Assessing the effect of customer perceptions of corporate social responsibility on customer trust within a low cultural trust context

2017 ◽  
Vol 13 (4) ◽  
pp. 698-713 ◽  
Author(s):  
Claudel Mombeuil ◽  
Anestis K. Fotiadis

Purpose Many research findings depicted corporate social responsibility (CSR) as a strategic tool for influencing customer behavior, especially customer trust. Nevertheless, rare is research that considered a business ecosystem infested by a low level of cultural trust, political and economic problems, perceived corruption and low level of CSR awareness and engagement as obstacles that may prevent companies from influencing their customers’ behavior. Therefore, this study aims to evaluate whether CSR activities positively influence consumer/user trust toward companies operating within a low-cultural-trust context and also the consistency of empirical finds on CSR regardless of the cultural context. Design/methodology/approach The model of this study consisted of four variables: perceptions of CSR, customer trust, service quality and customer satisfaction. The target sample constituted respondents belonging to six different occupational categories namely health-care services, media services, law and public security, agriculture and earth sciences, training and education services and administrative sciences. This study used a quantitative approach based on a paper–pencil questionnaire to collect the data. Findings The results of this study indicated that perceptions of CSR correlated positively with service quality, customer satisfaction and customer trust. The results also indicated that perceptions of CSR, service quality and customer satisfaction are good predictors of customer trust. Originality/value This study is significant because it was conducted in a developing country (Haiti) that has long been struggling with political instability, systemic corruption, serious environmental damages and continuous economic crises and inequality along with a low level of CSR engagement and awareness.

2016 ◽  
Vol 7 (2) ◽  
pp. 258-274 ◽  
Author(s):  
Samuel Famiyeh ◽  
Amoako Kwarteng ◽  
Samuel Ato Dadzie

Purpose The purpose of this paper is to examine the impact of corporate social responsibility (CSR) and firm’s reputation in terms of product and service quality, management performance and attractiveness as well as reputation on overall performance from a developing country’s environment. Design/methodology/approach The partial lest squares structural equation modeling was used to study the relationship between CSR and firm’s reputation as well as the overall organizational performance using a survey of informants from Ghana. Findings Using data from firms in Ghana, the study demonstrates that CSR initiative by firms will have a positive relationship with firm’s reputation in terms of product and service quality, management performance and attractiveness as well as overall performance. Furthermore, the study demonstrates that enhanced reputation by firms through social responsibility initiatives will lead to firms’ overall performance from the Ghanaian business environment. Research limitations/implications The main limitation of this work is the source of the data originating from only executives from Ghana where managers are sometimes skeptical giving out such information; this might have some influence on the results. In addition, there could be potential endogeneity and unobserved heterogeneity issues. It is therefore recommended that future studies should consider these issues to check as to whether the same results could be achieved. Specifically, results indicate that when organizations invest in CSR initiatives, they are likely to achieve product quality, improved management performance and an attractiveness as well as overall performance. Practical implications The research shows how CSR initiatives can enhance firm’s reputation and overall performance of a firm. Originality/value The work illustrates and provides some insights and builds on the literature in the area CSR and reputation from a developing country’s environment.


2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Niki Glaveli

Purpose This study aims to uncover the underlying multiple intervening mechanisms between corporate social responsibility (CSR) and customer loyalty. Social identity and social exchange theories offer the ground for prediction that the primary outcomes of CSR initiatives are customer–company (C–C) identification and customer trust, which in turn affect customer loyalty. Also, the differential effect of CSR behaviors toward specific stakeholder groups on customer attitudes and behaviors are examined. Design/methodology/approach Data were collected from 333 customers of telecommunication companies in Greece. Structural equation modeling was used to test the postulated relationships. Findings The findings demonstrate that both C–C identification and customer trust intervene in the relationship between customer perceptions of CSR and customer loyalty; however, the identification mechanism is stronger than the trust mechanism in building customer loyalty while C–C identification seems to drive customer trust. Moreover, out of the three CSR components (customers, employees, and society/environment) that were considered as relevant to customers and were investigated, customer-centric activities were found to be the stronger predictor of both C–C identification and customer trust. Also, CSR toward society/environment was found to positively influence C–C identification. Practical implications The findings of this research can assist practitioners in effectively conceptualizing CSR image from a customers’ point of view and designing their company’s CSR and communication strategies to boost positive customer responses and strong long-term relationships. Originality/value The current study provides further insights into the complex relationship between CSR and customer responses and the impact that different CSR activities may have on customers.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Delphine Godefroit-Winkel ◽  
Marie Schill ◽  
Fatou Diop-Sall

PurposeThis study identifies the impact of supermarket environmental corporate social responsibility (ECSR) on consumers’ loyalty towards their supermarket. Based on the stimulus-organism-response (S-O-R), this study demonstrates how positive and negative emotions mediate the relationships between consumers’ perceptions of ECSR and consumers’ attitudes towards their supermarket. This study draws from cultural theory and works on sustainability and examines the moderating effect of the cultural context on these relationships.Design/methodology/approachA supermarket intercept survey was conducted among 327 consumers in France and 444 consumers in Morocco. The proposed model was analysed using Amos 22.FindingsECSR’s impact on consumer loyalty varies across cultural contexts through the mediation of positive and negative emotions. The study also indicates how consumers’ levels of environmentalism moderate the direct effect of supermarket ECSR on consumers’ attitudes towards the supermarket.Research limitations/implicationsBased on the S-O-R and cultural theories, this study demonstrates how the dimensions of the cultural context moderate the direct and indirect effects of ECSR on consumers’ loyalty towards their supermarket. Specifically, favourable perceptions of supermarket ECSR have an ambivalent impact on consumers’ attitudes through the mediation of negative emotions, such as shame, in more collectivist, low uncertainty avoidance and short-term oriented countries.Practical implicationsTailored recommendations for supermarket managers interested in ECSR and operating in an international context are provided.Social implicationsThis research highlights the varying impacts of environmental actions in international retailing.Originality/valueUsing the S-O-R and cultural theories, this study reveals nuances to existing knowledge on the role of consumers’ emotions in international retailing. It reveals the salience of negative emotions after the perception of a positively valenced stimulus across distinct cultural contexts.


2019 ◽  
Vol 10 (1) ◽  
pp. 304-322 ◽  
Author(s):  
Kambiz Heidarzadeh Hanzaee ◽  
Mona Sadeghian ◽  
Saeed Jalalian

Purpose The purpose of this study is to investigate the effects of corporate social responsibility on customer satisfaction, loyalty and repurchase with or without cause-related marketing or cause marketing across Islamic companies. Design/methodology/approach An experimental survey of Iranian university students was conducted to investigate the customer satisfaction, loyalty and purchase intention with companies using social marketing methods such as corporate social responsibility along with cause marketing and cause-related marketing. A total of 400 usable surveys were obtained in SRBIA University of Tehran, while possessing the greatest ability to consume more hoteling services companies and mobile producers beyond Iranian students. Findings The results indicated that through an experimental research by including social marketing in products or service companies such as mobile producers and hotel services companies in Iran (as an Islamic country), there are same levels of loyalty and repurchase intentions, but different levels of customer’s satisfaction. Furthermore, the authors found out there is no significant difference regarding the effect of cause marketing and cause-related marketing on loyalty and repurchase intentions. Also, it is different on customer’s satisfaction given the company type. Research limitations/implications The sampling frame for this research was limited to students in one of Iran capital city universities. The results are not exactly generalized to all the populations for Iranian product or service consumers. Also, the sampling methods used in this research might have generated bias due to time and resources constraints. So, it is recommended for future studies to consider broader samplings more than university students and beyond only the consumers of international product or service companies. Originality/value No study has used corporate social responsibilities to explain customer satisfaction while providing cause marketing and cause-related marketing as corporate social marketing in service companies influencing the customer loyalty and repurchase intentions.


2021 ◽  
pp. 763-772 ◽  
Author(s):  
Lama Khawaja ◽  
AlaaEldin Abbass Ali ◽  
Nehale Mostapha

This paper aims to examine empirically the mediation role of customer satisfaction between service quality, customer perceived value, corporate social responsibility, and brand loyalty at Lebanese private universities. A survey was administered with 378 respondents. A judgmental sample of university students were selected. The framework was tested through structural equation modeling (SEM). The findings indicate that service quality and perceived value influence customer satisfaction while satisfaction fully mediates the relationship between perceived value and brand loyalty. Additionally, corporate social responsibility showed insignificant relationship with customer satisfaction and brand loyalty. This study proposed that marketers should focus on service quality, customer perceived value and customer satisfaction for increasing brand loyalty in adopting their strategies at Lebanese private universities.


2016 ◽  
Vol 30 (4) ◽  
pp. 449-461 ◽  
Author(s):  
Min-Hsin Huang ◽  
Zhao-Hong Cheng

Purpose Enhancing consumer-company identification (CCI) is a useful means by which to build deeper, more committed relationships with consumers. The purpose of this paper is to examine how consumers’ perceptions about the company (service quality and corporate social responsibility) and construal of the self (independent self-construal and interdependent self-construal) affect their identification with a service firm. This study also investigates how consumers’ involvement with the service firm moderates the relationships between CCI and four specific drivers. Design/methodology/approach A conceptual model is developed and empirically tested through two field-based studies (restaurant services and financial services) and one follow-up laboratory experiment. Findings The results of this research show that service quality, corporate social responsibility and interdependent self-construal positively affect CCI and that independent self-construal has a negative effect on CCI. In particular, the greater the involvement of the consumer with the service firm, the more positive the effects of service quality and corporate social responsibility are on CCI. Practical implications This research provides new insight into services marketing management by suggesting that service firms can enhance CCI and, consequently, consumer loyalty by adopting different strategies for specific consumer segments. Originality/value This is the first empirical study to simultaneously incorporate both company characteristics and consumer personal factors into a framework, and provide an integrative understanding of what factors determine consumers’ identification with a service firm.


2014 ◽  
Vol 5 (1) ◽  
pp. 125-143 ◽  
Author(s):  
Kambiz Heidarzadeh Hanzaee ◽  
Mona Sadeghian

Purpose – This study aims to evaluate the impact of the most important dimensions of corporate social responsibility (CSR) as a part of social marketing (SM) according to the current economic crisis and conditions on customer satisfaction (CS) and corporate reputation in the automotive industry and also to create a new approach in the field of CSR with considering the minimum and major stakeholders by a localized model of the most basic and important responsibilities to open up a new perspective to managers to increase the efficiency of production in automotive and other industries. Design/methodology/approach – In this study, the authors used descriptive statistics and a questionnaire survey of 245 executive managers of the market leader (Iran Khodro Co.) in automotive industry in Iran. The structural equation modelling (SEM) technique used to examine the hypothesized relationships. Findings – The findings of this study conclude that legal and economic responsibilities can be considered as prerequisites for companies. There is no proportional correlation between execution of economic responsibility and CS and corporate reputation; instead, this is regarded as the basic responsibility of companies. Practical implications – This research can present CSR as a useful tool that can aid companies' long-term performance and its benefits can become visible in future with preserving their sustainability. Originality/value – Although the importance of CSR is more obvious to managers, this study opens up a new aspect of CSR by considering it as an informal structure of corporations.


2017 ◽  
Vol 21 (2) ◽  
Author(s):  
Rizal E Halim ◽  
Ahmadan Maulana Hermawan

In addition to running the rules set by the government, the activity of Corporate Social Responsibility (CSR) is also carried out by the company in increasing customer loyalty. This study aims to analyze the influence of CSR activities at the local aircraft company and local banking company to customer loyalty mediated by customer trust,C-C(Consumer-Company) identification, and customer satisfaction. Selection of these two industries because ofgrowththat hasoccurredeveryyear. The sample was consumers who have used the services of local aircraft in the last six months and consumers were registered as clients of local banks in the six months before the study began. This study uses Structural Equation Modeling (SEM) and found that for consumers from local aircraft, the company's CSR activities significantly affect customer loyalty through mediation of customer trust, while consumers from  local bank, CSR activities significantly affect the customer loyalty through mediation of c-cidentification.


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