Sustainability-oriented Business Model: An Analysis of Sustainable Practices in the Context of a Luxury Hotel

Sammanfattning: Due to various ongoing environmental crises, there is an urgent need for sustainable solutions and initiatives, as it has become an imperative criterion for businesses to include in their operations. Further, the hospitality sector is a multibillion-dollar industry and has a great impact on not only the economy, but the environment as well. Therefore, the industry is transitioning increasingly fast, and incorporating greater actions to operate sustainably. It should be imperative for businesses to operationalise all facets (environmental, economic, and social) of sustainability within the organisation. However, previous literature has indicated that over the last decade, one solution has been presented to achieve this goal: the creation and implementation of the Sustainable Business Model. It is a concept, which would allow for the planning and organising, delivering, and obtaining value of a business in a sustainable structure. Whilst this concept has been adopted and applied in the business sector, there are still some uncertainties about how Sustainable Business Models are practised, and what makes them successful or not. In addition, there also still appears to be a lack of application in the hotel industry, and whether the implementation of this concept is viable and efficient towards operating sustainably. Therefore, this study addresses the lack of research by investigating the processes and implementation of a Sustainable Business Model in the context of a small luxury hotel group, through the perspective of Strategy-as-Practice as the main theory. The theoretical framework is this study, includes three theories (Strategy-as-Practice, Supply Chain Management and Green Supply Chain Management), however, Strategy-as-Practice is considered the main theory that serves as a foundation, and is also a branch of Practice Theory. With this theoretical framework, studying how individuals perceive Sustainable Business Models, and the activities performed within the industry, allows for this research to reveal the significance, skills, and competencies that enable the implementation of a Sustainable Business Model. This study was conducted through a qualitative approach, and gathered empirical data from three semi-structured interviews and a non-participant observation conducted in the hotel. The findings and analysis, backed by one case study, uncovered six themes, indicating that passion and personal interest along with the involvement of the practitioners (managers), time and allocation of financial investments are all key elements towards the practices related to the implementation of Sustainable Business Models in the context of a luxury hotel.