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The CSR's influence on customer responses in Indian banking sector

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  • Fatma, Mobin
  • Rahman, Zillur

Abstract

In the face of growing attention to corporate social responsibility (CSR) activities in the marketplace, this paper seeks to demonstrate how corporate social responsibility (CSR) initiatives influence customer purchase intention in context of Indian retail banking. Further, the impact of awareness as a moderating variable between CSR and purchase intention has been examined. The conclusion drawn from this study have important implications for Indian banks as they suggest that building a socially responsible image might have a favorable effect on consumer purchase intention. Findings suggest that corporate ability has a strong effect on customer purchase intention while CSR activities were found to exert influence on customer purchase intention in cases where the customer was aware of such activities being conducted. This paper contributes to existing CSR literature by offering a deeper understanding into CSR dynamics and its effect on consumer purchase intention. Further, the study tests the level of consumer awareness of CSR activities in a real market situation (not artificial or simulated) which has not been done in previous studies.

Suggested Citation

  • Fatma, Mobin & Rahman, Zillur, 2016. "The CSR's influence on customer responses in Indian banking sector," Journal of Retailing and Consumer Services, Elsevier, vol. 29(C), pages 49-57.
    • Handle: RePEc:eee:joreco:v:29:y:2016:i:c:p:49-57
    DOI: 10.1016/j.jretconser.2015.11.008
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    Cited by:

    1. Atanu Adhikari, 2019. "Behavioural and Operational Characteristics in Institutional Banking in India: An Empirical Generalization," Working papers 326, Indian Institute of Management Kozhikode.
    2. Anupam Singh & Priyanka Verma, 2017. "How CSR Affects Brand Equity of Indian Firms?," Global Business Review, International Management Institute, vol. 18(3_suppl), pages 52-69, June.
    3. Anan F. Srouji & Suzan R. Abed & Madher E. Hamdallah, 2019. "Banks performance and customers' satisfaction in relation to corporate social responsibility: mediating customer trust and spiritual leadership: what counts!," International Journal of Business Innovation and Research, Inderscience Enterprises Ltd, vol. 19(3), pages 358-384.
    4. Muhammad Ishfaq Khan & Shahbaz Khalid & Umer Zaman & Ana Ercília José & Paulo Ferreira, 2021. "Green Paradox in Emerging Tourism Supply Chains: Achieving Green Consumption Behavior through Strategic Green Marketing Orientation, Brand Social Responsibility, and Green Image," IJERPH, MDPI, vol. 18(18), pages 1-24, September.
    5. Ladislav Pilař & Lucie Kvasničková Stanislavská & Jana Pitrová & Igor Krejčí & Ivana Tichá & Martina Chalupová, 2019. "Twitter Analysis of Global Communication in the Field of Sustainability," Sustainability, MDPI, vol. 11(24), pages 1-16, December.
    6. Yu-Muo Lee & Jin-Li Hu, 2018. "Integrated Approaches for Business Sustainability: The Perspective of Corporate Social Responsibility," Sustainability, MDPI, vol. 10(7), pages 1-20, July.
    7. Mobin Fatma & Zillur Rahman, 2017. "An Integrated Framework to Understand How Consumer-Perceived Ethicality Influences Consumer Hotel Brand Loyalty," Service Science, INFORMS, vol. 9(2), pages 136-146, June.
    8. Nabeel Younus Ansari & Temoor Anjum & Muhammad Farrukh & Petra Heidler, 2021. "Do Good, Have Good: A Mechanism of Fostering Customer Pro-Environmental Behaviors," Sustainability, MDPI, vol. 13(7), pages 1-14, March.
    9. Garimella Bhaskar & Shenoy Sandeep & Pai Rashmi Yogesh & Shetty Rishali, 2018. "Structured Education for Sustainable Employment: Technology Enabled Queueing Theory Applications," Foundations of Management, Sciendo, vol. 10(1), pages 75-86, May.
    10. Qingyu Zhang & Sohail Ahmad, 2021. "Analysis of Corporate Social Responsibility Execution Effects on Purchase Intention with the Moderating Role of Customer Awareness," Sustainability, MDPI, vol. 13(8), pages 1-19, April.
    11. Diego Monferrer & José Ramón Segarra & Marta Estrada & Miguel Ángel Moliner, 2019. "Service Quality and Customer Loyalty in a Post-Crisis Context. Prediction-Oriented Modeling to Enhance the Particular Importance of a Social and Sustainable Approach," Sustainability, MDPI, vol. 11(18), pages 1-27, September.
    12. Asiya Chaudhary & Shabir Ahmad Hurrah & Shafat Maqbool, 2020. "The Influence of Corporate Social Responsiblity on Actual Buying Behaviour: A Study of Indian Consumers," Metamorphosis: A Journal of Management Research, , vol. 19(1), pages 21-28, June.
    13. Dianxi Zhang & Asif Mahmood & Antonio Ariza-Montes & Alejandro Vega-Muñoz & Naveed Ahmad & Heesup Han & Muhammad Safdar Sial, 2021. "Exploring the Impact of Corporate Social Responsibility Communication through Social Media on Banking Customer E-WOM and Loyalty in Times of Crisis," IJERPH, MDPI, vol. 18(9), pages 1-14, April.
    14. George, Ann K. & Kayal, Parthajit & Maiti, Moinak, 2023. "Nexus of Corporate Social Responsibility Expenditure (CSR) and financial performance: Indian banks," The Quarterly Review of Economics and Finance, Elsevier, vol. 90(C), pages 190-200.
    15. Chomvilailuk, Rojanasak & Butcher, Ken, 2016. "Evaluating the effect of corporate social responsibility communication on mobile telephone customers," Journal of Retailing and Consumer Services, Elsevier, vol. 33(C), pages 164-170.
    16. Fawad Ali & Maarif Sohail, 2018. "Effects of Corporate Social Responsibility on Consumer Purchase Intention," Pakistan Journal of Humanities and Social Sciences, International Research Alliance for Sustainable Development (iRASD), vol. 6(4), pages :477-491, December.
    17. Lecuyer, Charlotte & Capelli, Sonia & Sabadie, William, 2021. "Consumers’ implicit attitudes toward corporate social responsibility and corporate abilities: Examining the influence of bank governance using the implicit association test," Journal of Retailing and Consumer Services, Elsevier, vol. 61(C).

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