Public-private partnerships as catalysts for digital transformation and circular economy: Insights from developing countries

This study investigates the dynamics of Public-Private Partnerships (PPPs) in promoting digital transformation and circular economy initiatives in the public sector of developing countries. Using Collaborative Advantage Theory (CAT) and a multiple-case study design, involving 10 public and 12 private organizations across five cases, the research explores how complementary resources, collaborative processes, trust and governance, and mutual benefits and value creation shape the success of these partnerships. Data were collected through 50 semi-structured interviews with key stakeholders and archival analysis of partnership agreements, project reports, and policy documents. The findings reveal that strategic alignment and collaborative leadership are key triggers for synergy creation and co-creation of value. Additionally, participatory governance models and transparent performance metrics enhance trust and sustainability within PPPs. These results offer important theoretical contributions by expanding Collaborative Advantage Theory in the context of PPPs, emphasizing how collaboration and resource integration lead to sustainable outcomes. Practically, the study provides recommendations for policymakers and private sector leaders to improve the governance, resilience, and scalability of PPPs, promoting long-term public service innovation and sustainability.