Do Corporate Social Responsibility (CSR) initiatives boost customer retention in the hotel industry? A moderation-mediation approach

Abstract

ABSTRACT This study investigates the direct and indirect associations between CSR and customer retention, with the mediating effect of C-C (Customer-Company) identification, company reputation, and customer satisfaction. A sample of 384 customers from the hotel industry was taken for the present study. The result found a significant mediating effect of the aforementioned variables to measure the impact of CSR activities on customer retention. The study also tested and confirmed moderated mediation effect of C-C identification between CSR and customer retention via company reputation. The study contributes to the existing literature on stakeholder theory, and highlights its association with social identity theory, social exchange theory, and signaling theory, with respect to CSR activities in the hospitality industry. Encouraging a holistic approach to strategic CSR in hotels, this study contributes a framework of stakeholder roles, emanating from stakeholder responsibility and stakeholder involvement in CSR in the hotel sector, that will be of interest to both academics and practitioners.