Impact of ethical and philanthropy responsibility on customer’s loyalty: A study on Jordanian food products companies

Abstract

These days, the competition to attract investments is the main purpose of the companies and has become one of the most crucial factors affecting the continuity and development of companies in general. Corporate social responsibility leads to creating a competitive advantage for companies by improving their reputation of companies and increasing the loyalty of customers. Thus, customer loyalty is one of the most important factors that help and develop the competitive advantage of companies. In fact, modern trends are more focused on customers instead of products. This study is aimed at identifying the impact of the corporate social responsibility (ethical responsibility and philanthropy responsibility) on the customer loyalty dimension (attitudinal loyalty, behavioral loyalty and knowledge loyalty). The study targeted a sample of customers from Jordanian food product companies. The analytical descriptive method was applied and a questionnaire was used as the primary tool for collecting data and testing the hypotheses and answering the questions of the study. The findings indicate that there is a partial positive effect of social responsibility on the customer’s loyalty. The study also showed that there is a positive relationship between social responsibility and customer loyalty. The study recommended that food product companies may adopt the philosophy of social responsibility within their marketing plans. In addition, the study recommended that it is important to establish an institutional and community culture to boost the social responsibility knowledge and customer’s awareness of its importance.