Effect of corporate sustainability on the performance of tourist firms: evidence from Vietnam South Central Coast

Effect of corporate sustainability on the performance of tourist firms:
evidence from Vietnam South Central Coast

                              VO THI TAM
                              VO TAN PHONG
                              MAI THI ANH TUYET

JOURNAL OF ECONOMIC STUDIES
ISSN 0866 - 7489
Số 8 (531)
Month 8 year 2022

This research shows that corporate sustainability has a direct impact on the performance of tourist enterprises in Vietnam's South Central Coast, and simultaneously has an indirect impact on performance through the mediating role of employee commitment, investor commitment and community participation.
Keywords: tourism, corporate sustainability, commitment, participation.
The Resource Dependence Theory (RDT) explains why a business may pursue stakeholder satisfaction. RDT provides strategists with a framework to assess potential factors that can be leveraged to gain a competitive advantage. In this study, RDT is used to explain the relationship between corporate sustainability and the operational performance of tourism businesses, highlighting the mediating role of employee engagement and local community participation.

The Legitimacy Theory explains why businesses engage in activities aimed at achieving sustainable development goals. According to this theory, businesses must participate in sustainability-oriented activities and be responsible for reporting and justifying these actions to align with societal expectations.

The Institutional Theory states that external social, political, and economic pressures influence corporate strategies and decision-making. This theory is employed to explain how evolving social values and regulations impact corporate decisions related to sustainability activities. Businesses are increasingly prioritizing and implementing sustainability initiatives, gaining broad acceptance and recognition in the process.