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Intention to pay conventional-hotel

prices at a green hotel – a modification
of the theory of planned behavior
a b
Yunhi Kim & Heesup Han
a
Division of Tourism Studies, Kyungnam University, Wolyoung-
Dong, Masan-Shi, Masan, 631-701, Republic of Korea
b
Department of Tourism Management, College of Business
Administration, Dong-A University, Bumin-dong 2-ga, Seo-gu,
Busan, 602-760, Republic of Korea
Published online: 07 Jul 2010.

To cite this article: Yunhi Kim & Heesup Han (2010) Intention to pay conventional-hotel prices at
a green hotel – a modification of the theory of planned behavior, Journal of Sustainable Tourism,
18:8, 997-1014, DOI: 10.1080/09669582.2010.490300

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 Journal of Sustainable Tourism
Vol. 18, No. 8, November 2010, 997–1014

Intention to pay conventional-hotel prices at a green hotel – a

modification of the theory of planned behavior
Yunhi Kima and Heesup Hanb∗
a
Division of Tourism Studies, Kyungnam University, Wolyoung-Dong, Masan-Shi, Masan, 631-701,
Republic of Korea; b Department of Tourism Management, College of Business Administration,
Dong-A University, Bumin-dong 2-ga, Seo-gu, Busan, 602-760, Republic of Korea
(Received 4 December 2009; final version received 26 April 2010)

Numerous studies have employed the theory of planned behavior (TPB) to understand
customers’ behaviors in various fields, but none has tested and extended the theory
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to explain customers’ decision formation to pay comparable regular-hotel prices for a

green hotel. This is the first study designed to test and modify the TPB by including en-
vironmental concerns, perceived customer effectiveness and environmentally conscious
behaviors, which are critical in explaining eco-friendly consumer behaviors. Salient
belief items were identified using an elicitation method (focus group and open-ended
survey). A survey obtained 389 respondents. Confirmatory factor analysis indicated
that measurement items for all study variables had an adequate level of reliability
and validity. The findings from the structural equation modeling showed that the pro-
posed model had a satisfactory fit to the data and better predicted hotel customers’
intention than the original TPB. The results also indicated that all antecedent variables
of intention significantly contributed to forming the intention to pay conventional-hotel
prices for a green hotel. Respondents were happy to have minor inconveniences, e.g.
reusing towels and using recycled products, and were keen to learn about the positive
environmental attributes of green hotels. Benefit awareness was shown to be important
in customer decision-making.
Keywords: intention to pay; green hotel; theory of planned behavior; eco-friendly
decision-making

Introduction
Within the hotel sector, increasing numbers of customers prefer to choose a green lodg-
ing facility that follows environmentally friendly practices, showing concern about the
seriousness of ecological degradation (Han, Hsu, & Sheu, 2010; Manaktola & Jauhari,
2007). In recognition of this eco-friendly consumption need, nowadays many hotel firms
seek to incorporate customers’ emerging concerns about the environment in their man-
agement/marketing decision-making (Bohdanowicz, 2006; Lee, Hsu, Han, & Kim, 2010;
Mensah, 2006). Altering their hotel operations to be green (i.e. significantly reducing en-
vironmental impacts) is becoming a necessity to attain noticeable improvement in their
competitiveness in the market (Han, Hsu, & Lee, 2009; Manaktola & Jauhari, 2007).
One of the most credible pieces of evidence demonstrating the increase of environ-
mentally friendly customer behaviors is the increased number of customers who have a
strong intention to pay more for green products (Laroche, Bergeron, & Barbaro-Forleo,

∗
Corresponding author. Email: heesup.han@gmail.com
ISSN 0966-9582 print / ISSN 1747-7646 online
C 2010 Taylor & Francis

DOI: 10.1080/09669582.2010.490300
http://www.informaworld.com
 998 Y. Kim and H. Han

2001). Previous findings covering this topic in various fields of study show inconsistent
and inconclusive results (e.g. Dalton, Lockington, & Baldock, 2008; Laroche et al., 2001;
Lee et al., 2010; Manaktola & Jauhari, 2007; Reinhardt, 1998). In the hotel context, in
reality, green hotel prices do not significantly differ from those of comparable conventional
(or non-green) hotels (Han et al., 2009; Manaktola & Jauhari, 2007). The green hotel op-
erators’ interest is in whether travelers are willing to pay comparable regular-hotel prices
for their hotel, perhaps sacrificing little conveniences while staying at their green hotel
(reusing towels, limited use of disposable products, use of recycled products/furniture,
recycling bins, buffet-style foods without garnishes, meeting tables without tablecloths,
minimized decor, non-smoking areas, dispensers for soap/shampoo, etc.). Examining trav-
elers’ decision-making processes when faced with the choice to pay for a green hotel can
be an important area of study.
A number of studies have examined why customers are willing to pay more for an
environmentally friendly product. However, these studies have been descriptive and have
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still not provided a clear understanding of the complicated decision-making processes

involved. In addition, no research has yet examined the formation of travelers’ intention
to pay similar prices for a green hotel as for a comparable conventional (or non-green)
hotel. A theoretical framework to provide a comprehensive view of such decision-making
processes is lacking. To fill this gap, the present study employed the theory of planned
behavior (TPB) as a theoretical framework to clearly explain travelers’ decision formation
to pay comparable conventional-hotel prices for a green hotel.
Taking the volitional and non-volitional elements into account, the explanatory power
of the TPB has been proven in a wide range of individual behaviors (Ajzen, 1991, 2001;
Han et al., 2010). Researchers have further suggested that extending the TPB by includ-
ing critical variables in particular contexts increases the TPB’s predictive ability (Ajzen,
1991; Conner & Abraham, 2001; Perugini & Bagozzi, 2001). Numerous studies in the
previous literature have emphasized the significance of environmental concerns, perceived
customer effectiveness and environmentally conscious behaviors in explaining customers’
eco-friendly purchasing behaviors (e.g. Laroche et al., 2001; Paco & Rapose, 2009; Roberts,
1996; Straughan & Roberts, 1999). Findings in these studies indicated that such variables
have a critical role in forming customers’ eco-friendly decision-making processes. Ac-
cordingly, the current study modified the TPB by considering the effects of these important
constructs on the formation of customers’ intention to pay comparable standard-hotel prices
for a green hotel and by enhancing our understanding of the theoretical mechanism within
the model. Overall, the objectives of the present study were threefold:

(1) to modify and extend the TPB by incorporating environmental concerns, perceived
customer effectiveness and environmentally conscious behaviors into the original
framework of the theory to better comprehend travelers’ intention formation to pay
comparable conventional-hotel prices for a green hotel;
(2) to identify salient items concerning beliefs; and
(3) to compare the predictive power of the original TPB with that of the proposed model.

Theoretical background and hypotheses

The concept of “green” in the hotel industry
The hotel industry is one of the most energy- and water-intensive sectors in the tourism in-
dustry (Bohdanowicz, 2005). Because their main purpose is providing comfortable services
 Journal of Sustainable Tourism 999

and supplies to customers (e.g. heating, cooling, lighting, ventilation, cleaning, laundering),
conventional (or non-green) hotels need substantial amounts of energy, water and consumer
goods (Bohdanowicz, 2005; Han et al., 2009). It is believed that these hotels have produced
enormous harm to the environment by, for example, consuming vast quantities of non-
recyclable products, generating tremendous waste, consuming substantial amounts of water
and energy and emitting carbon dioxide and air, water and soil pollutants (Bohdanowicz,
2005; Chan, 2005).
Growing public concern over environmental damage and customers’ desire for environ-
mentally oriented products have stimulated hotel operators to green their operations (Han
et al., 2009; Manaktola & Jauhari, 2007; Wolfe & Shanklin, 2001). Researchers and prac-
titioners agree that the greening of a hotel contributes to satisfying eco-friendly customers’
green needs, avoids criticism of existing tourism practices, fulfils the requirements of
government regulations and substantially decreases costs through waste reduction, water/
energy conservation and recycling (Chan, 2005; Han et al., 2009; Wolfe & Shanklin,
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2001). According to Wolfe and Shanklin (2001), the term “green”, which can alterna-
tively be called “eco-friendly”, “environmentally responsible”, “environmentally friendly”,
“sustainable” and “environmentally oriented” (Han et al., 2009; Pizam, 2009), refers to
actions (e.g. recycling) that diminish harmful impacts on the environment. Hence, green
hotels can be described as environmentally responsible hotels that actively follow envi-
ronmentally friendly guidelines, practice environmental management, implement diverse
eco-friendly practices, institute sound green programs and commit themselves to achieving
environmental improvement by displaying eco-labels or a green globe logo (Department of
Environmental Protection, 2001; Green Hotel Association, 2008; Han et al., 2009, 2010;
International Hotels Environmental Initiative, 1993).

The theory of planned behavior

The TPB was designed to predict and explain human behavior in a specific context (Ajzen,
1991). The basic framework of the TPB deals with the nature of behavior-specific factors.
Researchers agree that individuals are likely to perform a specific type of behavior if they
believe the behavior will result in particular valued outcomes, if they believe their significant
referents (e.g. family, relatives, friends and co-workers) will value the particular behavior
and if they believe they have the resources, abilities or opportunities necessary to conduct
the specific behavior (Ajzen, 1985, 1991; Lam & Hsu, 2006).
Behavioral intention is a central component in the TPB. According to Ajzen (1985,
1991), behavioral intention is an indication of an individual’s likelihood to undertake a
particular behavior, and it is an immediate antecedent of behavior. While the relationship
between intention and actual behavior is not perfect, intention can be used as the best
predictor of behavior (Ajzen, 1985, 1991; Lam & Hsu, 2004). Ajzen (1991) also indicated
that, in general, the stronger an individual’s intention to conduct a certain behavior, the
more likely the individual will be to perform the behavior. According to the theory, this
intention is formed based on attitudes toward the behavior, subjective norms and perceived
behavioral control.
Attitude toward the behavior, the first predictor of intention, can be defined as an individ-
ual’s overall evaluation of the specific behavior (Ajzen, 1991, 2009). The theory indicates
that two constructs work closely to form attitude, namely beliefs about the consequences of
engaging in a certain behavior (behavioral beliefs) and the corresponding favorable or un-
favorable judgments about the possible consequences of the behavior (outcome evaluation)
(Ajzen, 1991; Ajzen & Fishbein, 1980).
 1000 Y. Kim and H. Han

The second determinant of intention in the TPB is subjective norms. Subjective norms
refer to an individual’s estimate of the social pressures on him/her to engage or not engage
in the target behavior (Ajzen, 1991, 2009). Subjective norms are assumed to have two
components which work together, namely an individual’s beliefs about how others (whom
he/she considers significant) would like him/her to behave (normative beliefs) and the
motivation to comply with the significant referents’ opinions about the behavior (motivation
to comply) (Ajzen, 1991; Ajzen & Fishbein, 1980).
The last predictor of intention in the TPB is perceived behavioral control. Perceived
behavioral control refers to an individual’s perception of the ease or difficulty of conducting
the behavior (Ajzen, 1991; Huchting, Lac, & LaBrie, 2008). This construct has two aspects:
control beliefs that indicate an individual’s personal assessment of the presence or absence
of facilitators and inhibitors of the behavior (e.g. time, money and skills) and perceived
power, meaning his/her personal evaluation of the impact of these factors in facilitating or
impeding the specific behavior (Ajzen, 1991; Huchting et al., 2008; Lam & Hsu, 2006).
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Inclusion of this non-volitional dimension to the existing theory significantly improved its
predictive ability of human behaviors in various settings (Ajzen & Driver, 1991; Han et al.,
2010; Oh & Hsu, 2001). Within the framework of the TPB, the strength of each belief is
aggregately weighted by the evaluation of the outcome (behavioral beliefs), motivation to
comply with the salient referents’ opinions (normative beliefs) and perceived outcome of
the control factor (control beliefs), respectively.
The theory is an extended version of the theory of reasoned action (TRA). While the
TRA adequately predicts a person’s behavior in a certain context, researchers agree that
the prediction is accurate only when the specific behavior is completely under volitional
control (e.g. Han et al., 2010; Huchting et al., 2008; Lee & Back, 2007; Oh & Hsu, 2001).
In this regard, researchers have frequently raised questions regarding the sufficiency of the
TRA (e.g. Han et al., 2010; Huchting et al., 2008; Lee & Back, 2007; Oh & Hsu, 2001).
That is, most human behaviors depend at least to some degree on non-volitional factors
(e.g. requisite opportunities and resources). Expanding the boundaries of the TRA, the TPB
specifically includes the variable associated with non-volitional control, and thus allows for
the precise prediction of human behaviors in which volitional control may be incomplete.
Overall, based on the TPB, the present study postulated that hotel customers’ posi-
tive or negative evaluation of paying conventional-hotel prices for a green hotel (favor-
able/unfavorable attitude), their perceived level of social pressure to pay or not to pay
(high/low subjective norms) and their perceived ease or difficulty to pay (high/low per-
ceived behavioral control) may significantly contribute to an increase or decrease in their
intention to pay standard-hotel prices for a green hotel.

A proposed modified theory of planned behavior

The current study presents a model that expands the TPB by incorporating new constructs
(i.e. environmental concerns, perceived customer effectiveness and environmentally con-
scious behaviors) which in the previous literature have been shown to play critical roles
in consumers’ environmentally friendly decision-making processes (e.g. Han et al., 2010;
Kalafatis, Pollard, East, & Tsogas, 1999; Laroche et al., 2001; Paco & Raposo, 2009;
Roberts, 1996; Straughan & Roberts, 1999; Vlosky, Ozanne, & Fontenot, 1999). The pro-
posed model of the modified TPB is outlined in Figure 1. Specifically, the modified TPB
assumed that (1) intention to pay conventional-hotel prices for a green hotel is the ulti-
mate dependent variable; (2) attitude, subjective norms and perceived behavioral control
dimensions are predictors of intention; and (3) the inclusion of environmental concerns,
 Journal of Sustainable Tourism 1001
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Figure 1. Proposed modified TPB model for intention to pay conventional-hotel prices.

perceived customer effectiveness and environmentally conscious behaviors adds essential

information concerning eco-friendly aspects of hotel customer behaviors not reflected in
the original constructs of the TPB.
Ajzen (1991, 2009) indicated that after the existing variables of the theory have been
taken into account, the TPB is essentially open to extension by the integration of additional
variables or modification by the alteration of existing paths if the newly introduced variables
meet certain criteria (i.e. it should be possible to consider the new variables as important
causal factors in determining intention/behavior; it should be possible to conceive of the
new variables as conceptually independent factors from the existing variables in the theory;
and the added variables should be potentially appropriate in explaining a wide range of
behaviors). Indeed, numerous researchers have successfully extended or modified the TPB
by including constructs that are believed to be critical in a specific context and altering the
specific paths in the theory (e.g. Bansal & Taylor, 1999; Chang, 1998; Han et al., 2010;
Lee & Back, 2007; Oh & Hsu, 2001; Perugini & Bagozzi, 2001). Their efforts contribute
to a better understanding of the theoretical mechanism of the TPB and to enhancing its
predictive power for intention and behavior in various contexts.

Environmental concerns, perceived customer effectiveness and environmentally

conscious behaviors
Many studies about the environment have investigated and verified the significance of
environmental concerns, perceived customer effectiveness and environmentally conscious
behaviors in customers’ eco-friendly decision-making (e.g. Laroche et al., 2001; Paco &
 1002 Y. Kim and H. Han

Raposo, 2009; Roberts, 1996; Straughan & Roberts, 1999). Environmental concerns are
associated with individuals’ apprehensions about the various aspects of environmental
problems (e.g. degradation of the environment, limited resources and pollution) (Han
et al., 2009; Paco & Raposo, 2009). There has been a dramatic increase in the numbers
of individuals expressing ecological concerns (Han et al., 2009; Kalafatis et al., 1999).
Such concerns are likely to be generated by personal experiences, the experiences of
other people and communication produced by the media (Paco & Raposo, 2009). These
individuals’ environmental concerns tend to result in environmentally conscious behaviors
in their everyday lives and in consumption situations (Paco & Raposo, 2009).
Findings in the previous literature have been fairly conclusive that this variable is critical
in explaining customers’ ecologically favorable decision-making processes. For instance,
in developing the measurement scale about the ecological concerns, Kinnear and Taylor
(1973) emphasized that the level of an individual’s environmental concern influences his/her
attitude and behavior. Straughan and Roberts (1999) found that customers with high levels
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of concern about the environment engage in more intense eco-friendly behavior if they feel
their efforts and actions can be effective in resolving environmental problems. Although
customers with high environmental concerns do not always buy green products, it may be
true that they are more likely to perform ecologically favorable behaviors in their everyday
lives and make eco-friendly purchasing decisions (Paco & Raposo, 2009; Schuhwerk &
Lefkokk-Hagius, 1995; Suchard & Polonski, 1991).
While the definition of perceived customer effectiveness varies, researchers generally
agree that perceived customer effectiveness refers to individuals’ perceptions about the
effectiveness of their environmental friendly endeavors in abating environmental problems
(Antil, 1978; Roberts, 1996; Straughan & Roberts, 1999). In other words, an individual with
a high perceived effectiveness can easily feel that his/her eco-friendly actions and effort
cause a positive change in environmental difficulties (e.g. pollution and natural resource
problems).
Perceived customer effectiveness has been recognized by researchers as a significant
factor that affects every phase of the buying decision-making process (e.g. Roberts, 1996;
Straughan & Roberts, 1999). Roberts (1996), in examining the profiles of green consumers,
using the data from a nationwide survey, found the critical role of customer effectiveness
in explaining ecological consumer behaviors. Specifically, his findings indicated that cus-
tomers, who strongly believe that they can abate environmental problems and strongly feel
that their ecological efforts can be effective in reducing environmental harms, are more
likely to participate in environmentally conscious activities and make an eco-friendly buy-
ing decision. In line with this study, in examining the dynamic nature of environmentally
conscious customer behaviors, Straughan and Roberts (1999) found that people who think
that their endeavors can contribute to solving ecological problems more actively engage in
eco-friendly behaviors. Further, Han et al. (2009) indicated that customers’ favorable atti-
tude toward green behaviors, which has an important role in an ecological decision-making
process, is generally derived from their judgment about their ability to affect ecological
problems. Given this evidence, it can be inferred that the more the individuals think their
efforts can solve problems associated with the environment, the more likely they are to un-
dertake environmentally conscious behaviors in their everyday lives, form positive attitudes
toward ecologically conscious behaviors and make eco-friendly purchasing decisions.
Recognizing the seriousness of environmental problems, increasing numbers of indi-
viduals have proactively engaged in recycling, saving electricity and water, decreasing the
use of disposable products, etc. (Han et al., 2010; Kalafatis et al., 1999). These types of
activities in their everyday lives can be described as environmentally conscious behaviors
 Journal of Sustainable Tourism 1003

(Han et al., 2010). While marketers are cautious when attempting to extend ecological
initiatives from one ecologically favorable behavior to another, there is a general consensus
that such behaviors are likely to result in eco-friendly purchasing behaviors (Kalafatis et al.,
1999; Roberts, 1991; Shabecoff, 1993). Han et al. (2010) argued that hotel customers’ en-
vironmentally friendly activities in everyday life did not have a significant impact on hotel
customers’ decision-making process. However, in their study, ecologically conscious activi-
ties were employed and tested as a moderator in forming purchasing intention rather than as
an immediate antecedent of intention. Given this, it seems that customers who proactively
perform environmentally conscious behaviors in their everyday lives will more willingly
make environmentally friendly purchasing decisions.
The added constructs in the present study met the criteria Ajzen (1991, 2009) indicated.
In particular, first, many previous studies have verified that environmental concerns, per-
ceived customer effectiveness and environmentally conscious behaviors considerably affect
customers’ eco-friendly decision-making and behaviors (e.g. Han et al., 2010; Kalafatis
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et al., 1999; Laroche et al., 2001; Paco & Raposo, 2009; Roberts, 1996; Straughan &
Roberts, 1999; Vlosky et al., 1999). Thus, it would be possible to conceive of these vari-
ables as influencing factors on intention and/or actual behavior. Second, these variables are
conceptually and theoretically distinguishable from the theory’s existing determinants of
intention and behavior. That is, the added variables are not redundant with existing predic-
tors in the TPB. Lastly, the new variables, along with existing constructs in the TPB, can
be potentially applicable to a wide range of environmentally friendly consumer behaviors
in various settings.

Hypotheses
Overall, based on the aforementioned theoretical and empirical foundation, the present
study proposed the following 13 hypotheses:

H1: environmental concerns have a positive impact on environmentally conscious behav-

iors.
H2: perceived customer effectiveness has a positive impact on environmentally conscious
behaviors.
H3: environmental concerns have a positive impact on attitude toward the behavior.
H4: perceived customer effectiveness has a positive impact on attitude toward the
behavior.
H5: behavioral beliefs have a positive impact on attitude toward the behavior.
H6: normative beliefs have a positive impact on subjective norms.
H7: control beliefs have a positive impact on perceived behavioral control.
H8: environmental concerns have a positive impact on intention to pay conventional-hotel
prices.
H9: environmentally conscious behaviors have a positive impact on intention to pay
conventional-hotel prices.
H10: perceived customer effectiveness has a positive impact on intention to pay
conventional-hotel prices.
H11: attitude toward the behavior has a positive impact on intention to pay conventional-
hotel prices.
H12: subjective norms have a positive impact on intention to pay conventional-hotel prices.
 1004 Y. Kim and H. Han

H13: perceived behavioral control has a positive impact on intention to pay conventional-
hotel prices.

Methodology
Measurement development
Measures for belief constructs were derived from the literature review and an elicitation
study. According to Ajzen and Fishbein (1980), an elicitation study is needed to ob-
tain new sets of beliefs and important referents for a new context and population. The
present study employed a focus group including four hotel managers, five hotel customers
and five hospitality academics as an elicitation method. In addition, an open-ended sur-
vey with 30 hotel customers was conducted to elicit accessible beliefs. A description of
the behavior including target, action, context and time (TACT) was given to the partic-
ipants (Ajzen, 2009). A focus group and an open-ended survey are frequently used as
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an elicitation method (e.g. Cheng, Lam, & Hsu, 2006; Han et al., 2010; Lam & Hsu,
2004; Lee & Back, 2008). This elicitation process and literature review generated seven
items for behavioral beliefs, three items for normative beliefs and three items for control
beliefs.
These items were included in the initial questionnaire. The questionnaire also contained
items for outcome evaluation (e.g. “Helping save the environment is” 1 = very unimportant,
7 = very important), motivation to comply (e.g. “Generally speaking, how likely are you
to do what your family [or relatives] thinks you should do?” 1 = extremely unlikely, 7
= extremely likely) and perceived power (e.g. “Location is a critical factor when making
a decision to pay conventional-hotel prices for a green hotel.” 1 = strongly disagree,
7 = strongly agree), which were developed as corresponding sets of belief constructs.
Existing validated questions for other study constructs in the initial questionnaire were
adopted and modified from the previous literature (e.g. Ajzen & Fishbein, 1980; Han et al.,
2010; Lam & Hsu, 2004; Lee & Back, 2008; Roberts, 1996; Straughan & Roberts, 1999).
All variables were measured with multi-item scales. The initial questionnaire was refined
through experts’ review and pre-test. The questionnaire was also subjected to a pilot test with
hotel customers to improve question clarity and test whether the scales in the questionnaire
adequately assessed constructs of interest. The final questionnaire developed through these
processes included three sections (i.e. sections for belief constructs, determinant constructs
and demographic information). Table 1 shows the measurement items for study constructs
used in this study.

Sample and data collection

An online survey was conducted in this study. The survey questionnaire was distributed via
an online survey company’s system to randomly chosen US hotel customers from the com-
pany’s database (n = 3000). In particular, this company that maintains a by-invitation-only
database has one of the largest numbers of panels among US online market research firms.
Among these nationwide panels, the best-fit respondents who were relevant to the present
study were selected. The samples for this study were randomly chosen among them. The
company provides small incentives for each respondent’s survey participation in the form
of credits. Researchers using the company’s survey system pay the per-completed-response
fee. Participants were provided with a detailed explanation of a green hotel and its environ-
mentally friendly practices (e.g. recycling, energy conservation, pollution remediation, use
of organic foods and donation to charity) (Han et al., 2009). They were asked to carefully
 Journal of Sustainable Tourism 1005

Table 1. Measurement items, loadings and reliability.

Standardized
Constructs and scale items loadinga Alpha
Behavioral beliefs 0.966
Strongly disagree (1)/strongly agree (7)
Paying a similar price for a green hotel as for a comparable conventional
(or non-green) hotel would enable me to
• help save the environment; 0.92
• be more socially responsible; 0.90
• stay in a clean and comfortable environment; 0.93
• perform environmentally friendly practices; 0.94
• enjoy environmentally friendly products and healthy amenities; 0.95
• eat fresh and healthy foods; 0.81
• learn and implement green ideas in my own life. 0.84
Normative beliefs 0.953
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Very false (1)/very true (7)

My family thinks I should be willing to pay conventional-hotel prices for 0.95
a green hotel.
My friends think I should be willing to pay conventional-hotel prices for 0.97
an environmentally friendly hotel.
My colleagues (or co-workers) think I should be willing to pay 0.89
conventional-hotel prices for a hotel that engages in green practices.
Control beliefs 0.773
Strongly disagree (1)/strongly agree (7)
Location of a green hotel needs to be convenient. 0.79
Conducting green practices while staying at a hotel (e.g. recycling) 0.77
requires time and effort.
My company/school/others that pay(s) for travel expenses encourage(s) 0.64
me to stay at a certain hotel.
Attitude toward the behavior 0.981
For me, paying similar for a green hotel is
• extremely bad (1)/extremely good (7); 0.89
• extremely undesirable (1)/extremely desirable (7); 0.91
• extremely unpleasant (1)/extremely pleasant (7); 0.93
• extremely foolish (1)/extremely wise (7); 0.95
• extremely unfavorable (1)/extremely favorable (7); 0.97
• extremely unenjoyable (1)/extremely enjoyable (7); 0.94
• extremely negative (1)/extremely positive (7). 0.95
Subjective norms 0.969
Strongly disagree (1)/strongly agree (7)
Most people who are important to me think I should be willing to pay 0.95
conventional-hotel prices for a green hotel.
Most people who are important to me would want me to pay 0.96
conventional-hotel prices for an environmentally friendly hotel.
People whose opinions I value would prefer that I pay conventional-hotel 0.96
prices for a hotel that engages in green practices.
Perceived behavioral control 0.860
Strongly disagree (1)/strongly agree (7)
Whether or not I pay conventional-hotel prices for a green hotel is 0.71
completely up to me.
I am confident that if I want to, I can pay for an environmentally friendly 0.97
hotel.
I have resources, time and opportunities to pay conventional-hotel prices 0.82
for a green hotel.
(Continued)
 1006 Y. Kim and H. Han

Table 1. Measurement items, loadings and reliability. (Continued)

Standardized
Constructs and scale items loadinga Alpha
Environmental concerns 0.924
Strongly disagree (1)/strongly agree (7)
The balance of nature is very delicate and easily upset. 0.71
Humanity is severely abusing the environment. 0.78
The earth is like a spaceship with only limited room and resources. 0.97
Humans must live in harmony with nature in order to survive. 0.93
Perceived customer effectiveness 0.911
Strongly disagree (1)/strongly agree (7)
It is worthless for the individual consumer to do anything about pollution 0.90
(reverse coded).
When I buy products, I try to consider how my use of them will affect the 0.94
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environment and other consumers.

Since one person cannot have any effect upon pollution and natural 0.75
resource problems, it does not make any difference what I do (reverse
coded).
Each consumer’s behavior can have a positive effect on society if he or 0.68
she purchases products sold by socially responsible companies.
Environmentally conscious behaviors 0.839
Strongly disagree (1)/strongly agree (7)
I use a recycling center or in some way recycle some of my household 0.81
trash.
I have tried very hard to reduce the amount of electricity/water I use. 0.88
When there is a choice, I always choose that product that contributes the 0.71
least to pollution.
Intention to pay conventional-hotel prices 0.894
Strongly disagree (1)/strongly agree (7)
I am willing to pay conventional-hotel prices for a green hotel. 0.91
I will make an effort to pay for a hotel that engages in green practices. 0.82
It is acceptable to pay conventional-hotel prices for an environmentally 0.87
friendly hotel.
a All factor loadings are significant at ( p < 0.01).

read the description of a green hotel before filling out the survey questionnaire. Among the
returned questionnaires, unusable and incomplete responses and extreme outliers (Maha-
lanobis’ D(40) > 73.402, p < 0.001) were eliminated. Finally, 389 questionnaires remained
for analysis (a valid response rate of 12.97%).

Demographic characteristics
Of the 389 respondents, 52.0% were females and 48.0% were males. The ages of respon-
dents ranged from 20 to 85 with a mean age of 44.92. A household income range of $25,000
to $39,999 was reported by the largest proportion of survey participants (19.6%), and an
income range of $85,000 to $99,999 was reported by the smallest proportion of respondents
(6.5%). On average, the survey participants were relatively highly educated. The largest cat-
egory was the college-graduate group (34.3%), followed by the two-year-college-graduate
group (33.2%), the graduate-degree group (21.0%) and the high-school-diploma group
(10.1%). Among the participants, 52.7% reported that they stayed at a hotel at least 2 to
 Journal of Sustainable Tourism 1007

5 times a year, and 19.1% of the respondents reported that they stayed at a hotel 6 to 10
times a year. Lastly, about 9.9% of the participants described themselves as staying at a
hotel more than 10 times a year.

Analysis and results

Data analysis tools
Collected data were analyzed using SPSS 16 for Windows and AMOS 5. Based on Anderson
and Gerbing’s (1988) guidelines for the effective use of structural equation modeling (SEM)
for theory testing and development, a measurement model was first estimated by performing
a confirmatory factor analysis (CFA), and then the SEM was tested for model evaluations,
modeling comparison and research hypotheses testing.
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Measurement model results

Prior to SEM, CFA was first conducted. The results of CFA provided an adequate fit to
the data (χ 2 = 1493.475, df = 692, p < 0.001, root mean square error of approximation
[RMSEA] = 0.055, comparative fit index [CFI] = 0.955, normed fit index [NFI] = 0.919).
Factor loadings were equal to or greater than 0.64, and all were significant ( p < 0.01).
The factor loadings for measurement items are shown in Table 1. A reliability test was
conducted to assess consistency in measuring results. Coefficient alpha for the multi-item
scales was used in this study. The cutoff point is generally regarded to be 0.70 (Nunnally,
1978). As shown in Table 1, because all values were between 0.773 and 0.981, multiple
measures in this study are highly reliable for measuring each construct. A construct validity
test was conducted using the factor loadings within each construct, the average variance
extracted (AVE) and the correlation between constructs. As shown in Table 2, convergent
validity was established because all AVE values were well above the suggested cutoff value
of 0.50 (Hair, Anderson, Tatham, & Black, 1998). According to Fornell and Larcker (1981),
discriminant validity exists when the squared correlation between a pair of constructs is
less than the AVE of each construct. As shown in Table 2, the squared correlations between
constructs were smaller than AVE values. Thus, discriminant validity was demonstrated.

Structural model results

Prior to further analyses using SEM, the expectancy-value approach was employed to es-
tablish an overall level of belief constructs (Ajzen, 1991; Ajzen & Fishbein, 1980). Items
for behavioral beliefs, normative beliefs and control beliefs were multiplicatively combined
with their corresponding items of outcome evaluation, motivation to comply and perceived
power, and the products were then summed to determine a general level of each belief con-
struct (i.e.  BBi OEi ,  NB j MC j and  CBk PPk ) (Ajzen, 1991; Ajzen & Fishbein, 1980).
SEM was conducted to assess the proposed extended TPB model using the maximum
likelihood estimation method. The chi-square (χ 2 ) value of the measurement model was
1558.471 (df = 711, p < 0.001, χ 2 /df = 2.192), and other goodness-of-fit indices re-
vealed that the measurement model fits the data extremely well (RMSEA = 0.055; CFI =
0.953; NFI = 0.916). This structural model was then compared with the TPB model by
excluding added constructs (i.e. environmental concerns, perceived customer effectiveness
and environmentally conscious behaviors). Results of the structural model comparison are
presented in Table 3. For the TPB model, the chi-square (χ 2 ) value was 1015.594 (df =
365, p < 0.001, χ 2 /df = 2.782); the CFI and NFI were 0.952 and 0.912, respectively;
 1008 Y. Kim and H. Han

Table 2. Results of the measurement model (N = 389).

BB NB CB ATB SN PBC EC PCE ECB IPCHP AVE

BB 0.825a 0.202b 0.227 0.429 0.706 0.141 0.239 0.297 0.135 0.494 0.810
NB 0.449c 0.956 0.049 0.151 0.706 0.096 0.033 0.028 0.063 0.147 0.879
CB 0.476 0.221 0.616 0.130 0.037 0.293 0.078 0.120 0.052 0.228 0.542
ATB 0.655 0.388 0.361 0.881 0.179 0.126 0.153 0.166 0.127 0.487 0.874
SN 0.840 0.840 0.192 0.423 0.919 0.059 0.023 0.044 0.112 0.162 0.915
PBC 0.376 0.244 0.541 0.355 0.243 0.739 0.079 0.128 0.066 0.194 0.706
EC 0.489 0.183 0.279 0.391 0.152 0.281 0.758 0.205 0.153 0.277 0.730
PCE 0.545 0.167 0.346 0.408 0.209 0.358 0.453 0.718 0.110 0.281 0.680
ECB 0.368 0.251 0.228 0.356 0.334 0.256 0.391 0.331 0.693 0.212 0.645
IPCHP 0.703 0.383 0.478 0.698 0.402 0.441 0.526 0.530 0.460 0.778 0.752
Mean 5.953 4.349 5.355 6.018 4.436 5.606 5.750 5.537 5.262 5.820
SD 1.223 1.711 1.192 1.198 1.735 1.303 1.414 1.296 1.260 1.233
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Notes: BB = behavioral beliefs; NB = normative beliefs; CB = control beliefs; ATB = attitude toward the
behavior; SN = subjective norms; PBC = perceived behavioral control; EC = environmental concerns; PCE =
perceived customer effectiveness; ECB = environmentally conscious behaviors; IPCHP = intention to pay
conventional-hotel prices. Model measurement fit: χ 2 = 1493.475 (df = 692, p <0.001), RMSEA = 0.055, CFI =
0.955, NFI = 0.919.
a Composite reliabilities are along the diagonal.
b Correlations between constructs are below the diagonal.
c Squared correlations between constructs are above the diagonal.

and RMSEA was 0.068. In comparing the proposed modified TPB model with this TPB
model, the proposed model had better explanatory power than the original TPB model. In
particular, while predictors of intention in the existing TPB explained about 50.8% of the
variance in intention to pay similar prices, antecedent variables of intention in the mod-
ified TPB jointly explained approximately 60.8% of the total variance in intention. The
chi-square differences between the two models were significant ( p < 0.01). The findings
implied that the inclusion of the proposed new constructs in the model played a critical
role in predicting intention to pay similar prices in a green hotel context. The findings also
indicated that the fit statistics of the proposed model were slightly better than the TPB
model (proposed model with RMSEA = 0.055, CFI = 0.953 and NFI = 0.916 versus TPB
model with RMSEA = 0.068, CFI = 0.952 and NFI = 0.912). Overall, the results of the
modeling comparison clearly showed that the extended TPB model involving environmen-
tal concerns, perceived customer effectiveness and environmentally conscious behaviors
was superior to the original TPB model.

Table 3. Results of the model comparison.

Theory of Modified theory

Goodness-of-fit statistics and R 2 planned behavior of planned behavior
Fit indices
χ2 1015.594 1558.471
df 365 711
χ 2 /df 2.782 2.192
RMSEA 0.068 0.055
CFI 0.952 0.953
NFI 0.912 0.916
R 2 (adjusted)
Intention to pay conventional-hotel prices 0.508 0.608
 Journal of Sustainable Tourism 1009
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Figure 2. Test results for intention to pay conventional-hotel prices – standardized path estimates
(N = 389).

Figure 2 and Table 4 summarize the results of the modified TPB model. Hypotheses
1 and 2 proposed that environmental concerns and perceived customer effectiveness are
positively associated with environmentally conscious behaviors. The findings indicated that
both predictors exerted a positive and significant impact on environmentally conscious be-
haviors (βEC→ECB = 0.304, p < 0.01; βPCE→ECB = 0.201, p < 0.01). Thus, Hypotheses 1
and 2 were supported. Hypotheses 3 and 4 were tested. The relationships between environ-
mental concerns/perceived customer effectiveness and attitude toward the behavior were not
significant (βEC→ATB = 0.004, p > 0.05; βPCE→ATB = 0.017, p > 0.05). Thus, Hypotheses
3 and 4 were not supported. As shown in Table 2, some correlations between constructs are
 1010 Y. Kim and H. Han

Table 4. Results of the structural equation modeling (N = 389).

Hypotheses Standardized path coefficients t-values Results

H1 0.304 5.083∗∗ Supported
H2 0.201 3.330∗∗ Supported
H3 0.004 0.091 Not supported
H4 0.017 0.342 Not supported
H5 0.681 12.036∗∗ Supported
H6 0.737 16.727∗∗ Supported
H7 0.577 9.458∗∗ Supported
H8 0.190 4.144∗∗ Supported
H9 0.117 2.644∗∗ Supported
H10 0.177 3.784∗∗ Supported
H11 0.455 10.148∗∗ Supported
H12 0.088 2.350∗ Supported
H13 0.136 3.471∗∗ Supported
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R 2 (adjusted)
R 2 (ATB) = 0.481
R 2 (SN) = 0.543
R 2 (PBC) = 0.333
R 2 (ECB) = 0.189
R 2 (IPCHP) = 0.608

Notes: ECB = environmentally conscious behaviors; ATB = attitude toward the behavior; SN = subjective
norm; PBC = perceived behavioral control; IPCHP = intention to pay conventional-hotel prices. Goodness-of-fit
statistics: χ 2 = 1558.471 (df = 711, p < 0.001), RMSEA = 0.055, CFI = 0.953, NFI = 0.916.
∗ p < 0.05, ∗∗ p < 0.01.

relatively high, slightly exceeding a problematic level of 0.80 (Hair et al., 1998). Thus, it can
be inferred that such unexpected results may be attributed to multi-collinearity (Cohen &
Cohen, 1975). Hypotheses 5–7 were tested. As hypothesized, the overall level of each belief
construct was a positive function of attitude, subjective norms and perceived behavioral
control, respectively (βBB→ATB = 0.681, p < 0.01; βNB→SN = 0.737, p < 0.01; βCB→PBC =
0.577, p < 0.01). Thus, Hypotheses 5–7 were supported. Hypotheses 8–10 proposed that
added constructs on the previous theoretical framework of the TPB are positively associated
with intention. The findings showed that environmental concerns (βEC→IPCHP = 0.190, p <
0.01), environmentally conscious behaviors (βECB→IPCHP = 0.117, p < 0.01) and perceived
customer effectiveness (βPCE→IPCHP = 0.177, p < 0.01) were positive and significant pre-
dictors of intention, supporting Hypotheses 8–10. These three variables played a critical role
in explaining the formation of the intention to pay standard-hotel prices for a green hotel.
Finally, in accordance with Hypotheses 11–13, the causal paths from attitude (βAT→IPCHP =
0.455, p < 0.01), subjective norms (βSN→IPCHP = 0.088, p < 0.05) and perceived behav-
ioral control (βPBC→IPCHP = 0.136, p < 0.01) to intention were positive and significant. As
stated earlier, antecedent variables of intention accounted for 60.8% of the total variance
of the intention. In general, there was good support for the hypothesized relationships and
the proposed model.

Discussion and conclusion

The current research moves beyond the previous studies in several ways. First, this study
succeeded in extending the original TPB by integrating critical constructs in an eco-friendly
consumption context into the original framework of the TPB. Meeting Ajzen’s (1991,
 Journal of Sustainable Tourism 1011

2009) criteria for theory extension/modification, added constructs in this study, which are
conceptually distinguishable from the existing constructs of the TPB, were found to be
important predictors of behavioral intention, significantly improving our understanding
of intention formation to pay standard-hotel prices for a green hotel. In addition, such
added constructs along with existing variables in the TPB are apparently useful in better
explaining individuals’ environmentally friendly purchasing decision-making processes
in various eco-friendly consumption settings. Therefore, researchers should consider the
roles of these critical variables when developing and extending any theory associated with
customer decision-making processes in a green hotel or any eco-friendly consumption
setting.
Second, the findings implied that hotel customers’ perceived probability of the oc-
currence of expected outcomes, perceived behavioral expectations from their important
referents and perceived presence or absence of facilitating resources or impediments and
opportunities contribute to increasing their favorable attitudes toward paying conventional-
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hotel prices for a green hotel, their perceived social pressure and their perception of their
ability to perform the behavior. The results also implied that such attitudes, social pressures
and perceived ease of engaging in the behavior eventually result in an enhancement of
intention to pay prices similar to those at a comparable conventional (or non-green) hotel,
while accepting a slightly reduced level of performance. In the present study, it is also worth
noting that attitude dimension among study variables was the key driver of behavioral inten-
tion. This finding, which aligned with previous studies (Bansal & Taylor, 1999; Han et al.,
2010), implied that customers’ favorable or unfavorable evaluation of the behavior is more
important than other variables in building intention to pay comparable conventional-hotel
prices for a green hotel. This finding can be used to guide the development of efficient mar-
keting strategies for green hotel operators. As noted earlier, customers’ attitude toward the
behavior was a positive function of their behavioral beliefs. Thus, for green hotel operators,
it would be effective to actively inform existing and potential customers about expected
enjoyable outcomes and positive enjoyable consequences (e.g. eating fresh and healthy
foods, staying in a clean and comfortable environment, being more socially responsible and
learning and implementing green ideas in their own lives).
Third, the regression paths from environmental concerns and perceived customer ef-
fectiveness to environmentally conscious behaviors were significant, and the links between
these three variables and intention were positive and significant. In addition, inclusion of
these three variables leads to considerable improvement in the prediction of intention to pay
standard-hotel prices for a green hotel. These results are in line with the previous studies
that verified the importance of these variables in customers’ decision-making processes
(e.g. Laroche et al., 2001; Paco & Raposo, 2009; Roberts, 1996; Straughan & Roberts,
1999). In the present context, the findings implied that one’s apprehension about vari-
ous aspects of ecological problems and one’s perceived effectiveness of environmentally
friendly endeavors in combating ecological problems induce proactive environmentally
conscious behaviors in one’s everyday life, and play an important role in explaining hotel
customers’ eco-friendly decision formation along with environmentally conscious behav-
iors. Based on the findings of the present study, it can be inferred that one of the foremost
promotional tasks for green hotel marketers is to continuously inform their current and
potential customers about the seriousness of environmental degradation (e.g. degradation
of the environment, limited resources and pollution) and to constantly show the positive
changes resulting from individuals’ green actions effort and through persuasive communi-
cation channels, stressing the ability of each individual customer to decrease environmental
deterioration.
 1012 Y. Kim and H. Han

Finally, this study found that customers possibly build the intention to pay comparable
standard-hotel prices for a green hotel in spite of some potential inconveniences (towel
reuse, limited use of disposal products, use of recycled products/furniture, recycling bins,
buffet-style foods without garnishes, meeting tables without tablecloths, minimized decor,
non-smoking areas, dispensers for soap/shampoo, etc.). As discussed earlier, one probable
reason that green hotel customers can make such a decision is that they are aware of
favorable outcomes and benefits of engaging in eco-friendly behaviors in the hotel industry.
The previous studies indicated that customers often will not choose eco-friendly alternatives
regardless of price, will not be always prepared to accept continuous inconveniences,
and still want to sustain their existing lifestyle, although they simultaneously want to be
ecologically responsible (Dalton et al., 2008; Diekmann & Preisendorfer, 2003; Manaktola
& Jauhari, 2007; Schwartz, 1990). Based on this notion, it may be true that customers may
not be always ready to pay for a green hotel unless a green hotel ensures an adequate level
of product quality comparable to that of a conventional (or non-green) hotel. In this regard,
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green hotel operators should actively develop innovative ways to enhance general product
performances and to create various beneficial outcomes that are not readily available in
conventional (or non-green) hotels. These efforts would help green hotel customers feel
that they are paying a fair price justified by the true value of the green hotel product.
In interpreting the results of the present study, several limitations should be considered.
The first limitation is related to the use of an online survey method. While the use of a
web-based survey is becoming usual, the online respondents in this study cannot represent
all US hotel customers. To enhance the validity associated with sampling and generaliz-
ability, examining hotel customers’ decision-making processes using the data including
the wider sampling range and collected in an actual consumption setting is recommended
for future research. Second, this study successfully modified the original TPB in a green
hotel setting by including salient constructs in an environmentally responsible consumption
context. However, there may be more existing variables that are important in explaining
decision-making processes not considered in the present study (e.g. desires, anticipated
emotions and personal characteristics). Thus, future studies should attempt to incorporate
additional critical constructs to more fully comprehend customers’ eco-friendly decision
formation. Lastly, for future research, cross-cultural studies using the proposed model are
recommended to validate the results of this study across nations and cultures.

Acknowledgements
This study was supported by research funds from Dong-A University. The authors would like to thank
Bernard Lane, the Co-Editor of JOST, for his valuable inputs to improve this paper.

Notes on contributors
Yunhi Kim is an Instructor in the Division of Tourism Studies at Kyungnam University, Korea. Her
primary research interest is destination development, ecotourism and hospitality management.
Heesup Han is an Assistant Professor in the Department of Tourism Management at Dong-A Univer-
sity, Korea. His research interests include green hotels, hospitality marketing and scale development.
His papers have been selected as the most downloaded and read articles in IJHM and JHTR. Heesup is
a reviewer for many international peer-reviewed hospitality and tourism journals, a member of the pa-
per review committees for various hospitality and tourism conferences and a Director of Information
and Technology for the Asia Pacific Tourism Association (APTA).
 Journal of Sustainable Tourism 1013

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