Corporates are facing increasing pressure to operate in a socially responsible ways. The importance of Corporate Social Responsibility initiatives is due to their relation to competitive advantage, financial result, customer behavior, and corporate reputation as well. Therefore, the purpose of this study is to examine the mediating role of consumer satisfaction and corporate reputation on achieving competitive advantage for corporates, and then measuring the impact on creating competitive advantage for corporates that apply social responsibility in the Kingdom of Saudi Arabia. The experimental results of the study have demonstrated that the initiatives of (CSR) are affected by the economic, legal, ethical, and discretionary activities. The tests have also confirmed the direct relationship between the initiatives of (CSR) and competitive advantage as a strong positive relationship. The results of this study emphasize on the ability of customer satisfaction and corporate reputation to play completely mediating role between (CSR) and competitive advantage. Customer satisfaction also affects more strongly the achievement of competitive advantage. It affects with direct and indirect relationship through corporate reputation. This has been concluded based on the results from a sample of 300 Saudi corporates. The results of this study indicate that (CSR) appears as an effective strategic objective. Therefore, Saudi corporates should consider the initiatives of (CSR) as a way to construct intangible assets such as customer satisfaction and corporate reputation. Saudi corporates, therefore, need to exert all their efforts to engage in the activities of corporate social responsibility, which represent a powerful strategy for those corporates.

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