Green Practices II

Abstract “Green Practices” (GP) have become a major concern in the restaurant industry as a means of increasing social benefits and for sustaining business in the long run. Applying Stakeholder Theory to managers' GP orientations, this study examined managers' attitudes, preferences, and involvement with regard to GP and assessed the relationship between the psychological factors and managers' willingness to charge a premium to support such practices. The results of the study suggested that willingness to charge higher prices for socially responsible practices was significantly influenced by managers' preferences for and involvement in such practices. Importantly, it was illustrated that managers' preferences for such practices affect their decision to increase prices by more than 6%. On the other hand, it was also indicated that their attitude about GP measured by health concerns, environmental responsibility, charity, and consumer communication had little or no effect on managers' willingness to increase prices for socially responsible practices