A Framework for Understanding CSR Programs as a Continuum: An Exploratory Study
Brief Abstract
This exploratory study proposes a continuum-based framework for understanding Corporate Social Responsibility (CSR) programs, categorizing them as either Institutionalized or Promotional. Drawing on the stakeholder theory and the consumer response research, the study evaluates the differential impacts of these CSR types on four consumer outcomes: customer loyalty, purchase intent, skepticism, and attitude toward the company. Institutionalized CSR, characterized by comprehensive, organization-wide social commitments, is found to more effectively enhance loyalty, reduce skepticism, and improve corporate attitudes. Promotional CSR, focused on cause-related marketing efforts aimed at short-term gains, is comparatively less effective across these dimensions. Implications for ethical business practices and CSR management are discussed throughout the article and the findings suggest that firms seeking long-term consumer trust and loyalty may benefit more from adopting institutionalized CSR strategies.
Key Findings
The study conceptualizes Corporate Social Responsibility (CSR) programs along a continuum with two endpoints—Institutionalized CSR and Promotional CSR—based on organizational commitment and stakeholder engagement breadth.
Consumers respond differently to Institutionalized and Promotional CSR initiatives, indicating that CSR type significantly influences key consumer perceptions and behaviors.
Institutionalized CSR programs, characterized by holistic and embedded organizational practices, produce significantly higher customer loyalty, purchase intent, positive attitudes toward the company, and trust (lower skepticism) about the company’s CSR motivation.
Institutionalized CSR is more effective for long-term brand equity, trust building, and stakeholder alignment, whereas Promotional CSR may offer limited short-term commercial benefits.
Managers should align CSR strategy with intended stakeholder outcomes, recognizing that deeper, organization-wide CSR investments yield more favorable consumer perceptions and sustainable brand benefits.
Opportunities for Further Research
Investigating the mediating role of customer satisfaction and additional factors like personal determination and social support could offer a more nuanced understanding of how CSR influences long-term loyalty development.
While this study focuses on consumer responses, further research should assess how other stakeholder groups (e.g., employees, investors, suppliers) perceive and are influenced by Promotional versus Institutional CSR initiatives.
Long-term studies are needed to evaluate how sustained engagement in either CSR type affects brand equity, reputation, and financial performance over time.
Research could examine whether demographic, psychographic, or cultural factors mediate consumer responses to CSR type—e.g., how values alignment or identity influences CSR perceptions.
Applying Social Identity Theory more rigorously could help explain how and why consumers affiliate with CSR-engaged brands, especially those with strong ethical or moral stances.
Definitions
Corporate Social Responsibility (CSR): a company's commitment to operate ethically and contribute to economic development while improving the quality of life for employees, local communities, and society at large.
Institutionalized CSR Programs: CSR initiatives that are integrated comprehensively throughout the organization, addressing the needs of all stakeholder groups (e.g., employees, communities, environment, customers). These programs are driven by a long-term commitment to social values and ethical practices.
Promotional CSR Programs: CSR efforts primarily designed to drive short-term sales, often through cause-related marketing campaigns. These programs tend to target consumers specifically and lack a broader stakeholder focus or organization-wide integration.
Stakeholder: Any individual or group that can affect or is affected by an organization’s objectives. Primary stakeholders include shareholders, employees, customers, suppliers, governments, and community organizations.
Stakeholder Theory: A framework suggesting that a firm’s success is contingent upon satisfying both its economic and non-economic objectives by addressing the needs and concerns of various stakeholder groups.
Purchase Intent: The likelihood or stated willingness of a consumer to buy a company’s product, often used as a behavioral proxy in response to marketing or CSR initiatives.
About the Authors
Julie Pirsch, Ph.D., is an Assistant Professor of Marketing at Villanova University. She holds a Ph.D. in Marketing and focuses her academic research on corporate social responsibility (CSR), cause-related marketing, and new product development. Her work explores the ways in which ethical business practices and CSR strategies influence consumer perceptions and behavior. Dr. Pirsch’s scholarship contributes to the broader understanding of marketing as a socially embedded practice, and she has presented her research at national and international marketing conferences.
Shruti Gupta, Ph.D., is an Assistant Professor of Marketing at The Pennsylvania State University, Abington campus. She earned her doctorate in marketing and specializes in research areas including corporate social responsibility, environmental consumerism, social marketing, and cause-related marketing. Dr. Gupta’s work investigates how socially responsible business practices shape consumer decision-making and stakeholder engagement. Her research integrates ethical theory with practical marketing strategies and has appeared in several peer-reviewed academic journals.
Stacy Landreth Grau, Ph.D., is an Assistant Professor of Marketing at Texas Christian University. She received her Ph.D. in Marketing and conducts research in the areas of cause-related marketing, social marketing alliances, and advertising source effects. Dr. Grau’s academic interests lie at the intersection of marketing communications and social impact, examining how brands can leverage partnerships and messaging to align with social causes. Her work has informed both scholarly discussions and applied marketing practices regarding ethical branding and strategic consumer engagement.