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Date Published:
19/03/2021
Online Published:
27/12/2021
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Views PDF: 238
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Nguyen, M. C. (2021). Investigating the willingness to pay for green hotels: the effects of destination image and environmental beliefs. Journal of International Economics and Management, 21(1), 50-62. https://doi.org/10.38203/jiem.021.1.0022
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Investigating the willingness to pay for green hotels: the effects of destination image and environmental beliefs
Main Article Content
Abstract
This study proposes and evaluates a framework in examining the effects of destination image and environmental beliefs on the willingness to pay (WTP) for green hotels. Additionally, the study finds that the role of customer attitude to green hotels has an important role in the proposed framework. Data were collected using a structured questionnaire with 317 valid responses. CFA and SEM were employed to analyze data through SPSS AMOS 20.0 software. The findings show that destination image has the largest direct impact on attitude to green hotels while environmental beliefs have the largest direct effect on WTP premium for green hotels. Moreover, attitude to green hotels plays a mediating role between destination image and the WTP and between environmental beliefs and the WTP.
Article Details
Keywords
Destination image, Environmental beliefs, Willingness to pay, Green hotels
References
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Baker, M.A., Davis, E.A. and Weaver, P.A. (2014), “Eco-friendly attitudes, barriers to participation, and differences in behavior at green hotels”, Cornell Hospitality Quarterly, Vol. 55 No. 1, pp. 89 - 99.
Baloglu, S. and McCleary, K.W. (1999), “A model of destination image formation”, Annals of Tourism Research, Vol. 26 No. 4, pp. 868 - 897.
Barber, N. and Deale, C. (2014), “Tapping mindfulness to shape hotel guests’ sustainable behavior”, Cornell Hospitality Quarterly, Vol. 55 No. 1, pp. 100 - 114.
Carrigan, M. and Attalla, A. (2001), “The myth of the ethical consumer-do ethics matter in purchase behavior?”, Journal of Consumer Marketing, Vol. 18 No. 7, pp. 560 - 578.
Chen, C. and Tsai, D. (2007), “How destination image and evaluative factors affect behavioral intentions?”, Tourism Management, Vol. 28 No. 4, pp. 1115 - 1122.
Chen, A. and Peng, N. (2012), “Green hotel knowledge and tourists’ staying behavior,” Annals of Tourism Research, Vol. 39 No. 4, pp. 2211 - 2216.
Cheng, T., Wu, H.C. and Huang, L. (2013), “The influence of place attachment on the relationship between destination attractiveness and environmentally responsible behavior for island tourism in Penghu, Taiwan”, Journal of Sustainable Tourism, Vol. 21 No. 8, pp. 1166 - 1187.
Chiu, Y.T.H., Lee, W.I. and Chen, T.H. (2013), “Environmentally responsible behavior in ecotourism: exploring the role of destination image and value perception”, Asia Pacific Journal of Tourism Research, Vol. 19 No. 8, pp. 876 - 889.
Choi, G. and Parsa, H.G. (2007), “Green practices II: Measuring restaurant managers’ psychological attributes and their willingness to charge for the “green practices”, Journal of Foodservice Business Research, Vol. 9 No. 4, pp. 41 - 63.
Dodds, R., Graci, S.R. and Holmes, M. (2010), “Does the tourist care? A comparison of tourists in Koh Phi Phi, Thailand and Gili Trawangan, Indonesia”, Journal of Sustainable Tourism, Vol. 18 No. 2, pp. 207 - 222.
Dwivedi, A., Nayeem, T. and Murshed, F. (2018), “Brand experience and consumers’ willingness-topay (WTP) a price premium: mediating role of brand credibility and perceived uniqueness”, Journal of Retailing and Consumer Services, Vol. 44 No. 2, pp. 100 - 107.
Edwards, D., Griffin, T. and Hayllar, B. (2008), “Urban tourism research: developing an agenda”, Annals of Tourism Research, Vol. 35 No. 4, pp. 1032 - 1052.
Fishbein, M. and Ajzen, I. (1975), Belief, attitude, intention, and behavior: an introduction to theory and research, Reading, MA: Addison-Wesley.
Folkes, V.S. and Kamins, M.A. (1999), “Effects of information about firms’ ethical and unethical actions on consumers’ attitudes”, Journal of Consumer Psychology, Vol. 8 No. 3, pp. 243 - 259.
Griskevicius, V., Tybur, J.M., and Van den Bergh, B. (2010), “Going green to be seen: status, reputation, and conspicuous conservation”, Journal of Personality and Social Psychology, Vol. 98 No. 3, pp. 392 - 404.
Hair, J.F., Jr., Black, W.C., Babin, B.J., Anderson, R.E. and Tatham, R.L. (2006), Multivariate data analysis (6th ed.), Upper Saddle River, NJ: Pearson Prentice-Hall.
Han, H., Hsu, L.T.J. and Lee, J.S. (2009), “Empirical investigation of the roles of attitudes toward green behaviors, overall image, gender, and age in hotel customers’ eco-friendly decision-making process”, International Journal of Hospitality Management, Vol. 28 No. 4, pp. 519 - 528.
Han, H., Hsu, L.T. and Sheu, C. (2010), “Application of the theory of planned behavior to green hotel choice: testing the effect of environmental-friendly activities”, International Journal of Hospitality Management, Vol. 31 No. 3, pp. 325 - 334.
Han, H. and Kim, Y. (2010), “An investigation of green hotel customers’ decision formation: developing an extended model of the theory of planned behavior”, International Journal of Hospitality Management, Vol. 29 No. 4, pp. 659 - 668.
Heo, C.Y. and Hyun, S.S. (2015), “Do luxury room amenities affect guests’ willingness to pay?”, International Journal of Hospitality Management, Vol. 46 No.1, pp. 161 - 168.
Huang, H., Lin, T., Lai, M. and Lin, T. (2014), “Environmental consciousness and green customer behavior: an examination of motivation crowding effect”, International Journal of Hospitality Management, Vol. 40 No. 2, pp. 139 - 149.
Hultman, M., Kazeminia, A. and Ghasemi, V. (2015), “Intention to visit and willingness to pay a premium for ecotourism: the impact of attitude, materialism, and motivation”, Journal of Business Research, Vol. 68 No. 9, pp. 1854 - 1861.
Jang, Y.J., Kim, W.G. and Bonn, M.A. (2011), “Generation Y consumers’ selection attributes and behavioral intentions concerning green restaurants”, International Journal of Hospitality Management, Vol. 30 No. 4, pp. 803 - 811.
Jirawat, A., Panisa, M., Sirivan, S., Aurathai, L. and Nongluck, P. (2011), “Environmental sustainability in the Thai hotel industry”, International Business and Economics Research Journal, Vol. 10 No. 11, pp. 91 - 100.
Kang, K.H., Stein, L., Heo, C.Y. and Lee, S. (2012), “Consumers’ willingness to pay for green initiatives of the hotel industry”, International Journal of Hospitality Management, Vol. 31 No. 2, pp. 564 - 572.
Kim, S., Holland, S. and Han, H. (2013), “A structural model for examining how destination image, perceived value, and service quality affect destination loyalty: a case study of Orlando”, International Journal of Tourism Research, Vol. 15 No. 4, pp. 313 - 328.
Kubickova, M., Nusair, K. and Parsa, H.G. (2014), “Does green hotel image influence guests’ behavior: The case of generation Y”, Journal of Services Research, Vol. 14 No. 2, pp. 9 - 32.
Laroche, M., Bergeron, J. and Barbaro-Forleo, G. (2001), “Targeting consumers who are willing to pay more for environmentally friendly products”, Journal of Consumer Marketing, Vol. 18 No. 6, pp. 503 - 520.
Line, N.D. and Hanks, L. (2016), “The effects of environmental and luxury beliefs on intention to patronize green hotels: the moderating effect of destination image, Journal of Sustainable Tourism, Vol. 24 No. 6, pp. 904 - 925.
Lee, S. and Oh, H. (2014), “Effective communication strategies for hotel guests’ green behavior”, Cornell Hospitality Quarterly, Vol. 55 No. 1, pp. 52 - 63.
Lee, T.H. (2009), “A structural model to examine how destination image, attitude, and motivation affect the future behavior of tourists”, Leisure Sciences, Vol. 31 No. 3, 215 - 236.
Lu, C.T., Huang, S.Y. and Lo, P.Y. (2010), “An empirical study of on-line tax filing acceptance model: Integrating TAM and TPB”, African Journal of Business Management, Vol. 4 No. 5, pp. 800 - 810.
Manaktola, K. and Jauhari, V. (2007), “Exploring consumer attitude and behavior towards green practices in the lodging industry in India”, International Journal of Contemporary Hospitality Management, Vol. 19 No. 5, pp. 364 - 377.
Meng, F. and Uysal, M. (2008), “Effects of gender differences on perceptions of destination attributes, motivations, and travel values: an examination of a nature-based resort destination”, Journal of Sustainable Tourism, Vol. 16 No. 4, pp. 445 - 466.
Miao, L. and Wei, W. (2013), “Consumers’ pro-environmental behavior and the underlying motivations:
a comparison between household and hotel settings”, International Journal of Hospitality Management, Vol. 32 No. 1, pp. 102 - 112.
Miller, D., Merrilees, B., and Coghlan, A. (2015), “Sustainable urban tourism: understanding and developing visitor pro-environmental behaviors”, Journal of Sustainable Tourism, Vol. 23 No. 1, pp. 26 - 46.
Nunnally, J.C. and Bernstein, I.H. (1994), “The assessment of reliability”, Psychometric Theory, Vol. 19 No. 3, pp. 248 - 292.
Obenour, W., Groves, D. and Lengfelder, J. (2006), “Image segmentation and implications for the development of a nature-based destination”, Journal of Hospitality and Leisure Marketing, Vol. 14 No. 1, pp. 23 - 47.
Prayag, G. and Ryan, C. (2012), “Antecedents of tourists’ loyalty to mauritius the role and influence of destination image, place attachment, personal involvement, and satisfaction”, Journal of Travel Research, Vol. 51 No. 3, pp. 342 - 356.
San Martin, H. and Rodrıguez del Bosque, I.A. (2008), “Exploring the cognitive-affective nature of destination image and the role of psychological factors in its formation”, Tourism Management, Vol. 29 No. 2, pp. 263 - 277.
Sen, S. and Bhattacharya, C.B. (2001), “Does doing good always lead to doing better? Consumer reactions to corporate social responsibility”, Journal of Marketing Research, Vol. 38 No. 2, pp. 225 - 243.
Sirakaya-Turk, E., Baloglu, S. and Mercado, H.U. (2014), “The efficacy of sustainability values in predicting travelers’ choices for sustainable hospitality businesses”, Cornell Hospitality Quarterly, Vol. 55 No. 1, pp. 115 - 126.
Tabachnick, B.G. (2013), BG Tabachnick, LS Fidell, Using Multivariate Statistics, Boston, Pearson.
Tasci, A.D.A., Gartner, W.C. and Cavusgil, S.T. (2007), “Conceptualization and operationalization of
destination image”, Journal of Hospitality and Tourism Research, Vol. 31 No. 2, pp. 194 - 223.
Tran, M.T. and Duong, T.H.N. (2019), “Empirical relationship among dimensions of customerbased brand equity in e-tailing service: a study in Vietnam context”, Journal of International Economics and Management, Vol. 124 No. 124, pp. 3 - 23.
Wertenbroch, K. and Skiera, B. (2002), “Measuring consumers’ willingness to pay at the point of purchase”, Journal of Marketing Research, Vol. 39 No. 2, pp. 228 - 241.
Wong, K.K. and Kim, S. (2012), “Exploring the differences in hotel guests’ willingness-to-pay for hotel rooms with different views”, International Journal of Hospitality and Tourism Administration, Vol. 13 No. 1, pp. 67 - 93.
Young, W., Hwang, K., McDonald, S. and Oates, C.J. (2010), “Sustainable consumption: green consumer behavior when purchasing products”, Sustainable Development, Vol. 18 No. 1, pp. 20 - 31.
Ajzen, I. (1991), “The theory of planned behavior”, Organizational Behavior and Human Decision Processes, Vol. 50 No. 2, pp. 179 - 211.
Baker, M.A., Davis, E.A. and Weaver, P.A. (2014), “Eco-friendly attitudes, barriers to participation, and differences in behavior at green hotels”, Cornell Hospitality Quarterly, Vol. 55 No. 1, pp. 89 - 99.
Baloglu, S. and McCleary, K.W. (1999), “A model of destination image formation”, Annals of Tourism Research, Vol. 26 No. 4, pp. 868 - 897.
Barber, N. and Deale, C. (2014), “Tapping mindfulness to shape hotel guests’ sustainable behavior”, Cornell Hospitality Quarterly, Vol. 55 No. 1, pp. 100 - 114.
Carrigan, M. and Attalla, A. (2001), “The myth of the ethical consumer-do ethics matter in purchase behavior?”, Journal of Consumer Marketing, Vol. 18 No. 7, pp. 560 - 578.
Chen, C. and Tsai, D. (2007), “How destination image and evaluative factors affect behavioral intentions?”, Tourism Management, Vol. 28 No. 4, pp. 1115 - 1122.
Chen, A. and Peng, N. (2012), “Green hotel knowledge and tourists’ staying behavior,” Annals of Tourism Research, Vol. 39 No. 4, pp. 2211 - 2216.
Cheng, T., Wu, H.C. and Huang, L. (2013), “The influence of place attachment on the relationship between destination attractiveness and environmentally responsible behavior for island tourism in Penghu, Taiwan”, Journal of Sustainable Tourism, Vol. 21 No. 8, pp. 1166 - 1187.
Chiu, Y.T.H., Lee, W.I. and Chen, T.H. (2013), “Environmentally responsible behavior in ecotourism: exploring the role of destination image and value perception”, Asia Pacific Journal of Tourism Research, Vol. 19 No. 8, pp. 876 - 889.
Choi, G. and Parsa, H.G. (2007), “Green practices II: Measuring restaurant managers’ psychological attributes and their willingness to charge for the “green practices”, Journal of Foodservice Business Research, Vol. 9 No. 4, pp. 41 - 63.
Dodds, R., Graci, S.R. and Holmes, M. (2010), “Does the tourist care? A comparison of tourists in Koh Phi Phi, Thailand and Gili Trawangan, Indonesia”, Journal of Sustainable Tourism, Vol. 18 No. 2, pp. 207 - 222.
Dwivedi, A., Nayeem, T. and Murshed, F. (2018), “Brand experience and consumers’ willingness-topay (WTP) a price premium: mediating role of brand credibility and perceived uniqueness”, Journal of Retailing and Consumer Services, Vol. 44 No. 2, pp. 100 - 107.
Edwards, D., Griffin, T. and Hayllar, B. (2008), “Urban tourism research: developing an agenda”, Annals of Tourism Research, Vol. 35 No. 4, pp. 1032 - 1052.
Fishbein, M. and Ajzen, I. (1975), Belief, attitude, intention, and behavior: an introduction to theory and research, Reading, MA: Addison-Wesley.
Folkes, V.S. and Kamins, M.A. (1999), “Effects of information about firms’ ethical and unethical actions on consumers’ attitudes”, Journal of Consumer Psychology, Vol. 8 No. 3, pp. 243 - 259.
Griskevicius, V., Tybur, J.M., and Van den Bergh, B. (2010), “Going green to be seen: status, reputation, and conspicuous conservation”, Journal of Personality and Social Psychology, Vol. 98 No. 3, pp. 392 - 404.
Hair, J.F., Jr., Black, W.C., Babin, B.J., Anderson, R.E. and Tatham, R.L. (2006), Multivariate data analysis (6th ed.), Upper Saddle River, NJ: Pearson Prentice-Hall.
Han, H., Hsu, L.T.J. and Lee, J.S. (2009), “Empirical investigation of the roles of attitudes toward green behaviors, overall image, gender, and age in hotel customers’ eco-friendly decision-making process”, International Journal of Hospitality Management, Vol. 28 No. 4, pp. 519 - 528.
Han, H., Hsu, L.T. and Sheu, C. (2010), “Application of the theory of planned behavior to green hotel choice: testing the effect of environmental-friendly activities”, International Journal of Hospitality Management, Vol. 31 No. 3, pp. 325 - 334.
Han, H. and Kim, Y. (2010), “An investigation of green hotel customers’ decision formation: developing an extended model of the theory of planned behavior”, International Journal of Hospitality Management, Vol. 29 No. 4, pp. 659 - 668.
Heo, C.Y. and Hyun, S.S. (2015), “Do luxury room amenities affect guests’ willingness to pay?”, International Journal of Hospitality Management, Vol. 46 No.1, pp. 161 - 168.
Huang, H., Lin, T., Lai, M. and Lin, T. (2014), “Environmental consciousness and green customer behavior: an examination of motivation crowding effect”, International Journal of Hospitality Management, Vol. 40 No. 2, pp. 139 - 149.
Hultman, M., Kazeminia, A. and Ghasemi, V. (2015), “Intention to visit and willingness to pay a premium for ecotourism: the impact of attitude, materialism, and motivation”, Journal of Business Research, Vol. 68 No. 9, pp. 1854 - 1861.
Jang, Y.J., Kim, W.G. and Bonn, M.A. (2011), “Generation Y consumers’ selection attributes and behavioral intentions concerning green restaurants”, International Journal of Hospitality Management, Vol. 30 No. 4, pp. 803 - 811.
Jirawat, A., Panisa, M., Sirivan, S., Aurathai, L. and Nongluck, P. (2011), “Environmental sustainability in the Thai hotel industry”, International Business and Economics Research Journal, Vol. 10 No. 11, pp. 91 - 100.
Kang, K.H., Stein, L., Heo, C.Y. and Lee, S. (2012), “Consumers’ willingness to pay for green initiatives of the hotel industry”, International Journal of Hospitality Management, Vol. 31 No. 2, pp. 564 - 572.
Kim, S., Holland, S. and Han, H. (2013), “A structural model for examining how destination image, perceived value, and service quality affect destination loyalty: a case study of Orlando”, International Journal of Tourism Research, Vol. 15 No. 4, pp. 313 - 328.
Kubickova, M., Nusair, K. and Parsa, H.G. (2014), “Does green hotel image influence guests’ behavior: The case of generation Y”, Journal of Services Research, Vol. 14 No. 2, pp. 9 - 32.
Laroche, M., Bergeron, J. and Barbaro-Forleo, G. (2001), “Targeting consumers who are willing to pay more for environmentally friendly products”, Journal of Consumer Marketing, Vol. 18 No. 6, pp. 503 - 520.
Line, N.D. and Hanks, L. (2016), “The effects of environmental and luxury beliefs on intention to patronize green hotels: the moderating effect of destination image, Journal of Sustainable Tourism, Vol. 24 No. 6, pp. 904 - 925.
Lee, S. and Oh, H. (2014), “Effective communication strategies for hotel guests’ green behavior”, Cornell Hospitality Quarterly, Vol. 55 No. 1, pp. 52 - 63.
Lee, T.H. (2009), “A structural model to examine how destination image, attitude, and motivation affect the future behavior of tourists”, Leisure Sciences, Vol. 31 No. 3, 215 - 236.
Lu, C.T., Huang, S.Y. and Lo, P.Y. (2010), “An empirical study of on-line tax filing acceptance model: Integrating TAM and TPB”, African Journal of Business Management, Vol. 4 No. 5, pp. 800 - 810.
Manaktola, K. and Jauhari, V. (2007), “Exploring consumer attitude and behavior towards green practices in the lodging industry in India”, International Journal of Contemporary Hospitality Management, Vol. 19 No. 5, pp. 364 - 377.
Meng, F. and Uysal, M. (2008), “Effects of gender differences on perceptions of destination attributes, motivations, and travel values: an examination of a nature-based resort destination”, Journal of Sustainable Tourism, Vol. 16 No. 4, pp. 445 - 466.
Miao, L. and Wei, W. (2013), “Consumers’ pro-environmental behavior and the underlying motivations:
a comparison between household and hotel settings”, International Journal of Hospitality Management, Vol. 32 No. 1, pp. 102 - 112.
Miller, D., Merrilees, B., and Coghlan, A. (2015), “Sustainable urban tourism: understanding and developing visitor pro-environmental behaviors”, Journal of Sustainable Tourism, Vol. 23 No. 1, pp. 26 - 46.
Nunnally, J.C. and Bernstein, I.H. (1994), “The assessment of reliability”, Psychometric Theory, Vol. 19 No. 3, pp. 248 - 292.
Obenour, W., Groves, D. and Lengfelder, J. (2006), “Image segmentation and implications for the development of a nature-based destination”, Journal of Hospitality and Leisure Marketing, Vol. 14 No. 1, pp. 23 - 47.
Prayag, G. and Ryan, C. (2012), “Antecedents of tourists’ loyalty to mauritius the role and influence of destination image, place attachment, personal involvement, and satisfaction”, Journal of Travel Research, Vol. 51 No. 3, pp. 342 - 356.
San Martin, H. and Rodrıguez del Bosque, I.A. (2008), “Exploring the cognitive-affective nature of destination image and the role of psychological factors in its formation”, Tourism Management, Vol. 29 No. 2, pp. 263 - 277.
Sen, S. and Bhattacharya, C.B. (2001), “Does doing good always lead to doing better? Consumer reactions to corporate social responsibility”, Journal of Marketing Research, Vol. 38 No. 2, pp. 225 - 243.
Sirakaya-Turk, E., Baloglu, S. and Mercado, H.U. (2014), “The efficacy of sustainability values in predicting travelers’ choices for sustainable hospitality businesses”, Cornell Hospitality Quarterly, Vol. 55 No. 1, pp. 115 - 126.
Tabachnick, B.G. (2013), BG Tabachnick, LS Fidell, Using Multivariate Statistics, Boston, Pearson.
Tasci, A.D.A., Gartner, W.C. and Cavusgil, S.T. (2007), “Conceptualization and operationalization of
destination image”, Journal of Hospitality and Tourism Research, Vol. 31 No. 2, pp. 194 - 223.
Tran, M.T. and Duong, T.H.N. (2019), “Empirical relationship among dimensions of customerbased brand equity in e-tailing service: a study in Vietnam context”, Journal of International Economics and Management, Vol. 124 No. 124, pp. 3 - 23.
Wertenbroch, K. and Skiera, B. (2002), “Measuring consumers’ willingness to pay at the point of purchase”, Journal of Marketing Research, Vol. 39 No. 2, pp. 228 - 241.
Wong, K.K. and Kim, S. (2012), “Exploring the differences in hotel guests’ willingness-to-pay for hotel rooms with different views”, International Journal of Hospitality and Tourism Administration, Vol. 13 No. 1, pp. 67 - 93.
Young, W., Hwang, K., McDonald, S. and Oates, C.J. (2010), “Sustainable consumption: green consumer behavior when purchasing products”, Sustainable Development, Vol. 18 No. 1, pp. 20 - 31.