Going Green: How the Green Movement Impacts the Bottom Line in the Hospitality Industry

Abstract

The American Hotel and Lodging Association (AH&LA) has released green guidelines for the hospitality industry. Those guidelines include information on effective energy usage, water conservation and waste management. The purpose of this paper is to analyze the literature to determine if the green movement has impacted the hospitality industry's bottom line. Determining whether or not it is practical for older hotels to refurbish and adhere to the guidelines proposed by the AH&LA's recommendations is something that every property must determine on its own. Properties being built now have the option to create sustainable and efficient properties. However, some choose not to due to the perceived cost increases and the fear that there will be little benefit to their own business in the long run. How do we make being green, greener?

Are Consumers Willing to Pay more for Green Practices at Restaurants?

“…However, although many firms are taking advantage of sustainability, greenwashing, where consumers are mislead regarding the environmental practices of a company or the environmental benefits of a product or service, is a problematic issue (Parguel, Benoit-Moreau, & Larceneux, 2011). Nonetheless, building a sustainable competitive edge through truly going green is seen as desirable in the restaurant industry (Chou, Chen, & Wang, 2012; Mills & Rudd, 2009; Schubert, Kandampully, Solnet, & Kralj, 2010).…”

Florida Gulf Coast University

“…This situation presents significant opportunities for improved energy, waste, and building management and bottomline savings. However it is a challenge, especially at a time of recession, for smaller and older established businesses to adapt (Mills & Rudd, 2011). In Southwest Florida, hotels and restaurants are especially important for success of the tourist industry and as local employers.…”