This paper investigates how CSR impact on customer satisfaction.

1. Authors: ASHIQ HUSSAIN JALALI (42841)
SAAD BIN ZARAR (42800)
SHAHZOR GILL (41153)
ADDRESS: ishq0660@gmail.com
Shazey497@gmail.com
SUBMIT TO: PROF. SIR QAISER SHAFE
PROGRAM: M.COM
FINAL PROJECT 2023

2. The mediating role of service quality, corporate image, and corporate
reputation between corporate social responsibility(CSR) and customer
satisfaction
Ashiq Hussain, Saad Bin Zarar and Shazor Gill
Department of Management Sciences, Riphah International University Islamabad, Pakistan
A R T I C A L I N F O A B S T R A C T
1: Introduction
Every organization wants to improve its financial performance. An enhance the
financial performance organization has to perform different activities and has
to set a good reputation among shareholders and stakeholders. (1)To boost
performance organization makes different strategies(2). Financial performance
is actually the standing position of an organization. It has been stated that
corporate social responsibility, corporate reputation( 7,8) corporate image, and
service qualities can boost customer loyalty which would definitely positively
impact the performance of the organization. There are two perceptions about
CSR in the organization. Some researchers are opponents and some are in favor
of CSR participation in the organization. The opponent of CSR is Friedman
(9) who thinks that CSR negatively impacts the performance of a corporation
because CSR participation needs extra finance which makes weaken the
performance of the organization. On the other hand, the school of thought led
by Frederick (13) is opposite the claim of Friedman’s thesis, which claims that
the perception of Frederick about CSR is not acceptable. Friedman claims that
corporations need to be active in social activities but not just economic
activities, which society wants from organizations. To resolve this issue, we
need more studies to investigate whether CSR positively or negatively impacts
customer satisfaction by mediating service quality, corporate reputation, and
image. Among all stakeholders’ customers are very important for an
organization because they can make strengthen and weaken, so we take the
customer as the dependent variable for this study. The satisfaction of the
customer is very important for the organization because it influences the sale
of the organization, we can say that it directly impacts the financial
performance of the organization. A 2021 BDC study found that 34% of
consumers consider the environmental impact of their purchasing decisions.
This percentage grew to 45% for consumers aged 18 to 34. (2). In other service-
connections between tourists' perceptions of the sustainability of tourism writers
present the idea of sustainability as a multifaceted construct built on the location
and their assessments of the value and enjoyment of the trip. The related fields of
research, and the literature looking at these connections have discovered more
support. Iniesta-Bonillo et al. (Citation 2016) investigate economic, social, and
environmental sustainability. The findings confirm that satisfaction and
sustainability have a beneficial link. CSR and company culture issues are highly
complex. Zhang (2017) argues that although some global companies may have the
same CSR strategy in different countries, each country will have its own
characteristics, determined by cultural, historical, developmental, and local
situations. Industry context also affects CSR and its dimensions (Arminen et al.,
2018). That is why we focused on one country and the one banking sector in
Rawalpindi Punjab Pakistan. In this study, we examine how CSR can impact
customer satisfaction by mediating corporation image, service qualities, and
reputation of the organization. In this research, we try to answer the following
questions.
Can CSR impact customer satisfaction levels?
Can service qualities mediate between CSR and customer satisfaction?
Can the reputation of an organization change the satisfaction level of customers?
Can the good image of the corporation influence the customer’s satisfaction?
In a nutshell, our aim to research is to influence sustainability on customer
perceptions, for this purpose, we select the banking sectors in Rawalpindi Pakistan
because here people are actively participating to grow the banking sector of
Pakistan so we used the technique of online questionnaire distribution through
Authors:
Address: ishq0660@gmail.com (A. Hussain)
Shqzey497@gmail.com (S.Gill)
Keywords:
Corporate social responsibility
Service quality
Satisfaction
Image
Reputation
The study investigates the impact of corporate social responsibility on customer satisfaction to examine that through
mediating effect of service quality, corporate image and corporate reputation. To test the proposed hypotheses, Data
from Pakistan, Rawalpindi Satellite Town was collected through surveys to explore customers’ Banks experience.
Data were analyzed with the help of SPSS (statistical package for social science). Correlation and regression tests
were performed. The result indicates that there is direct relationship among all these variables. The result also proved
that there is direct and positive significant impact of CSR on service quality, corporate image, corporate reputation
and customers satisfaction. Among all variables corporate image and service quality were significant whereas CSR
and corporate reputation were not significant according to finding.

3. 2: Literature Review and Hypotheses
Development
google forms. The data was mainly collected from the customers of different
banks in different regions of Rawalpindi. we provide a literature review to
determine the research gap, formulate hypotheses, and present a theoretical
model. Next, we present the methodology and results of the study. Finally, we
discuss findings and present implications for practice and for science.
Conclusions and ideas for further research close this article.
positive CSR, their evaluations of the company and attitude toward it will be
positive, which leads to higher loyalty (McCain et al., 2019).
H1. Customer perceptions of CSR have a significant effect
on customer satisfaction.
2.3. Mediating effects in the CSR-customer satisfaction
As mentioned earlier in this paper, increased social awareness has led to a
significant increase in research examining the impact of CSR on customers. The
literature review provided by Peloza and Shang (2011) concluded that the
relationship is not direct because there are numerous variables that play a
mediating role between both variables. The factors considered in the present study
include service quality, corporate image, and corporate reputation. his shows that
companies that indulge in CSR activities can create better perceptions of service
quality (García de los Salmones et al., 2005; Foote et al., 2010) and, therefore,
gain more satisfied customers (Su and Swanson, 2017). Customers evaluate a
company by its CSR initiatives (Sen and Bhattacharya, 2001), which in turn
shapes their attitudes and behaviors. Li et al. (2015) found that customers may
boycott enterprises that are not socially responsible.
H2. Customer perceptions of CSR have a significant effect
on (a) service quality, (b) customer satisfaction, (c)
corporate image, and (d) corporate reputation
Additionally, Previous studies have continuously reported a positive relationship
between both variables (Lee, 2017). Actually, in a study on Hong Kong fashion
stores, the service quality of the salesperson was found to be the most important
determinant of customer loyalty (Cheng and Hui, 2009). Similarly, research has
reported a higher propensity of losing customers and receiving complaints
because of poor service quality (Um and Lau, 2018). Schiffman et al. (2012)
consequently claimed that whether the customer stays with the company or not is
because of the service quality offered. This is also evident in the hotel industry,
where Phi et al. (2018) recently found that customer loyalty is directly affected
by several components of the service quality supplied by hotels. This means that
customers have a natural tendency to repurchase services only when they
appreciate service quality.
Customer satisfaction also has a positive relationship with CSR participation.
because satisfaction indicates a notion of increased customer engagement (García
de los Salmones et al., 2009). It is directly proportional between CSR and
customer satisfaction. Therefore, literature has corroborated that, when customers
are happy with the services they receive, they continue using them and customer
loyalty is achieved (Ali et al., 2018).
Corporate image can boost purchases (He and Lai, 2014). Therefore, existing
researches indicate that there is a positive relationship between CSR, corporate
image, and service quality. If the corporation’s image is good customers blindly
believe in the product. So, there is hard competition among banks in Pakistan if
any bank wants to look different and grow it has to practice CSR in its mission
and needs to build a good reputation among stakeholders, which can definitely
increase the performance of the bank.
Corporate reputation encourages customers to form a strong sense of attachment
(Hatch and Schultz, 2003). So once building a good reputation can be helpful for
banks to maintain the loyalty of customers.
H3. (a) Service quality, (b) Corporate image, have
significant effects on customer Satisfaction.
H4. Corporate reputation has significant effects on
customer Satisfaction.
Researches prove that there is a positive impact of service qualities, image, and
corporate reputation on customer satisfaction. Previous studies have consistently
reported a positive relationship between among variables (Lee, 2017).
2.1. Corporate social responsibility (CSR)
The CSR concept has been discussed for some time now (Turker, 2009).
However, according to Carroll (1999), identifying its precise origin is difficult.
Bowen (1953, p. 6) defined CSR as “the obligation of business to pursue those
policies, to make those decisions, or to follow those lines of action which are
desirable in terms of the objectives and values of our society”. CSR differentiates
the company from its competitors. Therefore, nowadays CSR is understood as a
strategy to accomplish corporate goals (Kim and Kim, 2016a) while minimizing
the negative impacts of corporate activities on natural, cultural, and social
environments (Chan, 2011). CSR incorporates both societal and environmental
obligations of companies towards their stakeholders (McDonald and Lai, 2011),
including internal and external operations with direct effects on some or all of
them (Reder, 1994). CSR research is dominated by stakeholder theory (Latif and
Sajjad, 2018). A stakeholder is an individual, group, or entity with which the
company interacts while pursuing its goals (Werther and Chandler, 2006).
Clarkson (1995) suggested that business executives principally responded to
stakeholders’ needs. Hence, focusing on stakeholders’ perceptions is very crucial
for the organization because it can impact directly and indirectly the performance
of the company. So, companies need to make strategies on the bases of
stakeholders’ perceptions.
When doing so can increase the financial performance of the company and set a
good reputation and image in the mind of stakeholders. (Dief and Font, 2010; Kang
et al., 2016),
2.2. CSR and Customer Satisfaction
Satisfaction depends on the nature of the customer different customers has
different satisfaction level. Customer satisfaction is a measure of how happy your
customers are with your product or service. And for many businesses, it’s the
difference between success and failure—no pressure. (Alaina Franklin, Director,
Customer Success) so the satisfaction of customers is one of the key goals of
companies that ultimately impact the growth of the business. It helps to create a
stable customer base to improve sustainable competitive advantages (Kotler and
Armstrong, 2008). CSR is regarded as a key component that forms the
perceptions and guides the behaviors of different stakeholders, including
customers (Kim and Kim, 2016a)
Researchers come to the conclusion that the effect CSR initiatives have on
consumer Satisfaction has strategic significance.
First, CSR activities enable customers to identify the company based on the
positive perceptions that they generate about it (Sen and Bhattacharya, 2001).
Second, this favorable evaluation of a business's CSR initiatives increases client
satisfaction. Customers assert that they are more likely to purchase goods or
services from businesses who engage in CSR initiatives in this regard, thus
bringing about a positive word-of-mouth impact and repeat purchase behavior
(Stanaland et al., 2011; PalaciosFlorencio et al., 2018). Similarly, Lacey et al.
(2015) noted that CSR not only works as a motivator, but it also affects customer
relationships and future referrals. Companies’ CSR efforts have a positive impact
on customers, including favorable production/service evaluations, higher
purchase intention, stronger confidence, and enhanced customer loyalty (Kim et
al., 2017; Park et al., 2017). When customers perceive

4. 2.4. Relationships between Service quality, image, and
reputation
Studies have shown that there exist positive interrelationships among service
quality, satisfaction, image, and reputation (Herstein et al., 2008; Hu et al., 2009),
it is stated that there is a positive and direct relationship between service quality
and customer satisfaction (Al-Hawari and Ward, 2006; Hu et al., 2009). It is
believed that the service quality depends on the employee’s delivery process.
(Yang and Coates, 2010). It is stated that there is a positive and significant
variation in customer satisfaction with the corporate image (Hu et al., 2009).
Nguyen and LeBlanc (2002) supported the relationship and found that
satisfaction with service performance positively affects the assessment of the
corporate image. We can say that reputation is a collective perception of the
organization.
H5. Service quality has a significant effect on customer
satisfaction.
H6. Customer satisfaction has a significant effect on
corporate image.
H7. Corporate image has a significant effect on corporate
reputation.
3: Methodology
To test the research hypotheses of the study, we used a survey implemented in
the Satellite town of Rawalpindi Pakistan. The study utilized snowball and
convenience sampling techniques. The study sample got from customers who
frequently visited the banks. Data was collected from 1st
April 2023 to 10th
June
2023 through online questionnaire distribution. total of 70 questionnaires was
distributed among account holders of different banks ( HBL, Allied Bank, Al
Habib, Habib Metro, and so on.). A total of 53 questionnaires were returned
(response rate = 75%) we could not take into consideration 13 questionnaires due
to omission and missing data so we use just 40 questionnaires as the sample size.
The questionnaires were distributed in English among respondents (English is
the official language for communication in this country). In the first portion of
the questionnaire, demographic questions were asked in the initial section of
the questionnaire, demographics were asked consisting of age, level of
education, and sex. In the second part, questions were related to our research
variable ( CSR, customer satisfaction, corporate image, service quality, and
reputation of the organization) Items were measured with a 5-point Likert-scales
where 1 meant strongly agree and 5 meant strongly disagree. Customer
perceptions of CSR were measured with 6 items, based on the work of El Akremi
et al. (2018) and Kim and Kim (2016b). This approach is based on the existing
research by Jeon et al. (2020), who have taken the dimensions of CSR as
reflective. out of which 1 sample item is “seems to be environmentally
responsible.’’ The Cronbach’s alpha of CSR scale is α=0.8. Service quality was
measured using 5 items, out of which 1 sample item is “The bank is well organized
to make it easy to get a good service when required. The Cronbach’s alpha of the
Proactive personality scale is α=0.9, corporate reputation was measured using
five items that were based on the work of Weiss et al. (1999) The bank has a
reputation for offering good services to other people. The Cronbach’s alpha of
the Proactive personality scale is α=0.9. Customer satisfaction was measured
with five items based on the work of Andaleeb and Conway (2006). 1 item scale
is “I would recommend the bank to others. The Cronbach’s alpha of the Proactive
personality scale is α=0.9. Corporate image was measured using five items that
were based on the work of Ladhari et al. (2011) out of which 1 item scale is “I
believe that this bank has a better image than its competitors. The Cronbach’s
alpha of the Proactive personality scale is α=0.9. a. We mentioned that we are the
research students of M.com at Riphah international university Rawalpindi and
our aim is learning. The data collected from employees is confidential and there
will be no disclose of information collected from the employees.
It was clearly mentioned on the online questionnaire form that the survey is
on voluntary basis and no one is forced to do so.
Table 1
Scales items.
Customer perceptions of CSR (CSR)
The bank you last visited
CSR1 checks the quality of services provided to customers.
CSR2 is helpful to customers and advises them about its services.
CSR3 respects its commitments to customers.
CSR4 invests in innovations that are to the advantage of customers.
CSR5 ensures that its services are accessible for all its customers.
CSR6 seems to be environmentally responsible.
CSR7 looks like a good company to work for.
CSR8 seems to treat its people well.
Service quality (SQ)
SQ1 I would rate the physical environment of the bank highly appreciable.
SQ2 The employees had a positive approach and they worked with
professionalism and dedication.
SQ3
SQ4 Overall, I would say the quality of my interaction with the bank
employees were excellent.
SQ5 Employees at that bank were knowledgeable about their services.
Customer satisfaction (SAT)
ST1 Overall, I was satisfied with my bank experience.
ST2 I would return to the bank in the future.
ST3 I would recommend the bank to others.
ST4 Considering the bank, the quality of service was excellent.
ST5, I think that I made the correct decision to use the services of this bank.
Corporate image (CI)
CI1, I have always had a good impression of this bank.
CI2 In my opinion, this bank has a good image in the minds of consumers.
CI3, I believe that this bank has a better image than its competitors.
CI4 In my opinion, this bank is a suitable place.
CI5, I felt special in the bank.
Corporate reputation (CR)
CR1 The bank is well thought-out.
CR2 The bank is successful.
CR3 The bank is well established.
CR4 The bank has a good reputation.
CR5 The bank has a reputation for offering good services.
to other people.

5. 4: Data Analysis and Results 4.2. Reliability and validity
4.1. Common method bias
Table. 2
Corporate Social responsibility
(CSR) Service Quality
Corporate Reputation
Corporate image
Customer Satisfaction
Fig. 1. Conceptual model
Harman’s single-factor test was conducted to assess common method bias. The
test indicates that a single-factor solution only explained 33.795% of the total
variance, which is below the limited value of 50%. This result tells that common
method bias is not a serious problem in this study shown in Table 2.
Total Variance Explained
Initial Eigenvalues Extraction Sums of Squared Loadings
Factor Total % of Variance Cumulative % Total % of Variance Cumulative %
1 9.409 36.189 36.189 8.787 33.795 33.795
Extraction Method: Principal Axis Factoring.
In this chapter, we have to perform a number of tests to reach a conclusion.
These tests are mandatory to perform in order to suggest some research
recommendations.
We use Cronbach’s Alpha to check the reliability of the variables. Our Alpha
value is α=0.926 which is excellent. It indicates that the variables are reliable.
Reliability Statistics
Cronbach's Alpha Cronbach's Alpha Based on N. of item
Standardized Items
.926 .926 26

6. 4.3. Frequency Analyses
1.1 4.5. Descriptive Statistics
4.4. Regression analyses
Gender
Frequency Percent Valid Percent Cumulative Percent
Valid male 33 80.5 82.5 82.5
female 6 14.6 15.0 97.5
prefer not to say 1 2.4 2.5 100.0
Total 40 100.0
Age
Frequency Percent Valid Percent Cumulative Percent
Valid 18-25 24 58.5 60.0 60.0
25-35 15 36.6 37.5 97.5
45-55 1 2.4 2.5 100.0
Total 40 100 100.0
Level of Education
Frequency Percent Valid Percent Cumulative Percent
Valid middle 1 2.4 2.5 2.5
matriculate 1 2.4 2.5 5.0
intermediate 4 9.8 10.0 15.0
bachelor 23 56.1 57.5 72.5
master 11 26.8 27.5 100.0
Total 40 97.6 100
The demographic in the sample shows that 33 respondents (80.5%) were men
while 6 respondents (14.6%) were women. While 2.5% of the total data were
not preferred to say.
In age, 58.5% of respondents were from 18-25 which is 60% of the total data,
and from 25-35 respondents were 15 which is 36.6%. it means we have collected
our data from youths.
in our research out of 40, there are 23 bachelors have participated which is the
lion’s share of the total percentage and 11 respondents were masters in a
degree which is a good sign for us.
Mean
The mean of the CSR is 2.00 which shows that all the people have an “Agree”
perspective towards CSR.
The mean of Customer Satisfaction is 2.09 which shows that all the people have an
“Agree” perspective towards customer satisfaction.
The mean of the service qualities is 2.09 which shows that all the people have an
“Agree” perspective towards service quality.
The mean of the corporate reputation is 1.94 which is rounded off to 2 which shows
that all the people have an “Agree” perspective towards corporate reputation.
The mean of the corporate image is 2.09 which shows that all the people have an
“Agree” perspective towards corporate image.
Standard Deviation
The standard deviation of the CSR is 0.62 which shows that all the answers are
deviating from the means value as it should be at least 0.6 to 0.7.
The standard deviation of customer satisfaction is 0.72 which shows that all the
answers are not deviating from the means value as it should be at least 0.6 to 0.7.
The standard deviation of the service quality is 0.58 which shows that all the answers
are not deviating from the means value as it should be at least 0.6 to 0.7.
The standard deviation of the corporate image is 0.65 which shows that all the
answers are deviating from the means value as it should be at least 0.6 to 0.7.
The standard deviation of the corporate reputation is 0.59 which shows that all the
answers are not deviating from the means value as it should be at least 0.6 to 0.7.
Skewness
The skewness of the CSR is 0.58 which shows that the data has no outliers and
neither is positively nor negatively skewed and falls between the ranges of skewness
that is -2 to +2.
Regression analysis is done to see the impact and effect of one variable on
the other.
The results show that independent variables ( CSR, SQ, CI, CR) has
significantly effect on the dependent variable (cs) as R-square=0.68 and P<
0.05 as P=0.000. These results support the hypothesis.
The result indicates that there is a significant relationship between the
independent and dependent variables because the p<0.05 is 0.000
the result indicates that the Beta value of SQ is 0.495 which means a change
in one unit of independent variable brings about a change in dependent CS.
The second independent variable (CSR) is not significant p>0.05. the third
variable is CL the beta value is .40.4 which means a change in one unit of
the independent variable brings about a change in dependent CS. Fourth
variable is CR is not significant p>0.05.

7. The skewness of the customer satisfaction is which shows that the data has
no outliers and neither is positively nor negatively skewed and falls between
the ranges of skewness that is -2 to +2.
The skewness of the service quality is 0.43 which shows that the data has no
outliers and neither is positively nor negatively skewed and falls between the
ranges of skewness that is -2 to +2.
The skewness of the corporate image is 0.42 which shows that the data has
no outliers and neither is positively nor negatively skewed and falls between
the ranges of skewness that is -2 to +2.
The skewness of the corporate reputation is 0.63 which shows that the data
has no outliers and neither is positively nor negatively skewed and falls
between the ranges of skewness that is -2 to +2.
Kurtosis
The kurtosis of the CSR is 1.02 which shows that the data has no outliers and
falls between the ranges of kurtosis that is -7 to +7.
The kurtosis of the customer satisfaction is 0.60 which shows that the data
has no outliers and falls between the ranges of kurtosis that is -7 to +7.
The kurtosis of the service quality is 2.0 which shows that the data has no
outliers and falls between the ranges of kurtosis that is -7 to +7.
The kurtosis of the corporate image is 1.5 which shows that the data has no
outliers and falls between the ranges of kurtosis that is -7 to +7.
The kurtosis of the corporate reputation is 1.3 which shows that the data has
no outliers and falls between the ranges of kurtosis that is -7 to +7.
4.6. One-Way ANOVA
Customer satisfaction means
Demographics F value P value
Gender 7.11 0.002
Age .72 0.49
LOE 2.4 0.06
A one-way ANOVA test was performed to check if the demographic value
gender has significant potential on the dependent variable (CUSTOMER
SATISFACTION) or not. The significant difference in the mean value of CS
across gender where f=7.11 and P< 0.05 as P=0.002. However, it has
potential to variance so it is significant.
One way ANOVA test was performed to check if the demographic value Age
has significant potential on the dependent variable (customer satisfaction)
or not. The significant difference in the mean value of CS across gender
where f=0.72 and P> 0.05 as P=0.49. However, no significant difference
found in the reported mean value.
One-way ANOVA test was performed to check if the demographic value
Level of education has significant potential on the dependent variable
(customer satisfaction) or not. The significant difference in the mean value
of CS across gender where f=2.4 and P> 0.05 as P=0.06. However, no
significant difference found in the reported mean value
4.7. Correlation analysis
It tells us the relationship between variables that could be
positive or negative
Correlations
CSRmean SQmean CImean CRmean CSmean
csrmean 1
sqmean .790** 1
cimean .624** .766** 1
crmean .232 .448** .645** 1
csmean .708** .788** .734** .376* 1
** Correlation is significant at the 0.01 level (2-tailed).
* Correlation is significant at the 0.05 level (2-tailed).
There is a significant and strong positive relationship between CSR and service
quality as the Pearson correlation is 0.790 and P value=0.00.
There is a significant and strong positive relationship between CSR and corporate
image as the Pearson correlation is 0.62 and P value=0.00.
There is a significant and strong positive relationship between service quality and
corporate image as the Pearson correlation is 0.766 and P value=0.00.
There is no significant and weak positive relationship between CSR and corporate
reputation as the Pearson correlation is 0.20 and the P value>0.05.
There is a significant and moderate positive relationship between service quality
and CSR as the Pearson correlation is 0.44 and P value=0.00.
There is a significant and strong positive relationship between corporate image
CSR as the Pearson correlation is 0.64 and P value=0.00.
There is a significant and strong positive relationship between customer
satisfaction and CSR as the Pearson correlation is 0.70 and P value=0.00.
There is a significant and strong positive relationship between service quality and
customer satisfaction as the Pearson correlation is 0.78 and the P value=0.00.
There is a significant and strong positive relationship between corporate image
and customer satisfaction the Pearson correlation is 0.73 and the P value=0.00.
There is a significant and weak positive relationship between customer reputation
and customer satisfaction as the Pearson correlation is 0.37 and the Pvalue<0.05.
4.8. Mediation Analyses
Model Summary
R R-sq MSE F df1 df2 p
.8265 .6832 .1853 18.8682 4.0000 35.0000 .0000
This result indicates our independent variables(CSR, SQ CR, and CI) bring
change by 0.6832 in the dependent variable(cs)
The direct effect of X on Y
Effect se t p LLCI ULCI
.2125 .1893 1.1227 .2692 -.1718 .5967
This is the result of the independent variable CSR effect on the dependent
variable(cs) which is .2125.

8. Indirect effect(s) of X on Y:
Effect BootSE BootLLCI BootULCI
TOTAL .6133 .2041 .2775 1.0918
ULCI = upper-limit confidence interval, LLCI = lower-limit confidence interval
This indicates that our both independent and dependent variables go in the same direction because LLCL and ULCL both values are positive. The mediator in
our model is significantly affected by the independent and dependent variables.
4.9. Hypothesis testing
Hypotheses Relationship Nature Beta-Value p-Value Decision
CSR→CS(H1) + (β) 0.70** *** Accepted
CSR→SQ(H2) + (β) 0.79 ** *** Accepted
CSR→CI (H2) + (β) 0.62 ** *** Accepted
CSR→CR(H2) + (β) 0.23 not supported
CR→CS(H4) - (β) 0.37* *** Accepted
CI→CS(H3) + (β) 0.73 ** *** Accepted
SQ→CS(H5) + (β) 0.78 ** *** Accepted
CS→CI(H6) + (β) 0.73** *** Accepted
CI→CR (H7 + (β) 0.64 ** *** Accepted
Notes: ULCI = upper-limit confidence interval, LLCI = lower-limit confidence interval, **, *** = significant values
. 5. Discussion and conclusion
The study examines the impact of corporate social responsibility (CSR) on
customer satisfaction to examine the mediating effect of service quality,
corporate image, and corporate reputation. To test the proposed
hypotheses, Data from Pakistan, Rawalpindi Satellite Town was collected
through surveys to explore customers’ Bank experience. Data were
analyzed with the help of SPSS (statistical package for social science).
Correlation and regression tests were performed. The result indicates that
there is a direct relationship among all these variables. The result also
proved that there is a direct and positive significant impact of CSR on
service quality, corporate image, corporate reputation, and customer
satisfaction. Among all variables, corporate image and service quality were
significant whereas CSR and corporate reputation were not significant
according to the findings. This finding aligns with social identity theory,
which supports the argument that customers may show loyalty to
companies that work in the interest of society’s social identity. Hence,
when customers evaluate their choice of bank, they may give significant
attention to CSR. CSR was found to have a significant impact on SQ
(García de los Salmones et al., 2005) and SAT (Su and Swanson, 2017).
The findings revealed significant interrelationships among SQ, SAT, CI,
and CR. Evidence from prior studies had already indicated that these
positive interrelationships existed (Herstein et al., 2008; Hu et al., 2009).
Therefore, our findings align with the previous literature
5.1 Limitations and future lines of Research
The study has many limitations. First, the present study focused only on the satellite
Town of Rawalpindi (Pakistan). To examine the impact of CSR on customer
satisfaction in more depth, future studies of other emerging and economically
developed countries with an increased focus on the bank should be analyzed.
Second, the study was based on hypothesis testing through the questionnaire. Future
studies may focus on interviews that could help to examine more accurately changes
in CSR, service quality, customer satisfaction, corporate image, and corporate
reputation. Third, future studies could also change mediators’ role of other variables
like trust or credibility. Additionally, although CR was affected by CSR and CI, it
was found to be an insignificant mediator in our conceptual model. Therefore, future
research shall include it as a strong mediator to keep examining its role in similar
conceptual. Fourth, the present study did not assess the role of any moderating
variables. Future studies could assess the moderating role of market orientation.

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