and policymakers in emerging-market contexts.