Corporate Social Responsibility and Brand Loyalty: A Literature Review

This literature review examines the critical relationship between Corporate Social Responsibility (CSR) and brand loyalty, highlighting their significance for organizational success. It explores how CSR, encompassing activities aimed at social benefits, influences consumers' purchasing behavior and brand trust. The review synthesizes research from various authors, discussing the impact of CSR on customer base, customer expectations, and service. It also analyzes factors affecting brand loyalty, such as customer service, price, and product availability. The review further identifies strategies to improve brand loyalty through product quality, marketing activities, collaborative working, and understanding market needs. The conclusion emphasizes the importance of CSR in enhancing market conditions, promoting brand loyalty, and achieving long-term sustainability, while also underscoring the role of customer satisfaction and service in this process. The paper provides a comprehensive overview of the existing research and provides insights on how companies can build trust and foster customer loyalty through effective CSR initiatives.

CSR and Brand Loyalty

LITERATURE REVIEW
Concept of CSR and Brand Loyalty
Huang and Sarigöllü (2012) has contended that CSR and brand loyalty are critical
aspect for every organization because it assist in leading business firm towards impressive
level of success. Corporate social responsibility is considered as form of corporate activities
which are framed for social benefits. It means by having a promotional activities the
company also targets society. On the other side, brand loyalty is also being referred as
tendency of some consumers to continue buying the same brand of goods rather than
competing brands. It has been noticed that by having an improved focus on such aspects the
issues can be overcome in desired manner and lead business firm to impressive level of
success. Hollensen (2015) has asserted that brand loyalty allows to create a positive work
environment so that goals and objectives can be accomplished in desired manner. It also
enhances the morale of customers to have purchase of products and services in order to meet
sustainable aspects. Brand loyalty is factor in which individual reflects his trust on the brand
and its products. Moreover, there are number of CSR activities which are generally adopted
by business entity. Providing scholarship to poor students is one of key activity which is
being employed by the researcher so that goals and objectives can be accomplished.
Lee and Carter (2011) has asserted that CSR allows business to promote business key
values in appropriate manner. With an assistance of this, national and international values of
business can be advanced in critical manner. It is also significant for business firm to focus
on norms and legal aspects which are associated with the CSR activities so that sustainable
aspects can be attained in desired manner. It is also necessary to create better awareness in
regard to work culture so that application of CSR can be taken into account. Companies are
well focused towards improvement in its creativity so that experience in regard to CSR
activities can be advanced. Leonidou, Palihawadana and Theodosiou (2011) has said that
introducing a social welfare campaigning is also a critical element which need to be referred
effectively by companies. It assists in meeting the standards of CSR activities so that goals
and objectives can be accomplished in desired manner.
Relationship between CSR activities and brand loyalty
Li and Green (2011) has stated that a CSR activity has a great relationship with brand
loyalty. By having an improved focus on the CSR activities the companies can easily advance
customer base. It creates trust among customers and makes them feel motivated to have
purchase of goods and services of brand. It has been noticed that by having an improved
focus on the CSR activities the businesses are improving brand loyalty in diverse way. By

having an improved focus CSR activities the businesses are having evaluation of their
capabilities. In this, customers are also focused towards analysis of company belief. If social
belief is being promoted in CSR activities then it will attract customers in positive way. Luan
and Sudhir (2010) has asserted that trust is one of critical aspect which need to be referred
effectively from the manager while designing the marketing strategies. By having an
application of CSR such kind of standards can be well maintained in desired manner.
CSR present company as a trusted brand in the market that indicates that brand loyalty
has great relationship with CSR. Musi (2008) has contended that application of CSR allows
to enhance the market conditions positively for company. It also reflects that with an help of
CSR the brand loyalty can be advanced in critical manner for sustainable development.
Factors that affect brand loyalty
Matten and Moon (2008) has contended that a customer expectation is referred as one
of critical factor which affect the brand loyalty. It has been noticed that if company is not
meeting the standards of expectations in appropriate manner then overall outcome might be
affected in diverse way. CSR and marketing activities must be framed in such manner that
level of customer expectations can be accomplished in desired manner. Along with this,
customer service is also a factor which has great impact on the brand loyalty. Author has
stated that if customer service is not appropriate then negative outcome can be faced.
Customer service is referred as activity which allows to meet the satisfaction level. It is one
of key reason that brand loyalty can be affected if satisfaction level among customers is not
appropriate. Company also needs to focus on price, values and product availability so that
goals and objectives can be accomplished in desired manner.
Ways to improve brand loyalty
According to Musi (2008), there are number of ways that can be employed by
business firm so that brand loyalty can be advanced. Improvement in quality of products and
services is need to be taken into account. Marketing activities are needed to be developed as
per key standards so that goals and objectives can be accomplished in desired manner. It is
necessary for management to have effective promotion of collaborative working. By having
an effective focus on the collective working the issues can be overcome in desired manner.
Effective understanding of market needs is also essential so that goals and objectives can be
accomplished in desired manner. Luan and Sudhir (2010) has stated that by having an
continuous improvement in services the overall performance can be advanced in critical
manner. It has been noticed that by having an assistance of performance improvement the
customer satisfaction can also be advanced in critical manner. In addition to this, it can be

said that customer satisfaction is also beneficial for better brand loyalty and lead business
firm to impressive level of success.
Musi (2008), has contended that by having a development of products and services according
to customer needs the business firm can improve its customer base. It allows enhancing the
customer satisfaction and leading business firm to impressive level of success. With an
assistance of this, long term sustainability can be promoted within organisation so that goals
and objectives can be accomplished effectively. It helps in brand loyalty improvement so that
better opportunities can be attained for business firm.
CONCLUSION
As per detailed study, it can be concluded that CSR and brand loyalty are critical
aspect for every organization because it assist in leading business firm towards impressive
level of success. Corporate social responsibility is considered as form of corporate activities
which are framed for social benefits. It means by having a promotional activities the
company also targets society. In addition to this, by having an improved focus CSR activities
the businesses are having evaluation of their capabilities. In this, customers are also focused
towards analysis of company belief. If social belief is being promoted in CSR activities then
it will attract customers in positive way. It has also been identified that customer service is
referred as activity which allows to meet the satisfaction level. It is one of key reason that
brand loyalty can be affected if satisfaction level among customers is not appropriate.

REFERENCES
Books and Journals
Hollensen, S., 2015. Marketing management: A relationship approach. Pearson Education.
Huang, R. and Sarigöllü, E., 2012. How brand awareness relates to market outcome, brand
equity, and the marketing mix. Journal of Business Research. 65(1). pp.92-99.
Kotler, P. and Lee, N., 2008. Corporate social responsibility: Doing the most good for your
company and your cause. John Wiley & Sons.
Lee, K. and Carter, S., 2011. Global marketing management. Strategic Direction, 27(1). Pp.
25-36.
Leonidou, L. C., Palihawadana, D. and Theodosiou, M., 2011. A service perspective on
business relationships: The value creation, interaction and marketing
interface. Industrial marketing management, 40(2), pp.240-247.
Leonidou, L. C., Palihawadana, D. and Theodosiou, M., 2011. National export-promotion
programs as drivers of organizational resources and capabilities: effects on strategy,
competitive advantage, and performance.Journal of International Marketing. 19(2).
pp.1-29.
Li, M. L. and Green, R. D., 2011. A mediating influence on customer loyalty: The role of
perceived value. Journal of Management and Marketing Research. 7. p.1.
Lindgreen, A. and Swaen, V., 2010. Corporate social responsibility. International Journal of
Management Reviews. 12(1). pp.1-7.
Luan, Y. J. and Sudhir, K., 2010. Forecasting marketing-mix responsiveness for new
products. Journal of Marketing Research. 47(3). pp.444-457.
Matten, D. and Moon, J., 2008. “Implicit” and “explicit” CSR: A conceptual framework for a
comparative understanding of corporate social responsibility. Academy of management
Review. 33(2). pp.404-424.
Musi, N., 2008. Elevated toll-like receptor 4 expression and signaling in muscle from insulin-
resistant subjects. Diabetes. 57(10). pp.2595-2602.