Corporate social responsibility

Journal of Business & Economics Research – June 2012

Volume 10, Number 6

Brand-Consumer Relationship
And Corporate Social Responsibility:
Myth Or Reality & Do Consumers
Really Care?
Elias G. Rizkallah, Ph.D., La Sierra University, USA

ABSTRACT
Companies are claiming that they are being challenged to maintain profitability and behave in socially responsible ways. The question is how much “the social responsibility” is a real pressure.
Do consumers really know what the companies, producing their favorite brands, are doing? Do consumers really care? How much of an effect do the company practices have on the consumer’s response to a brand? Or does the consumer-brand relationship have nothing to do with the company’s practices? Does the customer’s response change with the type of company practices
(e.g. environmentally friendly or not, treats well or mistreats employees, relationship with suppliers, supports or doesn’t support social causes, etc.)? Does such response depend on who the customer is (e.g. different demographics, loyalty to a brand, or level of awareness of societal issues, etc.)? The study attempts to answer these questions and more. The survey included a random sample of 317 adult individual consumers in the Southern California region. Results of the survey are presented within a conceptual framework hypothesizing that the relationship between the consumer and the brand can be affected differently by the company’s different practices in regard to social responsibility; and by the consumer’s characteristics. The paper concludes with some recommendations that may benefit interested companies, social-action groups, and policymakers.
Keywords: Corporate Social Responsibility (CSR); Consumer-Brand Relationship; Brand Loyalty; Consumer
Behavior

INTRODUCTION

I

n today’s complex world global competition is soaring; consumers are more aware, connected, and empowered by the information revolution through the Internet;

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