Bank customers’ preferences and responses to Corporate Social Responsibility (CSR) initiatives in Ghana

Abstract

The study sought to investigate Ghanaian bank customers' ranked preference for corporate social responsibility (CSR) initiatives and determine which initiative has the greatest effect on their attitudes and behaviour toward banks. A sample of 384 retail bank customers was employed in the study. The study applied a one-way MANOVA and two univariate ANOVAs. The study found that customers have the highest preference for corporate philanthropy initiatives, followed by customercentric and community volunteering initiatives. Additionally, the overall effects of CSR initiatives on customers' attitude and behavioural intentions toward bank brands are found to be significant. More specifically, the study found, using a Scheffé post-hoc test, that corporate philanthropy initiatives have the greatest effect on both attitude and behavioural intentions towards bank brands. Based on the findings, the study recommends that corporate philanthropy initiatives are the best type of CSR initiative that retail banks should apply to enhance customers' attitudes and behaviour towards their brands in Ghana.

Research on Corporate Social Responsibility in Ghana

“…The evidence obtained suggests that philanthropic CSR issues lead to positive customer reactions towards banks. In tandem with the findings by Hinson, Renner and van Zyl (2016), Alomenu, Effah and Kutu-Adu (2015) also found that CSR practices of Ghanaian banks were mostly philanthropic and altruistic. The authors also established a positive relationship between CSR and customers' selection of and long-term relationship with banks.…”

“…The authors also established a positive relationship between CSR and customers' selection of and long-term relationship with banks. On CSR information needs of customers of Microfinance Institutions (MFI) in Ghana, Okoe and Boateng (2016) however found that such needs were primarily ethical and economic than legal and philanthropic, contrary to the findings by Hinson et. al.…”

“…(2011), the vast majority of the research papers, twenty-four, representing 51.06% focused on marketing (e.g. Hinson et. al.…”

“…Andrews, 2016) and banking (e.g. Hinson et. al., 2016) have been very dominant in CSR studies in Ghana.…”

“…The articles highlighted all the five thematic areas, however, majority of them (twenty-four) focused on sociallyoriented issues, with particular emphasis on how CSR can contribute to societal development or improving the lives of members within the community (e.g. Yankson, 2010;Hinson et. al.…”