CORPORATE SOCIAL RESPONSIBILITY AS A CATALYST FOR CONSUMER CHOICE

University essay from Blekinge Tekniska Högskola/Institutionen för industriell ekonomi

Abstract: Even though research on CSR activities has been on the rise, they do not have generally ratified and widely acclaimed explanation with regard to the variation in consumer response to firms operating within the same industry and supporting the same CSR activities. The aim of this research was to investigate the role of corporate social responsibility (CSR) in catalyzing consumer choice. The writers used quantitative research method whereby data was collected by means of online questionnaires in an online survey. The analysis was carried out through frequency, descriptive, reliability, correlation and regression analyses. We realized that although a relationship exists between CSR and consumer behavior through the three channels including legitimacy, information asymmetry and ethical decision making, CSR does not drive sales, but increases the appetite for more CSR information for use in product assessment. Therefore, the engagement in CSR may only increase purchasing and evaluation intention, but not the actual purchase. Given that CSR directly results in the increased information search, the best way to orient CSR to stimulate consumer purchase is through the availability of CSR information to the consumer through localization of CSR activities alongside product excellence and competitive product pricing. Our recommendation is that future research should consider smaller geographical zones, for instance an institution or a city.

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