Abstract
The study sought to examine the mediating outcome of supplier relationship management (SRM) on the CSR and marketing performance (MP) relationship. The study was descriptive, quantitative in nature with a questionnaire as its main data collection instrument. A purposive sampling approach was employed to select 317 owners/managers of the manufacturing firms. Data collected was analyzed using Structural Equation Model–Partial Least Square statistical software. The study proposed two models; model 1 without mediation effect and model 2 with mediation effect. The results revealed a direct significant positive relationship between CSR and MP and CSR and SRM; including a direct positive relationship between SRM and MP. However, the direct link between CSR and MP was not supported, when the mediating variable was included; but shows that SRM fully mediates the CSR and MP tie. The effect of SRM explains the effect of CSR on MP. Appearing to be the first study to examine the mediation role of supplier relationship management, this study discovered the novel path through which CSR is linked to a company’s marketing performance, as well as key CSR engagements that can enhance supplier relationship management and marketing performance.
Highlights
Corporate Social Responsibility (CSR, hereafter), though not a new phenomenon, has come to be a mainstream business factor and growing currency in today’s world of business
In model 2, it is seen that when the mediating variable, supplier relationship management (SRM) was included, the variance explained in marketing performance increased to 42.3%
The findings have shown that marketing performance is primarily driven by supplier relationship management and supplier relationship management is driven by CSR
Summary
Corporate Social Responsibility (CSR, hereafter), though not a new phenomenon, has come to be a mainstream business factor and growing currency in today’s world of business This is due to the ever growing interest of the general public about the care for the society as well as the new drive for firms to focus on every aspect of their activities including relationship with stakeholders (Kitora & Okuda, 2008). Recent studies have shown that CSR disclosure can even strengthen the relationship between board of commissioners’ meetings and financial performance of the company. This reveals how CSR disclosure can strengthen the relationship between a company and its key stakeholders. This reveals how CSR disclosure can strengthen the relationship between a company and its key stakeholders. Du et al (2010) intimated that CSR initiatives by firms are not solely motivated by ideological discerning that by so doing, the firms can hold a leading force of social change, but more important, by the all– around company gains and returns that would accrue to firms from their CSR efforts
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