The impact of CSR and green consumption on consumer satisfaction and loyalty: moderating role of ethical beliefs

Abstract

The present study introduces an innovative conceptual framework for analyzing the influence of corporate social responsibility and green consumption on customer satisfaction and loyalty. The study employed a quantitative methodology, wherein data was gathered through face-to-face surveys from a sample of 329 participants in Pakistan during the period from November 2022 to February 2023. The collected data was subsequently subjected to analysis using partial least squares structural equation modeling (PLS-SEM). The results demonstrate that corporate social responsibility (CSR) has a significant and positive impact on consumer satisfaction, which subsequently serves as a significant predictor of loyalty. The research findings indicate a significant correlation between consumers' ethical beliefs, specifically idealism and relativism, and their engagement in green consumption. Furthermore, it is observed that green consumption positively influences consumer satisfaction. Additionally, the research revealed that the variables of idealism and relativism do not exert a moderating influence on the association between corporate social responsibility (CSR) and consumer satisfaction. The results underscore the significance of managers directing their attention towards cultivating more robust customer relationships through the prioritization of satisfaction within their corporate social responsibility (CSR) initiatives. This study aimed to assess a theoretical framework that delineates the fundamental connections between corporate social responsibility (CSR), green consumption, consumer satisfaction, and loyalty. While prior research has predominantly concentrated on corporate viewpoints and employee attitudes towards CSR, this research sought to fill the gap by examining the aforementioned relationships from a consumer perspective.

Keywords: CSR; Consumer loyalty; Consumer satisfaction; Ethical beliefs; Green consumption; PLS-SEM.