Effects of corporate social responsibility on corporate identity of small and medium telecommunication firms in Kenya

Abstract

While the creation of a strong reputation and image has been recognized as an important factor in the success or failure of virtually all major organizations for some time, CSR has only recently been acknowledged as one of the most important factors in determining corporate reputation. The study examined the effects of corporate social responsibility on corporate identity of small and medium telecommunication firms in Kenya. The study was guided by four objectives: To examine the effect of economic aspect of corporate social responsibility on corporate identity of telecommunication firms in Kenya, to find out effect of legal aspect of corporate social responsibility on corporate identity of telecommunication firms in Kenya, to examine effect of philanthropic aspect of corporate social responsibility on corporate identity of telecommunication firms in Kenya and to examine the effect of ethical aspect of corporate social responsibility on corporate identity of telecommunication firms in Kenya. Various stakeholders will benefit from the findings: SMEs, practitioners, policy-makers and academics. The study adopted a descriptive research design. Proportionate Stratified sampling technique was used to select a sample of 203 both employees and customers. Structured questionnaire was used containing both open and close-ended questions. Data was analyzed using SPSS and findings presented using descriptive tools such as means and standard deviations. The entire alternative hypotheses were accepted, generally showing that CSR has a significant positive relationship with corporate identity of telecommunication firms in Kenya. The study found that organizations in certain settings engage more actively in CSR and ethical programs to ensure effectiveness of their corporate identity efforts. It also showed that larger, service based firms should keep in mind that CSR will help them to increase their image attractiveness, and as such are able to endorse image-building marketing activities.