The concept of sustainable hotels in Croatia has been present for a relatively short time. The implementation of the principle of sustainability in the hotel business has proven to be a good practice in which the satisfaction of all stakeholders has been a major goal. This thesis attempts to show the representation of sustainable practices in hotels in Croatia and seeks to confirm the basic hypothesis of the thesis, which emphasizes that sustainable hotels in the Republic of Croatia, by applying the principles of sustainable development, contribute to environmental protection, destination development and positively affect the well-being of the local community. The aim of this thesis is to point out the importance of implementing sustainable development in the Croatian hotel business and to determine the impact of the application of the sustainability principles in the hotel business. The thesis also presents the methods and technologies used by hotels to operate in line with sustainable development and gives examples of sustainable international and domestic hotels for sustainable promotion purpose. At the end of the thesis, an analysis method has been implemented in order to determine the presence of the concept of sustainable development in the hotels of Croatian Republic and to suggest a better approach to the implementation of such a concept as well.