IDEAS home Printed from https://ideas.repec.org/a/eee/jbrese/v76y2017icp8-13.html
   My bibliography  Save this article

Corporate social responsibility as a determinant of consumer loyalty: An examination of ethical standard, satisfaction, and trust

Author

Listed:
  • Park, Eunil
  • Kim, Ki Joon
  • Kwon, Sang Jib

Abstract

Factors promoting loyalty are of great interest to both academics and practitioners because consumer loyalty is a notable predictor of business success. This study identifies the congruency between consumer values and the goals of corporate social responsibility (CSR) activities and corporate ethical standards as the two main determinants of CSR quality and commitment. It further investigates how consumer perceptions of CSR shaped by these two factors increase loyalty. The results of structural equation modeling analysis (N=931) reveal that higher ethical standards leads consumers to perceive that the company is committed to its CSR activities. The company's CSR commitment induces greater satisfaction with and trust in the company and its services, which then ultimately encourages consumers to remain loyal.

Suggested Citation

  • Park, Eunil & Kim, Ki Joon & Kwon, Sang Jib, 2017. "Corporate social responsibility as a determinant of consumer loyalty: An examination of ethical standard, satisfaction, and trust," Journal of Business Research, Elsevier, vol. 76(C), pages 8-13.
    • Handle: RePEc:eee:jbrese:v:76:y:2017:i:c:p:8-13
    DOI: 10.1016/j.jbusres.2017.02.017
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0148296317300784
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.jbusres.2017.02.017?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Abagail McWilliams & Donald S. Siegel & Patrick M. Wright, 2006. "Corporate Social Responsibility: Strategic Implications," Journal of Management Studies, Wiley Blackwell, vol. 43(1), pages 1-18, January.
    2. Lee, Eun Mi & Park, Seong-Yeon & Rapert, Molly I. & Newman, Christopher L., 2012. "Does perceived consumer fit matter in corporate social responsibility issues?," Journal of Business Research, Elsevier, vol. 65(11), pages 1558-1564.
    3. Kim, Moon-Koo & Park, Myeong-Cheol & Jeong, Dong-Heon, 2004. "The effects of customer satisfaction and switching barrier on customer loyalty in Korean mobile telecommunication services," Telecommunications Policy, Elsevier, vol. 28(2), pages 145-159, March.
    4. Demirci Orel, Fatma & Kara, Ali, 2014. "Supermarket self-checkout service quality, customer satisfaction, and loyalty: Empirical evidence from an emerging market," Journal of Retailing and Consumer Services, Elsevier, vol. 21(2), pages 118-129.
    5. Hem, Leif Egil & Iversen, Nina Marianne & Olsen, Lars Erling, 2014. "Category characteristics' effects on brand extension attitudes: A research note," Journal of Business Research, Elsevier, vol. 67(8), pages 1589-1594.
    6. Blut, Markus & Beatty, Sharon E. & Evanschitzky, Heiner & Brock, Christian, 2014. "The Impact of Service Characteristics on the Switching Costs–Customer Loyalty Link," Journal of Retailing, Elsevier, vol. 90(2), pages 275-290.
    7. Jiyun Kang & Gwendolyn Hustvedt, 2014. "Building Trust Between Consumers and Corporations: The Role of Consumer Perceptions of Transparency and Social Responsibility," Journal of Business Ethics, Springer, vol. 125(2), pages 253-265, December.
    8. Walsh, Gianfranco & Bartikowski, Boris, 2013. "Exploring corporate ability and social responsibility associations as antecedents of customer satisfaction cross-culturally," Journal of Business Research, Elsevier, vol. 66(8), pages 989-995.
    9. Andrea Stanaland & May Lwin & Patrick Murphy, 2011. "Consumer Perceptions of the Antecedents and Consequences of Corporate Social Responsibility," Journal of Business Ethics, Springer, vol. 102(1), pages 47-55, August.
    10. Eyun-Jung Ki & Soo-Yeon Kim, 2010. "Ethics Statements of Public Relations Firms: What Do They Say?," Journal of Business Ethics, Springer, vol. 91(2), pages 223-236, January.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Muzammal Ilyas Sindhu & Muhammad Arif, 2017. "Corporate social responsibility and loyalty: Intervening influence of customer satisfaction and trust," Cogent Business & Management, Taylor & Francis Journals, vol. 4(1), pages 1396655-139, January.
    2. Abdelmoety, Ziad Hassan & Aboul-Dahab, Sameh & Agag, Gomaa, 2022. "A cross cultural investigation of retailers commitment to CSR and customer citizenship behaviour: The role of ethical standard and value relevance," Journal of Retailing and Consumer Services, Elsevier, vol. 64(C).
    3. Jose Benitez & Laura Ruiz & Ana Castillo & Javier Llorens, 2020. "How corporate social responsibility activities influence employer reputation: The role of social media capability," Post-Print hal-02462583, HAL.
    4. Zimmer, Lukas & Swoboda, Bernhard, 2023. "Perceived corporate social responsibility effects across nations – The role of national institutions," International Business Review, Elsevier, vol. 32(3).
    5. Rajesh Sharma & Vranda Jain, 2019. "CSR, Trust, Brand Loyalty and Brand Equity: Empirical Evidences from Sportswear Industry in the NCR Region of India," Metamorphosis: A Journal of Management Research, , vol. 18(1), pages 57-67, June.
    6. Ahmad Sohail Khan & Saima Majeed & Rizwan Shabbir, 2016. "Designing a Customer Retention Framework for Telecommunication Sector," Information Management and Business Review, AMH International, vol. 8(5), pages 48-60.
    7. Min Zhang & Biying Jin & G. Alan Wang & Thong Ngee Goh & Zhen He, 2016. "A Study of Key Success Factors of Service Enterprises in China," Journal of Business Ethics, Springer, vol. 134(1), pages 1-14, March.
    8. Su, Lujun & Swanson, Scott R. & Chen, Xiaohong, 2016. "The effects of perceived service quality on repurchase intentions and subjective well-being of Chinese tourists: The mediating role of relationship quality," Tourism Management, Elsevier, vol. 52(C), pages 82-95.
    9. Mbaye Fall Diallo & Christine Lambey-Checchin, 2017. "Consumers’ Perceptions of Retail Business Ethics and Loyalty to the Retailer: The Moderating Role of Social Discount Practices," Journal of Business Ethics, Springer, vol. 141(3), pages 435-449, March.
    10. Eveland, Vicki Blakney & Crutchfield, Tammy Neal & Tsang, Ronald C.W. & Sabol, Misty A., 2024. "Using PLS-SEM to test the relationship model of corporate social performance across the product/service continuum: When do shared values matter?," Journal of Retailing and Consumer Services, Elsevier, vol. 79(C).
    11. Su, Lujun & Pan, Yue & Chen, Xiaohong, 2017. "Corporate social responsibility: Findings from the Chinese hospitality industry," Journal of Retailing and Consumer Services, Elsevier, vol. 34(C), pages 240-247.
    12. Lavorata, Laure, 2014. "Influence of retailers’ commitment to sustainable development on store image, consumer loyalty and consumer boycotts: Proposal for a model using the theory of planned behavior," Journal of Retailing and Consumer Services, Elsevier, vol. 21(6), pages 1021-1027.
    13. Petr Parshakov & Iuliia Naidenova & Carlos Gomez-Gonzalez & Cornel Nesseler, 2023. "Do LGBTQ-Supportive Corporate Policies Affect Consumer Behavior? Evidence from the Video Game Industry," Journal of Business Ethics, Springer, vol. 187(3), pages 421-432, October.
    14. Swaen, Valérie & Demoulin, Nathalie & Pauwels-Delassus, Véronique, 2021. "Impact of customers’ perceptions regarding corporate social responsibility and irresponsibility in the grocery retailing industry: The role of corporate reputation," Journal of Business Research, Elsevier, vol. 131(C), pages 709-721.
    15. Ardion D. Beldad & Colin T. Seijdel & Menno D. T. Jong, 2020. "Managing Corporate Social Responsibility (CSR) Together: The Effects of Stakeholder Participation and Third-Party Organization (TPO) Endorsement on CSR Initiative Effectiveness," Corporate Reputation Review, Palgrave Macmillan, vol. 23(4), pages 225-240, November.
    16. Irene Pollach, 2015. "Strategic corporate social responsibility: the struggle for legitimacy and reputation," International Journal of Business Governance and Ethics, Inderscience Enterprises Ltd, vol. 10(1), pages 57-75.
    17. Nagengast, Liane & Evanschitzky, Heiner & Blut, Markus & Rudolph, Thomas, 2014. "New Insights in the Moderating Effect of Switching Costs on the Satisfaction–Repurchase Behavior Link," Journal of Retailing, Elsevier, vol. 90(3), pages 408-427.
    18. Floritzel Moreno & Jiyun Kang, 2020. "How to alleviate consumer skepticism concerning corporate responsibility: The role of content and delivery in CSR communications," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 27(6), pages 2477-2490, November.
    19. Henri Kuokkanen & William Sun, 2020. "Companies, Meet Ethical Consumers: Strategic CSR Management to Impact Consumer Choice," Journal of Business Ethics, Springer, vol. 166(2), pages 403-423, October.
    20. Ovidiu-Ioan Moisescu, 2015. "The Impact of Customers' Perception of CSR on Corporate Brand Loyalty: The Case of the Romanian Mobile Telecom Industry," Central European Business Review, Prague University of Economics and Business, vol. 2015(2), pages 21-30.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:jbrese:v:76:y:2017:i:c:p:8-13. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/jbusres .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.