dc.description.abstract |
CSR activity is an important part of many banks' mission statement and serves as a guide to what
the firm stands for and how it aims tofulfill these aspirations. Moreover, CSR is often cited as a
key determinant of customer loyalty, either directly or indirectly, via different constructs. The
objectives of this study were to assess CSR activities carried out by banks in Bahirdar city branches
and investigate the effects of CSR activities on customers' loyalty. This study was used cross
sectional mixed explanatory survey design research type and regression analysis was usedfor the
purpose of hypothesis testing. The study was conducted in 5 banks of Bahirdar city branches and
sample size of 100 respondents were participated. Primary data was collected through close ended
questionnaires and interviews. The researcher was used.both descriptive and inferential statistics
to involve measurement or relationships and differences between or among the variables. The data
was presented and analyzed using SPSS version 20 statistical software and all comparisons were
seen at (p<0.05) level of significance. As a result CSR activities were carried out by banks even
though the percent of the activity was different from bank to bank and the correlations showed
significantly positive relation with customer loyalty at p<O.Oland the regression analysis showed
significantly different result at p<O.000. Therefore, the null hypothesis of philanthropic, legal and
ethical responsibilities were rejected and the alternative hypothesis were accepted In addition the
null hypothesis of economic responsibility was accepted. In conclusion CSR activities practiced
by banks in Bahirdar city branches have positive effect on customers' loyalty. Finally the study
recommends; banks should applied CSR activities since they are considered trustworthy by
customers and augment long term relationship with customers which may in turn encourage long
term success. |
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