This research explores cultural aspects of Thai Small and Medium-sized Hotels (SMHs) as they navigate their way through environmental management problems. In addition to the context of business motivation, which sets the groundwork for the cultural attitudes findings, the study also examines how government officials’ actions on environmental policy in relation to SMHs are affected by their cultural attitude. An interpretive paradigm employing qualitative method (semi-structured interviews and observation) was conducted. Key informants are from 27 SMHs and seven related government officials from six districts in Nong Khai city. This study was piloted during June and July 2013 and the second main study during February and May 2014. Additional revisits and interviewing were conducted during May 2015. This study reveals that relationships dominate SMH owners’ motivation, and that they are motivated by family lifestyle, social position and business opportunity. Environmental implementation in SMHs is also mainly influenced by culture. A complex socio-cultural system, e.g. seniority and hierarchical, power-based notions and patron–client relationship, has led to the Thai style of enforcing legislative action in the government sector.