Corporate Social Responsibility and Consumer Trust: Analyzing the Link Between Ethical Practices and Brand Loyalty

Authors

  • Grahovac, J., and D.J. Miller. Jožef Stefan Institute Ljubljana ,Sloveniaelena Author

Abstract

This research explores the intricate relationship between corporate social responsibility (CSR) initiatives and consumer trust, emphasizing how ethical business practices influence brand loyalty. As consumers become increasingly aware of social and environmental issues, businesses are recognizing the importance of integrating CSR into their core strategies. The study begins with a comprehensive review of CSR literature, outlining various dimensions of corporate ethics, including environmental sustainability, fair labor practices, and community engagement. By employing a mixed-methods approach that includes surveys and focus groups, the research gathers data on consumer perceptions of CSR initiatives from a diverse demographic. Case studies of companies renowned for their CSR efforts—such as Patagonia and Ben & Jerry’s—are analyzed to illustrate the tangible benefits of ethical practices on consumer trust and loyalty. The findings reveal that businesses that prioritize CSR not only enhance their public image but also cultivate stronger emotional connections with consumers, leading to increased brand loyalty and advocacy. Additionally, the paper discusses the implications for marketing strategies, suggesting that transparency in CSR communications is essential for building trust. Ultimately, the research aims to provide actionable insights for businesses seeking to strengthen their CSR initiatives and enhance consumer relationships.

Published

2025-03-21

Issue

Section

Articles