Exploring the Marketing Effect of Corporate Social Responsibility - An Experimental Design Approach

Abstract

Corporate social responsibility (CSR) is value oriented, based on the perspectives of stakeholders and issues considered essential. Using experimental design, this study designs scenarios in terms of consumer's prior purchase experience with products associated to CSRs. The purpose aims to demonstrate the marketing effect of CSR initiative whereby it stimulates buyers to purchase a high priced CSR-related product or stay with such a product when they are aware of the CSR behavior of the seller. Such effect is examined further for those of less or no prior experience in purchasing CSR-related goods. Our goal is to explore the response of general consumers on ethics relevant issues for better understanding of CSR in business.