Corporate social responsibility, customer satisfaction, and trust in the restaurant industry

Abstract

ABSTRACT As well as contributing to society, corporate social responsibility (CSR) initiatives have frequently been utilized by businesses to gain a competitive edge. Nevertheless, despite companies’ endeavors to leverage their CSR initiatives, limited stakeholder awareness of these efforts poses challenges to fully realize the strategic value of CSR. Hence, the primary objective of this study was to examine the distinct impact of various components of CSR on satisfaction, trust, and loyalty within the restaurant industry. Data were collected (n = 239) from restaurant customers in Tehran, and the results found no significant relationship between the economic dimension of CSR and customer satisfaction and customer trust, while there was a positive and significant relationship between the other aspects of CSR (e.g. legal, ethical, philanthropic and environmental) and customer trust and satisfaction. Finally, there was also a positive and strong relationship between customer trust and customer loyalty in the studied restaurants. This study offers an enhanced comprehension of CSR strategy in the restaurant sector, providing valuable insights by highlighting how specific CSR activities influence customer satisfaction and loyalty.