Abstract
AbstractThis study investigated the relationship between value relevance and ethical standards as determinants of commitment to corporate social responsibility (CSR) activities and customer loyalty with the intervening effect of customer satisfaction, corporate reputation, and trust. Multidimensional questionnaires were designed and the structural equation modeling was applied to investigate relationships. Our results provided a general picture of the theoretical process by which the sequential relationship between value relevance, ethical standards, commitment, trust, satisfaction, reputation, and loyalty. The commitment to CSR is positively influencing customer loyalty and customer satisfaction, trust, and corporate reputation also intervened in their relationships. This study is theoretical contributing as identified customer satisfaction, trust, and corporate reputation as intervening factors, while from the practical point of view, customer trust is important because it is considered as justification...
Highlights
Corporate social responsibility has been considered an essential part of managerial and administrative sciences in recent decades (Pino, Amatulli, De Angelis, & Peluso, 2016; Zhu & Zhang, 2015)
This study investigated the relationship between value relevance and ethical standards as determinants of commitment to corporate social responsibility (CSR) activities and customer loyalty with the intervening effect of customer satisfaction, corporate reputation, and trust in telecom organizations
It is noted that strict corporate ethical standards lead to believe in the organizational commitment to CSR activities and customer satisfaction that are indicative of customer loyalty
Summary
Corporate social responsibility has been considered an essential part of managerial and administrative sciences in recent decades (Pino, Amatulli, De Angelis, & Peluso, 2016; Zhu & Zhang, 2015). This study focused on the consumer perspective of CSR rather than the corporate perspective, and investigates the relationship between value relevance, and ethical standards are a determining factor in CSR engagement and customer loyalty. The level of satisfaction among clients and their evaluation will increase for the organization with respect to the commitment of the CSR exercises (Mandhachitara & Poolthong, 2011) In this context, organizational CSR creates trust among clients with supports to establish reliable interactions among participants (Coulter & Coulter, 2002). Rechinhheld and Sasser (1990) proposed that customer satisfaction influences organizational performance They justified that satisfied customers will lead to repeat purchases which is indicative of financial benefits and creates long-term loyalty with the products and services offered by organization. If the organization is supporting all stakeholders it will portray a decent reputation in the consumers and society that drive to improve its performance and organizational loyalty (Figure 1)
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