By: Pui San Yip
Macao Greater China Corporate Social Responsibility Research Center (MICSRGC)
Tourism is important to Macau’s economic growth, accounting for over 70% of the city’s gross domestic product. However, tourism often depletes natural resources and negatively impacts the environment. Organizations are encouraged to approach economic growth in a sustainable manner, as it is imperative that communities take steps to ensure adequate resources for future generations. Games are a key attraction for tourists in Macau, but so are world cultural heritage sites and other leisure activities. His six casino operators in Macau offer excellent casino facilities and his five-star hotel accommodations to attract tourists. The commitment of these companies to sustainable development is therefore of particular importance.
Casino operators demonstrate their commitment to reducing energy and water consumption, sustainable sourcing, donations and community service. By demonstrating a commitment to sustainability, companies can gain a competitive advantage and let stakeholders know they are ahead of their competitors. Environmentally friendly measures not only help businesses save money, but they also help show that the hotel is green. “Green hotels” attract tourists and allow operators to charge a premium. Consumers are more willing to pay for sustainably produced goods and services due to their growing environmental awareness.
Being sustainable not only attracts customers, it also attracts talent. Millennials are highly interested in sustainability and want to work for companies that are committed to sustainability. Some are even willing to accept lower levels of compensation in order to work for sustainable companies. In addition, employees at these companies often share the same values, so they tend to be more loyal, more motivated, and more productive at work. By demonstrating a commitment to sustainability, casino hotels can attract talented individuals and have motivated staff.
More recently, hotels have taken advantage of technological developments to make sustainability measures easier and cheaper to implement. Hotels can use sensors to detect if guests are in a room and adjust air conditioning and lighting to save energy. The operational platform can collect data on food preferences from customers, so hotels can order the right amount of food and avoid food waste. In addition to getting their own equipment and devices, hotels can also use their customers’ mobile phones with modern property management system platforms to reduce the use of paper and plastic key cards. Additionally, technology and social media make it easier for businesses to promote sustainable practices at a lower cost.
The negative impact of COVID-19 may have heightened awareness of the risks to survival inside casino hotels and de-prioritized commitments to sustainability in the short term. Continued investment is required to recover operating income even after full recovery. Meanwhile, the lull brought by COVID-19 offers companies an opportunity to rethink their sustainability strategies. For example, moving to more renewable energy sources and adopting stronger commitments to recycle waste can reduce carbon dioxide and greenhouse gas emissions.
Sustainability initiatives are widely implemented in casino hotels and large corporations, but Macau’s small and medium enterprises (SMEs) seem reluctant to integrate sustainability into their operations. If SMEs want to be more competitive and gain a larger market share, they should pay more attention to social responsibility. Consumers are now more aware of the negative environmental impact of their consumption patterns and are willing to change their habits. Demand for sustainable products is growing and customers are actually willing to pay more. To meet the business opportunities offered by sustainability and to meet current needs without compromising future generations, it is important for companies large and small to incorporate long-term sustainable measures into their operations. .
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