The effect of green management on customer satisfaction in hotel industry in China

Abstract

At the turn of the century, green hotels have become an inevitable trend in the hotel industry development and are touted as one of the ways to achieve sustainable development. However, the existence of different guidelines and standards is creating a lot of confusion to the hotel management due to the myriad interpretations especially in China. Therefore, this study aims to develop the constructs for green management and identify the effect of green management on customer’s satisfaction. A quantitative approach using survey was used to derive the constructs for green management in the hotel industry as well as to investigate customers’ satisfaction levels about green management practices in hotels. Cluster sampling technique was used and questionnaires were distributed to hotels with a minimum rating of three stars in Guang Zhou, China. 375 questionnaires were successfully completed and returned for analysis. Factor analysis was used to determine the construct for green management in the hotel industry and four factors i.e, the environmental rules, hotel facilities, hotel practices and hotel management were identified. Regression analysis between those factors and customer satisfaction revealed that only facilities offered by hotels had significant impact. Demographic analysis of the respondents indicated significant difference between customer satisfaction and social economic status as well as education level; whereby the wealthier and better educated customer are more likely to choose green hotels.