Cross-Ownership Control to Promote Circular Economy: Perspectives from Sustainable Supply Chain Management

Abstract

The paper analyzes the relationship between cross-ownership of shares and the ability to operate a circular economy model in modern supply chains. In fact, cross-ownership can both create incentives for long-term cooperation between enterprises and potentially limit competition, hide environmental costs and reduce transparency. From the perspective of sustainable supply chain management, the study proposes an approach to cross-ownership control not only from the perspective of competition management, but also as a tool to promote accountability for resources, emissions and product lifecycle. Through a comparison of several international governance models, the paper recommends the development of a mandatory disclosure mechanism according to ESG standards combined with a limit on cross-ownership ratio according to the level of environmental and social risks of the industry. The paper concludes by emphasizing that the circular economy can only become a reality when corporate ownership structures are designed to be transparent, connected, and fully accountable for impacts across the entire value chain.