Factors on Green Service Industry: Case Study at AirAsia

Presently service organizations are challenged by fierce global competition, new technology and changing customer demands. These trends force service sectors to adapt environmental factors and places innovation at the core of their competitive strategy. On the other hand, service sectors challenge to deliver value memorable experiences and complete "service solutions" while lowering costs and keep sustainable. Despite, many studies have attempted to explore the factors that help toward environmental sustainability in the manufacturing sector, the service sector has not yet received a considerable attention in all world countries generally and in developing countries particularly. Thus, this paper aims to explore the factors that help to attain environmental sustainability in the service sector. A qualitative case study through semi-structured interview conducted with twenty managers from AirAsia to explore the factors that are related to environmental sustainability and green services. Besides, secondary data from document analysis was reviewed to gain more comprehensive understanding and triangulate the interview data. The finding of this paper emphasizes to three important factors namely institutional factors, process factors and result factors that each factor contain sustainability and innovations to promote competitive green service in the marketplace.