Corporate Social Responsibility (CSR) and Sustainability: Can Positive CSR Credentials Provide a Competitive Advantage to 4/5 Star Hotels in Edinburgh?

Abstract

According to Cherapanukorn and Focken (2014), the tourism and hospitality industry claims to embrace the concept of corporate social responsibility (CSR) but it seems unclear how and if companies integrate CSR activities into the core business and how they demonstrate real impacts, positive changes and company success. The purpose of this study is to investigate if positive CSR credentials provide a competitive advantage to 4/5 star hotels and; how managers are incorporating these credentials into their day-to-day business. The study is based on 4/5 star hotels in Edinburgh and adopts a qualitative research method. The researcher conducted five in-depth interviews with managers, duty managers and human resource managers of different hotel companies in Edinburgh in order to obtain and analyse important and valuable information on the subject of CSR and sustainability. The results shows that it is crucial organisations adopt some form of CSR initiatives in order to gain a competitive advantage. This being that there is a growing emphasis on the contribution to saving the planet and acting sustainably in all aspects. With that; the increase in environmentally conscious consumers in the market means that, if organisations do not implement substantial CSR initiatives and practices into their day-to-day business then this may cause a significant negative impact to the organisation in the future, in terms of competitive advantage, customer loyalty and brand reputation. The study goes on to give recommendations on how hotel managers can raise awareness and educate stakeholders on the importance of CSR and sustainability.