Luxury vs Green Hotels: A Comparative Analysis

This assignment delves into a comparison of luxury and green hotels. It examines how each hotel type prioritizes different aspects of service delivery – profit maximization for luxury hotels versus eco-friendly practices for green hotels. The analysis emphasizes that these two approaches often represent contrasting values and objectives, aiming to cater to distinct customer segments with varied priorities.

LUXURY AND GREEN ARE
INCOMPATIBLE GOAL
FOR HOTEL INDUSTRY

Executive Summary
The concept of green hotel does not grasp easily be facility operators as the base of hotel
industry is on perceived opulence, luxury and grandeur. In the report author agreed on luxury
and green are incompatible goals for the hotel industry as in order to attract guests management
of hotel industries focused more on enhancing their infrastructure rather than concentrating on
improving the ecological aspects. In the report it was identified that to enhance the revenue,
brand image and fame in the market, hotel industries focus more on improving the
accommodation facilities. It can be said that luxury and green are incompatible goals for the
hotel industry.

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................1
MAIN BODY...................................................................................................................................1
Luxury and green are incompatible goals for the hotel industry-...............................................1
CONCLUSION................................................................................................................................5
REFERENCES................................................................................................................................6

INTRODUCTION
Hotel is a commercial establishment which provides lodging, meals and other customer
services. In general, it provides luxurious stay facilities and customers pay against their services.
Hotels are classified into categories like 3 & 7 star (Wan, Chan and Huang, 2017). This report
will discuss about luxury and green hotels which are incompatible goals for the hotel industry.
Luxurious hotel is an expensive service which is not affordable by everyone. Green hotel
provides eco-friendly services to customers. They believe that health or environment is more
important than money. All facilities in these hotels are environment-friendly.
MAIN BODY
1.Luxury and green are incompatible goals for the hotel industry-
Luxury- A luxury is something costly which is not compulsory for life but gives pleasure
to individuals. This comes from Latin word 'Luxus' which define a soft or expensive living
standard, luxurious life style, excessive gratification of an individual wishes etc. Luxury products
and services provide pleasure or comfort to a person. It is an expensive thing which everyone
can't afford. Everybody wants Luxurious facilities to enjoy happiness but they do not usually
have this. Most of the people when they travel from one place to another like to stay in expensive
7 star hotels.
Green- Green colour is the sign of eco-friendly environment. Few people have greenhouse
area in their living place. Hotel industry also follows this green concept. These kinds of hotels
are environment friendly, their managers organize some programs like save water, energy,
reduce solid waste to protect environment (Ponomaryova, 2018). Eco friendly hotel has such
accommodation that makes important environmental improvements to its infrastructure, so that it
impact less on the surrounding area. Eco hotels includes properties in less “natural” location that
have invested in improving 'green' credentials. It is also an expensive service for customers.
People want to spend their holidays or tours in luxurious or green hotels but it is not
possible that they get both facilities in one hotel. If hospitality industry has their aim to earn
more profit they would like to avoid eco-friendly facilities . Green hotel includes the use of
renewable energy sources, reduction of power and water consumption, minimises wastage,
follows environmental rules and provision of non-smoking areas. Yes, I agree that luxury and
green are incompatible goals for the hotel industry. It is quite difficult for them that have both
facilities which are not possible to maintain. They can only provide single facility at a time. A 7-
1

star hotel has all those rest facilities which attracts the tourist, they surely like to go there because
everyone wants to enjoy a luxurious trip. Hotel industry is one of leading industries across the
world. This has been proved that it generates a million or billion money and helps people around
the world travel or stay there. But unfortunately after a long time we come to know that this
industry has negative impact on environment or person’s health.
The green concept in hotel industry-
The green concept in hotel industry come to increase its awareness in 1980's. This sector
is one of the most energy and water intensive area in tourism. When hotels are under
construction there is a requirement to make use of environment resources such as land. It
operates in different parts of our surrounding areas. They provide facilities like comfortable
room with natural views, heating, cooling, ventilation etc. that are good for health of tourist. The
'Green' concept in this way turns all these harmful elements into a recycling process which is
beneficial from health and environment prospective (Verma and Chandra, 2018 ). It believed that
this industry has produced harm to the world by consuming vast quantities of non-recyclable
goods that generate large amount of wastage, emitting carbon dioxide and air, soil pollution etc.
The term Green is symbol of environmental responsibility. These hotels are described as
environmentally responsible that follows eco- friendly guidelines and practice management.
Institute green programs or promise themselves to accomplish environment protection 2001,
Green Hotel Association 2008 etc. I agree that Apollo Bay Eco YHA is an Australian green hotel
which contributes to satisfying eco-friendly customer’s needs, avoids criticism of hotel, fulfils
the government rules and regulations or decreases cost through waste reduction, energy
conservation etc.
Concept of luxury hotels-
The logic behind luxurious hotels that they want to earn more profit and attract customers
through their impressive building and facilities. Main objective is to make money and satisfy
tourists. Every person wants to enjoy all these luxurious facilities at least once in their life but
individuals prefer to get services that are delivered to them at low price. Park Hyatt is a luxury
hotel of Australia which is located in Sydney. It provides luxurious accommodation to guests for
their comfort. They offer 2 times meals, attractive bedrooms, conference rooms etc. All these
facilities are the central attractive point of a luxurious hotel. Generally, it's not an eco-friendly,
but are harmful for the society. Hotels cares guests with special services like unlimited hot water,
2

showers, supply of towels, foods and drinks. The cost of all facilities are quite high and only
upper class person easily affords these offers.
Reason of luxury and green are incompatible goals for hotel industry-
It is true that luxury and green facilities cannot operate in the same hotel. Generally,
every business wants to make more profit and satisfy their customers. They both are different on
their facilities basis, and provides unique services to attract tourists. Luxury hotel’s main aim is
to increase annual revenues through large number of consumers (Moscardo, 2017). They spend a
huge amount of money on building, security, the newest technical facilities etc.
Luxury or green are incompatible goals for industry-
Exotic Materials- Luxury hotels believes that if they use exotic materials customers
attracts towards them. Tourists like to pay more for all available facilities. Owners imports
luxurious materials to increase hotel's beauty. They have no concern with environment, their
wastage is harmful for society. Expensive hotel provides pool, game zone, gym, reading room
etc. to make customers comfortable.
Green hotel believes that they are responsible for environment. It is their responsibility
that industry do not harm society (Moscardo, 2017). They use those facilities which are eco-
friendly. Eco tourism typically involves travelling to destinations where flora and cultural
heritage is an attraction point. It creates such a kind of environment which makes good impact on
health, society and encourage people to keep environment clean. They provide all natural
facilities to customers. It is located between hills to enjoy nature view. This kind of hotel try to
avoid exotic materials. They prefer this equipment’s to attract tourists which are environment
friendly.
Economy- Luxurious hotels always look for their profit. The aim of it is to earn more
money and provide all expensive facilities to customers. They do not think about nature’s loss,
and generates soil pollution, water wastages etc. This is the main evidence of luxury or green
hotel incompatible goals for hotel industry that their high cost is a medium of making more
money (Verma and Chandra, 2018). They like to invest at high level and collect precious things
to increase hotel attractiveness. High class customers are ready to pay for those facilities, which
is a source to earn revenue. For the earning purpose their internet booking system is quite easy.
With the help of the latest technologies customers can book room by online. Advance booking is
another way to increase economy.
3

Green hotel does not have much concern with economy. They provide their facilities only
for health and nature purpose. Their booking system is quite difficult and customers face
problem in this process. It follows their safe environment rule and uses natural things which are
less expensive compared to luxury hotel. If they make their focus on generating more money,
then they miss eco-friendly goals.
Social- It is concept of luxury hotels that they want to become famous among the
customers. Market competition at large level encourages them to use different facilities which
are not good for society’s perspective. Luxurious hotels compete with each other to build their
social value (Leroux and Pupion, 2018). They allow some facilities like smoking, beer bar, non-
veg. Which are not an environment friendly culture or harmful for human beings. It increases
pollution such as soil, water, noise etc. which are harmful for local community.
Green hotels are not a reason of pollution. They provide all those facilities which are
good for society. It uses towel and sheet re-use (customers can tell housekeeping to leave these
slightly used goods to reduce use of water). They serve organic and local grown food to increase
tourist’s health. It uses green transport vehicles, disposable dishes, recycling of water, which is
reused in kitchen, bath and laundry water for garden or landscaping (Ponomaryova, 2018).
Provide bulk organic soap & amenities to customers instead of individual packages for reducing
wastages to keep society clean.
Infrastructure- Luxury hotels are established at prime location of the city to get
attraction of people. They use different materials and technologies to build their building. Luxury
hotel infrastructure attract the tourist, as people have some desire of getting comfortable
facilities. Construction of building causes pollution like land, noise, air etc. which are not good
for environment safety. Further, it produces more wastage because of raw materials and damage
caused in atmosphere through surrounding area. The main purpose of beautiful building is to
cover more market share or earn money.
Green hotels buildings are a new environmental concept which refers to eco-friendly
practices from the infrastructure to landscaping choice. Building also need to be sustainable
because it generates wastage and these impacts on the surroundings' area or people. Green hotel
influences human health and environment (Ahn and Pearce, 2013). It can cost a lot at beginning
but is lifetime profitable. Before design building, builder consider several elements like
resources' efficiency of the suite (water, materials), tourist room, innovation or aesthetic etc.
4

Their objective is to create healthy environment rather than profit. Green hotels infra generate
positive waves which reduced pollution and create healthy environment.
Nature lover- Luxury hotels provides Luxurious services but they do not care about
customer’s health. They pay attention to attract more customers and earn more profit. Usually
these hotels do not have concern with environment losses. They serve unhealthy food which are
problematic for customers. The use of technology create negative rays that generate harmful
environment.
Tourists are showing preferences for destinations that protect and preserve the
environment. They love enjoy natural climate and like to feel nature view. Green hotels provide
those services which maintain the beauty of environmental. (Environment mission statement,
2016). They prefer customer’s health first than their profit. Green hotels view create healthy
atmosphere and tourist feel more energetic. Earn profit is not industry aim, they like to protect
nature from pollution and create peaceful atmosphere (Abdelkafi and Hansen, 2018). Those
customers who love health and environment like to invest money in green hotels. They are ready
to pay high prices for these eco-friendly facilities.
Culture- Luxury hotels like to follow modern culture and it shows their services and
technologies. They believe that customers attract towards them just because of culture. To
achieve this fact hotel industry, uses different techniques or facilities. Sometime this thought
creates a negative environment in the society. Various culture adoption is harmful for local
people.
Green hotels follow simple life style; they do not believe to adopt different culture.
Because of nature lover this industry creates their own social values which never hurt any
culture. They try that customers only enjoy beauty of nature.
RECOMMENDATION
Technological advancement by management: hotel can make use of technology like solar panel
to reduce wastage of natural energy. Luxury resort implement various environmental friendly
practices in performing its majority of functions. Management re use cooking oil in a form of
biodiesel and it uses rain water harvesting to conserve water.
Participation of guest : Customers should actively participate in environmental friendly
programs like tree planting to maintain sustainability. Luxury hotel must minimise usage of
plastics and can use recycled papers instead of it. Carbon neutral outdoor generate electricity
5

from waterfall which can be used to deliver luxury services like spa without harming
environment.
CONCLUSION
Above report explained the difference between luxury and green hotels to explain that a
hotel only adopts single service style. If one provides luxurious services that mean they want to
earn more profit and do not have any concern with society or environment. Green hotel services
satisfy their customers through eco-friendly services and make efforts to save environment and
customers who can't get both facilities from single hotel.
6

REFERENCES
Books and Journals
Wan, Y.K.P., Chan, S.H.J. and Huang, H.L.W., 2017. Environmental awareness, initiatives and
performance in the hotel industry of Macau.Tourism Review.72(1). pp.87-103.
Ponomaryova, Y.A., 2018.Market Research. A Study to Evaluate the Value Customers Assign to
Green Hotels’ Certification in their Hotel Selection Decision-Making Process (Doctoral
dissertation, Kent State University).
Verma, V.K. and Chandra, B., 2018. An application of theory of planned behaviour to predict
young Indian consumers' green hotel visit intention. Journal of Cleaner Production.172.
pp.1152-1162.
Moscardo, G., 2017. Sustainable Luxury in Hotels and Resorts: Is It Possible? In Sustainable
management of luxury (pp. 163-189). Springer, Singapore.
Leroux, E. and Pupion, P.C., 2018. Factors of adoption of eco-labelling in hotel industry.
Technological Forecasting and Social Change.129. pp.194-209.
Ahn, Y.H. and Pearce, A.R., 2013. Green luxury: a case study of two green hotels. Journal of
Green Building, 8(1), pp.90-119.
Abdelkafi, N. and Hansen, E.G., 2018. Ecopreneurs' creation of user business models for green
tech: an exploratory study in e-mobility. International Journal of Entrepreneurial
Venturing.10(1). pp.32-55.
Tinnish, S.M., 2017. Strategic decision elements for hotel managers embarking on a sustainable
supply chain management initiative. In Sustainability in Hospitality (pp. 47-66).
Chapman, A., 2017.The co-creation of a luxury hotel brand online: The case of an international
hotel brand (Doctoral dissertation, Côte d'Azur).
Online:
Environment mission statement. 2016. [Online]. Assessed through:
<https://www.environmentalleader.com/2010/03/environmental-mission>.
7

8