Role of Proactive and Reactive CSR in Consumer Purchase Intention: Moderation of Word of Mouth on Social Media
DOI:
https://doi.org/10.56976/rjsi.v6i2.242Keywords:
CSR, Corporate Social Responsibility, WOM, Word Of Mouth, Proactive CSR, Reactive CSR, RCSR, Consumers, Buying AttitudeAbstract
The corporate social responsibility means caring for the society; firms are investing in different projects and social activities to get the attention of the common people. There are two categories of CSR; the first one is Proactive CSR and the other one is Reactive CSR. The firms follow either proactive CSR or reactive CSR the ultimate goal is to position itself as a society-caring company. This research explains the relation between the PCSR and RCSR (as the independent variable) with the Consumer Purchase Intention (dependent variable) and the moderation effect of word of mouth. The variables are continuous therefore Likert scale is used to collect data and analyses were done on SPSS software. Proactive CSR has higher correlation with consumer purchase intention as compared to Reactive CSR. When Word of mouth is used as moderator through the moderation process and adds word of mouth with Proactive CSR or Reactive CSR their relation and impact are higher than as individually (PCSR & RCSR). Several companies are doing different CSR activities in our society but if they use PCSR with WOM it has a good impact on Consumer purchase intention. This leads to a Consumer Buying attitude. Another implementation of this study is if a company is suffering in a social issue they may adopt the RCSR strategy with WOM creating with their stake holder the result will be positive and effective as the result of this study shows.
References
Al - Haddad, S., Sharabati, A. A., Al-Khasawneh, M., Maraqa, R., & Hashem, R. (2022). The Influence of Corporate Social Responsibility on Consumer Purchase Intention: The Mediating Role of Consumer Engagement via Social Media. Sustainability.
Asghar, T. N., Mortimer, T., & Bilal, M. (2022). Corporate governance codes in Pakistan: A review. Journal of Law & Social Studies (JLSS), 4(3), 383-392.
Birth, G., Illia, L., Lurati, F., & Zamparini, A. (2007). Communicating CSR: practices among Switzerland’s top 300 companies. Corporate Communications: An International Journal, 108-119.
Bouwman, J., & Berens, G. (2024). Proactive Versus Reactive Issues Management Strategies and Stakeholder Support for a Company. Corporate Reputation Review, 18-27.
Browne, C., Di Battista, A., Geiger, T., & Gutknecht, T. (2014). The executive opinion survey: The voice of the business community. The global competitiveness report 2014–2015, 85-96.
Carroll, A. B. (2021). Corporate social responsibility: Perspectives on the CSR construct’s development and future. Business & Society, 60(6), 1258-1278.
Carroll, A. B. (1979). A Three - Dimensional Conceptual Model of Corporate Performance. Academy of Management Review, 4, 497-505.
Chang, C. H. (2015). Proactive and reactive corporatesocial responsibility: antecedentand consequence. Management Decision, 53(2), 451-468.
Desjardins, J. (2018). Emerging Technologies A brief history of technology. World Economic Forum.
Du, S., Bhattacharya, C., & Sen, S. (2007). Reaping relational rewards from corporate social responsibility:The role of competitive positioning. International Journal of Research in Marketing, 224-241.
Dmytriyev, S. D., Freeman, R. E., & Hörisch, J. (2021). The relationship between stakeholder theory and corporate social responsibility: Differences, similarities, and implications for social issues in management. Journal of Management Studies, 58(6), 1441-1470.
Dwye, F. R., Schurr, P. H., & Oh, S. (1987, April). Developing Buyer-Seller Relationships. Journal of marketing, 51, 11-27.
Eccles, ,. R., Newquist, S. C., & Schatz, R. (2007). Public Relation Reputation and Its Risks. Harvard Business Review.
Epstein, M. J. (2018). Making sustainability work: Best practices in managing and measuring corporate social, environmental and economic impacts. Routledge.
Fait, M., Meissner, D., Gregori, G. L., Monge, F., & Cillo, V. (2022). To act or to react? The role of responsiveness in corporate social performance disclosure in preventing plastic pollution in the travel and tourism sector. Corporate Social Responsibility and Environmental Management, 29(6), 2065-2082.
Fatma, M., & Rahman, Z. (2016). The CSR's influence on customer responses in Indian banking sector. Journal of Retailing and consumer services, 49-57.
Fuertes, G., Alfaro, M., Vargas, M., Gutierrez, S., Ternero, R., & Sabattin, J. (2020). Conceptual framework for the strategic management: a literature review—descriptive. Journal of engineering, 2020(1), 6253013.
Goyette, I., Ricard, L., Bergeron, J., & Marticotte, F. (2010). e-WOM Scale: Word-of-Mouth Measurement Scale for e-Services Context. Canadian Journal of Administrative Sciences, 5-27.
Ireland, R. (2023). Sport, sponsorship and public health. Taylor & Francis.
Kemp, S. (2024). Digital 2024: Pakistan. DataReportal.
Krishnan, C., Majid Baba, M., Singh, G., & Mariappan, J. (2022). Viral marketing: a new horizon and emerging challenges. Principles of social networking: The new horizon and emerging challenges, 161-175.
Kuokkanen, H., & Sun, W. (2020). Companies, meet ethical consumers: Strategic CSR management to impact consumer choice. Journal of Business Ethics, 166(2), 403-423.
Li, F., Chung, J. W., & Claypool, M. (2021). Three-year Trends in YouTube Video Content and Encoding. In SIGMAP (pp. 15-22).
Majeed, M., Owusu-Ansah, M., & Ashmond, A. A. (2021). The influence of social media on purchase intention: The mediating role of brand equity. Cogent Business & Management, 8(1), 1944008.
Munaro, A. C., Hübner Barcelos, R., Francisco Maffezzolli, E. C., Santos Rodrigues, J. P., & Cabrera Paraiso, E. (2021). To engage or not engage? The features of video content on YouTube affecting digital consumer engagement. Journal of consumer behaviour, 20(5), 1336-1352.
Mcwilliams, A., & Siegel, D. (2001). Corporate Social Responsibility:Atheory of the firm perspective. Academy of Management Review, 26, 117-127.
Mulaessa, N., & Wang2, H. (2017). The Effect of Corporate Social Responsibility (CSR) Activities on Consumers Purchase Intention in China: Mediating Role of Consumer Support for Responsible Business. International Journal of Marketing Studies, 9, 73-81.
Murray, K. B., & Vogel, C. M. (1997). Using a Hierarchy-of-Effects Approach to Gauge the Effectiveness of Corporate Social Responsibility to Generate Goodwill Toward the Firm: Financial versus Nonfinancial Impacts. Journal of Business Research, 141-159.
Ricks, j. J. (2005). An Assesment of strategic corporate Philanthropy on Perceptions of Brand Equity variable. Journal of Consumer Marketing, 121-134.
Sharma, R. (2024). Consumer perceived corporate social responsibility and electronic word of mouth in social media: mediating role of consumer company identifcation and moderating role of user generated content. Journal of Financial Services Marketing, 98, 77-92.
Siddiqui, M. S., Siddiqui, U. A., Khan, M. A., Alkandi, I. G., Saxena, A. K., & Siddiqui, J. H. (2021). Creating electronic word of mouth credibility through social networking sites and determining its impact on brand image and online purchase intentions in India. Journal of Theoretical and Applied Electronic Commerce Research, 16(4), 1008-1024.
Singh, K., & Misra, M. (2022). The evolving path of CSR: toward business and society relationship. Journal of Economic and Administrative Sciences, 38(2), 304-332.
Srinivasa, R. (2022). Effectiveness of neuromarketing in food companies: hijacking brains (Doctoral dissertation, Dublin, National College of Ireland).
Turker, D. (2009). Measuring Corporate Social Responsibility:A Scale Development Study. Journal of Business Ethics, 411-427.
Vieira, V. A., Wolter, J. S., Araujo, C. F., & Frio, R. S. (2022). What makes the corporate social responsibility impact on Customer–Company identification stronger? A meta-analysis. International Journal Of Research in Marketing, 18, 57-68.
Vlachos, P. A., Panagopoulos, N. G., & Rapp, A. A. (2013, December). Feeling Good by Doing Good: Employee CSR-Induced Attributions, Job Satisfaction, and the Role of Charismatic Leadership. Journal of Business Ethics,, 118, 577-588.
Wagner, T., Lutz, R. J., & Weitz, B. A. (2009, November). Corporate Hypocrisy: Overcoming the Threat of Inconsistent Corporate Social Responsibility Perception. Journal of Marketing, 73, 77-91.
Yoon, Y., Canli, Z. G., & Schwarz, N. (2006). The Effect of Corporate Social Responsibility (CSR) Activities on Companies With Bad Reputations. Journal Of Consumer Psychology, 377-390.
Wang, Z., Liu, X., Zhang, L., Wang, C., & Liu, R. (2022). Effect of matching between the adopted corporate response strategy and the type of hypocrisy manifestation on consumer behavior: Mediating role of negative emotions. Frontiers in Psychology, 13, 831197.
Zheng, Q., & Lin, J. (2024). Corporate social responsibility:an enabler of organizational resilience. Management Decision,17, 36-45.
Downloads
Published
How to Cite
Issue
Section
License
Copyright (c) 2024 Muhammad Ibrahim Khan, Sidra Pervez, Muhammad Naeem Khan
This work is licensed under a Creative Commons Attribution 4.0 International License.