Effects of corporate social responsibility on consumer retention in the cellular industry of Pakistan

Abstract

Numbers of researches have been conducted to investigate the interrelationship among corporate sustainability, corporate social responsibility and consumer purchase intentions. However conflicting results were found regarding effects of corporate social responsibility on consumer behavior. This research has investigated the effects of product/service quality and consumer satisfaction along with corporate social responsibility actions on consumer purchase intentions and further on consumer loyalty. This was an exploratory research based on primary and secondary data with some experimentation to manipulate respondents’ attitude towards organization and its corporate social responsibility actions. The primary data has been collected from university students, whereas secondary data was collected from newspapers and website of corporation. The data has been analyzed using structural equation modeling through AMOS 7.0 version. The study found no relationship between awareness of corporate social responsibility activities and consumer purchase intention. However significant relationship was observed between service quality and customer satisfaction. Moreover the study noted no relationship between consumer satisfaction and purchase intentions and purchase intention and consumer retention for cellular industry of Pakistan. The findings of this study are important for corporations and future researchers on corporate social responsibility and consumer behavior. Key words: Corporate social responsibility, corporate sustainability, consumer behavior, consumer satisfaction, consumer retention.