A Study on Effect of CSR Initiatives of Two Wheeler Industry on Consumer Buying Behavior in Nepal

Abstract

Recently, Corporate Social Responsibility (CSR) has become one of the most influential factors in automobile industry in the world. It has gained a high focus of companies, government and NGOs in around the world. This research article analyzes the essence of social responsibility from consumer perspective in automobile industry in Nepal. The study is based on responses of consumers of automobiles trading companies. The study analyses the effect of CSR activities in customers buying behaviour and how they perceive it. This effect of consumer buying behaviour has been analyzed through respondents’ views through the questionnaire. From the research analysis, it is concluded that the consumers are only aware about the CSR activities of Bajaj, HERO, HONDA and YAMAHA while they are unaware about the activities of TVS, MAHINDRA, SUZUKI, KTM DUKE, ROYAL ENFIELD and HARTFORD. Such awareness has low impact on buying behaviour of the consumers. Consumers are more concerned about the price, mileage and financing facilities rather than the CSR activities. The companies are following the CSR activities just to build the favorable image in the minds of consumers. Low awareness of consumers in CSR has direct impact on environmental and social development. Nepal Government and responsible bodies like NADA (Nepal Automobile Dealer Association should focus enacting compulsion CSR building activities through the dealers.