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Does Discretionary Spending and Ethical Responsibility Guarantee Customer Loyalty

Author

Listed:
  • Babalola O. OGINNI

    (Department of Human Resource Development, Osun State University, Okuku Campus, Nigeria)

  • Kolawole S. AJIBOLA

    (Department of Human Resource Development, Osun State University, Okuku Campus, Nigeria)

  • Bayode O. BABATUNDE

    (Department of Business Administration, Osun State University, Okuku Campus, Nigeria)

  • Florence B. FAMOLU

    (Department of Guidance and Counselling, Faculty of Education, Osun State University, Osogbo, Osun State, Nigeria)

Abstract

Customer loyalty is still a major concern to organizations despite the various activities of manufacturing firms in their various host communities. Given this, this paper examines the relationship between discretionary spending, ethical responsibility and customer loyalty. The descriptive survey research design was adopted in the study. The unit of analysis was International Breweries and a purposive sampling technique was used to select sample for the study from the target population. The stakeholder theory was the underpinning theory. The result revealed that there exists a strong significant positive relationship between discretionary spending, ethical responsibility and customer loyalty. Based on the findings, it was recommended that organizations should have a standing committee to oversee the proper implementation, monitoring, control, and evaluation of their discretionary spending and ethical responsibility activities.

Suggested Citation

  • Babalola O. OGINNI & Kolawole S. AJIBOLA & Bayode O. BABATUNDE & Florence B. FAMOLU, 2022. "Does Discretionary Spending and Ethical Responsibility Guarantee Customer Loyalty," Business & Management Compass, University of Economics Varna, issue 3-4, pages 154-168.
    • Handle: RePEc:vrn:journl:y:2022:i:3-4:p:154-168
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    References listed on IDEAS

    as
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    More about this item

    Keywords

    customer loyalty; discretionary spending; ethical responsibility; ethical business;
    All these keywords.

    JEL classification:

    • O15 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Economic Development: Human Resources; Human Development; Income Distribution; Migration
    • O44 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Environment and Growth
    • L21 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Business Objectives of the Firm
    • L52 - Industrial Organization - - Regulation and Industrial Policy - - - Industrial Policy; Sectoral Planning Methods

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