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Branding through responsibility: the advertising impact of CSR activities in the Korean instant noodles market

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  • Youngjin Hong
  • In Kyung Kim
  • Kyoo il Kim

Abstract

This paper empirically examines the extent to which a favorable view of a firm, shaped by its social contributions, influences consumer choices and firm sales. Using a favorability rating that reflects media exposure of each firm's corporate social responsibility (CSR) activities in the Korean instant noodles market during the 2010s, we find evidence that improvements in the corporate image of Ottogi - one of the country's largest instant noodle producers - positively affected consumer utility for the firm's products. Notably, Ottogi's annual sales of its major brands increased by an average of 23.7 million packages, or 6.7%, as a result of CSR activities and the associated rise in consumer favorability. This effect is comparable in magnitude to that of a nearly 60% increase in advertising spending. Our findings suggest that CSR can foster firm growth by boosting product sales.

Suggested Citation

  • Youngjin Hong & In Kyung Kim & Kyoo il Kim, 2025. "Branding through responsibility: the advertising impact of CSR activities in the Korean instant noodles market," Papers 2507.05782, arXiv.org.
    • Handle: RePEc:arx:papers:2507.05782
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