External Motives on Corporate Sustainability Adoption of Tourist Hotels in Sri Lanka: Mediating Effect of Managerial Motives

Objective: This study has been aligned with the 12th SDG “responsible consumption & production” which aimed to investigate how managerial pressures mediate the association among the external pressures, such as institutional & stakeholder motives, and the implementation of corporate sustainability initiatives by tourist hotels in Sri Lanka. Theoretical Framework: In this particular study, three main theories have been utilized namely, institutional theory, stakeholder theory, & managerial motives. It has investigated, how the managerial motives mediate the association among the external motives and the corporate sustainability adoption of tourist hotels. Method: To check the three proposed hypotheses of this quantitative investigation, the Structural Equation Model has been utilized as an analytical technique using 207 datasets from registered tourist hotels in Sri Lankan context. The questionnaire survey technique was employed to collect the required primary data. Results and Discussion: The structural analysis revealed that institutional pressures positively influenced managerial motives and significantly impacted the adoption of corporate sustainability adoption in tourist hotels. However, no evidence supported a similar link between stakeholder demands and corporate sustainability adoption. The analysis confirms that managerial motives fully mediate the relationship between institutional demands and corporate sustainability adoption. However, there is no mediation function of managerial motives between stakeholder pressures and corporate sustainability adoption. Research Implications: The outcomes of this study offering valuable insights for managers seeking solutions to solve sustainability concerns. Managerial engagement is necessary to meet corporate sustainability requirements, establish social credibility, and strengthen sustainability initiatives in tourist hotels due to institutional pressures. Originality/Value: This study enhances the current understanding of institutional theory and corporate sustainability literature by examining how management intentions affect the connection between institutional pressures and the implementation of sustainable practices in tourist hotels.