PurposeThe purpose of the study was to identify and analyze the fuzzy relationships among criteria for the development of community-based tourism (CBT) in Malaysia through a multi-stakeholder lens. By exploring these relationships, the study aimed to provide valuable insights for stakeholders and policymakers to enhance the sustainability and effectiveness of CBT initiatives in Malaysia. The focus was on understanding the interplay between environmental, economic and socio-cultural criteria to guide decision-making and planning processes for sustainable tourism development.Design/methodology/approachThe study utilized a quantitative approach, specifically employing a fuzzy multi-criteria decision-making (MCDM) model known as decision-making trial and evaluation laboratory (DEMATEL). This methodology allowed for the integration of diverse perspectives from multiple stakeholders involved in CBT in Malaysia. By using DEMATEL, the researchers were able to analyze the complex relationships among sustainable criteria, identify causal factors and assess the interdependencies among environmental, economic and socio-cultural dimensions. The approach aimed to provide a comprehensive understanding of the criteria influencing the sustainability of CBT development in Malaysia.FindingsThe findings of the study revealed that environmental and economic factors emerged as pivotal causal criteria influencing socio-cultural outcomes in the development of CBT in Malaysia. The research highlighted the importance of multi-stakeholder collaboration in building sustainability in CBT, emphasizing the need for regular meetings, shared decision-making processes and clear communication channels among all involved parties. These insights empower stakeholders to make informed decisions and prioritize criteria for sustainable CBT development, ultimately contributing to the well-being of communities, preservation of natural and cultural heritage, and long-term environmental sustainability.Research limitations/implicationsThe study's limitations include the focus on CBT in Malaysia, which may limit the generalizability of the findings to other contexts. Additionally, the research relied on a quantitative approach, potentially overlooking qualitative nuances in stakeholder perspectives. Future studies could address these limitations by exploring diverse geographical locations and incorporating qualitative methods to capture a more comprehensive understanding of sustainable criteria in CBT development. These implications suggest opportunities for further research to validate and extend the findings in different contexts and with a broader range of stakeholder perspectives.Practical implicationsThe practical implications of the study include providing guidance for tourism policymakers and key stakeholders in developing effective policy interventions for CBT in Malaysia. By understanding the complex relationships among sustainable criteria, stakeholders can make informed decisions to foster environmental, economic and socio-cultural growth in CBT initiatives. The findings offer insights for creating economic opportunities, promoting fair trade practices and enhancing linkages between CBT and local businesses. These practical implications aim to support sustainable decision-making, planning processes and implementation strategies to ensure the long-term success and positive impact of CBT in Malaysia.Social implicationsThe social implications of the study underscore the importance of multi-stakeholder collaboration in CBT development in Malaysia. By engaging various stakeholders, including host communities, government agencies, non-governmental organizations (NGOs) and tourists, the research promotes social cohesion, cultural exchange and community empowerment. Enhancing social interactions and mutual understanding among stakeholders can lead to inclusive decision-making processes, equitable distribution of benefits and the preservation of local heritage and traditions. These social implications emphasize the potential for CBT to contribute to social well-being, cultural preservation and sustainable development, fostering positive social impacts and strengthening community resilience.Originality/valueThe originality and value of the study lie in its exploration of the complex relationships among sustainable criteria for CBT development in Malaysia from a multi-stakeholder perspective. By utilizing the DEMATEL method and quantitative analysis, the research offers a novel approach to understanding the causal factors influencing environmental, economic and socio-cultural outcomes in CBT initiatives. The study's findings provide valuable insights for stakeholders and policymakers to make informed decisions, prioritize criteria and develop effective strategies for sustainable CBT development. This original contribution enhances the understanding of sustainable criteria relationships and empowers stakeholders to drive positive change in the tourism sector.