VIETNAM GENERAL CONFEDERATION OF LABOUR TON DUC THANG UNIVERSITY FACULTY OF SOCIAL SCIENCES AND HUMANITIES DAI HOC TON ĐỨC THANG TON DUC THANG UNIVERSITY FULL NAME The Impact of Cor
Trang 1VIETNAM GENERAL CONFEDERATION OF LABOUR
TON DUC THANG UNIVERSITY FACULTY OF SOCIAL SCIENCES AND HUMANITIES
DAI HOC TON ĐỨC THANG
TON DUC THANG UNIVERSITY
FULL NAME
The Impact of Corporate Social Responsibility (CSR) in Tourism on Tourists' Attitudes: A Case Study in Da
Lat City UNDERGRADUATE REPORT OF
VIETNAMESE STUDIES
MAJOR IN TOURISM AND TOURISM MANAGEMENT
HO CHI MINH CITY, 2023 VIETNAM GENERAL CONFE DERATION OF LABOUR
TON DUC THANG UNIVERSITY FACULTY OF SOCIAL SCIENCES AND HUMANITIES
Trang 2ĐẠI HỌC TÔN ĐỨC THẮNG
TON DUC THANG UNIVERSITY
FULL NAME - STUDENT ID
TILLE
UNDERGRADUATE REPORT OF VIETNAMESE STUDIES
MAJOR IN TOURISM AND TOURISM MANAGEMENT
Advised by PhD Nguyen Van A
HO CHI MINH CITY, 2023
Trang 3ACKNOWLEDGMENT
1 would like to thank the following people, without whom I would not have been able to complete this report, and without whom I would not have made it through
my undergraduate degree!
First and foremost, I have to thank my research supervisors, PhD Nguyen Van
A Without his assistance and dedicated involvement in every step throughout the process, this paper would have never been accomplished I would like to thank you very much for your support and understanding over these past two months
I would also like to show my gratitude to Ton Duc Thang University, the Faculty of Social Sciences and Humanities, and Department of Vietnamese Studies for letting me to be part of this incredible research and all the considerate guidance Besides, many thanks to all participants that took part in the study and enabled this research to be possible
To conclude, I cannot forget to thank my parents for all the unconditional support in this very intense academic year This dissertation stands as a testament
to your unconditional love and encouragement
Ho Chi Minh City, Nov, 2023
Author
Full name
This report was carried out at Ton Duc Thang University
Advisor: PhD Nguyen Van A
This report is defended at the Undergraduate Report Examination Committee held at Ton Duc Thang University on /11/2023
Confirmation of the Chairman of the Undergraduate Report Examination Committee and the Dean of the faculty after recerving the modified report Gf any)
Trang 4CHAIRMAN DEAN OF FACULTY
acknowledged in the reference part
In addition, other comments, reviews and data used by other authors, and organizations have been acknowledged, and explicitly cited
I will take full responsibility for any fraud detected in my report Ton Duc Thang University is unrelated to any copyright infringement caused by my work (if any)
Ho Chi Minh City, Nov, 2023
Author
Trang 5Full name
TITLE ABSTRACT
Keywords:
Trang 7CONTENTS LIST OE FIGUIRES - cm HH n0 na ni B009 00 01988 LIST OE TABLES -. -c co HH In BI BI ni n0 00 0i 00% LIST OE ABBREVIATIONS -.- co ng ni ni ni BI ni ni ni min 96
Trang 88.2 Practical contributiOm - c2 112111211111 11531 1111111951111 1 119051111 1500111111111 cv
9, Research Framework
10 The Structure of Study
;19090)090 100553 .ằ CHAPTER 1 THEORETICAL BACKGROUND o sec see CHAPTER 2 RESULIT . - 5c 25c cm ng mm mm mm n mm vip CHAPTER 3 IMPLICATIONS - on mm n mm nu ni mm CONCLUSION
REFERENCES
APPENDIX
LIST OF FIGURES
Figure 1.1:
Trang 9
LIST OF TABLES
Table 1.1:
Trang 10
LIST OF ABBREVIATIONS
HCMC Ho Chi Minh City
Trang 11
A.INTRODUCTION
1 Research Background and Motivation
Ld Research Background and Significance:
In the modern era, tourism is not only an economic sector but also positively contributes to culture, the environment, and societal development However, the
rapid growth of the tourism industry also presents various challenges related to
environmental protection, preservation of local culture, and ensuring the benefits of the local community Corporate Social Responsibility (CSR) in the tourism industry has emerged as a response to some of these challenges CSR focuses not only on
profit but also on ensuring the sustainability of the tourism industry for the future Studying the impact of CSR on tourists’ attitudes and decisions is becoming an essential research area Dalat, a popular tourist destination in Vietnam, has
witnessed active participation by tourism businesses in implementing CSR
However, there is still a limited amount of serious research on how CSR affects the attitudes and decisions of tourists in Dalat Therefore, this study will focus on
analyzing the influence of CSR on the travel decisions and attitudes of tourists in
Dalat
A deeper understanding of the impact of CSR on tourists' attitudes and decisions can help tourism businesses in Dalat adjust and improve their CSR strategies
Furthermore, this research can contribute valuable knowledge to the field of
sustainable tourism and the promotion of CSR in the tourism industry not only in
Dalat but also globally
This study holds several key significances within the context of Corporate Social Responsibility (CSR) in the tourism industry, specifically in the case of Dalat:
Contributing to the Existing Literature: By exploring the impact of CSR on tourists’ attitudes and behaviors in Dalat, this research will contribute to filling the gap in the current literature It will provide valuable insights into how CSR
practices influence tourists’ choices and decision-making processes
Practical Implications for Businesses: The findings of this study can offer practical guidance for tourism businesses operating in Dalat It can help them
understand the importance of CSR in shaping tourists' perceptions and preferences, enabling them to develop more effective CSR strategies
Enhancing Destination Competitiveness: Dalat, like many other tourist destinations, faces competition Understanding the role of CSR in attracting and
retaining tourists can help Dalat enhance its competitiveness as a sustainable and
responsible tourism destination
Policy Implications: The research can inform local policymakers and tourism authorities in Dalat about the significance of promoting CSR initiatives among
tourism businesses This can lead to the development of supportive policies that
encourage responsible practices within the industry
Tourist Education: Findings from this study can also be used for educating
Trang 12tourists about the importance of responsible tourism It can promote a greater
awareness among tourists, leading to more responsible and ethical travel behaviors Foundation for Future Research: This study can serve as a foundation for future research on CSR in Dalat and similar tourist destinations Researchers can build
upon the findings and delve into more specific aspects of CSR and its impact on
tourism
Sustainable Development: In the broader context of sustainable development, this research can highlight the role of responsible business practices in preserving the natural and cultural heritage of Dalat It aligns with global efforts to promote
sustainable tourism
1.2, Research Gap While there have been several studies on the role of Corporate Social Responsibility (CSR) in the tourism industry, in Dalat and other tourist destinations, there are some limitations and gaps in the current literature Specifically, here are
the research gaps:
Tourists' Understanding of CSR: While many studies have focused on CSR from the perspective of tourism businesses, there is limited research on how tourists
perceive and evaluate CSR in their decision-making process when choosing a travel destination This gap calls for a detailed study on tourists' awareness and attitudes towards CSR
The Extent of CSR Impact: Although there is an awareness of the impact of CSR on tourists’ travel decisions, there is a need for specific research to measure the extent of CSR's influence on destination choices, tourism service selections, and
context of the tourism industry, CSR initiatives can encompass various dimensions, including environmental sustainability, community engagement, and ethical
business practices (Henderson, 2007)
The concept of Corporate Social Responsibility (CSR) is marked by a variety of definitions and terminologies, which can differ across various sectors The
European Commission, for instance, defines CSR as a concept that encompasses
three facets: economic, social, and environmental considerations This particular
definition draws on components of CSR derived from the framework of sustainable tourism development, a framework commonly employed in academic research (Van
Trang 13MarrewIJk, 2003; Fatma ct al., 2016) Within the tourism industry, the concept of CSR aligns well with the principles of sustainable tourism development, and at
times, these terms are used interchangeably (Chow & Chen, 2012)
On a broader scale, the concept of sustainable tourism development requires the harmonization of three core elements: economic development, social equity, and
environmental preservation (Drexhage & Murphy, 2010) CSR initiatives within the tourism sector are also closely associated with the responsible management of social and environmental resources, with a particular emphasis on endeavors aimed at
fostering sustainable development within local communities (Moneva et al., 2006)
In essence, a tourism business practicing CSR should strive to achieve the following objectives: (1) generate economic efficiency for the business, customers, and local communities by creating income opportunities and promoting workforce development; (2) uphold and nurture local cultural and social values; and (3)
embrace environmentally-conscious practices As a result, this study adopts the
European Commission's definition to scrutinize tourists' perceptions of CSR across its economic, social, and environmental dimensions
2.2 The Evolution of CSR in the Tourism Industry Over the years, the tourism industry has witnessed a transformation in its approach to CSR Initially, CSR in tourism primarily focused on philanthropic
activities, such as supporting local charities and conservation efforts (Mowforth & Munt, 2009) However, as the industry recognized its impact on the environment
and communities, CSR evolved to include practices that minimize negative
externalities, promote cultural preservation, and enhance the overall tourist
experience (Bramwell & Lane, 2011) This evolution reflects the growing
importance of CSR in shaping the industry's reputation and sustainability
2.3 The Impact of CSR on Tourist Attitudes and Behavior Several studies have explored the relationship between CSR initiatives in the tourism sector and tourist attitudes and behavior For instance, a study by (Kim & Han, 2017) found that tourists are more likely to choose destinations and businesses that demonstrate a commitment to CSR Moreover, CSR activities, such as
environmental conservation and community engagement, have been shown to
positively influence tourists’ perceptions of the destination and their willingness to engage in sustainable practices (Géssling et al., 2012)
2.4 Current Trends of CSR in Tourism Environmental sustainability has become a central theme of CSR In the tourism industry (Davies, 2017; Géssling et al., 2012) The growing importance of
preserving the natural environment has driven tourism businesses to improve their environmental stewardship Efforts include the use of energy-efficient practices,
optimizing production and consumption processes, as well as protecting precious
natural tourism areas (Cohen, 2015)
Trang 14Research by Géssling et al (2012) has shown that focusing on environmental sustainability has helped reduce greenhouse gas emissions in the tourism sector
Hotels and resorts are increasingly adopting green strategies and utilizing renewable energy sources to minimize their negative impact on the environment (Davies,
2017)
Community engagement is a vital component of CSR in the tourism industry (Dallen, 2016; Kim & Jamal, 2017) Tourism businesses today consider not only
their own benefits but also those of the local community Providing job
opportunities, training, and education for local residents has become an integral part
of their business model (Mowforth & Munt, 2015)
Studies indicate that investing in the local community not only generates social benefits but also helps businesses build strong relationships with the community,
enhance their reputation, and mitigate some of the negative impacts of tourism on the community (Kim & Jamal, 2017; Mowforth & Munt, 2015)
Tourist attitudes toward CSR in the tourism industry are also becoming increasingly significant Nowadays, many tourists choose tourism businesses that demonstrate vision and strong social values (Kozak et al., 2016) They show their support by booking hotels, tours, or purchasing products from these businesses
(Lozano, 2015)
In summary, current trends in CSR in the tourism industry are focused on environmental sustainability, community engagement, and tourist attitudes Tourism businesses are recognizing that implementing CSR not only creates social value but also enhances their image and reputation while fostering sustainable profitability in the long term
2.5 Economic Benefits of CSR in Tourism Several scholars have highlighted that tourism businesses engaging in CSR initiatives can gain a competitive advantage in the marketplace (Font et al., 2012;
Lee & Kang, 2015) CSR practices, such as environmentally sustainable operations
or community engagement, can differentiate a business from its competitors and
attract socially conscious consumers This heightened appeal can lead to increased market share and revenue
CSR activities in tourism contribute to the improvement of a business's brand reputation (Kim & Chua, 2015) Positive perceptions of a company's commitment
to social and environmental responsibility can enhance brand loyalty among
customers When travelers perceive a company as socially responsible, they are
more likely to return and become advocates, which can translate into repeat
business and word-of-mouth referrals, both of which have direct economic
implications
Implementing CSR practices in tourism can result in cost savings and operational efficiency (Font et al., 2012) For example, energy-efficient measures, waste reduction, and responsible resource management not only reduce a business's environmental footprint but also lower operational expenses Over time, these cost
Trang 15savings can positively impact a company's profitability
Tourism companies that are committed to CSR principles often find it easier to attract investments and form partnerships (Kim & Chua, 2015) Investors and
partners increasingly seek businesses with strong ethical and social responsibility
credentials These financial investments and collaborations can provide companies with the capital needed for expansion and innovation, fostering economic growth Engaging in CSR helps tourism businesses mitigate various risks, such as legal and reputational risks (Font et al., 2012) By proactively addressing social and
environmental concerns, companies can reduce the likelihood of costly legal actions
or damage to their brand reputation, which could adversely affect revenue
In destinations where multiple businesses embrace CSR, the economic benefits can extend to the destination as a whole (Lee & Kang, 2015) Sustainable tourism development, driven by CSR, can attract more tourists, create jobs, and stimulate
economic growth at the destination level
In conclusion, the economic benefits of CSR in tourism are evident through increased competitiveness, brand loyalty, cost savings, attraction of investments,
risk mitigation, and destination-level development Businesses that prioritize CSR not only contribute to the betterment of society and the environment but also reap tangible economic rewards, ultimately bolstering their financial sustainability and growth
2.6 Social and Cultural Impact of CSR in Tourism CSR in the tourism industry goes beyond economic benefits and significantly influences society and culture This literature review explores its social and cultural impact:
Social Engagement and Community Development: CSR initiatives, such as supporting local communities and preserving cultural heritage, strengthen bonds
between tourists, businesses, and host communities They lead to economic
empowerment, improved living standards, and social cohesion (Kim & Jamal, 2015; Bramwell & Lane, 2011)
Preservation of Cultural Heritage: CSR involves the preservation and promotion
of cultural assets and traditions, safeguarding cultural identity and diversity (Font et al., 2012)
Empowerment of Marginalized Communities: CSR empowers marginalized groups by providing opportunities for indigenous and minority communities,
reducing social inequalities, and promoting social inclusion (Bramwell & Lane,
Trang 162015)
In summary, CSR in tourism has a profound social and cultural impact by strengthening communities, preserving culture, empowering marginalized groups, providing ethical cultural experiences, and encouraging responsible tourism
behavior These aspects contribute to sustainable tourism development, fostering
social harmony and cultural enrichment in the industry
2.7 Environmental Sustainability in CSR Incorporating environmental sustainability into Corporate Social Responsibility (CSR) has emerged as a crucial aspect across various industries, including tourism The following summarizes key findings and themes from existing research in this field
Sustainable Resource Management: CSR initiatives prioritize responsible energy usage, efficient waste management, and eco-friendly infrastructure development
(Géssling et al., 2012) The goal is to reduce negative environmental impacts and
promote long-term resource conservation
Mitigating Climate Change: CSR efforts address the tourism sector's significant contribution to greenhouse gas emissions (Géssling et al., 2012) Strategies include energy-efficient operations, green transportation options, and carbon offset
programs to reduce carbon footprints
Biodiversity Conservation: In sensitive ecological areas, CSR promotes habitat protection and wildlife conservation (Font et al., 2012) Initiatives involve funding conservation projects, promoting responsible wildlife tourism, and minimizing
habitat disruption
Eco-Certifications and Standards: Industry-specific eco-certifications and standards (e.g., LEED, Green Globe) play a pivotal role in assessing and improving
a business's environmental performance, serving as benchmarks for sustainable
practices (Mowforth & Munt, 2015)
Stakeholder Engagement and Accountability: Effective CSR practices require collaboration with various stakeholders, including local communities,
environmental organizations, and regulatory bodies (Dallen, 2016) This
engagement ensures transparency and accountability in environmental sustainability efforts
Circular Economy and Sustainable Supply Chains: Recent research emphasizes adopting circular economy principles and sustainable supply chains within CSR
(Gossling et al., 2012) This involves minimizing waste, reusing materials, and
recycling, thus reducing environmental impact throughout the entire supply chain
In conclusion, environmental sustainability is a critical dimension of CSR, particularly in the tourism sector CSR efforts encompass sustainable resource
management, climate change mitigation, biodiversity conservation, eco-
certifications, stakeholder engagement, and sustainable supply chains As
businesses and industries recognize the importance of environmental responsibility, CSR continues to drive progress towards a more sustainable and environmentally conscious future
Trang 173 Research objective 3.1 General objective The objective of this study is to identify and assess the impact of Corporate Social Responsibility (CSR) initiatives in the tourism industry in Da Lat on tourists’ attitudes The study specifically aims to explore the relationship between CSR in
tourism and tourists’ attitudes towards Da Lat This objective seeks to provide
insights into the role of CSR in enhancing tourists' experiences and fostering
satisfaction and trust as they explore Da Lat
3.2 Specific objective Assess the impact of CSR in the Da Lat tourism industry on tourists’ attitudes Identify the most influential CSR factors on tourists' positive attitudes
Evaluate tourists’ satisfaction with their travel experiences in Da Lat based on CSR practices
Compare the attitudes and satisfaction levels of tourists between businesses implementing CSR and those not implementing CSR in Da Lat
Propose CSR enhancements to optimize the tourist experience in Da Lat
They are putting up workable strategies that tourists’ attitude through CSR when they travel in Da Lat city
4 Research subject, study population, research scope 4.1, Research subject
The research subject encompasses two main aspects: CSR practices within the tourism industry and tourists’ attitudes while visiting Da Lat City
The research aims to examine how CSR initiatives are implemented in the tourism sector of Da Lat City and how these practices influence the attitudes and
satisfaction levels of tourists This combined focus provides a comprehensive
understanding of how CSR in tourism affects tourists’ attitudes within the context of
Da Lat City
4.2 Study population This research comprises individuals who both reside and work in Ho Chi Minh City and have previously traveled to Da Lat City
4.3 Research scope Space scope: Ho Chi Minh City
Time range: From September 2023 to November 2023
5 Research questions Question 1: Within the tourism context of Da Lat, does the perception of Corporate Social Responsibility (CSR) among customers positively influence their level of satisfaction?
Question 2: In the realm of tourism in Da Lat, does customer satisfaction significantly impact their overall attitudes?
Question 3: Is there a positive correlation between customers! perceptions of corporate social responsibility and the corporate's reputation?
Question 4: In the tourism sector of Da Lat, does the company's reputation exert
Trang 18a positive effect on customers’ attitudes?
6 Research hypothesis Hypothesis I (HI): Customer perception of the effective implementation of Corporate Social Responsibility (CSR) activities in the tourism industry in Da Lat has an impact on tourists’ satisfaction with tourism businesses
Hypothesis 2 (H2): The level of customer satisfaction influences tourists’ overall attitudes when traveling in Da Lat
Hypothesis 3 (H3): Customer perception of corporate social responsibility (CSR) affects the reputation of tourism businesses in the city of Da Lat
Hypothesis 4 (H4): Tourists' attitudes are influenced by the reputation of tourism businesses in Da Lat
Hypothesis 5 (H5): Customer perception of corporate social responsibility has a positive impact on the attitudes of tourists
7 Research method 7.1 Secondary Datacollection Primary data: collected through survey from Google Form
Secondary data is collected from many sources: official newspapers of provinces, youth newspapers, UNWTO, Datareportal, Outbox Insight, Vietnam
Tourism Law 2017, and some other research articles
7.2 Quantitative Research The primary research approach utilized in this study is quantitative research, which involves conducting a survey via Google Forms to collect responses from
individuals residing in Ho Chi Minh City These gathered responses will be used to examine and test the research hypotheses As suggested by Hair et al (2014), it is recommended to have a ratio of at least 5 observations for every variable Given
that the survey questionnaire comprises a total of 24 questions, the minimum
required number of responses would be 24 x 5 = 120 However, the author opted for
a larger sample size, ultimately obtaining 277 valuable responses
7.3 Sampling Collection The measurement instruments used in this study are adapted from prior research The research concepts employ Likert scale measurements ranging from |
(completely disagree) to 5 (completely agree) The Likert scales for the three
independent variables are as follows:
"Perception of CSR" comprises 7 observations constructed based on 3 dimensions: economic, social, and environmental, inherited from the study by
Trang 19A Google Form survey was used to collect data, and the survey was distributed through various research platforms The questionnaire was divided into two main
sections The first section gathered demographic information about the participants, such as their gender, their income, ages The second section asked questions about the impact of corporate social responsibility (CSR) on tourists’ attitudes when
visiting Da Lat City
7.5 Methods for Analyzing the Data The author collects and consolidates responses from customer survey forms, and then inputs this data into IBM SPSS Statistics 26 software, a software used for data processing and the author test the reliability of Cronbach’s Alpha and EFA through IBM SPSS Statistics 26 software; testing model fit CFA Additionally, structural
equation modeling (SEM) is carried out by the author using IBM SPSS AMOS 20 software to testing research hypothesis and further analyze the data
7.6 Inferential statistics Determining the significance of the 5 proposed theories, the author applied inductive statistical methods, Exploratory Factor Analysis (EFA), Confirmatory
Factor Analysis (CFA) and Structural Equation Modeling (SEM)
* Cronbach’s Alpha Measurements are tested for reliability through Cronbach's Alpha coefficient
Cronbach's Alpha coefficient measures the reliability of the have a Cronbach's
Alpha coefficient above 0.6 and less than 0.95 The reliability results are completely
in line with the criteria for a composite reliability coefficient of greater than 0.6
(Hair et al., 2009)
¢ Exploratory Factor Analysis — EFA
To ensure the reliability of the scale, Cronbach's Alpha reliability coefficient is used to eliminate factors that compromise reliability Exploratory factor analysis
(EFA) is then employed to condense and summarize the model, a useful technique for data reduction and summarization
EFA determines the value of the scale by examining the relationship between variables in various groups (factors) to identify observed variables that load on
multiple factors or have factor differences from the outset This helps the author
determine the relationship between the variables and which ones are needed for the scale
The KMO coefficient (Kaiser-Meyer-Olkin), eigenvalue, Bartlett's test of sphericity, total variance explained, and factor loading are all criteria considered in EFA analysis
The KMO coefficient, which must fall between 0.5 and 1 (0.5 < KMO < 1), is used to assess the suitability of factor analysis If the factor is less than 0.5, it is
likely that the factor is not suitable for the research data
Eigenvalue is used to determine the number of factors, and only factors with an eigenvalue greater than or equal to | are retained
Bartlett's test is used to determine whether observed variables within the same factor are correlated When sig Bartlett's Test < 0.05 (statistically significant), these
Trang 20observed variables are correlated Conversely, if the test indicates that the variables are not statistically significant and there is no correlation between them, the
variables are not eligible for EFA analysis
The total variance explained is used to demonstrate the validity of the EFA model when this criterion is > 50% This number indicates how many factors are
extracted and what percentage of observed variables are lost
The factor loading represents the correlation between the observed variable and the factor A larger number indicates a stronger relationship between variables
within the same factor The minimum factor loading for this study, which has a
sample size of 120 to 350, is 0.5 Hair et al (2009) suggests the following:
Factor Loading at + 0.3: Minimum condition for retaining the observed variable Factor Loading at + 0.5: The observed variable has good statistical significance Factor Loading at + 0.7: The observed variable has very good statistical significance
¢ Confirmatory Factor Analysis (CFA) Confirmatory factor analysis (CFA) is conducted following exploratory factor analysis (EFA) to evaluate the convergence and discriminant validity of observed variable structures using model fit indices such as Chi-square/df, CFI, TLI, GFI,
and RMSEA In CFA, the observed variables are assumed to have been identified and assigned to their respective scales, and the analysis is used to determine
whether the observed variables within each factor are appropriate Researchers
utilize EFA to identify the factor structure from a set of observed variables,
operating under the assumption that the factor structure is unknown Consequently,
if appropriate, the research topic's hypotheses will be deemed statistically
significant
¢ Structural Equation Modeling (SEM) Structural equation modeling (SEM) is a sophisticated statistical technique employed to investigate the multifaceted relationships between various variables in
a model It can effectively handle complex model fit issues arising from various
data types, including confirmatory factor analysis (CFA), denormalized models,
datasets with autocorrelation error structures, longitudinal data, data with non-
standard variables, and missing data SEM enables researchers to compute
measurements and structural models The measurement model illustrates the
relationship between observable and latent variables The structural model clearly depicts the connections between latent variables Researchers are drawn to these
connections because they can provide insights into theoretical predictions
8 Research contribution 8.1 Theoretical contribution 8.2 Practical contribution
9 Research Framework