The Effects of Creating Shared Value on the Hotel Performance

Abstract

The current literature on sustainable practices shows that social missions and economic achievement can be compatible. However, very few studies have offered a quantitative perspective on this relationship. This study presents the first empirical evidence of the effects of the creating shared value (CSV) principle on the performance of companies. Using a sample of Spanish hotels, the results suggest that companies that apply CSV achieve higher financial performance. These findings represent a substantial contribution to the literature and shed light on how to efficiently implement CSV practices to simultaneously achieve economic and social benefits.

The impact of creating shared value on hotels online reputation

“…Firstly, because CSV really has a positive and significant impact on CR. Previous research performed has shown that companies with CSV strategies achieve better financial performance (Fernández‐Gámez et al, 2019), a stronger relationship with their clients (Spitzeck & Chapman, 2012) and an added value for shareholders due to social changes (Kramer & Pfitzer, 2016). However, this is the first study demonstrating that CSV has a direct influence on CR, which opens new research perspectives on CSV and its perception by stakeholders.…”

“…The present study is based on a sample of 135 hotel groups representing the hotel industry operating on the Costa del Sol in Malaga (Spain). This is a major touristic area in Europe, and it also provides one of the largest ranges of hotel offers (Fernández‐Gámez et al, 2019). Our sample size satisfies Cohen's criteria (Cohen, 1992), with a 0.99 significance level and a power of 0.8 (with R2 = 0.1).…”

“…Furthermore, the “green innovation” applies the CSV strategy to improve productivity (Hsiao & Chuang, 2016). Recently, researchers have managed to demonstrate the existing link between the usage of CSV strategies and increased financial input and also showed how efficient CSV strategies provided simultaneously economic and social benefits within the hotel industry (Fernández‐Gámez et al, 2019). As regards human resources—a strategy linked to the CSV chain value—studies have verified that the organizational identification of staff increases their organizational loyalty towards hotels (Lim, 2016).…”

“…Implicit in this claim is the assumption that managers will need to begin by evaluating their strategic options based on their consequences, that is, which option will lead to shared value creation (Lee, 2019). For these companies, the advantages of such strategies have showed in different areas, like better economic results (Fernández‐Gámez, Gutiérrez‐Ruiz, Becerra‐Vicario, & Ruiz‐Palomo, 2019), reinforced and improved relationships with clients (Spitzeck & Chapman, 2012), environmental‐based practices and results being interconnected (Hsiao & Chuang, 2016) and in added value for shareholders linked to social changes (Kramer & Pfitzer, 2016). However, such CSV successes also need to be analyzed from the perspectives of different interest groups.…”

Application of Ecosophical Perspective to Advance to the SDGs: Theoretical Approach on Values for Sustainability in a 4S Hotel Company

“…The literature has previously addressed why people feel good and safe in finding a sense of belonging somewhere. This shapes our interaction with others and also our positive attitude towards the planet, managing nature's resources sustainably, something closely related to the subjective idea of being a "good person" [130]. Based on this statement, participants are asked to share their thoughts on how the company's purpose contributes to improving the Planet: "the concept of quality in the hotel industry was built-until relatively recently-without taking into account sustainability ( .…”