Effect of motives on sustainability performance of tourist hotels: Mediating role of sustainability adoption

https://doi.org/10.35912/joste.v6i2.2412
Published: Jan 8, 2025

Abstract:

Purpose: This study examines how sustainability adoption mediates the relationship between sustainability motives and performance of tourist hotels in Sri Lanka.

Research Methodology: To check the proposed hypotheses of this quantitative investigation, a Structural Equation Model was utilized as an analytical technique using 207 datasets from registered tourist hotels in Sri Lanka. The questionnaire survey technique was used to collect the data.

Results: The structural model analysis revealed that while managerial motivations significantly enhance sustainability performance when mediated by corporate sustainability adoption, stakeholder and institutional motivations do not exhibit the same mediating effect.

Limitations: This study is confined to the Sri Lankan hotel industry, which may limit the generalizability of the findings to other countries. Focusing solely on tourist hotels may limit the applicability of these results to other industries. The use of cross-sectional data limits one’s ability to infer causal relationships over time.

Contribution: The contributions of both theory and practice are profound, advocating a strategic focus on internal leadership to drive sustainability in the lodging industry. Future research should explore these relationships across different sectors to enhance our understanding of the factors that foster sustainability initiatives.

Implications: The findings emphasize the significance of internal leadership and managerial motivations, rather than external motives, in driving sustainability efforts toward the sustainability performance of hotels. This justifies the need for change in the literature on sustainability, with a greater focus on the role of managerial commitment as a critical component in attaining sustainable performance.

Novelty: These findings challenge the conventional wisdom that external pressures alone can drive sustainability success, and highlight the importance of internal leadership and managerial commitment.

Keywords:
1. corporate sustainability adoption
2. managerial motives
3. institutional motives
4. stakeholder motives
5. sustainability performance
Authors:
1 . Namal Wijesundara
Sabaragamuwa University of Sri Lanka, Sri Lanka
2 . Ali Khatibi
Management & Science University, Shah Alam, Selangor, Malaysia
3 . S. M. Ferdous Azam
Management & Science University, Shah Alam, Selangor, Malaysia
4 . Jacquline Tham
Management & Science University, Shah Alam, Selangor, Malaysia
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How to Cite
Wijesundara, N., Khatibi, A., Azam, S. M. F., & Tham, J. (2025). Effect of motives on sustainability performance of tourist hotels: Mediating role of sustainability adoption. Journal of Sustainable Tourism and Entrepreneurship, 6(2), 125–140. https://doi.org/10.35912/joste.v6i2.2412
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Issue & Section
Vol. 6 No. 2 (2025): January
Articles
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References

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    Apriani, A., Kamsariaty, K., Sarinastiti, N., Yuliastuti, H., & Sukmayadi, S. (2023). Toward a greener future: Exploring sustainable practices in travel and tourism in Bali. Journal of Sustainable Tourism and Entrepreneurship, 4(3), 241-252.

    Aras, G., Tezcan, N., & Kutlu Furtuna, O. (2018). The value relevance of banking sector multidimensional corporate sustainability performance. Corporate social responsibility and environmental management, 25(6), 1062-1073.

    Ashrafi, M., Walker, T. R., Magnan, G. M., Adams, M., & Acciaro, M. (2020). A review of corporate sustainability drivers in maritime ports: a multi-stakeholder perspective. Maritime Policy & Management, 47(8), 1027-1044.

    Awan, U., Kraslawski, A., & Huiskonen, J. (2017). Understanding the relationship between stakeholder pressure and sustainability performance in manufacturing firms in Pakistan. Procedia Manufacturing, 11, 768-777.

    Bux, H., Zhang, Z., & Ali, A. (2024). Corporate social responsibility adoption for achieving economic, environmental, and social sustainability performance. Environment, Development and Sustainability, 1-31.

    Camilleri, M. A. (2020). Strategic corporate social responsibility in tourism and hospitality. Camilleri, MA, Strategic Corporate Social Responsibility in Tourism and Hospitality. Sustainable Development, 1-3.

    Charan, P., & Murty, L. (2018). Institutional pressure and the implementation of corporate environment practices: examining the mediating role of absorptive capacity. Journal of Knowledge Management, 22(7), 1591-1613.

    Chen, Y., & Chen, I. J. (2019). Mixed sustainability motives, mixed results: the role of compliance and commitment in sustainable supply chain practices. Supply Chain Management: An International Journal, 24(5), 622-636.

    Daddi, T., Todaro, N. M., Iraldo, F., & Frey, M. (2021). Institutional pressures on the adoption of environmental practices: a focus on European professional football. Journal of Environmental planning and management, 1-23.

    Ehgartner, U. (2020). The discursive framework of sustainability in UK food policy: The marginalised environmental dimension. Journal of Environmental Policy & Planning, 22(4), 473-485.

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    Graci, S., & Van Vliet, L. (2020). Examining stakeholder perceptions towards sustainable tourism in an island destination. The Case of Savusavu, Fiji. Tourism Planning & Development, 17(1), 62-81.

    Guix, M., Bonilla-Priego, M. J., & Font, X. (2018). The process of sustainability reporting in international hotel groups: An analysis of stakeholder inclusiveness, materiality and responsiveness. Journal of Sustainable Tourism, 26(7), 1063-1084.

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    Hristov, I., Appolloni, A., & Chirico, A. (2022). The adoption of the key performance indicators to integrate sustainability in the business strategy: A novel five?dimensional framework. Business Strategy and the Environment, 31(7), 3216-3230.

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    Kitsis, A. M., & Chen, I. J. (2020). Do motives matter? Examining the relationships between motives, SSCM practices and TBL performance. Supply Chain Management: An International Journal, 25(3), 325-341.

    Kline, R. B. (2023). Principles and practice of structural equation modeling: Guilford publications.

    Mabhanda, W. (2024). The role of green innovation in promoting sustainable economic development in Gweru, Zimbabwe. Journal of Sustainable Tourism and Entrepreneurship, 5(2), 93-109.

    MacCallum, R. C., Browne, M. W., & Sugawara, H. M. (1996). Power analysis and determination of sample size for covariance structure modeling. Psychological methods, 1(2), 130.

    Mahajan, R., Lim, W. M., Sareen, M., Kumar, S., & Panwar, R. (2023). Stakeholder theory. Journal of Business Research, 166, 114104.

    Martínez, P., Herrero, Á., & Gómez?López, R. (2019). Corporate images and customer behavioral intentions in an environmentally certified context: Promoting environmental sustainability in the hospitality industry. Corporate social responsibility and environmental management, 26(6), 1382-1391.

    Mohamed Mihilar, M. S. (2017). Adoption and Implementation of Corporate Sustainability Strategy: Evidence from a Mixed Method Study. Curtin University.

    Moise, M.-S., Gil-Saura, I., & Ruiz-Molina, M.-E. (2018). Effects of green practices on guest satisfaction and loyalty. European Journal of Tourism Research, 20(20), 92-104.

    Olya, H., Altinay, L., Farmaki, A., Kenebayeva, A., & Gursoy, D. (2021). Hotels' sustainability practices and guests' familiarity, attitudes and behaviours Sustainable Consumer Behaviour and the Environment (pp. 43-61): Routledge.

    Paulraj, A., Chen, I. J., & Blome, C. (2017). Motives and performance outcomes of sustainable supply chain management practices: A multi-theoretical perspective. Journal of business Ethics, 145, 239-258.

    Prayag, G., & Lee, C. (2019). Tourist motivation and place attachment: The mediating effects of service interactions with hotel employees. Journal of Travel & Tourism Marketing, 36(1), 90-106.

    Raab, C., Baloglu, S., & Chen, Y.-S. (2018). Restaurant managers’ adoption of sustainable practices: An application of institutional theory and theory of planned behavior. Journal of foodservice business research, 21(2), 154-171.

    Razali, F. A., Wahid, S. N. S., Adnan, N. I. M., Alam, N. M. F. H. N. B., & Hilmi, Z. A. G. (2024). Construct validation of students’ anxiety and attitudes towards statistical concepts questionnaire: An exploratory factor analysis procedure. Paper presented at the AIP Conference Proceedings.

    Saeed, A., Jun, Y., Nubuor, S. A., Priyankara, H. P. R., & Jayasuriya, M. P. F. (2018). Institutional pressures, green supply chain management practices on environmental and economic performance: A two theory view. Sustainability, 10(5), 1517.

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    Shee, H., Miah, S. J., Fairfield, L., & Pujawan, N. (2018). The impact of cloud-enabled process integration on supply chain performance and firm sustainability: the moderating role of top management. Supply Chain Management: An International Journal, 23(6), 500-517.

    Shrestha, N. (2021). Factor analysis as a tool for survey analysis. American journal of Applied Mathematics and statistics, 9(1), 4-11.

    Singh, S. K., Del Giudice, M., Chiappetta Jabbour, C. J., Latan, H., & Sohal, A. S. (2022). Stakeholder pressure, green innovation, and performance in small and medium?sized enterprises: The role of green dynamic capabilities. Business Strategy and the Environment, 31(1), 500-514.

    Sulaiman, E., Fitralisma, G., Fata, M. A., & Nawawi, R. (2023). Empowering local communities engagement: Rural tourism and business innovation for SDGs desa. Journal of Sustainable Tourism and Entrepreneurship, 4(3), 331-344.

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    Tjahjadi, B., Soewarno, N., Karima, T. E., & Sutarsa, A. A. P. (2023). Business strategy, spiritual capital and environmental sustainability performance: mediating role of environmental management process. Business process management journal, 29(1), 77-99.

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    Wang, C. L., Ahmed, P. K., & Rafiq, M. (2008). Knowledge management orientation: construct development and empirical validation. European Journal of Information Systems, 17(3), 219-235.

    Wasiq, M., Kamal, M., & Ali, N. (2023). Factors influencing green innovation adoption and its impact on the sustainability performance of small-and medium-sized enterprises in Saudi Arabia. Sustainability, 15(3), 2447.

    West, R. F., Meserve, R. J., & Stanovich, K. E. (2012). Cognitive sophistication does not attenuate the bias blind spot. Journal of personality and social psychology, 103(3), 506.

    Wickramasinghe, K. (2019). Measuring environmental orientation in hotels: empirical evidence from Sri Lanka. Anatolia, 30(3), 420-430.

    Wijesundara, C. N. R., Khatibi, A., Azam, S. F., & Tham, J. (2024). A Critique on Theoritical Framework for Adoption of Corporate Sustainability Practices: Iintegrating Institutional Motives, Stakeholder Motives, and Managerial Motives. International Journal of Professional Business Review, 9(1), e04202-e04202.

    Wijesundara, N. (2023). Corporate Sustainability Practices of Hotel Industry: A Systematic Literature Review. London Journal of Research In Management & Business, 23(5), 43-53.

    Wijethilake, C., & Ekanayake, A. (2018). Proactive strategic responses to corporate sustainability pressures: a sustainability control system framework Advances in Management Accounting (pp. 129-173): Emerald Publishing Limited.

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    Zhou, S., Rashid, M. H. U., Mohd. Zobair, S. A., Sobhani, F. A., & Siddik, A. B. (2023). Does ESG impact firms’ sustainability performance? The mediating effect of innovation performance. Sustainability, 15(6), 5586.

  1. Afnan, D., Wijaya, M., Kartono, D. T., & Wibowo, A. (2024). Sustainability strategy: Strengthening SDGs desa through CSR communication program. Journal of Sustainable Tourism and Entrepreneurship, 5(3), 179-190.
  2. Apriani, A., Kamsariaty, K., Sarinastiti, N., Yuliastuti, H., & Sukmayadi, S. (2023). Toward a greener future: Exploring sustainable practices in travel and tourism in Bali. Journal of Sustainable Tourism and Entrepreneurship, 4(3), 241-252.
  3. Aras, G., Tezcan, N., & Kutlu Furtuna, O. (2018). The value relevance of banking sector multidimensional corporate sustainability performance. Corporate social responsibility and environmental management, 25(6), 1062-1073.
  4. Ashrafi, M., Walker, T. R., Magnan, G. M., Adams, M., & Acciaro, M. (2020). A review of corporate sustainability drivers in maritime ports: a multi-stakeholder perspective. Maritime Policy & Management, 47(8), 1027-1044.
  5. Awan, U., Kraslawski, A., & Huiskonen, J. (2017). Understanding the relationship between stakeholder pressure and sustainability performance in manufacturing firms in Pakistan. Procedia Manufacturing, 11, 768-777.
  6. Bux, H., Zhang, Z., & Ali, A. (2024). Corporate social responsibility adoption for achieving economic, environmental, and social sustainability performance. Environment, Development and Sustainability, 1-31.
  7. Camilleri, M. A. (2020). Strategic corporate social responsibility in tourism and hospitality. Camilleri, MA, Strategic Corporate Social Responsibility in Tourism and Hospitality. Sustainable Development, 1-3.
  8. Charan, P., & Murty, L. (2018). Institutional pressure and the implementation of corporate environment practices: examining the mediating role of absorptive capacity. Journal of Knowledge Management, 22(7), 1591-1613.
  9. Chen, Y., & Chen, I. J. (2019). Mixed sustainability motives, mixed results: the role of compliance and commitment in sustainable supply chain practices. Supply Chain Management: An International Journal, 24(5), 622-636.
  10. Daddi, T., Todaro, N. M., Iraldo, F., & Frey, M. (2021). Institutional pressures on the adoption of environmental practices: a focus on European professional football. Journal of Environmental planning and management, 1-23.
  11. Ehgartner, U. (2020). The discursive framework of sustainability in UK food policy: The marginalised environmental dimension. Journal of Environmental Policy & Planning, 22(4), 473-485.
  12. Font, X., & Lynes, J. (2018). Corporate social responsibility in tourism and hospitality (Vol. 26, pp. 1027-1042): Taylor & Francis.
  13. Font, X., Walmsley, A., Cogotti, S., McCombes, L., & Häusler, N. (2012). Corporate social responsibility: The disclosure–performance gap. Tourism Management, 33(6), 1544-1553.
  14. George, A. A. (2021). Social and cultural influences and their implications for sustainable tourism: A case study of Trinidad & Tobago's tourism and the growth of the LGBTQ traveler segment. Journal of Sustainable Tourism and Entrepreneurship, 2(3), 147-157.
  15. Graci, S., & Van Vliet, L. (2020). Examining stakeholder perceptions towards sustainable tourism in an island destination. The Case of Savusavu, Fiji. Tourism Planning & Development, 17(1), 62-81.
  16. Guix, M., Bonilla-Priego, M. J., & Font, X. (2018). The process of sustainability reporting in international hotel groups: An analysis of stakeholder inclusiveness, materiality and responsiveness. Journal of Sustainable Tourism, 26(7), 1063-1084.
  17. Hair Joseph, F., Black William, C., Babin Barry, J., & Anderson Rolph, E. (2010). Multivariate data analysis: A global perspective: Upper Saddle River, NJ: Pearson/Prentice Hall.
  18. Haji-Othman, Y., & Yusuff, M. S. S. (2022). Assessing reliability and validity of attitude construct using partial least squares structural equation modeling. Int J Acad Res Bus Soc Sci, 12(5), 378-385.
  19. Haleem, F., Farooq, S., Cheng, Y., & Waehrens, B. V. (2022). Sustainable management practices and stakeholder pressure: A systematic literature review. Sustainability, 14(4), 1967.
  20. Han, H., Yu, J., Lee, J.-S., & Kim, W. (2019). Impact of hotels’ sustainability practices on guest attitudinal loyalty: Application of loyalty chain stages theory. Journal of Hospitality Marketing & Management, 28(8), 905-925.
  21. Hristov, I., Appolloni, A., & Chirico, A. (2022). The adoption of the key performance indicators to integrate sustainability in the business strategy: A novel five?dimensional framework. Business Strategy and the Environment, 31(7), 3216-3230.
  22. Hummel, P. (2021). Sustainability reporting as a consequence of environmental orientation: A comparison of sustainability reporting by German Emerging Davids and Greening Goliaths. Social and Environmental Accountability Journal, 41(3), 172-193.
  23. Hussey, I., Alsalti, T., Bosco, F., Elson, M., & Arslan, R. C. (2023). An aberrant abundance of Cronbach’s alpha values at. 70.
  24. Islam, M. F., Zhang, J., & Hasan, N. (2020). Assessing the adoption of sustainability practices in tourism industry: Insights from a developing country. The Bottom Line, 33(1), 94-115.
  25. Khatter, A., White, L., Pyke, J., & McGrath, M. (2021). Barriers and drivers of environmental sustainability: Australian hotels. International Journal of Contemporary Hospitality Management, 33(5), 1830-1849.
  26. Kitsis, A. M., & Chen, I. J. (2020). Do motives matter? Examining the relationships between motives, SSCM practices and TBL performance. Supply Chain Management: An International Journal, 25(3), 325-341.
  27. Kline, R. B. (2023). Principles and practice of structural equation modeling: Guilford publications.
  28. Mabhanda, W. (2024). The role of green innovation in promoting sustainable economic development in Gweru, Zimbabwe. Journal of Sustainable Tourism and Entrepreneurship, 5(2), 93-109.
  29. MacCallum, R. C., Browne, M. W., & Sugawara, H. M. (1996). Power analysis and determination of sample size for covariance structure modeling. Psychological methods, 1(2), 130.
  30. Mahajan, R., Lim, W. M., Sareen, M., Kumar, S., & Panwar, R. (2023). Stakeholder theory. Journal of Business Research, 166, 114104.
  31. Martínez, P., Herrero, Á., & Gómez?López, R. (2019). Corporate images and customer behavioral intentions in an environmentally certified context: Promoting environmental sustainability in the hospitality industry. Corporate social responsibility and environmental management, 26(6), 1382-1391.
  32. Mohamed Mihilar, M. S. (2017). Adoption and Implementation of Corporate Sustainability Strategy: Evidence from a Mixed Method Study. Curtin University.
  33. Moise, M.-S., Gil-Saura, I., & Ruiz-Molina, M.-E. (2018). Effects of green practices on guest satisfaction and loyalty. European Journal of Tourism Research, 20(20), 92-104.
  34. Olya, H., Altinay, L., Farmaki, A., Kenebayeva, A., & Gursoy, D. (2021). Hotels' sustainability practices and guests' familiarity, attitudes and behaviours Sustainable Consumer Behaviour and the Environment (pp. 43-61): Routledge.
  35. Paulraj, A., Chen, I. J., & Blome, C. (2017). Motives and performance outcomes of sustainable supply chain management practices: A multi-theoretical perspective. Journal of business Ethics, 145, 239-258.
  36. Prayag, G., & Lee, C. (2019). Tourist motivation and place attachment: The mediating effects of service interactions with hotel employees. Journal of Travel & Tourism Marketing, 36(1), 90-106.
  37. Raab, C., Baloglu, S., & Chen, Y.-S. (2018). Restaurant managers’ adoption of sustainable practices: An application of institutional theory and theory of planned behavior. Journal of foodservice business research, 21(2), 154-171.
  38. Razali, F. A., Wahid, S. N. S., Adnan, N. I. M., Alam, N. M. F. H. N. B., & Hilmi, Z. A. G. (2024). Construct validation of students’ anxiety and attitudes towards statistical concepts questionnaire: An exploratory factor analysis procedure. Paper presented at the AIP Conference Proceedings.
  39. Saeed, A., Jun, Y., Nubuor, S. A., Priyankara, H. P. R., & Jayasuriya, M. P. F. (2018). Institutional pressures, green supply chain management practices on environmental and economic performance: A two theory view. Sustainability, 10(5), 1517.
  40. Sakshi, Shashi, Cerchione, R., & Bansal, H. (2020). Measuring the impact of sustainability policy and practices in tourism and hospitality industry. Business Strategy and the Environment, 29(3), 1109-1126.
  41. Shamil, M. M., Shaikh, J. M., Ho, P., & Krishnan, A. (2022). External Pressures, Managerial Motive and Corporate Sustainability Strategy: Evidence from a Developing Economy. Asian Journal of Accounting & Governance, 18.
  42. Shee, H., Miah, S. J., Fairfield, L., & Pujawan, N. (2018). The impact of cloud-enabled process integration on supply chain performance and firm sustainability: the moderating role of top management. Supply Chain Management: An International Journal, 23(6), 500-517.
  43. Shrestha, N. (2021). Factor analysis as a tool for survey analysis. American journal of Applied Mathematics and statistics, 9(1), 4-11.
  44. Singh, S. K., Del Giudice, M., Chiappetta Jabbour, C. J., Latan, H., & Sohal, A. S. (2022). Stakeholder pressure, green innovation, and performance in small and medium?sized enterprises: The role of green dynamic capabilities. Business Strategy and the Environment, 31(1), 500-514.
  45. Sulaiman, E., Fitralisma, G., Fata, M. A., & Nawawi, R. (2023). Empowering local communities engagement: Rural tourism and business innovation for SDGs desa. Journal of Sustainable Tourism and Entrepreneurship, 4(3), 331-344.
  46. Sulistiowati, R., Adisa, A. F., & Caturiani, S. I. (2021). Stakeholder synergy for sustainable tourism. Journal of Sustainable Tourism and Entrepreneurship, 3(1), 53-60.
  47. Suluo, S. J. S. S. J., Anderson, W., Andersson, T., Mossberg, L., & Assad, M. J. (2020). The Effect of Corporate Sustainability Initiatives on the Financial Performance of Tourism Firms in Tanzania. Operations Research Society of Eastern Africa, 10(1), 23-42.
  48. Supheni, I., Ivada, E., Novianti, G. E., & Wiwin, W. (2023). Sustainable tourism from the perspective of tourists in Nganjuk Indonesia. Journal of Sustainable Tourism and Entrepreneurship, 4(3), 301-318.
  49. Taber, K. S. (2018). The use of Cronbach’s alpha when developing and reporting research instruments in science education. Research in science education, 48, 1273-1296.
  50. Tjahjadi, B., Soewarno, N., Karima, T. E., & Sutarsa, A. A. P. (2023). Business strategy, spiritual capital and environmental sustainability performance: mediating role of environmental management process. Business process management journal, 29(1), 77-99.
  51. Tseng, M. L., Lim, M. K., & Wu, K. J. (2018). Corporate sustainability performance improvement using an interrelationship hierarchical model approach. Business Strategy and the Environment, 27(8), 1334-1346.
  52. Uchinlayen, U., Sarker, B. K., & Saha, S. K. (2022). Sustainable tourism development in Bangladesh: Challenges and opportunities to promote the Sundarbans. Journal of Sustainable Tourism and Entrepreneurship, 3(4), 305-318.
  53. Wang, C. L., Ahmed, P. K., & Rafiq, M. (2008). Knowledge management orientation: construct development and empirical validation. European Journal of Information Systems, 17(3), 219-235.
  54. Wasiq, M., Kamal, M., & Ali, N. (2023). Factors influencing green innovation adoption and its impact on the sustainability performance of small-and medium-sized enterprises in Saudi Arabia. Sustainability, 15(3), 2447.
  55. West, R. F., Meserve, R. J., & Stanovich, K. E. (2012). Cognitive sophistication does not attenuate the bias blind spot. Journal of personality and social psychology, 103(3), 506.
  56. Wickramasinghe, K. (2019). Measuring environmental orientation in hotels: empirical evidence from Sri Lanka. Anatolia, 30(3), 420-430.
  57. Wijesundara, C. N. R., Khatibi, A., Azam, S. F., & Tham, J. (2024). A Critique on Theoritical Framework for Adoption of Corporate Sustainability Practices: Iintegrating Institutional Motives, Stakeholder Motives, and Managerial Motives. International Journal of Professional Business Review, 9(1), e04202-e04202.
  58. Wijesundara, N. (2023). Corporate Sustainability Practices of Hotel Industry: A Systematic Literature Review. London Journal of Research In Management & Business, 23(5), 43-53.
  59. Wijethilake, C., & Ekanayake, A. (2018). Proactive strategic responses to corporate sustainability pressures: a sustainability control system framework Advances in Management Accounting (pp. 129-173): Emerald Publishing Limited.
  60. Ya?l?o?lu, M., & Ya?l?o?lu, D. T. (2020). How and when to use which fit indices? A practical and critical review of the methodology. Istanbul Management Journal(88), 1-20.
  61. Zhou, S., Rashid, M. H. U., Mohd. Zobair, S. A., Sobhani, F. A., & Siddik, A. B. (2023). Does ESG impact firms’ sustainability performance? The mediating effect of innovation performance. Sustainability, 15(6), 5586.