Sustainability in the Food and Beverage Industry A

International Journal of Tourism & Hospitality in Asia Pasific (IJTHAP) Vol. 6 No.
3, pp. 1-17, October, 2023

E-ISSN: 2654-7945 P-ISSN: 2685-8800
https://www.ejournal.aibpmjournals.com/index.php/IJTHAP
Sustainability in the Food and Beverage Industry: A

Comparative Study of Malaysia, India, and Indonesia
Daisy Mui Hung Kee1, Jerome Vui Khiong Lee2, Izza Yasmin Adriana Binti Azlan3,
Jeevasriirubini A/P Subramaniam4, Jocelyn Chia Wen Koay5, Ayu Melissa Putri6,
Ritanshi Asthana7, Kshitiz Shrivastava8, Ashiza Beg9
Universiti Sains Malaysia1, 2, 3, 4, 5
Universitas Brawijaya, Indonesia6
Prestige Institute of Management, India7, 8, 9
Correspondence Email: jromelee00@student.usm.my
ARTICLE INFORMATION
Publication information ABSTRACT
Research article This study presents a comparative study on

sustainability practices in the food and
HOW TO CITE beverage (F&B) industry of three Southeast
Asian countries: Malaysia, India, and
Kee, D. M. H., Lee, J. V. K., Azlan, I. Y. A. Indonesia. Sustainability in the F&B
B., Subramaniam, J., Koay, J. C. W., Putri, industry of a country has gained wide
A. M., Asthana, R., Shrivastava, K., Beg, A. concern due to the growing environmental,
(2023). Sustainability in the Food and social, and economic impact. This study
Beverage Industry: A Comparative Study of aims to examine whether the consumers’
Malaysia, India, and Indonesia. awareness and knowledge and consumers’
International Journal of Tourism and attitudes will influence the sustainability
Hospitality in Asia Pacific, 6(3), 1-17. practices implemented by three different
countries as well as to compare the
DOI: sustainable practices in the F&B industry
https://doi.org/10.32535/ijthap.v6i3.2591 across countries. Data was collected
through a Google Forms survey with a
Copyright @ 2023 owned by Author(s). sample size of 150 respondents. This paper
Published by IJTHAP will also study the other factors contributing
to the implementation of sustainability
practices in Malaysia, India, and Indonesia.
The findings of this study revealed that the
consumers’ awareness and knowledge,
attitude and other factors contributing to
This is an open-access article. sustainability are collectively mediated by
License: Attribution-Noncommercial-Share the implementation and promotion of
Alike (CC BY-NC-SA) sustainable practices in the F&B industry.
However, adopting sustainable practices
Received: 19 August 2023 varies across countries due to the complex
Accepted: 20 September 2023 relationship of those variables.
Published: 20 October 2023
Keywords: Consumers’ Attitudes,
Consumers’ Awareness and Knowledge,
Food and Beverage Industry, Sustainability
Practice
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INTRODUCTION
Over the past few decades, sustainability has risen to prominence as a critical concern
in the food and beverage (F&B) industry. According to the Food and Agriculture
Organization of the United Nations (FAO) in 2021, the global F&B industry is responsible
for approximately 30% of all greenhouse gas emissions. This alarming statistic
underscores the urgent need for sustainable practices in the industry to secure its long-
term viability. These practices are essential not only for reducing the industry's
environmental impact but also for preserving valuable resources and upholding
principles of social responsibility. An important trend in the F&B sector is the widespread
adoption of renewable energy sources, like solar power, to reduce the carbon footprint
of production processes. Additionally, companies are investing in energy-efficient
equipment to reduce their reliance on fossil fuels. Beyond the environmental benefits,
these initiatives often lead to economic advantages through lower energy costs and an
improved public image, demonstrating the company's dedication to sustainability (Yee et
al., 2020).
According to research by ESG consultants of EcoVadis in 2021, the F&B industry has
an overall sustainability score of 48.9. This places it slightly behind the Construction
sector (49.4) and the Finance, Legal, and Consulting sector (51.0). It is worth noting that
the F&B industry excels in addressing environmental concerns and has significantly
enhanced its ethical standing. These sustainability efforts align closely with the goals of
the United Nations' Sustainable Development Goals (SDGs), particularly SDG 3
(Ensuring Healthy Lives and Promoting Well-being for All at All Ages) and SDG 12
(Ensuring Sustainable Consumption and Production Patterns). SDG 3 emphasizes the
importance of the well-being of humans, animals, plants, and the environment,
underscoring the necessity of sustainable food production. In contrast, SDG 12 highlights
the critical role of fostering sustainable production, reducing food losses, and curbing
waste. Business leaders in the F&B sector are increasingly recognizing the importance
of environmental sustainability. A significant 55% of F&B industry leaders express a
heightened commitment to investing in environmental sustainability. Companies are
directing their research and development efforts toward agricultural technology solutions
to create more sustainable processes and products, aligning with the broader global shift
toward sustainable agriculture.
One of the primary drivers of change is the growing consumer awareness and demand
for sustainability in the F&B industry. Consumers are becoming more conscious of
sustainability practices and are adjusting their purchasing behavior accordingly. They
consider how products meet their needs while also evaluating their broader impact on
the environment and society. Through the implementation of sustainable practices,
companies can gain a competitive advantage and increase sales by offering products
with a clear sustainability distinction. Despite these positive strides, there are areas
where the F&B industry still needs to make significant improvements. Governments,
stakeholders, investors, and consumers are collectively pressuring companies to
expedite their sustainability transformations. This concerted effort is crucial for driving
meaningful change across the industry. Existing research consistently emphasizes the
pivotal role of sustainability in enhancing the long-term environmental, social, and
economic performance of the F&B industry, as highlighted by Bui et al. in 2022. Notably,
the global organic food market is projected to experience substantial growth, with
estimated revenues expected to reach $484.0 billion from 2022 to 2030, a significant
increase from $168.5 billion in 2021, indicating a healthy Compound Annual Growth Rate
(CAGR) of 11.77%, according to Research Dive in 2022.
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It is important to acknowledge that not all countries’ F&B industries increased their
sustainability investments, particularly during the height of the global pandemic. Given
the multifaceted nature of these dynamics, this research aims to gather insights from the
public. Specifically, the researchers seek to evaluate and compare sustainable practices
within the F&B industry across three diverse countries: Malaysia, India, and Indonesia.
This study will investigate the impact of various factors, including consumer awareness,
attitudes, government policies, social media, and consumer demand, on the
implementation of sustainable practices. Ultimately, this research aims to contribute to a
deeper understanding of the factors influencing sustainability in the F&B sector and the
unique challenges and opportunities that different countries face within this dynamic
industry.
LITERATURE REVIEW
Sustainability has risen to prominence as a central issue within F&B industry. Companies
operating in this sector have increasingly come to appreciate the imperative of
minimizing their environmental impact, championing social responsibility, and
safeguarding their long-term economic sustainability. As sustainability continues to gain
traction, it has become imperative to conduct an in-depth exploration of the existing body
of research pertaining to sustainability in the F&B industry. This literature review aims to
provide a comprehensive overview, shedding light on the key themes and insights that
underpin sustainable practices in this dynamic and vital sector. With the global
recognition of climate change and its attendant challenges, the F&B industry has found
itself under scrutiny for its contributions to environmental degradation. Notably, this
sector has been identified as a significant contributor to greenhouse gas emissions,
deforestation, and water resource depletion. In response, F&B companies are
increasingly acknowledging their role in these issues and are actively seeking ways to
reduce their environmental footprint. This literature review will delve into the multifaceted
approaches and strategies employed by F&B companies to mitigate their environmental
impact.
Moreover, the concept of social responsibility has gained immense traction within the
F&B industry. Stakeholders, including consumers, investors, and regulatory bodies, are
demanding greater transparency and accountability from F&B companies in areas such
as labor practices, ethical sourcing, and community engagement. Consequently, this
review will explore how F&B companies are integrating social responsibility into their
operations, supply chains, and corporate cultures, highlighting the significance of
responsible business practices. Additionally, the sustainability agenda in the F&B sector
extends beyond ethical considerations to encompass economic viability. Companies are
recognizing that embracing sustainability is not merely a matter of conscience but is also
intrinsically tied to their long-term financial success. The literature review will examine
how sustainability initiatives can yield cost savings, enhance brand reputation, and drive
innovation, all of which contribute to economic sustainability.
As this review synthesizes existing research, it will underscore the critical role of
sustainability in shaping the F&B industry’s future. Sustainability is no longer viewed as
a niche concern but as a fundamental pillar that underpins the industry’s ability to thrive
in an increasingly complex and interconnected global landscape.
Awareness and Knowledge

The importance of awareness and knowledge regarding sustainability practices is of
utmost significance when it comes to maintaining sustainability in the food and beverage
industry. A deep understanding of how business operations impact the environment,
society, and the economy is essential for effectively managing sustainability efforts.
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Empirical research consistently highlights the critical role of raising awareness among
businesses as a fundamental step towards achieving sustainability goals. For instance,
a study conducted by Gössling and Hall (2021) revealed that increased awareness of
sustainability issues led to a substantial uptick in the adoption of sustainable practices
within the food and beverage industry.
Furthermore, knowledge plays an equally vital role in the successful execution of

sustainable practices. Research carried out by Rodriguez and associates in 2019
stressed the importance of sharing knowledge among various stakeholders in the
industry to nurture and advance sustainability initiatives. This underscores the
interconnection between knowledge and taking action when it comes to sustainability.
Nonetheless, despite the growing recognition of sustainability, significant challenges
persist within the industry. One such challenge is the inherent complexity of sustainability
itself, which encompasses numerous interconnected facets. Grasping and effectively
prioritizing these multifaceted aspects can be a formidable undertaking for businesses,
as observed by Bansal in 2005. The intricate nature of sustainability necessitates a
comprehensive approach that takes into account its environmental, social, and economic
dimensions.
Additionally, the implementation of sustainable practices often entails significant financial

investments. Businesses are required to allocate resources towards acquiring
sustainable technologies, providing employee training, and enhancing infrastructure.
This financial constraint poses a substantial hurdle, particularly for small and medium-
sized enterprises (SMEs) operating within the industry, as highlighted by Russo and
Fouts in 1997. SMEs often face resource limitations that can hinder their ability to adopt
and integrate sustainability practices effectively. To overcome these challenges and
augment awareness and knowledge within the food and beverage industry, businesses
can employ a range of strategies. One effective approach is to establish and provide
employee training programs focused on sustainability issues. These programs not only
raise awareness but also equip the workforce with the knowledge and skills needed to
actively contribute to sustainability efforts.
Furthermore, collaboration with other businesses and organizations is a valuable avenue

for knowledge exchange and capacity building. By sharing knowledge and best
practices, businesses can accelerate their sustainability initiatives and promote collective
learning, as indicated by Linnenluecke and Griffiths in 2010. Collaborative efforts can
help businesses navigate the complex landscape of sustainability more effectively.
Government involvement also plays a pivotal role in enhancing awareness and
knowledge within the industry. Governments can incentivize sustainability practices
through financial mechanisms and regulatory frameworks, encouraging businesses to
proactively engage in sustainable endeavors. Research by Brammer and Walker in 2011
suggests that government interventions, such as subsidies and environmental
regulations, can serve as catalysts for raising awareness and driving knowledge
dissemination in the pursuit of sustainability goals.
Attitude
Attitudes toward sustainability within the F&B industry play a pivotal role in guiding
decision-making processes and influencing behaviors towards adopting sustainable
practices. Extensive research has consistently demonstrated that individuals and
organizations with positive attitudes towards sustainability are more inclined to embrace
and implement sustainable practices within the industry, as exemplified by a study
conducted by Paillé, Chen, Boiral, and Jin in 2014. These attitudes are molded by a
multitude of factors, including individual values, the prevailing organizational culture, and
external influences. For instance, research carried out by Vermeir and Verbeke in 2006
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has illuminated the profound impact of personal values on consumers' attitudes

regarding sustainable food choices. Individual values serve as a compass, steering
consumers, and industry professionals alike towards sustainability as they align their
personal beliefs with actions that promote ecological, social, and economic well-being
(Laksmidewi, 2022).
Furthermore, organizational culture within F&B businesses has emerged as a significant

factor in shaping attitudes and behaviors towards sustainability. A study by Linnenluecke
and Griffiths in 2010 underscored the influential role of a supportive organizational
culture in cultivating positive attitudes towards sustainability. When businesses foster a
culture that values and prioritizes sustainability, employees are more likely to develop
favorable attitudes and, subsequently, engage in practices that contribute to
sustainability goals. Beyond the confines of individual values and organizational culture,
external influences exert considerable sway over attitudes within the F&B industry. Media
coverage and public discourse on sustainability-related issues, for instance, can
significantly impact how industry stakeholders perceive and respond to sustainability
challenges. Research by Verain, Sijtsema, Davegos, and Antonides in 2017
demonstrated that exposure to sustainability-related topics in the media can foster
positive attitudes and intentions among consumers to support sustainable food and
beverage businesses.
In light of these findings, it is imperative for F&B businesses to actively cultivate and
nurture positive attitudes toward sustainability among their employees. One effective
approach, as highlighted by research from De Roeck and Maon in 2018, is to incorporate
sustainability into employee training and development programs. By integrating
sustainability principles into training initiatives, businesses can not only impart essential
knowledge but also shape attitudes, ultimately promoting a culture of sustainability within
the industry.
Other Factors
Environmental sustainability is a significant concern for the food and beverage sector.
Research by Vermeulen, Campbell, and Ingram (2012) and Poore and Nemecek (2018)
highlight the industry's significant impact on water consumption, land degradation,
greenhouse gas emissions, and biodiversity loss. Studies emphasize the need for
sustainable sourcing practices, reducing waste, adopting renewable energy sources,
and implementing efficient supply chain management to mitigate environmental impacts.
Secondly, responsible sourcing and supply chain management are also essential to the
sustainability of the food and beverage industry. Studies by Seuring and Müller (2008)
highlights the need for transparent and ethical supply chains, including fair trade
practices, responsible procurement, and traceability of ingredients. Collaboration among
stakeholders, such as farmers, suppliers, and retailers, ensures sustainable sourcing,
reduces negative social and environmental impacts, and promotes practices contributing
to the planet's long-term well-being.
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Social responsibility and consumer engagement significantly promote food and beverage
sector sustainability. Studies by Verain, Sijtsema, Davegos, and Antonides (2017) and
SehgaI et al. (2020) highlight the importance of corporate social responsibility initiatives,
ethical labour practices, community engagement, and consumer education. Engaging
consumers through sustainable product labelling, transparent information sharing, and
responsible marketing practices can drive demand for sustainable food choices and
foster positive societal change. Not only that, minimizing food waste and promoting a
circular economy are key sustainability considerations in the food and beverage industry.
Research by Parfitt et al. (2010) emphasizes efficient production and distribution
systems, innovative packaging solutions, and effective waste management practices.
Adopting food waste prevention, surplus redistribution, and recycling strategies can
reduce environmental burdens and create a more sustainable food system.
While environmental and social aspects have received significant attention, this literature
review focuses on the economic sustainability factors in the food and beverage sector.
This review aims to provide insights into the economic implications of sustainable
practices, their impact on business performance, and the role of economic factors in
driving sustainability in this industry. Firstly, according to Niero and Rivera (2018),
sustainable production practices in the food and beverage industry can lead to cost
savings through resource optimization, such as energy and water usage reduction. For
example, adopting energy-saving technologies, such as advanced refrigeration systems
or process optimization, can significantly reduce operational costs and improve overall
profitability. Next, certifications, such as organic, fair trade, and sustainable sourcing,
provide credibility and value differentiation in the marketplace. Studies indicate that
obtaining relevant certifications impacts business performance, increasing market share
and allowing businesses to command premium prices. Aertsens, Verbeke, Mondelaers,
and Huylenbroeck (2009) state that certifications, such as organic or sustainable
sourcing, positively impact consumer perception, allowing businesses to differentiate
their products and command premium prices.
Sustainability Practices
Implementing sustainable practices in the food and beverage industry’s supply chain is
essential for maintaining sustainability. This involves responsible sourcing of ingredients,
reducing emissions from transportation, and promoting ethical labor practices. Research
conducted by González-Torre and Coque in 2016 emphasized the significance of
sustainable supply chain management in the agri-food sector. Additionally, effective
waste management and recycling practices play a crucial role in sustaining the food and
beverage industry's environmental responsibilities. Reducing food waste, encouraging
composting, recycling, and minimizing packaging waste can substantially mitigate
environmental impacts. A study by Lorenz and Langen in 2017 underscored the
importance of waste reduction strategies within the food sector.
Efforts to conserve energy and water resources are also vital for upholding sustainability
in the food and beverage industry. This entails optimizing energy consumption, investing
in energy-efficient technologies, and implementing water-saving practices. Research
conducted by Kini, Shenoy, and Subramaniam in 2017 highlighted the significance of
energy and water management practices in the food sector. Furthermore, adopting
sustainable packaging practices is a critical component of sustainability in the food and
beverage industry. This includes the use of eco-friendly materials, reduction of packaging
waste, and the promotion of recyclability. A study by Ong, Kaur, Pensupa, Uisan, and
Lin in 2018 emphasized the importance of sustainable packaging development in the
food processing industry.
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The research by Chen, Sujanto, Bui, and Tseng (2022) explores the utilization of
sustainable recycled packaging in the Indonesian food and beverage sector. It employs
a hybrid decision-making analysis to evaluate various consumption stages, including
production, distribution, retail, and post-consumption. The article starts by underlining
the growing importance of sustainable packaging practices and defines the concepts of
sustainable packaging and the use of recyclate materials. It highlights the environmental
benefits of sustainable recyclate packaging, including waste reduction and resource
conservation.
In summary, this review of literature and the examined studies provide valuable insights
into the diverse aspects of sustainability in the food and beverage industry. It emphasizes
the necessity for holistic approaches that encompass environmental, social, and
economic dimensions to drive sustainable practices and cultivate a more resilient and
socially responsible food system. Figure 1 illustrates our research model, and we have
formulated three hypotheses as follows:
Figure 1. Research Model
H1: Awareness and knowledge are significantly related to the sustainability practices in
the food and beverage industry.
H2: Attitude is significantly related to sustainability practices in the food and beverage
industry.
H3: Other factors, including environmental, social, and economic, are significantly
related to sustainability practices in the food and beverage industry.
RESEARCH METHOD
Sample and Procedure

Data and information regarding the research topic “Sustainability in the Food and
Beverage Industry: A Comparative Study of Malaysia, India, and Indonesia” were
gathered via an online questionnaire administered through Google Forms. The survey
was meticulously crafted and disseminated across various social media platforms such
as WhatsApp, Telegram, Instagram, and Facebook, with the intention of collecting
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insights from participants. The survey methodology employed a straightforward random

sampling approach, with the aim of securing responses from 150 individuals representing
Malaysia, India, and Indonesia. Participants were requested to express their viewpoints
using a 5-point Likert scale, spanning from 1 (Strongly Disagree) to 5 (Strongly Agree).
This internet-based survey encompassed six distinct sections, denoted as Sections A

through F. Section A centered on capturing demographic information from the
respondents, encompassing variables such as gender, age, country of residence,
educational background, employment status, and annual income. Section B focused on
assessing respondents' knowledge and awareness of sustainability practices, featuring
five items designed to gauge their understanding and awareness of sustainable practices
and their importance. For example, one item in this section assessed whether
respondents were conscious of the environmental and social impacts of food and
beverage production and consumption.
Section C delved into respondents' attitudes towards sustainability in the food and
beverage industry, presenting five items to measure their agreement levels regarding the
environmental, social, and economic impact of the industry. An example statement in
this section gauged respondents' concern about the economic impact of the food and
beverage industry. Section D explored the comparative aspect of sustainability practices
in the food and beverage industry across Malaysia, India, and Indonesia. It included five
items designed to assess respondents' agreement levels regarding the promotion of
sustainable practices in these countries' F&B industries. For instance, one item assessed
whether respondents believed that the food and beverage industry in these countries
should do more to promote sustainability. Section E addressed other factors influencing
sustainability practices in the F&B industry and featured three items measuring
respondents' agreement levels regarding the roles of various stakeholders in promoting
sustainable practices, such as government policies and regulations. This research also
incorporated secondary data from academic journals, papers, and online sources to
complement the survey findings.
Measures
The researchers evaluated a total of 24 statements, including expressions like “The
environmental impact of the food and beverage industry is a concern for me”, “The social
impact of the food and beverage industry is a concern for me”, “The economic impact of
the food and beverage industry is a concern for me”. Additionally, the researchers
assessed perceptions such as “In my opinion, Malaysia is doing a good job in promoting
sustainable practices in the food and beverage industry”, “In my opinion, India is doing a
good job in promoting sustainable practices in the food and beverage industry”, “In my
opinion, Indonesia is doing a good job in promoting sustainable practices in the food and
beverage industry”. These evaluations aimed to examine consumers’ attitudes,
behaviors, knowledge, and awareness regarding sustainability practices in the various
countries under investigation. All of these statements were structured using a
questionnaire format with a 5-point Likert scale, ranging from one (Strongly disagree) to
five (Strongly agree). In this analysis, the sustainability practices are the dependent
variable while the consumers’ awareness and knowledge, consumers’ attitudes and
other factors are the independent variables.
RESULTS
Over half of the respondents (86.7%) were between the ages of 18 and 24. Women
made up majority of respondents (86.7%). The three ASEAN nations that were selected
— Malaysia, India, and Indonesia — accounted for 33.3% of the respondent's nationality
from each country. The average responder had a bachelor's degree, making up 74.7%
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of the total respondents. Majority of respondents (66.7%) are jobless since the author
considered students as being under the “unemployed” employment group, and 77.3%
reported having an annual income of less than RM25,000. The demographics of the
summarized respondents are shown in Table 1.
Table 1. Summary of Respondent’s Demography (N=150)
Frequency Percentage (%)

Gender
Male 92 61.3
Female 58 38.7
Age
18 - 24 years old 130 86.7
25 - 34 years old 12 8
35 - 44 years old 6 4
45 - 54 years old 2 1.3
55 years old and above 0 0
Country
Malaysia 50 33.3
India 50 33.3
Indonesia 50 33.3
Education Level
High school diploma or equivalent 19 12.7
Bachelor’s degree 112 74.7
Master’s degree 19 12.7
Doctorate degree 0 0
Employment Status
Full time 33 22
Part time 8 5.3
Self-employed 9 6
Unemployed 100 66.7
Annual Income
Less than RM25,000 116 77.3
RM25,000 - RM50,000 9 6
RM50,001 - RM100,000 10 6.7
RM100,001 - RM150,000 9 6
RM150,001 - RM200,000 4 2.7
RM200,001 or more 2 1.3
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A five-point Likert scale was used to classify each item in Table 2. The results indicate
that respondents are neither in agreement with nor opposed to the idea that Malaysia,
India, and Indonesia are doing a good job of promoting sustainable practices in the food
and beverage industry. This may be considering the respondents were unfamiliar with or
were unaware concerning how well all three countries have promoted sustainable
practices in their own nations. However, compared to India and Indonesia, where fewer
than a quarter of respondents agreed, Malaysia is doing a great job of promoting
sustainable practices in the F&B industry, according to a quarter of the respondents.
Majority of respondents were neutral—that is, neither in agreement nor disagreement—
about whether Malaysia's F&B sector sustainability procedures were more advanced
than those in India and Indonesia. Majority of respondents, however, strongly agree that
more needs to be done to encourage sustainable practices in the Malaysia, India, and
Indonesia food and beverage industries. This result allows us to evaluate and compare
how sustainable practices are being implemented in the F&B industry in Malaysia, India,
and Indonesia based on knowledge and awareness, attitude, and other factors. The
knowledge and awareness, attitude, other factors, and sustainable practices Cronbach's
coefficients alpha were 0.701, 0.887, 0.897, and 0.753, respectively.
Table 2. Cross-Tabulation between Country and Dependent Variable (Section D:

Sustainability practices in F&B industry in Malaysia, India, and Indonesia) for
Comparative Analysis
Malaysia is doing a good job in promoting sustainable practices in the F&B

industry.
1 2 3 4 5 Total
Malaysia 1 8 13 17 11 50
Country India 2 1 27 16 4 50
Indonesia 0 4 20 23 3 50
Total 3 13 60 56 18 150
India is doing a good job in promoting sustainable practices in the F&B industry.
Malaysia 4 5 24 12 5 50
Indonesia 1 6 24 18 1 50
Total 6 15 78 40 11 150
Indonesia is doing a good job in promoting sustainable practices in the F&B
industry.
Malaysia 2 7 26 10 5 50
Indonesia 1 4 19 23 3 50
Total 4 14 75 47 10 150
I believe that sustainability practices in the food and beverage industry are more
advanced in Malaysia than in India and Indonesia.
Malaysia 0 2 15 22 11 50
Indonesia 1 1 24 18 6 50
Total 2 5 60 52 31 150
I believe that the food and beverage industry in Malaysia, India, and Indonesia
should do more to promote sustainable practices.
Malaysia 0 1 11 18 20 50
Indonesia 0 2 10 13 25 50
Total 0 4 29 45 72 150
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Table 3. Descriptive Statistics, Cronbach’s Coefficients Alpha, and Zero-order

Correlations for All Study Variables
Variables 1 2 3 4
Knowledge and Awareness 0.701
Attitude 0.606** 0.887
Other Factors 0.444** 0.711** 0.897
Sustainability Practices 0.460* 0.561** 0.438** 0.753
Number of items 5 5 3 5
Mean 18.42 20.45 17.95 13.05
Standard Deviation 4.34 3.78 3.07 2.33
Note: N = 150; *p < 0.05, **p < 0.01, ***p < 0.001. The diagonal entries represent
Cronbach’s coefficient alpha.
Table 3 shows zero-order correlations between variables, descriptive statistics, and

reliability data. The Cronbach’s Alpha value, which was used to assess internal
consistency reliability of all the variables, shows that all four of the investigated variables
have internal consistency reliability that ranges between 0.70 and 0.90. The knowledge
and awareness of sustainability practices, attitudes toward sustainability in the F&B
industry, and other factors influencing sustainability practices in the F&B industry are the
three variables that affect sustainability practices in the F&B industry in Malaysia, India,
and Indonesia.
Table 4. Regression Analysis
Sustainability Practices in the F&B industry in Beta

Malaysia, India, and Indonesia
(R2 Change = 0.340)
Knowledge and Awareness 0.188
Attitude 0.393***
Other Factors 0.075
Note: N=100; *p < 0.05, **p < 0.01, ***p < 0.001.
As shown in Table 4, the independent variable will be knowledge and awareness of

sustainability practices, attitudes toward sustainability in the F&B industry, and other
factors influencing sustainability practices in the F&B industry. The dependent variable
will be sustainability practices in the F&B industry in Malaysia, India, and Indonesia. The
generated hypotheses were evaluated using regression analysis. The results showed a
favorable relationship between behavioral intention and attitudes toward sustainability in
the F&B business. Thus, H2 are proven. The R2 value was 0.340, which indicates that
the attitude toward sustainability in the F&B industry account for 34% of the variance in
sustainability practices. The dependent variable was most significantly impacted by
attitudes toward sustainability in the F&B industry, which had a beta value of 0.393. On
the other hand, knowledge and awareness of sustainability practices and other factors
towards sustainability practices have an insignificant impact on the industry of food and
beverage sustainability practices. H1 and H3 are thus not supported.
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Figure 2. Hypnotized Model
DISCUSSION
This research investigated the determinants affecting the uptake of sustainability

measures in the food and beverage sectors of Malaysia, India, and Indonesia, aligning
with the global emphasis on sustainability. The study findings reveal that among the three
variables examined, namely attitudes towards sustainability in the F&B industry, one of
them significantly influences the implementation of sustainability practices in these
countries' F&B industries.
Consumer perspectives regarding sustainability practices play a pivotal role in propelling

the adoption of such practices within the food and beverage (F&B) sectors of Malaysia,
India, and Indonesia. Consumer viewpoints concerning sustainability and organic
products have a positive impact on their inclination to purchase such items. Consumers
who hold favorable attitudes toward sustainability are more inclined to support
sustainable practices within the F&B industry (Hughner, McDonagh, Prothero, Shultz, &
Stanton, 2007). They seek and prefer products that are environmentally friendly and
socially responsible. These attitudes influence their decision to support sustainable
practices in the F&B industry (Grunert, Hieke, & Wills, 2014). The industry's decision to
adopt and implement sustainability initiatives is directly influenced by consumers'
attitudes as they become more aware of environmental issues and the significance of
sustainable practices. Customers also create a demand for sustainable goods and
services by actively supporting them, which forces businesses to alter their methods.
People are increasingly looking for goods and services that align with their values,
particularly those that are related to social responsibility and protecting the environment.
Thus, F&B organizations are perceiving the need to integrate sustainability practices into
their tasks to draw in and hold clients. consumer attitudes towards sustainability
significantly impact their willingness to pay for eco-labeled products. Consumers who
value sustainability are more likely to create demand for sustainable goods and services.
Aligning with consumer preferences and fulfilling their expectations for environmentally
friendly practices can significantly benefit the F&B industry. By embracing sustainability
initiatives, companies can enhance their brand image, attract more consumers, and
ultimately expand their market share. When companies engage in socially responsible
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practices, including environmental initiatives, consumers develop a positive perception

of the brand (Sen and Bhattacharya, 2001). Businesses in the food and beverage
industry are seen as socially and environmentally conscious when they support fair trade,
cut down on waste, or reduce carbon emissions. Customers are drawn to and trust this
positive brand image, which results in increased customer loyalty and result in repeat
business. They can make profit from the expanding market of environmentally conscious
customers who place a high value on sustainability when making purchases. consumers
have positive attitudes towards fast food chains that engage in environmentally friendly
practices, such as using sustainable packaging or supporting local farmers. These
practices enhance the brand image and can attract more consumers to the F&B industry.
Not only that, consumer attitudes towards sustainability significantly influence their
willingness to pay a premium for sustainable products. Products and services that are
environmentally friendly, ethically sourced, and supportive of local communities
command a premium price from them. In order to remain competitive and satisfy
customer demands, food and beverage businesses are realizing the importance of
incorporating sustainability into their business models. Businesses can use consumer
attitudes and preferences as useful indicators to develop sustainable products that
appeal to their intended customers.
Moreover, governments all over the planet are progressively perceiving the significance
of maintainable practices in the F&B industry. As buyers’ mentality keeps on moving
towards sustainability, governments are turning out to be more disposed to layout
guidelines that both energize and authorize these practices. Government regulations and
policies can play a crucial role in shaping CSR practices, including sustainability
initiatives. Governments assume a pivotal part in driving changes, as they have the ability
to shape strategies that incentivize organizations to carry on sustainable practices.
Additionally, by upholding guidelines and checking consistency, governments can
guarantee that the F&B business works in a naturally and socially responsible manner.
As consumers increasingly demand transparency and accountability from businesses,
governments are stepping up to create an enabling environment for sustainable practices
in the F&B industry. Public pressure and societal expectations, driven by consumer
attitudes towards sustainability, influence government actions in enforcing environmental
regulations.
CONCLUSION
The sustainability practices in the food and beverage (F&B) industry between Malaysia,
India, and Indonesia is crucial due to the growing environmental, social, and economic
impact in recent years. To conclude, this study examines different countries’
sustainability practices based on 3 key variables which are consumers’ awareness and
knowledge, consumers’ attitudes, and other factors. Our research is to make a deeper
study on sustainability and how it is affecting the food and beverages industry of
Malaysia, India, and Indonesia. This study finds out that the consumers’ attitudes will
strongly influence sustainable practices in the F&B industry across countries. When the
consumers’ awareness and knowledge of sustainable practices like eco-friendly
packaging, organic farming or carbon footprint raises, the demand for sustainable
products will rise as the consumers’ purchasing preferences have shifted to support more
organic food options. Consumers with positive attitudes towards sustainability prefer to
support F&B companies that align with their values in adopting eco-friendly practices.
Moreover, this study allows the scholars to understand other factors contributing to the
implementation of sustainability practices across countries, that are government policies
and regulations, social media, and consumer demand. These factors play a significant
role to drive the overall sustainability in the F&B industry positively, together with
encouraging all F&B companies and consumers to adhere to sustainable practices.
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In addition to exploring sustainability in the F&B industry, the respondents also provided
insights into potential approaches and responses. The implications of sustainability
within the food and beverage industry are profound and can exert broad-ranging effects
on the environment, economy, and society. A comparative analysis involving Malaysia,
India, and Indonesia can offer valuable insights into the particular challenges and
opportunities that each country encounters when striving to implement sustainable
practices in this industry.
Drawing from this research findings from respondents, the researchers have identified
key strategies to discern which ones hold the most promise. For instance, participants
expressed a willingness to pay a premium for food and beverage products produced in
an environmentally responsible manner, reflecting a heightened awareness of
environmental impacts. The food and beverage industry carries a substantial
environmental burden, including aspects like greenhouse gas emissions, water
consumption, and waste generation. Embracing sustainable practices can mitigate these
impacts by advocating efficient resource utilization, adopting renewable energy sources,
and instituting waste management approaches like recycling and composting.
According to this research, government policy inactivity plays a key role in supporting
sustainable practices in the food and beverage industry. Countries including India,
Indonesia, and Malaysia should exercise greater care and plan for target reduction
targets, as well as accompanying mitigation and adaptation initiatives. These include the
abolition of bottled water and the promotion of locally grown, sustainable foods. However,
the government should enforce the conservation of natural resources that allows
sustainable practices in the food and beverage industry that involve the responsible use
of natural resources such as land, water, and biodiversity. This includes adopting
sustainable agricultural practices, protecting ecosystems, and promoting biodiversity
conservation. Hence, a broad partnership of governments and industry can work
together to remove consumer perception barriers and provide education and
communications that will assist consumers in identifying and adopting sustainability.
Increased investment and demand for sustainable advertising needs research on how to
better encourage citizens to promote sustainable practices in the food and beverage
industry. Because social media usage is quickly rising in current technology,
approximately 56.7% of respondents strongly agreed that social media do play a
significant role. The consumer demand and preferences increase as consumers are
seeking sustainable and ethically produced food and beverages. Meeting these
demands can provide a competitive advantage for businesses and create opportunities
for market expansion. Understanding consumer preferences and incorporating
sustainable practices can enhance brand reputation and customer loyalty. Furthermore,
social media can publicize the benefits and drawbacks of acquiring such behaviors,
raising awareness among individuals. Such ads may aid in the interpretation of brand
messages and the development of a sustainable community.
However, it is important to note that each country has its unique challenges and
opportunities when it comes to implementing sustainability in the food and beverage
industry. In Malaysia, issues which are faced by society related to deforestation, land
degradation, and water scarcity. The palm oil industry, a major player in Malaysia, has
faced criticism for its environmental impact. Implementing sustainable practices, such as
sustainable palm oil production and supporting small-scale farmers, can be key areas of
focus.
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Subsequently, India has a diverse agricultural sector and faces challenges such as water
scarcity, soil degradation, and the need for improved food safety standards. Encouraging
organic farming, promoting efficient irrigation methods, and enhancing supply chain
infrastructure can help improve sustainability in the food and beverage industry. Lastly,
Indonesia is known for its vast agricultural resources, but it also faces deforestation,
biodiversity loss, and environmental degradation. Addressing issues related to palm oil
production, responsible land use, and forest conservation can be crucial for promoting
sustainability in the industry.
Overall, a comparative study of Malaysia, India, and Indonesia in the context of

sustainability in the food and beverage industry can provide insights into the specific
challenges and opportunities each country faces and help identify strategies for fostering
sustainability in this important sector. F&B industry is actively embracing other changes
that affect sustainability. As a result, food consumption is anticipated to rise by 59% to
98% by 2050 because populations are growing and incomes are rising, demand for meat
and other high-quality proteins is increasing, and consumers are becoming more aware
of food security and the threat that climate change poses. People are aiming to eat
sustainably by incorporating plate sizes and food waste awareness, as well as meals
planned to have a smaller environmental impact.
However, several limitations can be found in the research. First, this research
questionnaire is mainly disseminated among university students, so more than half of
the respondents are current university students, who may not truly understand
sustainable practices and this limits the generalizability in research. Secondly, we have
limited access to information, especially on the factors that affect sustainable practices
adopted by Malaysia, India, and Indonesia. Therefore, future studies should address
similar research in different research settings. Future researchers are suggested to
include additional variables, such as conducting interviews with sustainability
professionals, consultants or leaders in Malaysia, India, or Indonesia to collect more
information, improve results and use our findings as a foundation for examining
consumers' perceptions.
ACKNOWLEDGEMENT
N/A
DECLARATION OF CONFLICTING INTERESTS

The authors declare that there is no conflict of interest.
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International Journal of Tourism & Hospitality in Asia Pasific (IJTHAP) Vol. 6 No.

3, pp. 1-17, October, 2023

Sustainability in the Food and Beverage Industry: A

Publication information ABSTRACT

Research article This study presents a comparative study on

Awareness and Knowledge

Furthermore, knowledge plays an equally vital role in the successful execution of

Additionally, the implementation of sustainable practices often entails significant financial

Furthermore, collaboration with other businesses and organizations is a valuable avenue

has illuminated the profound impact of personal values on consumers' attitudes

Furthermore, organizational culture within F&B businesses has emerged as a significant

Figure 1. Research Model

Sample and Procedure

insights from participants. The survey methodology employed a straightforward random

This internet-based survey encompassed six distinct sections, denoted as Sections A

Table 1. Summary of Respondent’s Demography (N=150)

Frequency Percentage (%)

Table 2. Cross-Tabulation between Country and Dependent Variable (Section D:

Malaysia is doing a good job in promoting sustainable practices in the F&B

Table 3. Descriptive Statistics, Cronbach’s Coefficients Alpha, and Zero-order

Table 3 shows zero-order correlations between variables, descriptive statistics, and

Table 4. Regression Analysis

Sustainability Practices in the F&B industry in Beta

As shown in Table 4, the independent variable will be knowledge and awareness of

Figure 2. Hypnotized Model

This research investigated the determinants affecting the uptake of sustainability

Consumer perspectives regarding sustainability practices play a pivotal role in propelling

practices, including environmental initiatives, consumers develop a positive perception

Overall, a comparative study of Malaysia, India, and Indonesia in the context of

DECLARATION OF CONFLICTING INTERESTS

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