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An investigation of the effects of corporate social responsibility on corporate reputation and customer loyalty – evidence from the Taiwan non-life insurance industry

Chen-Ying Lee (Department of Risk Management and Insurance, Shih Chien University, Taipei, Taiwan)
Wei-Chen Chang (Department of Insurance and Finance Management, Chihlee University of Technology, Taipei, Taiwan)
Hsin-Ching Lee (Department of Insurance and Finance Management, Chihlee University of Technology, Taipei, Taiwan)

Social Responsibility Journal

ISSN: 1747-1117

Article publication date: 5 June 2017

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Abstract

Purpose

Corporate social responsibility (CSR) has gradually come to be regarded as a strategic business tool, and has a significant influence on consumers’ behaviours, but few studies discuss CSR regarding consumers’ behaviour in the insurance industry. The purpose of this paper is to investigate the effects of CSR on corporate reputation and customer loyalty.

Design/methodology/approach

This paper used a survey to assess consumers’ perception regarding CSR activities from non-life insurance industries. The questionnaires were administered to consumers who have purchased insurance in Taiwan. The survey questions were tested through an exploratory factor analysis. An analysis of variance and multiple regressions were performed to test the hypotheses.

Findings

The empirical results demonstrate that CSR activities have significantly positive influences on corporate reputation and customer loyalty. Additionally, CSR activities also have significantly positive influences on brand image. Furthermore, the study indicates the mediating role of brand image on CSR, corporate reputation and customer loyalty.

Originality/value

This paper establishes the mediating role of brand image among CSR, corporate reputation and customer loyalty for non-life insurance industries. Additionally, the empirical results focus on analysing the impact of CSR on customer’s behaviour, and strongly encourage insurers to continue investing; CSR and brand image can be strategic marketing tools and promote the sustainable development of insurance.

Keywords

Citation

Lee, C.-Y., Chang, W.-C. and Lee, H.-C. (2017), "An investigation of the effects of corporate social responsibility on corporate reputation and customer loyalty – evidence from the Taiwan non-life insurance industry", Social Responsibility Journal, Vol. 13 No. 2, pp. 355-369. https://doi.org/10.1108/SRJ-01-2016-0006

Publisher

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Emerald Publishing Limited

Copyright © 2017, Emerald Publishing Limited

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