Influence of corporate social responsibility on non-financial performance

Kwamena Minta Nyarku and Seth Ayekple

Social Responsibility Journal, 2018, vol. 15, issue 7, 910-923

Abstract: Purpose - Using a multinational corporation (MNC), Nestlé Ghana Limited (NGL) that operates in a developing economy (Ghana) as a case study, this paper aims to examine the influence of customers’ CSR awareness level and their perception of NGL’s corporate social responsibility (CSR) motives on the firm’s non-financial performance (image and reputation). Design/methodology/approach - A quantitative approach, using questionnaires and simple random sampling method, was used to survey 300 customers. Structural equation model-partial least square (SEM-PLS) was used to analyse the data. Findings - The results show that customers’ CSR awareness levels have a positive impact on NGL’s image and reputation. In contrast, the study revealed that customers’ perception of NGL’s CSR motives has a negative impact on NGL’s image and reputation. Practical implications - NGL should maintain a balance between customers’ perception of its CSR motives and its image and reputation to project the firm’s CSR position as posted in the firm’s create shared value report. Originality/value - The study is one of the few studies in sub-Saharan Africa, and especially in Ghana, about how an MNC’s CSR engagements influence its image and reputation in a developing economy context. It further makes a contribution to CSR literature in Ghana.

Keywords: Corporate social responsibility; Corporate image and reputation; CSR awareness level; Nestlé Ghana limited; Perception of CSR motives (search for similar items in EconPapers)
Date: 2018
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Citations: View citations in EconPapers (5)

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Persistent link: https://EconPapers.repec.org/RePEc:eme:srjpps:srj-04-2017-0059

DOI: 10.1108/SRJ-04-2017-0059

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