The paper aims to investigate and illuminate critical aspects of the relationship between corporate social responsibility (CSR) and hotel performance with particular reference to four and five star hotels in the Iranian capital of Tehran. A quantitative approach is adopted and the methodology is that of a questionnaire survey of key employees of a sample of hotels. Data collected is analysed using structured equation modelling techniques. Results support the argument that CSR has direct and positive consequences for hotel performance. These effects apply to all the core dimensions of CSR which are social, economic, legal, ethical and environmental. Findings add to understanding of the perceived outcomes of adopting CSR within the context of hotels outside the developed world and make a practical contribution by assisting decision-making. Studies of CSR in developing countries as a whole and in Iran, agreed to be an emerging international destination with considerable potential, are limited. Original insights are thus afforded into attitudes towards CSR and its impacts.
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