Eco-resorts can be defined as the establishments which perform environmental and cultural preservation while giving benefits for local communities and collaboration with local population as well as with visitors. Practicing the Eco-tourism in Sri Lankan hotel sector inspires close associations with the nature, culture and the economy of the country. Hoteliers should practice Eco-tourism concepts in order to satisfy the needs and wants of the tourists. If the hoteliers are unable to do it appropriately, they will not be able to accomplish customer satisfaction. Eco tourism has been often mislabeled and executed in ways that do not meet the standards stated. This is due to the unclear understanding of the concept.