Examining the Structural Pathways Linking Sustainable Resource Management, Sustainability Embeddedness and Sustainable Performance in Malaysian Hotel SMEs
Year: 2025
Type: article
Abstract: This study investigates the mechanisms linking Sustainable Resource Management (SRM) to sustainable performance in small and medium-sized hotel enterprises (SMEs) in Malaysia, a context characterized by significant resource constraints and high ecological sensitivity. Grounded in and extending Dynamic Capability theory, we posit sustainability embeddedness as a critical mediator that translates strategic resource orchestration into performance outcomes. Data were collected from 371 SMEs and analyzed using Covariance-Based Structural Equation Modelling (CB-SEM). The results confirm that SRM significantly enhances sustainability embeddedness, which in turn strongly drives sustainable performance. Furthermore, sustainability embeddedness partially mediates the SRM-performance relationship. This partial mediation suggests a dual pathway: direct performance benefits from resource efficiency and indirect strategic benefits through cultural routinization. The study provides valuable insights for scholars seeking to understand the micro-foundations of sustainability in SMEs and for managers aiming to navigate the journey from discrete practice adoption to holistic sustainable value creation.
Author: Mohammad Ammalluddin RAMLI
Institution: Tun Hussein Onn University of Malaysia
Language: English
Subfield: Marketing
Domain: Social Sciences
Open Access status: diamond
OpenAlex ID: W7119019259
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