Rivalry between Religion and Brands: Impact of cause related marketing
on brand loyalty via perceived corporate social responsibility.
Moderating role of Celebrity endorsement and Religiosity
By
Sajjad Hussain
CMS: 22344
Supervised by
Sir Mubashar Hassan
Zia
A thesis submitted in partial fulfillment of the requirements for the degree of
Masters of Sciences
In
Management Sciences (Marketing)
at
Riphah International University,
Islamabad, Pakistan
December, 2018
i
RIPHAH INTERNATIONAL UNIVERSITY, ISLAMABAD
APPROVAL SHEET
SUBMISSION OF HIGHER RESEARCH DEGREE THESIS
The following statement is to be signed by the candidates ‘supervisor (s), Dean/ HOD and must be received
by the COE, prior to the dispatch of the thesis to the approved examiners.
Candidate’s Name & CMS#: _____Sajjad Hussain #22344________________________
Programme Title: __________MS (Management Sciences)_______________________
Faculty/Department: ________Faculty of Management Sciences___________________
Thesis Title: Rivalry between Religion and Brands: Impact of cause related marketing on brand loyalty
via perceived corporate social responsibility. Moderating role of Celebrity endorsement and Religiosity
I hereby certify that the above candidate’s work, including the thesis, has been completed to my satisfaction
and that the thesis is in a format and of an editorial standard recognized by the faculty/department as
appropriate for examination. The Thesis has been checked through Turnitin for plagiarism (test report
attached).
Signature (s):
Supervisor: Mubashar Hassan Zia
Sig: _______________________
Date: _______________________
The undersigned certify that:
1. The candidate presented at a pre-completion seminar, an overview and synthesis of major findings of
the thesis, and that the research is of a standard and extent appropriate for submission as a thesis.
2. I have checked the candidate’s thesis and its scope, format, and editorial standards are recognized by
the faculty/department as appropriate.
3. The plagiarism check has been performed. Report is attached
Signature (s):
Dean: Muhammad Amanullah Khan: _______________
Sig: ________________
Date: ________________
ii
DECLARATION OF AUTHENTICATION
I, Sajjad Hussain, MS scholar in the subject of Management Sciences, certify that the research
work presented in this paper is to the best of my knowledge my own. All sources used and any help
received in the preparation of this dissertation have been acknowledged. I hereby declare that I
have not submitted this material, either in whole or in part, for any other degree at this or any
other institution.
Signature……………….
iii
ACCEPTANCE CERTIFICATE
Rivalry between Religion and Brands: Impact of cause related marketing on brand loyalty via
perceived corporate social responsibility. Moderating role of Celebrity endorsement and
Religiosity
By
Sajjad Hussain
CMS: 22344
A thesis submitted in partial fulfillments of the requirements for the degree of
Masters of Sciences
In
Management Sciences (Marketing)
We accept this thesis as conforming to the required standard
Supervisor:
Mubashar Hassan Zia
(Sig) ____________________
External Examiner: Prof. Dr. Muhammad Arif Khattak (Sig) ______________________
HOD/Incharge:
Prof. Dr. Khurram Shahzad
Dean: Prof. Muhammad Amanullah Khan
(Sig) _______________________
(Sig) _______________________
iv
DEDICATION
I dedicate this research to my parents and teachers, who taught me to think, understand,
and express. I earnestly feel that without their inspiration, able guidance, and
dedication, I would not be able to pass through the tiring process of this research.
v
Contents
ABSTRACT ................................................................................................................................. viii
Introduction .................................................................................................................................... 1
1.1. Background ............................................................................................................................... 1
1.2. Problem Identification............................................................................................................... 2
1.3. Research Questions ................................................................................................................... 3
1.4. Research Objectives .................................................................................................................. 4
1.5 Significance of the study ............................................................................................................ 4
1.5.1. Theoretical significance ........................................................................................................ 4
1.5.2. Practical significance ............................................................................................................ 5
1.6. Definitions of Variables ............................................................................................................ 5
1.6.1. Cause Related Marketing ...................................................................................................... 5
1.6.2. Perceived Corporate Social Responsibility ........................................................................... 5
1.6.3. Brand Loyalty ....................................................................................................................... 5
1.6.4. Celebrity Endorsement .......................................................................................................... 5
1.6.5. Religiosity ............................................................................................................................. 6
Literature Review .......................................................................................................................... 7
2.1. Theory of social exchange ........................................................................................................ 7
2.2. Cause Related Marketing ........................................................................................................ 13
2.3. The concept of CRM ............................................................................................................... 14
2.4. Religiosity ............................................................................................................................... 16
2.5. Cause Related Marketing and Perceived CSR ........................................................................ 19
2.6. Perceived corporate social responsibility and Brand loyalty: ................................................. 21
2.7. Moderating role of Celebrity endorsement ............................................................................. 23
2.8. Moderating role of Religiosity: ............................................................................................... 24
2.9. Theoretical framework: ........................................................................................................... 35
Methodology ................................................................................................................................. 36
3.1 Procedures for survey approach ............................................................................................... 36
3.1.1 Population ............................................................................................................................. 36
3.1.2 Sampling Technique along with justification ....................................................................... 36
3.1.3 Research Instruments ............................................................................................................ 36
3.2. Statistical analysis ................................................................................................................... 37
3.2.1. Diagnostic Testing: .............................................................................................................. 37
vi
3.2.2. Structural Equation Modeling (SEM): ................................................................................. 37
Analysis of Data ........................................................................................................................... 38
Cutoff Criteria* .............................................................................................................................. 40
Model Fit Measures ....................................................................................................................... 43
Regression Weights ....................................................................................................................... 44
Model Fit Measures ....................................................................................................................... 45
Regression Weights ....................................................................................................................... 46
Model Fit Measures ....................................................................................................................... 47
Model Fit Measures ....................................................................................................................... 49
Regression Weights ....................................................................................................................... 49
Model Fit Measures ....................................................................................................................... 50
Regression Weights ....................................................................................................................... 50
Discussion and Conclusion .......................................................................................................... 53
5.1. Discussion: .............................................................................................................................. 53
5.2. Implications: ........................................................................................................................... 54
5.3. Limitations: ............................................................................................................................. 55
5.4. Future Research: ..................................................................................................................... 56
References ...................................................................................................................................... 57
Questionnaire for Research ............................................................................................................ 68
vii
ABSTRACT
Purpose: The present study investigates: (1) impact of cause-related marketing (CRM) on
perceived corporate social responsibility (PCSR), (2) impact of perceived corporate social
responsibility (PCSR) on brand loyalty (BL), (3) moderating role of celebrity endorsement
(CE) on the relationship between CRM and PCSR, and (4) moderating role of religiosity
(R) on the relationship between PCSR and BL.
Design/ Methodology: Data was collected from the university students in Pakistan.
Responses from a total of 460 of the respondents was used in data analysis. The social
exchange theory was used to develop an abstract model.
Findings: A structural equation modeling was used to test the proposed hypotheses of the
study. Results show significant relationships among the variables as proposed in study.
This goes to show that among others, religiosity also enhances the relationship of perceived
corporate social responsibility and brand loyalty.
Limitations: The study could be conducted with a larger and more demographically
distributed sample size. Also, the results may not be applicable to consumers who are not
practitioners of a religion.
Implications: The findings of this study provide valuable insights for both academics and
professionals related to increasing need to study brand loyalty among religious people
which is a huge market. With regards to the theoretical implications, this study contributes
conceptually to develop theoretical linkages previously untested with regards to catering
to religious markets. This study also carries significance towards practice as well.
Managers can make better customer engagement programs like involving them in social
causes and making use of their cultural and religious values. By doing this, managers can
make customer feel the brand more relevant to them. These feelings of customer will
eventually translate into different positive consumer behaviours and positive attitudes of
person in life like emotional attachment to the brand, and high loyalty to the brand.
Keywords: Religiosity, Cause-related marketing, Brand loyalty, Celebrity endorsement
and Perceived corporate social responsibility.
viii
Introduction
1.1. Background
CSR (Corporate social responsibility) is imperative for keeping up long haul
achievement, being every company's fundamental competitive edge and a way to
society's practical advancement. The new customer's identify to expanded necessities
and will like to purchase from organizations that are focused on honorable social
causes, insofar as there are no significant contrasts concerning the nature of the
products (Anghel, Grigore, & Rosca, 2011). CSR has four main components which
are: Economic social responsibility, Legal social responsibility, Ethical social
responsibility and Discretionary social responsibility. CRM (Cause-related
marketing) as a component of corporate social responsibility, turns into an undeniably
utilized apparatus by organizations working in the market.
Business studies have inspected three reasons for organizations to be involved in
charities: corporate citizenship behavior, benefit inspired giving and through-the-firm
giving (Fry, Keim, & Meiners, 1982). CRM has risen as of late as another type of
corporate altruism dependent on the reason of benefit roused giving. Corporate
association towards social welfare started as intentional responses to society’s issues
and problems, and then at that point proceeded into a phase of mandated
organizational contribution, and currently it is evolving into a phase where
corporations see societal responsibilities as a type of investment (Stroup, Neubert, &
Anderson Jr, et al., 1987). A short portrayal of these stages is justified to follow the
rise of cause-related marketing.
Cause-related marketing can also be seen as an indication of arrangement of firm’s
altruistic and illuminated business interests. Fundamentally, it is more like a
marketing technique which endeavors to accomplish two goals - enhance
performance of corporations and help social causes by connecting raising money
(Charities) to assist a social cause to the purchasing of the company's services and
products. Demonstrative of the marketing push of cause-related marketing programs
is that commitments to philanthropy originating from an organizations' cause-related
marketing program don't originate from its normal magnanimous establishment
spending plan (philanthropic foundation budget). Instead, part of the marketing
1
spending that typically would have been consumed for publicizing and additionally
deals advancement is rather reserved for commitment to a cause in the interest of
those consumers who are the ultimate source of revenue generating activities with the
organizations in accordance to the terms of trade as set by the organization (Week,
1982).
For a long time now, organizations have been endeavoring to improve their image,
develop a great mentality in the psyches of shoppers with regards to the organization,
or potentially to ensure increase in sales by conspicuously publicizing their
demonstrations of charity and support of noble causes. Notwithstanding when firms
have ceased from utilizing their sponsorship of occasions as a medium for advancing
the services and products of the firm, the positive image created for customers by
such altruistic activities has prompted sales.
“Cause-related marketing is the process of formulating and implementing marketing
activities that are characterized by an offer from the firm to contribute a specified
amount to a designated cause when customers engage in revenue-providing
exchanges that satisfy organizational and individual objectives.” - (Varadarajan &
Menon, 1988)
1.2. Problem Identification
Brand loyalty has a critical significance as an indicator of the performance of a brand
(Aaker & Equity, 1991; Barwise & Farley, 2004; Pappu & Quester, 2016; Petersen et
al., 2009) hence, the way it’s developed is of huge importance in the management of
brand (Brexendorf, Mühlmeier, Tomczak, & Eisend, 2010) and it also has been
generally contemplated in the field of marketing (Pappu & Quester, 2016).
Researchers distinguish brand loyalty to be of two types: Behavioral loyalty, which
alludes to repetitive buying, attitudinal loyalty that alludes to consumers' reluctance
to change to an alternative brand and may also wind up appended to their brand to the
degree that they move towards the point where they start advocating, promoting and
co-creating the brand. One of the biggest determinants of the brand loyalty is Brand
trust (Chaudhuri & Holbrook, 2001; Ganesan & Hess, 1997; Morgan & Hunt, 1994;
Pappu & Quester, 2016). Studies in brand loyalty literature are adopting more
integrative strategy however due to limited endeavors to consider the job of
2
identifying the customer with the brand for shaping loyalty towards brand (He, Li, &
Harris, 2012). He, Li and Harris, (2012) refer to the social personality viewpoint of
consumer – brand connections and recommend that 'purchasers’ participate in
positive brand related behaviors since they relate to the brand or organization'. He, Li
and Harris, (2012), be that as it may, allude to the satisfaction of customer and
perception of value in developing loyalty and trust among customers, ignoring the
significance of shared values. At the point when shoppers distinguish themselves with
brand they don't recognize themselves with just its attributes and personality, however
they unequivocally connect themselves with values of the brand, or else,
environmental concerns and corporate social responsibility would not be of the most
astounding significance in worldwide businesses (Lee & Carter, 2011). Bhujan et al.,
(2017) studied the effects of religiosity in environmental context and suggested that
further research may be done on other aspects related to the society. Though Bhujan
and cos. study was more inclined towards the Muslim religiosity only. So there is
very little work done regarding religiosity which finds the commonalities between
and measures the impact of the values of multiple religions and take into account how
the followers of those religions behave.
In Quran, Allah says “Who is it that will offer up unto God a goodly loan, which He
will amply repay? For, such (as do so) shall have a noble reward.” (Surah Al – Hadid,
57:11). According to this verse, Muslims are bound by their religion to do good for
the society. Since Muslims derive their values from Islam, so people who’re highly
religious are likely to be attracted to the organizations/brands which they perceive to
be socially responsible i-e, they’ll be loyal to brands which are perceived as more
socially responsible. No work has been done on this particular aspect of religiosity
and brand loyalty. Hence it provides a substantial area for research.
1.3. Research Objectives
Consumers’ values are shaped by various aspects of society. And their attitude
towards a brand or organization is a derivative of all those aspects combined together.
Of many such aspects, religion plays the most important role. Most of a person’s
values come directly from religion. Even if they’re not great practitioners. Another
such aspect is the opinion of people consumers’ adore and follow (Celebrities). This
study will look into both these factors to see how celebrity endorsement and
3
religiosity affect consumers’ perception of brand/organization and how it affects their
attitude towards brand i-e, brand loyalty.
1.4.Research Questions
This research will answer following questions:

What is the impact of Cause related marketing on Perceived corporate social
responsibility?

How does Celebrity endorsement affect the relationship of cause related
marketing and perceived corporate social responsibility?

What is the impact of perceived corporate social responsibility on Brand
loyalty?
How does religiosity affect the relationship of perceived corporate social
responsibility and brand loyalty?
1.5. Significance of the study
This study, like any other study aims at making meaningful contribution and provide
solutions for managers and researchers at both theoretical as well as practical level.
Following are the contributions of this study:
1.5.1. Theoretical significance
Focus on social existence of organizations has become more important than ever.
People now-a-days care deeply about the social issues and are more sensitive to them.
This trend has forced organizations to reciprocate the society and be socially
responsible. This study will provide researchers with insight as to how organizations
can improve their image and be perceived as more socially responsible and what the
means are that they can use to achieve that.
In addition to that, Religiosity has emerged as an important phenomenon in recent
years. Religion shapes cultures from where individuals derive their values. This study
will provide a valuable insight as to the incorporation of religion in marketing
programs to ensure success of marketing strategies.
This study will open new doors for the researchers studying religion and brands. It
will help them look at the concept of religiosity from a completely different angle and
will bring to life another dimension of religiosity to look at brand through.
4
1.5.2. Practical significance
This study also carries significance towards practice. Knowing the results of this
study, brand managers would be in a better position to make strategies regarding their
brands and its management. Managers can make better costumer engagement
programs like involving them in social causes and making use of their cultural and
religious values. By doing this, managers can make costumers feel the brand more
relevant to them. These feelings of costumer will eventually translate into different
positive consumer behaviours and positive attitudes of person in life like emotional
attachment to the brand, and high loyalty to the brand and likewise. This positivity of
costumer will change into purchase of the very same product. This means that if these
strategies are properly made and executed by the brand managers, brands will become
highly profitable and organization’s success in the long term will be ensured.
1.6. Definitions of Variables
1.6.1. Cause Related Marketing
“Cause-related marketing is the process of formulating and implementing marketing
activities that are characterized by an offer from the firm to contribute a specified
amount to a designated cause when customers engage in revenue-providing
exchanges that satisfy organizational and individual objectives.” - (Varadarajan &
Menon, 1988)
1.6.2. Perceived Corporate Social Responsibility
“The idea of social responsibilities supposes that the corporation has not only
economic and legal obligations but also certain responsibilities to society which
extend beyond these obligations.” - (McGuire, 1963)
1.6.3. Brand Loyalty
“Brand loyalty is the biased behavioral response expressed over time by some
decision making unit with respect to one or more alternative brands out of a set of
such brands and is a function of a psychological (decision making and evaluative)
process.” – (Jacoby & Kyner, 1973)
1.6.4. Celebrity Endorsement
“Celebrity endorsement is a particular strategy used by marketers to advertise a
product from such a platform through which consumers can associate themselves
with the brand value from the perspective of the celebrity personnel.” – (Kotler, 2006)
5
1.6.5. Religiosity
“Religiosity refers to the intensity and consistency of one's practice of a religion.
Religiosity has been found not only to inform an individual's attitudes toward what
constitutes moral behavior in practice but also to shape the structure of a society
itself.” – (eNote.com, 2018)
6
Literature Review
2.1. Theory of social exchange
One of the most important models to understand workplace behavior and exchanges among
people is social exchange theory. The theory’s origin dates back to the early 1920s (e.g.,
Mauss, 1925; Malinowski, 1922), traversing across various disciplines like social
psychology (e.g., Homans, 1958; Gouldner, 1960; Thibault & Kelley, 1959), sociology
(e.g., Blau, 1964), and anthropology (e.g., Sahlins, 1972; Firth, 1967). Even though
multiple dimensions of social exchange have unfolded, and it has been agreed upon by
theorists that there are a number of interactions involved in social exchange which spawn
commitment and responsibility (Emerson, 1976). According to social exchange theory,
these associations are interdependent and a consequence of the actions of the participants
(Blau, 1964). Social exchange theory also stresses on the fact that although such
transactions of interdependent nature may have the capability to build up strong quality
relationships, but it will only happen under a few certain circumstances. Social exchange
theory is used to explain various areas such as networks (Cook, Molm, & Yamagishi, 1993;
Brass, Galaskiewicz, Greve, & Tsai, 2004), psychological contracts (Rousseau, 1995),
leadership (Liden, Sparrowe, & Wayne, 1997), organizational justice (Konovsky, 2000),
board independence (Westphal & Zajac, 1997), and (Molm, Peterson, & Takahashi, 1999),
and many others.
Rules and Norms of Exchange
Among many other characteristics of social exchange theory is that with the passage of
time, the associations grow into more loyal, trusting and mutually beneficial commitments.
For this to happen, all parties to the association must follow the rules that are accepted for
the exchange. These exchange rules define the situations formed or adopted by the parties
to the exchange (Emerson, 1976: 351). Thus making these norm and rules as a guideline
for the process of exchange.
Reciprocity Rules
The best rule of exchange known is the rule of repayment or reciprocity. In 1960, Gouldner
gave a review of social exchange theory in the literature across various disciplines
7
(Gouldner, 1960). This rule focuses on the current interdependent exchanges in which the
action of one party produces the response of the other party. This works in a way that if a
person receives benefit from someone, they must respond with kindness (Gergen, 1969).
Various patterns of exchange were explored and identified by Kelley and Thibaut (Thibault
& Kelley, 1959; Kelley & Thibault, 1978). Here the reciprocal exchange does not involve
explicitly making a deal. Rather the actions of one party act as a catalyst for the behavior
of the other party (Molm, 2002 & 2003). Such a relationship is based on mutual trust and
understanding and thus it minimizes the risk and increases cooperation among the people
involved (Molm, 1994). Process is initiated by the actions of one person and when the other
person makes a move to reciprocate his actions, the process continues. And once exchange
starts, every action can start another cycle. Since it’s likely to be a continuous selfenforcing cycle, it is impossible to organize it and keep track of all the steps. A vast amount
of studies have researched on what kind of role does interdependence play in this exchange
process.
Reciprocity as a folk belief
This type of reciprocity is based upon the cultural beliefs that everyone gets what they are
worthy of (Gouldner, 1960). Malinowski (1932) also reported this version of reciprocity
while shedding light upon the trade association among the communities of fishers and
farmers. People involved in these type of trades either one or a blend of the following:
a) A belief that as time goes by a fair equilibrium is reached by all exchanges.
b) A belief that those who do not help others get punished for it.
c) And a belief that those who help others get help from others as well.
In other words, everything works out in the end.
Lerner (1980) in his work regarding the perceptions of just world gave numerous examples
regarding such expectations. Just world beliefs act as a perceptual bias in that individuals
maintain a belief in a universal justice, even when evidence to that effect is lacking. Some
studies look towards the positive side of this belief. Bies and Tripp (1996) found that people
believed in karma and would refrain from seeking revenge for themselves. The respondents
told that since they believed that culprits would in due course get what they deserved and
8
this belief kept them from seeking revenge. This proposes that the chances of cataclysmic
behavior are reduced because of folk beliefs. Unfortunately, organizational researchers
have yet to explore reciprocity folk beliefs.
Reciprocity as a norm and individual orientation.
In many cultures reciprocity is seen as an injunction which must be followed and
punishment is due for those who do not follow these rules (Mauss, 1967; Malinowski,
1932). The key difference between a norm and a folk belief is that norms involve a quality
that philosophers sometimes term ought (e.g., Moore, 1903/2004). In essence, norms are
standards which narrate the acceptable behaviors in a society and also dictate how people
should respond to such behaviors. Due to this, Gouldner (1960) was led to believe that
these norms are universal and these views were common with many others like, (Wang,
Tsui, Zhang, & Ma, 2003; Tsui & Wang, 2002). Even though reciprocity is believed as
universal to all human beings, not everyone have the same level of faith in it. Indeed, as
one might imagine, there is strong evidence supporting the existence of cultural and
individual differences (Parker, 1998; Rousseau & Schalk, 2000; Shore & Coyle-Shapiro,
2003).
Negotiated Rules Parties of exchange may also negotiate rules in the hope of reaching
beneficial arrangements (e.g., Cook & Emerson, 1978; Cook, Emerson, & Gillmore, 1983).
Negotiated agreements tend to be more explicit and quid pro quo than reciprocal
exchanges. In addition, the duties and obligations exchanged are fairly detailed and
understood. It is also noteworthy that negotiated elements of exchange differ in that they
may continue beyond short-term agreements and may or may not be bound by legal or
contractual sanctions. Negotiated exchanges are often a part of economic transactions. For
example, when one accepts a job, he or she is likely to negotiate the pay level. However,
individuals in close relationships (social exchange) also may feel the need to negotiate—
such as when team members negotiate tasks and responsibilities. A good deal of research
has compared negotiated with reciprocal exchanges. This literature is nicely summarized
in two articles by Molm (2000, 2003). Generally, reciprocity produces better work
relationships than negotiations and allows for individuals to be more trusting of, and
committed to, one another (Molm, Takahashi, & Peterson, 2000). Furthermore, negotiated
9
exchanges incite more unhelpful power use and less equality (Molm, 1997; Molm et al.,
1999).
Beyond Reciprocity and Negotiated Rules
Much of the literature of social exchange theory revolves around the concept of reciprocity
and negotiated agreements. But other rules of exchange are feasible as well. Sociologists
and anthropologists have paid more attention to these rules than management scientists.
Which is regrettable because these models would give proper platform for the development
of theories. There are many frameworks available but the one proposed by Meeker (1971)
holds a special place among them all. He argued that these exchanges can be viewed as the
individual decisions. Hence they need some rules or set of rules which would guide the
choices that are made. He presented six such rules:
1. Reciprocity.
2. Rationality.
3. Altruism
4. Group gain.
5. Status consistency.
6. Competition.
In Meeker’s (1971) scheme, rationality refers to the use of logic to ascertain likely
consequences (ends) and how one should achieve those things that are valued (means).
Weber termed this rule zweckrationalität (1947:115). Thus, a rational action has two
parts—an end of value maximization and a means of logic. Of course, Meeker explicitly
recognizes that people do not always behave rationally (cf. Shafir & LeBoeuf, 2002) and
therefore adds additional exchange rules.
Altruism is a standard whereby we look to profit someone else even at an outright expense
to ourselves. Throughout the years, much discussion have taken place in social psychology
with respect to whether such a marvel is even conceivable (Batson, 1991). In any case,
contemporary research appears to help Meeker's (1971) conflict that selfless thought
processes share a place close to other trade rules.
10
In group gain, the advantages are put into a solitary basic "pot" (the word can be seen
metaphorically or actually). People take what they require from this basic pool paying little
heed to their specific commitment. In like manner, they add to this reserve when they are
capable. Notice that the trade isn't specifically executed from person to person. Or maybe,
everything is held in like manner. Group gain does not include dyadic or relational trades;
rather, everything is held in like manner.
Status consistency or rank equilibration is the distribution of advantages dependent on one's
position inside a social gathering. A few people profit by a characteristic that yields
position, for example, race, noble status, etc. Albeit express status consistency is regularly
talked about inside the substance of preindustrial societies (e.g., Mauss, 1967), it exists in
current countries also. Consider, for instance, the instance of special admissions to
renowned Ivy League colleges. In settling on their choices, these schools here and there
depend on heritage status. That is, one is bound to be conceded if one's folks went to the
college being referred to (for a talk of these issues, see Lind, 1995). Inheritance status, at
that point, is a status thought.
Competition can be thought of as the diametric opposite of altruism. Where altruism is
assisting others even when it potentially hurts oneself, competition is harming others even
when it risks one’s own earnings (Meeker, 1971). Monetarily, such circumstances appear
to be silly, and it might be said they are. Notwithstanding, Meeker is right in belligerence
that they do exist in true social trades. A notable precedent is vindicate looking for. People
will once in a while try to "get even" notwithstanding while doing as such is monetarily
exorbitant (e.g., bound to be conceded if one's folks went to the college being referred to
(for a talk of these issues, see Lind, 1995). Inheritance status, at that point, is a status
thought. Rivalry can be thought of as the polar inverse of selflessness. Where philanthropy
is helping others notwithstanding when it possibly harms oneself, rivalry is hurting others
notwithstanding when it chances one's own income (Meeker, 1971). Monetarily, such
circumstances appear to be unreasonable, and one might say they are. Nonetheless, Meeker
is right in belligerence that they do exist in genuine social trades. An outstanding precedent
is exact retribution chasing. People will at times look to "get even" notwithstanding while
11
doing as such is monetarily expensive (e.g., Turillo et al., 2002; Kahneman, Knetsch, &
Thaler, 1986; Cropanzano & Baron, 1991).
The model for this study is based on the theory of social exchange. Since the basic premise
for the model is that when people perceive that the organization/ brand is doing something
that is beneficial for the people and society as a whole, they will reciprocate this behavior
by doing something for the company which in this case is buying their products. Here it is
not something that they negotiated beforehand but rather it is the case of altruism and
follows the rules of reciprocity as a norm. It is to be noted here that the perception of what
the company is more important. If the company is doing something beneficial but no one
knows about it then it will be of no consequence. So company must communicate their
efforts to the people which would affect their perception of the company. And this will
shape their behavior. It will gradually turn into a trusting and loyal relationship which is
mutually beneficial to both the parties. Thus creating loyalty among the customers.
When a cause is associated with the marketing strategy of the brand, people will buy more
of that brand then they would under normal circumstance. This effect would be amplified
when a celebrity which is well liked and trustworthy and is credible in a sense that they
have enough knowledge about the product and issue is brought on board.
Also when the people who score high on the scale of religiosity having a certain set of
values they derive from their religion regarding altruism and doing good for society come
across brands which they perceive are doing the exact same thing, they are more than likely
to support such brands. Since the set of values of corporate social responsibility are
somewhat similar to those religious values, the perception that a company is doing
something for the betterment of society would change or reinforce the sentiments of people
towards that brand in a positive manner.
In essence, theory of social exchange is based on the premise that the one who does well
deserves well. So the theoretical framework of this study is in line with the assumptions of
social exchange theory. If a company is perceived as doing well for society, the people in
that society will come together to reciprocate the company’s altruistic behavior.
12
2.2. Cause Related Marketing
Business studies have inspected three reasons for organizations to be involved in charities:
corporate citizenship behavior, benefit inspired giving and through-the-firm giving (Fry et
al., 1982). CRM has risen as of late as another type of corporate altruism dependent on the
reason of benefit roused giving. Corporate association towards social welfare started as
intentional responses to society’s issues and problems, and then at that point proceeded
into a phase of mandated organizational contribution, and currently it is evolving into a
phase where corporations see societal responsibilities as a type of investment (Stroup,
Neubert, & Anderson Jr, et al., 1987). A short portrayal of these stages is justified to follow
the rise of cause-related marketing.
Willingly doing good. It is noted by Stroup et al., (1987) that in the earliest time, public
enterprises embraces social responsiveness and charity intentionally. Even though such
endeavors perpetually decreased profits because they expended the assets of the firms
(Stroup et al., 1987), some of the authors argue that there were other motives behind these
actions and they weren’t just being benevolent. Keim (1978), brings attention to fact that
corporate generosity includes various activities which may work in favor of the
stakeholders despite simply being philanthropic contemplations (Morris & Biederman,
1985).
In the earlier days firms’ charitable actions were limited to only those which were simply
to the advantage of investors. Thus, even if the companies has the choice to donate or not,
the beneficiary of those givings were constrained legitimately to only those who assisted
the interests of the business. However in 1954, the circumstances changed, when the
supreme court of New Jersey ruled that public organizations have the right to give
donations to charitable elements which don't straightforwardly deliver benefit to the
organizations' investors.
Mandated CSR. The basic premise of this stage was the realization of corporations that
businesses work just as long as the individuals of the society keep on allowing them to.
Likewise, stakeholders disappointed with corporate pioneers' deliberate activities utilized
an assortment of weights, including administrative arrangements, to constrain
organizations into activities that did not really add to their benefit. As these weights
13
developed, to maintain a strategic distance from charges of corporate bad faith,
organizations would in general timid far from supporting causes that could possibly
encourage the advantages of their companies (Morris & Biederman, 1985).
Advancing by doing good. Ongoing pattern is by all accounts to look for a center ground
among willful and mandated corporate altruism. Corporate altruism is by all accounts
driven by the idea of "illuminated personal circumstance." Stroup et al., (1987) take note
of the fact that companies are starting to understand that, in order to survive in a highly
competitive environment companies must up their social responsibility game. Thusly, to
enhance a firm’s long haul performance, social responsibility is regarded as the greatest
tool. This pattern is likewise recognized in ongoing studies on the motivation of firms’
altruistic behaviors (Grahn, Hannaford, & Laverty, 1987). Researchers comprehensively
group these targets as (i) firm’s humanitarian goals which are likewise goals of their
strategic marketing techniques and (ii) firm’s altruistic objectives which are not the goals
of their strategic marketing methodology. Rosenthal's (1985) research on the intentions of
corporate contribution in national philanthropy telethons gives extra experiences into the
cover between the humanitarian and marketing motives of organizations. He reports that
organizations utilize telethons both as a channel for magnanimous commitments and as a
marketing tool.
2.3.The concept of CRM
In simple words cause-related marketing is defined as arrangement of firms’ altruistic
behaviors and illuminated business interests. It is fundamentally a marketing technique
with the basic purpose of accomplishing two goals – enhance firm’s performance and assist
social convictions by connecting fundraising (Charities) to assist a social cause to the
purchasing of the company's services and products. Demonstrative of the marketing push
of cause-related marketing programs is that commitments to philanthropy originating from
an organizations' cause-related marketing program don't originate from its normal
magnanimous establishment spending plan (philanthropic foundation budget). Instead, part
of the marketing spending that typically would have been consumed for publicizing and
additionally deals advancement is rather reserved for commitment to a cause in the interest
of those consumers who are the ultimate source of revenue generating activities with the
14
organizations in accordance to the terms of trade as set by the organization (Week, 1982).
Likewise demonstrative of the marketing push of cause-related marketing programs is the
way that the sums exhausted by the organizations in advancing the projects, and along these
lines animating interest for their brand(s), will in general be significantly higher than their
guaranteed top level augmentation to the cause. For instance, amid 1983, American
Express Company propelled a CRMP (cause-related marketing program) in help of the
remodel of the Statue of Liberty. American Express guaranteed to give a penny to the
remodel for each utilization of its charge card and a dollar for each new card issued in the
U.S. amid the final quarter of 1983. American Express had a 28% expansion in card use
over a similar period in 1982 and a sizable increment in the quantity of new cards issued.
This $6 million national advancement crusade brought about a $1.7 million contribution
by American Express to the Statue of Liberty-Ellis Island Foundation (Wall 1984).
There is by all accounts some disarray about the idea of cause-related marketing. It has
been seen as a type of horizontal promotion for sales (Varadarajan, 1986), as a tie in the
middle of sales promotion and corporate altruism (Grahn et al., 1987), as synonymous with
corporate sponsorship of magnanimous causes (e.g., Coca-Cola Company's sponsorship of
a program to battle homelessness and hunger in America; and as the inception and
subsidizing of meriting causes (e.g., Adolph Coors Company's setting up of a $500,000
grant program for offspring of officers who passed on in the Vietnam war; see (Rapp &
Collins, 1987), p. 174). In spite of the fact that the utilization of cause-related marketing
pair with desales promotion instruments, for example, pennies off coupons and discount
offers is inescapable, the offering of a financial motivator to spur shoppers to participate in
return associations with the firm (normal for most purchaser deals advancement
techniques) isn't the fundamental characteristic for cause-related marketing. Or maybe, the
particular component of cause-related marketing is the company's commitment to an
assigned cause being connected to clients' taking part in income creating exchanges with
the firm (trade of products and services for cash).
For a long time now, organizations have been endeavoring to improve their image, develop
a great mentality in the psyches of shoppers with regards to the organization, or potentially
to ensure increase in sales by conspicuously publicizing their demonstrations of charity
15
and assistance of noble convictions. Even if the firms don’t use their CSR activities to
promote their business directly, the positive image developed in the minds of consumers
as a result of their CSR activities still prompts and increase in their sales. For example,
Texaco has been supporting the Metropolitan Opera broadcasts on radio since 1940. They
limit their use as far as possible, almost up to under two minutes for each communicate and
just quickly makes reference to its oil based goods. In any case, studies show that critical
quantities of musical show audience members try to purchase Texaco items and that the
organization has more than multiple times its ordinary piece of the overall industry among
drivers who consistently tune in to musical drama broadcasts (Hamaker, 1984). The
positive results despite such activities can't be seen as illustrative of cause-related
marketing.
“Cause-related marketing is the process of formulating and implementing marketing
activities that are characterized by an offer from the firm to contribute a specified amount
to a designated cause when customers engage in revenue-providing exchanges that satisfy
organizational and individual objectives.” - (Varadarajan & Menon, 1988).
2.4. Religiosity
Religiosity is multifaceted and intricate concept in this way definitions may differ
dependent on the religion that is being evaluated. It is primarily utilized to estimate the
religious duty and people’s devoutness. Religiosity is defined by McDaniel and Burnett
(1990), as “a belief in God accompanied by a commitment to follow principles believed to
be set by God”; though Geser (2009) referring to different researchers, for example, Hunt
and King, (1967) give much more extensive definition recommending that “religiosity is a
complex, multifaceted variable that envelops subjective qualities and convictions, strong
spiritual devotion and duty, and practices, for example, prayer and church participation”.
Thus, religiosity alludes to the degree to which a man is dedicated, adheres to and is
committed towards the values of the religion he follows (Beit-Hallahmi & Argyle, 1997).
Religiosity is anything but a one-dimensional idea (Abou-Youssef, Kortam, Abou-Aish, &
El-Bassiouny, 2015; King & Hunt, 1972); but instead it is a complex and multi-dimensional
variable that links to multiple religious concepts that in turn influence the manner in which
people lead their lives. These components incorporate values, beliefs and norms,
16
experiences, information and practices which have an impact on people’s daily routines
(Abou-Youssef et al., 2015; O’connell, 1975). According to comprehension of religiosity,
human religiosity can be arranged by utilizing the measure of how devoted people are
towards their religion, by mulling over the confined relationship between religion and
mankind and also the significance of religion in the history of mankind (Khan, Watson, &
Habib, 2005). Since it is a very complex variable with many different focus points,
religiosity isn't anything but difficult to quantify and although we can see the development
of few scales through history, most of which estimated Christian religiosity. Majority of
the scales employed for the measurement of religiosity are either estimating beliefs,
convictions and practices, for example, scale of Taai (1985), or extrinsic and intrinsic
orientations of religions also known as MRO (motivated religious orientation) according
to the scale developed by Albehairi and Demerdash (1988). Even though practices and
convictions are clear as crystal, intrinsic and extrinsic motivated religious orientation is
more intricate. Spirituality is proposed to be not included in extrinsic religiosity (Vitell,
Paolillo, & Singh, 2005), yet it is fairly wary of how other people in the social group see
somebody's religion, where religious practices are adopted to achieve some end goal, as
they are intended to acclimate the acknowledged practices and lifestyle and improve the
individual's feeling of having a place and acknowledgment (Abou-Youssef et al., 2015).
At times a person may contend extrinsic religiosity to be an approach to identify oneself,
for example, wearing something which may serve as a symbol in ones’ religion while in
another country or on a job where individual is minority. While the intrinsic religiosity is
propelled by ones’ beliefs where individuals will in general build up a lifestyle in
accordance with those convictions (Khan, Watson, Naqvi, Jahan, & Chen, 2015). As
opposed to extrinsic religiosity, the true objective of intrinsic religiosity is spirituality and
the practices whether in day by day life or religious customs are a true objective. Khan et
al., (2015) surmise that intrinsic religiosity has more effect on conduct than extrinsic
religiosity. With that being said, the scales employed for estimating religiosity can contrast
subtly in elements starting with one examination then onto the next and from religion to
religion. Estimating Islamic religiousness in research, which is generally new as compared
to Christian religiosity measures, demonstrates that a viable impression of the Islamic
conceptualization of religiosity as per the comprehension of Muslims requires moderately
17
extraordinary estimation scales (Krauss et.al. 2005). To comprehend Islamic religiosity, it
is relevant that we have a comprehension of the religion itself. So what is Islam?
To understand Islam as complete code of conduct for life, Vinay Samuel defined religion
to BBC in an interview in1993 as “Religion is a way of life and allows people to make
sense of the world in which they live and be able to deal with it”. (Bassiouny, 2014)
describes Islam as “a total way of life” and further explain it as “resulting from a state of
submission to one God whereby all acts in life are considered a form of divine worship”.
It proposes the worldview of Islam offers harmony among otherworldly and material
prosperity, thus setting up existence of humans with reasonable course prompting the
endpoint, that is, the place people are going to be in the long run for everlasting period
(Bassiouny, 2014). The point of Islamic religious philosophy is all-inclusive, in the
guarantee of forever as well as in rephrasing generosity and people's commitments to
others' satisfaction and joy (Al-Quran, Surah-Al Baqarah: 265 & 274). Tafakour is an
Islamic call for an intelligent sort of enlightenment then concentrate the material world’s
efforts to find and comprehend it, value the maker, outfit integrity and stay away from its
hardship (Al-Quran Surah-Al Room: 08; & Surah-Al Aaraf: 185) – along with Rahmeh
(Al-Quran, Surah-Al Balad: 17) – according to which individuals are ordered to be
benevolent and look after other people, bolster, secure and give fairly and equally. Prophet
Muhammad SAW called for Rahma over and over again in a couple of very much recorded
Hadiths (Al-Nawawi, 1233-1277 C.E.). Embracing these two ideas can prompt flourishing
in both the material world and afterlife (as believed by Muslims). Such efforts prompt
success which incorporate creating and sharing learning, working to procure living, and
voluntarily helping other people, yet in addition incorporates (Ebadah) or worship, for
example, fasting and praying. Noting that obtaining knowledge and working are included
as forms of praying/worshipping in Islam (Al-Quran, Surah-Al Jumuah: 10; & Surah-Al
Mulq: 15).In Islam, the economic system observes and analyzes the financial phenomenon
in business sectors, and also the conduct of individuals and society as a whole towards
utilization of the produced goods (Meqren, 2013).
Islamic economic framework, then again, facilitates the connections among people, and
between people and production houses to perceive the advantages and add incentive with
18
least waste as this may adversely influences the assets of the general public, for instance,
“if you own a real estate you should contribute it as agricultural production land or to
construct a property” (Meqren, 2013). It is said that ideological readings of religion may
not help in understanding their effect on peoples' lives, marketing practices and utilization
patterns. Individuals vary and contrast in their comprehension of their religion and their
translation, interpretation and understanding of its belief system and ceremonies.
2.5. Cause Related Marketing and Perceived CSR
CRM (Cause related promoting) is another idea which reflects the CSR (corporate social
responsibility). The idea has been produced since late 80's and one of the most earliest
definitions was planned by (Varadarajan & Menon, 1988): “Cause-related marketing is the
process of formulating and implementing marketing activities that are characterized by an
offer from the firm to contribute a specified amount to a designated cause when customers
engage in revenue-providing exchanges that satisfy organizational and individual
objectives". Cause-related marketing can be characterized as firm's guarantee to specify a
portion of money to help not-for-profit firms or to other social tasks when clients buy its
items or administrations (Nan & Heo, 2007). Cause-related marketing is likewise
characterized as a limited time action of a firm in which a societal or magnanimous reason
is embraced, generally together with its services and products as a package or tie-in'
(Idowu, Capaldi, Zu, & Gupta, 2013). Cause-related marketing is viewed as a basic
business strategy that creates higher benefits, enhance corporate image and effectively rival
contenders and sales boost through campaigns that decidedly affect consumers'
dispositions toward the firm, in particular cause-related marketing is utilized as a marketing
tool to pick up the loyalty of customers (Demetriou, Papasolomou & Vrontis, 2010). CRM
(Cause-related marketing) as a component of corporate social responsibility, turns into an
undeniably utilized apparatus by organizations working in the market. CSR (Corporate
social responsibility) is imperative for keeping up long haul achievement, being every
company's fundamental competitive edge and a way to society's practical advancement.
The new customer's identify to expanded necessities and will like to purchase from
organizations that are focused on honorable social causes, insofar as there are no significant
contrasts concerning the nature of the products (Anghel, Grigore, & Rosca, 2011).
19
Building a powerful brand has always been the utmost dream of marketers and brand
owners. Every year millions of dollars are being invested for creating a brand which can
successfully attract and retain the attention of consumers and be the preferred brand while
purchasing. With increased competition both in terms of product attributes and brand
proposition, the task and path of creating a powerful and preferred brand is becoming
tougher and tougher. Every other brand in a product category is offering more or less same
product physical features and emotional comfort to consumers. The tussle and dilemma
about how to differentiate a product or brand from others is not only in the mind of
marketers but also in the mind of consumers, as the features which were once used as
a decision making tool are losing their credibility and distinctiveness (Singh, 2016).
In the word of Hazel Kahan (quoted in Hall 1999) they are now eyeing for a share of
consumers inner lives, their values, their beliefs and yes their souls. Brands are now being
evaluated on moral, legal and ethical front along with their product value and emotional
value fronts. We are in the era of triple bottom line performance where brands represent
not only the products or service a company provides but the companies beliefs and
character; it is no longer just the interface between the company and its consumers, but the
face of the company itself.
Corporate social responsibility is at the center of talk these days not only because of
government policies but also because of its important contribution and continuous
participation in brand building exercises. consumers now want their favorite brand to be
more socially aware and ethically fit, the once important unique selling propositions are
no longer effective and are being replaced by emotional selling propositions (Aitchison,
1999) as quoted by Fan (2005). Creating an efficient emotional selling proposition needs
increased awareness not only toward consumer needs but also toward the issues which
consumers care for, the scenario now is of sharing the responsibilities.
Cause related marketing is slowly and gradually getting its grounds as an important tool
for marketers. Positive orientation of youth toward CRM is a motivating sign for the
brands focusing on this segment, brands can enjoy an edge over their competitors by
doing CRM provided the cause is perceived positively and the donation size is
justifiable to the target. Motivation of organizations for doing CRM is well accepted, but
20
a balance between premium charged and percentage contributed should be maintained so
that a win: win situation exists (Singh, 2016).
Cause-related marketing as defined by (Berger, Cunningham, & Kozinets, 1999) is ‘the
one which communicates company’s charitable efforts to the market place’ and
emphasized that cause inclusion in marketing campaigns can act as a peripheral cue that
enhances involvement levels and thus has a positive influence on consumer perception of
the brand. Cause related marketing is about a win: win: win scenario where the charity
or cause and business win and indeed where the benefits also extend to consumers and
other stakeholders”, meaning that not only companies, nonprofit organizations and/or
consumers, but all of them benefit from CRM programs (Adkins, 2007).
According to Singh (2016) when asked if consumers can recall any such campaign, over
54% of the respondent said they can recall one or more campaign. And when asked how
they perceive a brand associated with cause related marketing, 78% said it’s altruistic and
is good for a brand to do such things, provided their past experience with the brand is
positive. This shows that cause related marketing works and has an impact on consumers’
perception of how socially responsible an organization is. Thus,
H1: Cause related marketing has a positive impact on perceived corporate social
responsibility.
2.6. Perceived corporate social responsibility and Brand loyalty:
A few examinations have discovered that corporate social responsibility affects brand
loyalty (He & Li, 2011; Marin, Ruiz, & Rubio, 2009). Loyalty is a social articulation of a
man's state of mind toward, and feelings for, a brand. Consumers can be an asset when it
comes to promoting an organization's brands. Organization identification studies
demonstrate that when consumers relate to an organization, they will in general buy and
suggest the organization's services and products more (Ahearne, Bhattacharya, & Gruen,
2005; He & Li, 2011).
Ferrell and Hirt (2000) characterize corporate social responsibility as the corporate conduct
in connection to the fulfillment of business morals' which incorporate corporate
commitments and duties to society. Vogel (2007) likewise proposes that corporate social
responsibility is an expansion of business morals and the executives' ethical quality that
ought meet lawful directions, as well as react to pressure from public and the expectations
21
of society. In this way, corporate social responsibility could manage businesses' ethical
standards to keep up the benefits of all the stakeholders of the organization.
Researchers discover that the impact of implementation of corporate social responsibility
on the performance of firm to be fascinating in light of the fact that individuals see firms
satisfying their corporate social responsibility as socially responsible. Numerous studies
additionally contend that satisfying corporate social responsibility is identical to making
an investment that is socially responsible, hence improving the performance of firm
(Griffin & Mahon, 1997; Peters & Mullen, 2009; Preston & O’bannon, 1997; Verschoor,
1998). Laczniak and Murphy (1991) argue that a firm that subscribes to building up the
way of life of business morals would abstain from acquiring individual, hierarchical, and
social costs, hence prompting a superior performance of firm. Sims and Kroeck (1994)
recommend that a firm after the standards of business morals could improve corporate
identity and also improve employees' satisfaction, which are helpful for successful
performance of firms. Preston and O’bannon (1997) show that socially responsible firms
fabricate a more complete administrative framework, which could enhance firm execution.
Besides, Verschoor (1998) analyzes the budgetary information of the S&P 500 firms and
infers that corporate social responsibility has a causal association with the performance of
firm.
A few researches on corporate social responsibility (Maignan & Ferrell, 2004; Maignan &
Ferrell, 2005) inspect linkages of corporate social responsibility with business marketing,
proposing that when an organization fulfills its corporate social responsibility, that firm
greatly enhances its corporate image, in this way enhancing the performance of firm. Both
Maignan and Ferrell (2004) and Maignan and Ferrell (2005) contend that fulfillment of
corporate social responsibility would improve the advantages of marketing and fortify the
corporate identity of stakeholders. Lai, Chiu, Yang and Pai (2010) examined corporate
social responsibility's consequences on the performance of brand. The authors find that
corporate social responsibility decidedly influences brand performance. Torres, Bijmolt,
Tribó and Verhoef (2012) utilized a board information including 57 worldwide brands
unique to 10 nations for the period 2002– 2007 and found that corporate social
responsibility toward every stakeholder enhances the brand performance. Sweetin,
22
Knowles, Summey and McQueen (2013) demonstrate that customers managing socially
reckless corporate brands are bound to rebuff and less inclined to be compensated.
In the wake of investigating the literature included in Web of Science and Scopus, the most
much of the time utilized databases for looking through the literature (Aghaei Chadegani
et al., 2013; Norris & Oppenheim, 2007), a few important and explicit researches with
respect to the connection between perception of customer regarding corporate social
responsibility and brand loyalty in the telecommunication industry have been recognized.
In this way, (Salmones, Perez, Bosque, & others, 2009) contemplated the effect of
corporate social responsibility perception (thinking about financial, legitimate, moral and
social perspectives) on the general assessment of the products/services and brand loyalty.
Vlachos, Tsamakos, Vrechopoulos and Avramidis (2009) overviewed 830 arbitrarily
chosen versatile telecom clients from Greece with the end goal to explore whether
purchasers' view of corporate social responsibility motives impact their assessment of
corporate social responsibility endeavors, uncovering that appropriately spurred corporate
social responsibility activities emphatically influence trust, and in a roundabout way,
loyalty of customers, paying little mind to the firm's performance on the provision of
service quality. Ali, Rehman, Yilmaz, Nazir and Ali (2010) researched 250 young
consumers of telecommunication organizations from Pakistan with the end goal to break
down the linkage between Brand loyalty and perceived corporate social responsibility.
Thus,
H2: Perceived corporate social responsibility has a positive impact on brand loyalty.
2.7. Moderating role of Celebrity endorsement
In the most recent decade, there has been a huge increment in the measure of Celebrity
Endorsement (Boyd & Shank, 2004). Celebrities all over the world i.e. motion picture and
TV stars, lawmakers, professional athletes, organizations, artists and the military have been
utilized by firm to endorse their products (McCracken, 1989). Studies have demonstrated
that the essential reason brands support famous people is for the most part to emerge from
the messiness of ads that are circulated these days (Bhatt, Jayswal, & Patel, 2013; Roy,
Gammoh, & Koh, 2012). The other likely advantages of celebrity endorsement to brands
incorporate the capacity of celebrities to pick up and hold the attention of the customers
either because of recognition or on the grounds that they are appreciated; celebrities are
23
additionally capable, because of their believability, to give proficient tributes on products
that can be seen to have added to their effective careers (Boyd & Shank, 2004).
There are numerous irregularities in the literature about the most essential measurements
for a successful celebrity endorsement (McCracken, 1989; Roy, 2012). A few researchers
argue that dependability is more vital, some argue expertise is much more vital and others
argue that the engaging quality of the celebrity is the most critical factor. Unlike
anonymous endorsers, celebrities add value to the image transfer process, sustaining
communication and achieved a higher level of attention and recall (Song, Chaipoopiratana,
& Combs, 2008). Research has shown that the use of celebrities in advertising, compared
with anonymous models, can have a positive influence on the credibility (Farhat & Khan,
2011).
In Pakistan, Imran Khan being the captain of the team that won country the cricket world
cup 1992, and one of the most cherished celebrities around the cricketing world, raised
millions of dollars to establish Shaukat khanum cancer hospital in Pakistan. This goes to
show that celebrities can play a huge role in bringing awareness towards social issues and
when these celebrities associate themselves with a cause, their fans not only become more
aware of it but also start caring for it as well. So companies can increase their perception
of corporate social responsibility by using celebrity endorsers in their cause related
marketing campaigns. Thus,
H3: Celebrity endorsement moderated the relationship of cause related marketing and
perceived CSR.
2.8. Moderating role of Religiosity:
Religious duties assume a vital job in individuals' lives through forming their convictions,
information, and states of mind. Diverse religious gatherings, for example, Muslims,
Christians, Buddhists, and others with different religious backgrounds have contrasting
convictions. These convictions can't be neglected while analyzing a general population
(Fam et al., 2002). These religious responsibilities and convictions impact the sentiments
and demeanor of individuals towards utilization (Jamal, 2006). For instance, in England,
the pattern of consumption of the Indian culture when contrasted with the indigenous white
British society is distinctive because of responsibility to explicit collective or religious
24
gatherings (Lindridge, 2005). Moreover, it is the religion which indicates allowed and
prohibited things which impact the purchaser's utilization choice. For instance, beef is
restricted in Hinduism while in Islam it isn't taboo. The utilization of pork is precluded in
both Islam and Judaism however it is permitted in Christianity. As a result, religion impacts
what purchasers have faith in, what they like, and what they detest (Fam et al., 2002).
Religiosity is multifaceted and intricate concept in this way definitions may differ
dependent on the religion that is being evaluated. It is primarily utilized to estimate the
religious duty and people’s devoutness. Religiosity is defined by McDaniel and Burnett
(1990), as “a belief in God accompanied by a commitment to follow principles believed to
be set by God”; though Geser (2009) referring to different researchers, for example, Hunt
and King, (1967) give much more extensive definition recommending that “religiosity is a
complex, multifaceted variable that envelops subjective qualities and convictions, strong
spiritual devotion and duty, and practices, for example, prayer and church participation”.
Thus, religiosity alludes to the degree to which a man is dedicated, adheres to and is
committed towards the values of the religion he follows (Beit-Hallahmi & Argyle, 1997).
Religiosity is anything but a one-dimensional idea (Abou-Youssef et al., 2015; King &
Hunt, 1972); but instead it is a complex and multi-dimensional variable that links to
multiple religious concepts that in turn influence the manner in which people lead their
lives. These components incorporate values, beliefs and norms, experiences, information
and practices which have an impact on people’s daily routines (Abou-Youssef et al., 2015;
O’connell, 1975). According to comprehension of religiosity, human religiosity can be
arranged by utilizing the measure of how devoted people are towards their religion, by
mulling over the confined relationship between religion and mankind and also the
significance of religion in the history of mankind (Khan, Watson, & Habib, 2005). Since it
is a very complex variable with many different focus points, religiosity isn't anything but
difficult to quantify and although we can see the development of few scales through history,
most of which estimated Christian religiosity. Majority of the scales employed for the
measurement of religiosity are either estimating beliefs, convictions and practices, for
example, scale of Taai (1985), or extrinsic and intrinsic orientations of religions also known
as MRO (motivated religious orientation) according to the scale developed by Albehairi
and Demerdash (1988). Even though practices and convictions are clear as crystal, intrinsic
25
and extrinsic motivated religious orientation is more intricate. Spirituality is proposed to
be not included in extrinsic religiosity (Vitell et al., 2005), yet it is fairly wary of how other
people in the social group see somebody's religion, where religious practices are adopted
to achieve some end goal, as they are intended to acclimate the acknowledged practices
and lifestyle and improve the individual's feeling of having a place and acknowledgment
(Abou-Youssef et al., 2015). At times a person may contend extrinsic religiosity to be an
approach to identify oneself, for example, wearing something which may serve as a symbol
in ones’ religion while in another country or on a job where individual is minority. While
the intrinsic religiosity is propelled by ones’ beliefs where individuals will in general build
up a lifestyle in accordance with those convictions (Khan et al., 2015). As opposed to
extrinsic religiosity, the true objective of intrinsic religiosity is spirituality and the practices
whether in day by day life or religious customs are a true objective. Khan et al., (2015)
surmise that intrinsic religiosity has more effect on conduct than extrinsic religiosity. With
that being said, the scales employed for estimating religiosity can contrast subtly in
elements starting with one examination then onto the next and from religion to religion.
Estimating Islamic religiousness in research, which is generally new as compared to
Christian religiosity measures, demonstrates that a viable impression of the Islamic
conceptualization of religiosity as per the comprehension of Muslims requires moderately
extraordinary estimation scales (Krauss et.al. 2005). To comprehend Islamic religiosity, it
is relevant that we have a comprehension of the religion itself. So what is Islam?
To understand Islam as complete code of conduct for life, Vinay Samuel defined religion
to BBC in an interview in1993 as “Religion is a way of life and allows people to make
sense of the world in which they live and be able to deal with it”. (Bassiouny, 2014)
describes Islam as “a total way of life” and further explain it as “resulting from a state of
submission to one God whereby all acts in life are considered a form of divine worship”.
It proposes the worldview of Islam offers harmony among otherworldly and material
prosperity, thus setting up existence of humans with reasonable course prompting the
endpoint, that is, the place people are going to be in the long run for everlasting period
(Bassiouny, 2014). The point of Islamic religious philosophy is all-inclusive, in the
guarantee of forever as well as in rephrasing generosity and people's commitments to
others' satisfaction and joy (Al-Quran, Surah-Al Baqarah: 265 & 274). Tafakour is an
26
Islamic call for an intelligent sort of enlightenment then concentrate the material world’s
efforts to find and comprehend it, value the maker, outfit integrity and stay away from its
hardship (Al-Quran Surah-Al Room: 08; & Surah-Al Aaraf: 185) – along with Rahmeh
(Al-Quran, Surah-Al Balad: 17) – according to which individuals are ordered to be
benevolent and look after other people, bolster, secure and give fairly and equally. Prophet
Muhammad SAW called for Rahma over and over again in a couple of very much recorded
Hadiths (Al-Nawawi, 1233-1277 C.E.). Embracing these two ideas can prompt flourishing
in both the material world and afterlife (as believed by Muslims). Such efforts prompt
success which incorporate creating and sharing learning, working to procure living, and
voluntarily helping other people, yet in addition incorporates (Ebadah) or worship, for
example, fasting and praying. Noting that obtaining knowledge and working are included
as forms of praying/worshipping in Islam (Al-Quran, Surah-Al Jumuah: 10; & Surah-Al
Mulq: 15).In Islam, the economic system observes and analyzes the financial phenomenon
in business sectors, and also the conduct of individuals and society as a whole towards
utilization of the produced goods (Meqren, 2013).
Islamic economic framework, then again, facilitates the connections among people, and
between people and production houses to perceive the advantages and add incentive with
least waste as this may adversely influences the assets of the general public, for instance,
“if you own a real estate you should contribute it as agricultural production land or to
construct a property” (Meqren, 2013). It is said that ideological readings of religion may
not help in understanding their effect on peoples' lives, marketing practices and utilization
patterns. Individuals vary and contrast in their comprehension of their religion and their
translation, interpretation and understanding of its belief system and ceremonies.
CSR has often been thought of as a practice for businesses to contribute towards doing
good for the environment or the society at large. But when it comes to measuring the true
value of CSR programs, not many companies adopt a systematic way to evaluate the
programs' value and impact. By the United Nations' definition, the concept of CSR involves
the voluntary acts of the business sector - outside the realm of government regulation - to
improve their own sustainability and that of the world in which they operate. Companies
take on different approaches depending on their interpretation of CSR and priorities. Some
27
embark on extensive sustainable development plans aligned with the United Nations
Sustainable Development Goals; others commit to corporate giving programs to benefit the
underprivileged communities. Social responsibility is an obligation and commitment to
secure, encourage, increment and improve the advantage of partners and social individuals.
CSR likewise was called corporate citizenship. Many corporations set up moral codes,
Johnson-Johnson is one of them and it is a model/standard. In Chen and Wang's (2011)
examination, corporate social responsibility was principally impacted by four major
segments: responsibility, straightforwardness, intensity, and obligation; while creating
business techniques, organizations accepting responsibility and straightforwardness as
need would fortify their competitive edge and be more responsible and thus prompt
corporate social responsibility. The investigation of Esen (2013) proposed firms are being
respectable through corporate social responsibility exercises. It is likewise alluring to
analyze different elements of corporate repute, for example, corporate reputation,
workplace environment, and emotional appeal with CSR. Surveys indicate that “61% of
consumers would buy a product from a socially responsible company or would switch
retailers if cost and quality were equal” Marketing week (2007). What's more, when
characterized in a comprehensive setting, the view of cost will be outside to the firm with
measurement of an investor or financial specialist rate of profitability: Social duty is
characterized as a structure of quantifiable corporate arrangements and methods and
coming about conduct intended to profit the working environment and, the individual, the
firm, and the network. Gonzalez-Perez (2013) gave a conceptual and theoretical outline of
CSR to improve the comprehension of Corporate Social Responsibility inside the setting
of global business and affirmed to the needs that emerge from the impacts of corporate
social responsibility activities in worldwide business and in addition proposed it could be
utilized as an apparatus for the teaching purposes on either CSR or global business.
Society's fundamental order comprises of both the legitimate system and social traditions;
it is dependably a portrayal of the general public's predominant thoughts and feelings. New,
developing social patterns can't go into society's essential request as such; indeed, they
should be advanced with the goal that they may build up after some time. Organizations
can bolster this strategy and in doing as such, gain benefits in the meantime. Porter and
28
Kramer (2002) call this win– win circumstance in strategic altruism. In the United States,
the interrelation between an organization's social responsibility and its benefit has been of
logical worry since the 1970s. Among researchers, (Margolis & Walsh, 2001) and
(Orlitzky, Schmidt, & Rynes, 2003) present an extensive survey of the current literature,
reaching a similar result that the market remunerates endeavors' social exercises. Corporate
social responsibility would thus be able to be viewed as an effective administration
procedure (Baron, 2003), and can be a critical factor in the organization's prosperity.
It is to be noted here that values related to CSR are very well matched with the values of
many mainstream religions like Islam and Christianity. Every religion in the world
emphasizes on doing good for the society one lives in. For example, in Quran Allah the
almighty says:
"Spend (in charity) out of the sustenance that We have bestowed on you before that time
when death will come to someone, and he shall say:” "O my Lord! If only you would grant
me reprieve for a little while, then I would give in charity, and be among the righteous." The Holy Quran, 63:10.
In the above mentioned verses of Holy Quran, Allah is communicating with mankind and
telling them to spend in charity. Allah has made it clear in these verses that charity is
mandatory for all those who have been given worldly riches. Allah instructs them to spend
while they are alive and have time in this world. Allah also makes it clear for what will
happen on the judgment day. As to how those who don’t spend in charity in this life would
realize how they deprived themselves from the blessings of Allah in the afterlife because
they held onto the riches in this world and did not help those who were in need of their
help. And how they will ask Allah to send them back to this world so they would do right
by themselves and other around them. And this time they would spend more and help
everyone they can and be among the righteous people (those spent their money to help
others). But it would be too late by then. Hence, believers must spend from what Allah has
blessed them with to help others and make the world a better place by investing money and
time into making the world a better place for everyone.
29
“Surely Allah commands justice and the doing of good (to others), and giving to the
kindred, and He forbids indecency and evil and rebellion. He admonishes you that you may
be mindful. And fulfill the covenant of Allah, when you have made a covenant, and break
not your oaths after confirming them; and you have indeed made Allah your surety. Surely
Allah knows what you do.” Holy Qur'an (16:90-91).
In these verses Allah commands believers to be just in their conduct and make sure
everyone is treated fairly regardless of their beliefs, gender, race or family background. It
is and obligation for Muslims to be just in their conduct as well as their speech so no one
is hurt or oppressed or deprived of their rights. Allah orders Muslims to commit themselves
to doing well for others and spend in the His name to help your family, friends and anyone
else who may be in need of your help. And He prohibits from doing evil and anything
which may get in the way of progress of society and brings misery to the lives of other
people.
"Those who in charity spend of their goods by night and by day, in secret and in public,
have their reward with their Lord: on them shall be no fear, nor shall they grieve" Holy
Qur’an (2:274).
According to these verses of Holy Qur’an, Allah has promised a great reward for those
who spend in his name. Allah tells believers to give charity whenever and wherever they
can. Whether it be during the day or in the midst of night, be it in secrecy or publicly. And
those who do so will have nothing to fear and their sorrows will subside.
Similarly, in Hadith Prophet Muhammad (SAW) has mentioned charitable deeds and
emphasized on them frequently. For example:
“The Prophet Muhammad (peace be upon him) once had several coins that he asked his
wife to distribute in charity. But due to the Prophet's illness at the time, she did not have
an opportunity to give out the coins. When the Prophet learned of this, he asked for the
coins, placed them in his hand, and then said:” "What would God's Prophet think if he
30
were to meet God, who is Great and Glorious, while (still) possessing these?" – (AlTirmidhi, Hadith 586).
Through this Hadith Prophet Muhammad SAW is addressing the importance of charity. He
SAW is emphasizing on the fact that He would feel ashamed if he appeared in font of Allah
while he still has something he did not give out in charity. This just goes to show the
importance of charity in Islam.
“The Prophet also said:” "Give charity without delay, for it stands in the way of
calamity." – (Al-Tirmidhi, Hadith 589).
In this hadith Muhammad SAW is telling how charity benefits the giver. He SAW says that
there should not be a delay in giving. As what you give others in the name of Allah the
almighty protects you from any tragedy that comes your way.
“The Prophet Muhammad (peace be upon him) said: "The believer's shade on the Day of
Resurrection will be his charity." - Al-Tirmidhi, Hadith 604.
Here again, He SAW is emphasizing why the charity is important. Here he does this by
telling believers that whatever they give out in this world would come to their aid on the
Day of Judgment and will be the source of their redemption.
The Prophet also said: "Every act of goodness is charity." - Sahih Muslim, Hadith 496.
In this hadith prophet Muhammad SAW tells believers as to what actually is charity.
According to Him SAW, every act of kindness is charity. Term charity is widely
misunderstood as just monetary giving and that one needs to have enormous wealth and
influence to be charitable. But in Islam it is very simple. And you don’t have to be wealthy
to be charitable. You can be charitable by being kind to others. Even by comforting
someone with your words or smiling kindly at someone, you are being charitable.
“A man once said to the Prophet Muhammad (peace be upon him):” "I have plenty of
property, a large family, a great deal of money, and I am a gracious host to my guests. Tell
me how to conduct my life and how to spend (my money)." “The Prophet replied:” "Give
31
(regular charity) out of your property, for truly it is a purifier, and be kind to your relatives
and acknowledge the rights of the poor, neighbors and (those in need who seek your
help)." – (Fiqh-us-Sunnah, Volume 3, Number 3).
According to this hadith, Prophet Muhammad SAW declares charity as the best way to
spend. And as a way of life. He SAW said to regularly spend in charity as it not only helps
others but it also purifies oneself and also to be kind to others and to recognize the rights
of others and not deprive anyone from their rights.
“The Prophet Muhammad (peace be upon him) said:” "Every Muslim has to give in
charity." “The people then asked:” "(But what) if someone has nothing to give, what should
he do?" “The Prophet replied:” "He should work with his hands and benefit himself and
also give in charity (from what he earns)." “The people further asked:” "If he cannot find
even that?" “He replied:” "He should help the needy who appeal for help." “Then the
people asked:” "If he cannot do (even) that?" “The Prophet said finally:” "Then he should
perform good deeds and keep away from evil deeds, and that will be regarded as charitable
deeds." – (Sahih Al-Bukhari, Volume 2, Hadith 524).
All of this goes to show just how much Islam emphasizes on charitable giving and doing
good for society. But these values are not limited to Islam only. Every other religion also
emphasizes on taking care of the society one lives in. For example Christianity teaches
same thing. In Bible there are several verses telling people to do good for society and
people living around you. Following are few verses from Bible:
“One who is gracious to a poor man lends to the LORD, And He will repay him for his
good deed.” (Proverbs 19:17).
According to this verse, any good deed is done for God. And if you are courteous towards
others, God will repay your kindness and surely He will repay it by manifold.
“And if you give yourself to the hungry and satisfy the desire of the afflicted, then your
light will rise in darkness and your gloom will become like midday.” (Isaiah 58:10).
32
This verse states that by feeding someone who can’t feed himself, and helping the
distressed you eventually help yourself. As this is what will carry you through your
troubles.
“Give to him who asks of you, and do not turn away from him who wants to borrow from
you.” (Matthew 5:42).
Here God orders believers to always give to someone who is in need and to never turn
ones’ back on someone who needs their help. Helping others regardless of the circumstance
shows the importance of charity.
“But give that which is within as charity, and then all things are clean for you.” (Luke
11:41).
According to these verses, charity is a purifier for believers. And spending in the name of
God cleans everything for them.
“Sell your possessions and give to charity; make yourselves money belts which do not wear
out, an unfailing treasure in heaven, where no thief comes near nor moth destroys.” (Luke
12:33).
According to these verses, giving out to charity ensures and everlasting treasure in heaven.
A treasure which would never wear out and you won’t have to worry about someone
stealing it or it getting destroyed.
“But when you give a reception, invite the poor, the crippled, the lame, the blind” (Luke
14:13).
In these verses, God commands believers to include the poor and disabled in their
celebrations as it is also a form of charity.
“…a devout man and one who feared God with all his household, and gave many alms to
the Jewish people and prayed to God continually. About the ninth hour of the day he clearly
saw in a vision an angel of God who had just come in and said to him,” "Cornelius!" “And
fixing his gaze on him and being much alarmed, he said,” "What is it, Lord?" “And he said
to him,” "Your prayers and alms have ascended as a memorial before God.” (Acts 10:24).
33
Same is the case with Buddhism. Tai Hsu (1890-1947) was a Chinese Linji Chan Buddhist
priest who proposed a precept that came to be designated "humanistic Buddhism." Tai Hsu
was a pioneer reformer whose thoughts refocused Chinese Buddhism far from customs and
resurrection and toward tending to human and social concerns. Tai Hsu impacted new ages
of Chinese and Taiwanese Buddhists who extended humanistic Buddhism into a power for
good on the planet. Humanistic Buddhism roused the Vietnamese priest Thich Nhat Hanh
to propose Engaged Buddhism. Drawn in Buddhism applies Buddhist instructing and bits
of knowledge to social, monetary, ecological and different issues upsetting the world.
Various companies work effectively with Engaged Buddhism, for example, the Buddhist
Peace Fellowship and the International Network of Engaged Buddhists.
Hinduism also teaches its followers similar values. For Hindus, giving (dana) is an
essential piece of one's religious obligation (dharma). Dharma has a wide assortment of
implications, for example, unceasing law, obligation, behavior, conduct, ethical quality and
nobility. Every individual has a dharma towards family, society, the world and every
living thing. Dharma should be seen inside the system of the customary broadened Hindu
family, which assumes the job of a welfare state. The riches an individual secures isn't for
him/herself however for the welfare of the more distant family and others. One has a duty
towards those individuals from one's family who can't look after themselves. In a few
conditions an individual may have no choice yet to surrender or trade off his/her own
objectives for the family. To put it plainly, 'giving' starts at home yet reaches out past home.
The notable Hindu book the Bhagavadgita discusses three kinds of giving:

“A blessing that is given with no desire for gratefulness or reward is gainful to both
provider and beneficiary.

A blessing that is given reluctantly and with the desire for some preferred
standpoint is destructive to both supplier and beneficiary.

A blessing that is given with no respect for the sentiments of the beneficiary and at
the wrong time, thus embarrassing the beneficiary, is again hurtful to both supplier
and beneficiary.” (Bhagavadgita 17.20-22).
34
According to Bhagavadgita, charity is beneficial to both the giving and receiving parties if
it is given without any ulterior motive and no expectation of getting anything in return. But
if there is an ulterior motive or expectation of getting something back, then it serves no
purpose and is in vain. Also, it is to be noted what the beneficiary feels about it and when
the beneficiary is offered help. If these things are not considered and the supplier ends up
embarrassing the beneficiary then it is in vain as well. As such actions are actually more
damaging than helping to the supplier. One must make sure that the self esteem of the
beneficiary is kept intact.
Above literature goes to show how every mainstream religion teaches its followers to be
generous in helping others to make the world a better place. They have not only taught
their followers those values but also emphasized on their importance and made them
compulsory for every believer. These values are similar to those of CSR and have the same
motivation behind them. Based on this literature we can argue that the organization that
are viewed as socially responsible by religious people can enjoy higher levels of brand
loyalty from them as a reward for what they do for the society. Thus:
H4: Religiosity moderates the relationship between perceived corporate social
responsibility and brand loyalty.
2.9.
Theoretical framework:
Celebrity
Endorsement
Cause-Related
Marketing
Religiosity
Perceived
Brand
CSR
Loyalty
Fig 2.1: Theoretical Framework.
35
Methodology
3.1 Procedures for survey approach
There are several procedures used for survey as per desire and convenience of researchers
like in person interviews, telephone interviews, mailed questionnaire and online
questionnaires. For any method survey group is targeted as population, size is determined
as sample size; sampling techniques are decided and measurement instruments are selected.
All these procedures are discussed as following:
3.1.1 Population
(Sekaran & Bougie, 2016) stated that sampling is the process of selecting the unit from a
population of interest for impartial simplification of results of our study. There are many
cases where it is not possible to cover the whole population. In this situation, sampling
delivers better choice and makes valid results because in a short period of time its coverings
a research population.
3.1.2 Sampling Technique along with justification
A popular form of non-probability sampling is convenient sampling where the data is
collected from members of the population who are readily available. This research
employed convenience sampling technique. 600 questionnaire were distributed for data
collection.
3.1.3 Research Instruments
At the general level, current study measured the different construct from previous studies
and responses were recorded on a 5-point scale. These items, the sources from where the
items were adapted are summarized below:
3.1.3.1. Cause Related Marketing:
Study employed survey technique and adopted the scale from the study of Barone et al.,
(2004).
3.1.3.2. Perceived corporate social Responsibility:
Study used 7 item scale of Glavas and Kelley (2014) to measure Perceived CSR. Scale was
adopted with minor modifications.
36
3.1.3.3. Brand Loyalty:
Brand loyalty was measured using items from the work of Yoo and Donthu (2001). These
measures have been shown to be reliable and valid in several brand loyalty studies.
3.1.3.7: Celebrity Endorsement:
Celebrity endorsement was measured using the scale developed by Kumar (2011) from his
research study on the topic of impact of celebrity endorsement on buying behavior. Scale
was adopted with minor modifications.
3.1.3.8: Religiosity:
Study employed 6 item scale of Vitell et al., (2006). Scale covers both Intrinsic and
Extrinsic dimensions of religiosity. Sample item for each dimension is: “What religion
offers me the most is comfort in times of trouble and sorrow.”, “I attend to religious
meetings to contact with people who have potential benefit to me”.
3.2. Statistical analysis
3.2.1. Diagnostic Testing:
Before data analysis pilot testing of 200 individuals was done. Confirmatory factor analysis
i.e. CFA was applied on data collected in order to check validity of scales used. For
reliability analysis, cronbach alpha reliability was checked.
3.2.2. Structural Equation Modeling (SEM):
Study employed SEM for analyzing data. In case of multiple IV’s and DV’s it is better to
go for SEM. SEM is a comprehensive approach towards analysis of primary data. Results
are easier to interpret and are clear in visual form. SEM allows to conduct and combine a
vast variety of statistical procedures (Nachtigall, Kroehne, Funke, & Steyer, 2003).
Point of concern in SEM is goodness fit of model and direct and indirect effects. For
goodness fit, different criteria are used which include goodness fit index, adjusted goodness
fit index, RMSEA and chi sq/ d.f. For all of these criteria it is the value of factor on which
these criteria depend which decides that whether the model is good fit or poor fit. In case
of direct and indirect effect (i.e. regression) point of concern is estimate and its p value.
Hypothesis is accepted if p value is less than 0.05.
37
Analysis of Data
4.1 Data Analysis
This chapter deals with empirical results of data and testing of study hypotheses. Foremost,
this chapter presents the characteristics of respondents profile, response rate, normality test
and descriptive statistics includes study sample. Secondly, this chapter provides a
description of the research method used in this study. Third, we used we used structural
equation modeling (SEM) to analyze the estimation of measurement model of each
category of constructs and the analysis of the data addressing the research questions are
discussed. This chapter continues the results of the confirmatory factor analysis (CFA),
reliability and validity of the measures used in this research are also reported includes in
this research variables.
Variable Category
Gender
Age
Frequency
Male
59%
Female
41%
18-24
49%
25-34
38%
45-54
13%
Results of Normality Tests
For statistical estimation process, it is essential to test the normality of the data that is going
to be used for testing of hypotheses. Hence, statistical processes require that a distribution
of data to be normal or near to be normal. There are both graphical and statistical methods
for evaluating normality: (1) Kolmogorov-Smirnov and Shapiro-Wilk test, (2) skewness
and Kurtosis, (3) histogram (graphical method). We discuss now the results of these three
tests of normality.
Kolmogorov-Smirnov and Shapiro-Wilk Test: First, we performed KolmogorovSmirnov and (K-S) and Shapiro-Wilk (S-W) test of normality (Shapiro & Wilk 1965;
Razali & Wah, 2011) in SPSS-22 whereby we found both tests reject the null hypothesis
38
of normality, since (< .001) values of both tests are less than 0.05, and it seems to depart
from the population that is not normally distributed. According to these tests, the data
includes in this study are non-normal. However, one limitation of K-S and S-W is that the
larger the sample size, the more likely it is to get significant results. Since the sample size
in the present study is relatively large (N = 230), the significance of the K-S and S-W tests
might indicate deviations from normality. Consequently, it is plausible to perform
Skewness and Kurtosis tests owing to the pursue of normality distribution for the data in
the present research.
Skewness and Kurtosis: Skewness and Kurtosis tests entails that the data distribution in
either high ranges of Skewness and Kurtosis (+2 / -2) should be considered as non-normal,
which may inuence regression estimates (George, & Mallery, 2010). To calculate the
Skewness and Kurtosis we included all items of the study variables. Annexure shows the
values of Skewness and kurtosis for sample. All the values of Skewness and Kurtosis were
found close to the threshold level (< 2 / -2) of normality distribution criteria. Considering
the criteria proposed by George and Mallery, (2010), we presume data sets for both samples
are normally distributed.
Descriptive Statistics
N
Minimum
Maximum
Mean
Std. Deviation
Skewness
Kurtosis
Statistic
Statistic
Statistic
Statistic
Statistic
Statistic
Std.
Error
Statistic
Std.
Error
CRM
460
1.00
5.00
3.5913
1.22756
-.593
.114
-1.188
.227
CE
460
1.75
4.75
3.6174
1.11648
-.552
.114
-1.295
.227
CSR
460
1.00
5.00
3.5754
1.23419
-.586
.114
-1.156
.227
R
460
1.00
5.00
3.6087
1.17363
-.603
.114
-1.126
.227
BL
460
1.50
4.83
3.5768
1.00839
-.600
.114
-1.164
.227
Sample Size for Structural Equation Modeling
39
There is a long-standing debate in the literature with regards to sample size requirement
for structural education modeling, for example, Anderson and Gerbing (1988)
recommended that minimum 150 or more sample size is to be su_cient when constructing
structural equation models. Whereas Boomsma (1982, 1983) suggested that at least 400
sample size will be satisfactory, on the other hand, Hu, Bentler, and Kano (1992) argued
that in some cases even the 5000, the sample size is insufficient. Kline (1988) suggested
that 10 to 20 respondents will be needed to obtain parameters estimates, however Jackson
(2001, 2003) examined a very little effect of sample size on model fitt, that an inadequate
sample size shown poor fitting models.
Past literature suggests other _t indices which are most commonly used: Root Mean Square
Error of Approximation RMSEA, Browne, & Cudek, 1993; Byrne, 2010; Comparative Fit
Index CFI, Bentler, 1990; Roussel, 2005; Byrne, 2010; Tucker-Lewis Index TLI, Bentler,
& Bonett, 1980; Byrne, 2010 and Standardized Root Mean Square Residual SRMR, Hu &
Bentler, 1999; Roussel, 2005.
Cutoff Criteria*
Measure
Terrible Acceptable Excellent
CMIN/DF
>5
>3
>1
CFI
<0.90
<0.95
>0.95
SRMR
>0.10
>0.08
<0.08
RMSEA
>0.08
>0.06
<0.06
PClose
<0.01
<0.05
>0.05
Structural Equation Modeling
Structural equation modeling includes two components: first is factor analysis and second
is path analysis, more precisely, SEM is a set of measurement and structural model. The
measurement model demonstrates the association between observed variables and latent
variables; however, the structural model describes the interrelationships among study
constructs. The model may be called a full structural model when both measurement and
40
structural model are considered together. The current study, considered the measurement
model to ascertain the distinctiveness of study constructs.
Analysis of Data
We started our data analysis with a confirmatory factor analysis to ascertain the
distinctiveness of our study constructs. Several measurement models were performed and
compared as can be seen in subsequent section.
CFA for Cause Related Marketing
We performed CFA for Cause Related Marketing and results showed that the overall
model fit exhibited where global fitt indices showed an acceptable ranges of CFA model
fit, with 2 (54) = 156.940, [RMSEA = .098], [TLI = .862], [CFI = .887] and [SRMR= .060].
As per Hair et al. (2010) who suggested that at least three indices must be fitted well to
specify the model fit. Accordingly, with the recommendation of Mueller and Hancocks
(2008), the model fit satisfactorily since all the scores of fit indices are very good.
Model Fit Measures
Measure
Estimate
Threshold
Interpretation
CMIN
132.203
--
--
DF
20.000
--
--
CMIN/DF
6.6102
Between 1 and 3
Acceptable
41
CFI
0.995
>0.95
Excellent
SRMR
0.0 44
<0.08
Excellent
RMSEA
0.077
<0.06
Acceptable
PClose
0.000
>0.05
Not Estimated
Predictor Outcome Std Beta
CRM
CRM1
.520***
CRM
CRM2
.553 ***
CRM
CRM3
.987 ***
CRM
CRM4
.922 ***
*** p < 0.001
** p < 0.010
* p < 0.050
CFA for Celebrity Endorsement
We performed CFA for Celebrity Endorsement and results showed that the overall model
fit exhibited where global fitt indices showed an acceptable ranges of CFA model fit, with
2 (54) = 156.940, [RMSEA = .098], [TLI = .862], [CFI = .887] and [SRMR= .060]. As per
Hair et al. (2010) who suggested that at least three indices must be fitted well to specify
the model fit. Accordingly, with the recommendation of Mueller and Hancocks (2008), the
model fit satisfactorily since all the scores of fit indices are very good.
42
Model Fit Measures
Measure
Estimate
Threshold
Interpretation
CMIN
9.084
--
--
DF
2.000
--
--
CMIN/DF
4.542
Between 1 and 3
Acceptable
CFI
0.987
>0.95
Excellent
SRMR
0.040
<0.08
Excellent
RMSEA
0.088
<0.06
Terrible
PClose
0.104
>0.05
Excellent
Regression Weights
Predictor
Outcome
Std Beta
CEL
CE1
.518***
CEL
CE2
.498***
CEL
CE3
.771***
CEL
CE4
.922***
*** p < 0.001
** p < 0.010
* p < 0.050
CFA for Brand Loyalty
We performed CFA for Brand Loyalty and results showed that the overall model fit
exhibited where global fitt indices showed an acceptable ranges of CFA model fit, with 2
(54) = 156.940, [RMSEA = .098], [TLI = .862], [CFI = .887] and [SRMR= .060]. As per
Hair et al. (2010) who suggested that at least three indices must be fitted well to specify
the model fit. Accordingly, with the recommendation of Mueller and Hancocks (2008), the
model fit satisfactorily since all the scores of fit indices are very good.
43
Model Fit Measures
Measure
Estimate
Threshold
Interpretation
CMIN
0.000
--
--
DF
0.000
--
--
CMIN/DF
NaN
Between 1 and 3
Terrible
CFI
1.000
>0.95
Excellent
SRMR
0.000
<0.08
Excellent
RMSEA
0.684
<0.06
Terrible
PClose
0.000
>0.05
Not Estimated
Regression Weights
Predictor
Outcome Std Beta
Brand Loyalty
BL1
.583 ***
Brand Loyalty
BL2
.964 ***
Brand Loyalty
BL3
.831 ***
*** p < 0.001
** p < 0.010
* p < 0.050
44
CFA for Corporate Social Responsibility
We performed CFA for Corporate Social Responsibility and results showed that the
overall model fit exhibited where global fitt indices showed an acceptable ranges of CFA
model fit, with 2 (54) = 156.940, [RMSEA = .098], [TLI = .862], [CFI = .887] and [SRMR=
.060]. As per Hair et al. (2010) who suggested that at least three indices must be fitted well
to specify the model fit. Accordingly, with the recommendation of Mueller and Hancocks
(2008), the model fit satisfactorily since all the scores of fit indices are very good.
Model Fit Measures
Measure
Estimate
Threshold
Interpretation
CMIN
670.190
--
--
DF
150.000
--
--
CMIN/DF
4.466
Between 1 and 3
Acceptable
CFI
0.910
>0.95
Acceptable
SRMR
0.094
<0.08
Acceptable
RMSEA
0. 040
<0.06
Excellent
PClose
0.000
>0.05
Not Estimated
45
Regression Weights
Predictor
Outcome Std Beta
Corporate Social_Responsibility
CSR1
.790
Corporate Social_Responsibility
CSR2
.974 ***
Corporate Social_Responsibility
CSR4
.990 ***
Corporate Social_Responsibility
CSR5
.738 ***
Corporate Social_Responsibility
CSR6
.674 ***
Corporate Social_Responsibility
CSR7
.839 ***
*** p < 0.001
** p < 0.010
* p < 0.050
CFA for Religiosity
We performed CFA for Religiosity and results showed that the overall model fit exhibited
where global fitt indices showed an acceptable ranges of CFA model fit, with 2 (54) =
156.940, [RMSEA = .098], [TLI = .862], [CFI = .887] and [SRMR= .060]. As per Hair et
al. (2010) who suggested that at least three indices must be fitted well to specify the model
fit. Accordingly, with the recommendation of Mueller and Hancocks (2008), the model fit
satisfactorily since all the scores of fit indices are very good.
46
Model Fit Measures
Measure
Estimate
Threshold
Interpretation
CMIN
139.486
--
--
DF
31.000
--
--
CMIN/DF
4.498
Between 1 and 3
Acceptable
CFI
0.914
>0.95
Acceptable
SRMR
0.069
<0.08
Excellent
RMSEA
0.078
<0.06
Acceptable
PClose
0.000
>0.05
Not Estimated
Regression Weights
Predictor
Outcome Std Beta
Religiosity
R1
.789 ***
Religiosity
R2
.839 ***
Religiosity
R3
.795 ***
Religiosity
R4
.761 ***
Religiosity
R5
.798 ***
Religiosity
R6
.497 ***
*** p < 0.001
** p < 0.010
* p < 0.050
Multicollinearity
The multiplicative interactive term in regression analysis can create the problem of
multicollinearity. Therefore, we calculated for multicollinearity using criteria for variance
Inflation factor (VIF) and tolerance values (Kleinbaum, Kupper, & Mueller, 1988). VIF
scores, which measure the extent to which collinearity among the predictors affects the
precision of a regression model in each step. Variation inflation factor for all variables were
less than 5. VIF scores less than 10 are typically considered acceptable (Hair et al., 1998).
47
Finally, an inspection of the variance inflation factor scores (VIFs) indicated that there
were no instances of multicollinearity among any of the variables (largest VIF = 4.9).
Correlations and Reliabilities
Correlations
III
CRM
CE
PCSR
I
1
.526**
.497**
II
I
II
III
1
.719**
1
IV
V
R
BL
.580**
.508**
.410**
.501**
.461**
.554**
IV
V
1
.574**
1
**. Correlation is significant at the 0.01 level (2-tailed).
Correlational analyses were used to examine the relationship between variables of the study
Results indicated positive and significant relationship among variables of the study. The
results suggest that 5 out of 5 correlations were statistically significant.
No
Variables
No of items
Reliabilities
1
CRM
4
0.798
2
CE
4
0.712
3
PCSR
7
0.922
4
Religiosity
6
0.768
5
Brand Loyalty
3
0.799
Cronbachs alpha values that ranged from 0.712 to 0.922.
Results of Hypothesis Tests
48
Model Fit Measures
Measure
Estimate
Threshold
Interpretation
CMIN
78.107
--
--
DF
15.000
--
--
CMIN/DF
5.207
Between 1 and 3
Acceptable
CFI
0.960
>0.95
Excellent
SRMR
0.030
<0.08
Excellent
RMSEA
0.010
<0.06
Excellent
PClose
0.000
>0.05
Not Estimated
Regression Weights
Predictor
Outcome
Std Beta
CRM
CSR
.897 ***
CSR
BL
.954 ***
*** p < 0.001
** p < 0.010
* p < 0.050
49
Model Fit Measures
Measure
Estimate
Threshold
Interpretation
CMIN
3537.162
--
--
DF
1500.000
--
--
CMIN/DF
2.35811
Between 1 and 3
Excellent
CFI
0.972
>0.95
Excellent
SRMR
0.089
<0.08
Acceptable
RMSEA
0.007
<0.06
Excellent
PClose
0.000
>0.05
Not Estimated
Regression Weights
Predictor
Outcome
Std Beta
CRM
CSR
.468 ***
CE
CSR
.757 ***
CRMxCE
CSR
.191 ***
CSR
BL
.925 ***
R
BL
.122 ***
PCSRxR
BL
.104 ***
*** p < 0.001
** p < 0.010
* p < 0.050
50
5
CSR
4,5
4
y = 1,6x + 0,834
Moderator
3,5
Low CE
3
High CE
2,5
y = -0,4x + 3,366
Линейная (Low CE)
Линейная (High CE)
2
1,5
1
Low CRM
High CRM
CE strengthens the positive relationship between CRM and CSR.
51
5
BL
4,5
4
y = 1,4x + 1,134
Moderator
3,5
Low R
3
y = 0,2x + 2,466
2,5
High R
Линейная (Low R)
Линейная (High R)
2
1,5
1
Low CSR
High CSR
R strengthens the positive relationship between CSR and BL.
52
Discussion and Conclusion
5.1. Discussion:
Five research variables were included in the model, namely: Cause-related marketing
(CRM), Perceived corporate social responsibility (PCSR), Brand loyalty (BL), Celebrity
endorsement (CE) and Religiosity (R). Two of these are i.e. Cause-related marketing
(CRM), Perceived corporate social responsibility (PCSR) were independent variables,
Brand loyalty (BL) was dependent variables and Celebrity endorsement (CE) and
Religiosity (R) were moderating variables. To test the proposed model, a structural
equation modeling was performed. Results revealed the model fit of the data.
The results indicated that when companies use cause-related marketing, customer’s
perception of company being socially responsible increases. Thus proving H1 of the study.
H2 of the study proposed that perception of corporate social responsibility enhances brand
loyalty. Results of the study prove this hypothesis. These results are in line with the results
of the research study conducted by Demetriou, Papasolomou and Vrontis (2010). Anghel,
Grigore and Rosca (2011) also proposed the same results for this relationship. This also in
line with the findings of Singh (2016). In the most recent decade, there has been a huge
increment in the measure of Celebrity Endorsement (Boyd & Shank, 2004). Celebrities all
over the world i.e. motion picture and TV stars, lawmakers, professional athletes,
organizations, artists and the military have been utilized by firm to endorse their products
(McCracken, 1989). Studies have demonstrated that the essential reason brands support
famous people is for the most part to emerge from the messiness of ads that are circulated
these days (Bhatt, Jayswal, & Patel, 2013; Roy, Gammoh, & Koh, 2012). The other likely
advantages of celebrity endorsement to brands incorporate the capacity of celebrities to
pick up and hold the attention of the customers either because of recognition or on the
grounds that they are appreciated; celebrities are additionally capable, because of their
believability, to give proficient tributes on products that can be seen to have added to their
effective careers (Boyd & Shank, 2004). There are numerous irregularities in the literature
about the most essential measurements for a successful celebrity endorsement
(McCracken, 1989; Roy, 2012). A few researchers argue that dependability is more vital,
some argue expertise is much more vital and others argue that the engaging quality of the
53
celebrity is the most critical factor. Unlike anonymous endorsers, celebrities add value to
the image transfer process, sustaining communication and achieved a higher level of
attention and recall (Song, Chaipoopiratana, & Combs, 2008). Research has shown that the
use of celebrities in advertising, compared with anonymous models, can have a positive
influence on the credibility (Farhat & Khan, 2011). Study proposed that celebrity
endorsement positively moderates the relationship between cause-related marketing and
perceived corporate social responsibility. Results show that when celebrity endorsement is
increased, the relationship between CRM and PCSR is strengthened. Thus proving H3 of
the study.
Among researchers, (Margolis & Walsh, 2001) and (Orlitzky, Schmidt, & Rynes, 2003)
present an extensive survey of the current literature, reaching a similar result that the
market remunerates endeavors' social exercises. Corporate social responsibility would thus
be able to be viewed as an effective administration procedure (Baron, 2003), and can be a
critical factor in the organization's prosperity. Similarly Bhujan et al., (2017) employed
religiosity as moderator to test the effects of antecedents on Pro-environmental consumer
behavior and their study showed significant relationship for religiosity as a moderator.
Study also proposed that Religiosity moderates the relationship between perceived
corporate social responsibility and brand loyalty in a positive manner. Meaning that if the
customer who scores high on religiosity scale perceives an organization/brand to be
working for social causes, that customer will be more loyal towards that brand instead of a
brand which is perceived to be less socially responsible by that customer. Results of the
study confirm this. Thus accepting H4 of the study. The basic premise for this hypothesis
was that values governing the concept of corporate social responsibility are more or less
the same as the value set a religious person derives from their religion. So if a company is
perceived to have that same value system, a religious person would be more attracted and
loyal towards it.
5.2. Implications:
The findings of this study provide valuable insights for both academics and professionals
related to increasing brand loyalty among religious people which is a huge market. With
regards to the theoretical implications, this study contributes conceptually to develop
theoretical linkages previously untested with regards to catering to religious markets.
54
5.2.1. Theoretical Significance
This study will contribute towards paving the way for understanding the importance of
social existence of organizations. This is of great importance because people these days are
more sensitive towards social issues and appreciate people and organizations working for
the improvement of society. Also, the study sheds light on the relationship of religion and
organizations. Religious dimensions of markets were ignored for a long time but now
organizations are realizing their importance and are catering to their needs. This study will
provide a valuable insight as to the incorporation of religion in marketing programs to
ensure success of marketing strategies. This study will open new doors for the researchers
studying religion and brands. It will help them look at the concept of religiosity from a
completely different angle and will bring to life another dimension of religiosity to look at
brand through.
5.2.2. Practical Significance
This study also carries significance towards practice. Knowing the results of this study,
brand managers would be in a better position to make strategies regarding their brands and
its management. Managers can make better costumer engagement programs like involving
them in social causes and making use of their cultural and religious values. By doing this,
managers can make costumers feel the brand more relevant to them. These feelings of
costumer will eventually translate into different positive consumer behaviours and positive
attitudes of person in life like emotional attachment to the brand, and high loyalty to the
brand and likewise. This positivity of costumer will change into purchase of the very same
product. This means that if these strategies are properly executed by the brand managers,
brands will become highly profitable and organization’s success in the long term will be
ensured.
5.3. Limitations:
The interpretation of the findings of this study should be considered with several
limitations. First, in terms of demographics, the results may moderately represent but not
be generalized to the whole population, considering that the sample is younger and more
educated than the general population. Also the data was taken from within Pakistan which
55
is a Muslim majority country so it is quite limited with respect to the diversity of religious
customers as there were very few respondents from other religions.
Also, the results of this study may be biased due to self-reported measures (Podsakoff,
MacKenzie, Podsakoff, & Lee, 2003). In behavioral research studies, the self-report bias
is likely to be present because respondents provide the data for both the predictor and the
criterion variables in the same measurement context using the same item context and
similar item characteristics. Respondents can unconsciously or consciously skew their
answers to present themselves in a certain way because respondents often try to maintain
consistency in their responses to similar questions (Schmitt, 1994).
5.4. Future Research:
Future research can focus on other aspects of religion which may coincide with social
causes. Also, researchers can in future studies broaden the sample of the study and include
equal number of customers from every religious group. And also choose sample from
different cultural groups well and study how various cultural values affect their attitude
and behavior towards such socially responsible actions. They can also use intention to
purchase as a dependent variable and test the hypothesis to see if the shared values and
religiosity will have any impact on the buying behavior of people who aren’t already the
customers of the company.
56
References
Aaker, D. (1991). Brand equity. La gestione del valore della marca, 347-356.
Abou-Youssef, M. M. H., Kortam, W., Abou-Aish, E., & El-Bassiouny, N. (2015). Effects
of religiosity on consumer attitudes toward Islamic banking in Egypt. International
Journal of Bank Marketing, 33(6), 786-807.
Adams, R. G., & Sardellio, R. (eds.) (2000) Deadhead social science. New York: Altamira
Press.
Adkins, S. (2007). Cause related marketing. Routledge.
Agrawal, J., & Kamakura, W. A. (1995). The economic worth of celebrity endorsers: An
event study analysis. The journal of marketing, 56-62.
Ahearne, M., Bhattacharya, C. B., & Gruen, T. (2005). Antecedents and consequences of
customer-company identification: Expanding the role of relationship marketing. Journal
of applied psychology, 90(3), 574.
Aitchison, J. (1999) Cutting edge advertising, Prentice Hall Singapore.
Albehairi, A., & Demerdash, A. (1988). Religious orientation Scale.
Ali, I., Rehman, K. U., Yilmaz, A. K., Nazir, S., & Ali, J. F. (2010). Effects of corporate
social responsibility on consumer retention in the cellular industry of Pakistan. African
Journal of Business Management, 4(4), 475-485.
Anghel, L. D., Grigore, G. F., & Roşca, M. (2011). Cause-related marketing, part of
corporate social responsibility and its influence upon consumers' attitude. Amfiteatru
Economic Journal, 13(29), 72-85.
"Assessing Religiosity" Research Starters eNotes.com, Inc. eNotes.com 23 Oct, 2018
<http://www.enotes.com/research-starters/assessing-religiosity#research-starter-researchstarter>
57
Baron, D. P. (2003). Business and its environment (2nd ed.). Upper Saddle River, NJ:
Prentice Hall.
Barwise, P., & Farley, J. U. (2004). Marketing metrics: Status of six metrics in five
countries. European Management Journal, 22(3), 257-262.
Beit-Hallahmi, B., & Argyle, M. (1997). The psychology of religious belief, behaviour and
experience.
Berger, I. E., Cunningham, P. H., & Kozinets, R. V. (1999). Consumer persuasion through
cause-related advertising. Advances in Consumer Research, 26, 491–497.
Bhatt, N., Jayswal, R. M., & Patel, J. D. (2013). Impact of celebrity endorser's source
credibility on attitude towards advertisements and brands. South Asian Journal of
Management, 20(4), 74.
Boyd, T. C., & Shank, M. D. (2004). Athletes as Product Endorsers: The Effect of Gender
and Product Relatedness. Sport Marketing Quarterly, 13(2).
Brexendorf, T. O., Mühlmeier, S., Tomczak, T., & Eisend, M. (2010). The impact of sales
encounters on brand loyalty. Journal of Business Research, 63(11), 1148-1155.
Caughey, J. L. (1984). Imaginary social worlds: A cultural approach. Lincoln: University
of Nebraska Press.
Chadegani, A. A., Salehi, H., Yunus, M. M., Farhadi, H., Fooladi, M., Farhadi, M., &
Ebrahim, N. A. (2013). A comparison between two main academic literature collections:
Web of Science and Scopus databases. Asian Social Science, 9(5), pp.18-26
Chapra, M. (2008). The Islamic Vision of Development. Thoughts on Economics, The
Quarterly Journal of Islamic Economics Research Bureau (Bangladesh), 18(3), 7-38.
Chaudhuri, A., & Holbrook, M. B. (2001). The chain of effects from brand trust and brand
affect to brand performance: the role of brand loyalty. Journal of marketing, 65(2), 81-93.
Chen, H., & Wang, X. (2011). Corporate social responsibility and corporate financial
performance in China: an empirical research from Chinese firms. Corporate Governance:
The international journal of business in society, 11(4), 361-370.
58
Demangeot, C., Broderick, A. J., & Craig, C. S. (2015). Multicultural marketplaces: New
territory for international marketing and consumer research. International Marketing
Review, 32(2), 118-140.
Demetriou, M., Papasolomou, I., & Vrontis, D. (2010). Cause-related marketing: Building
the corporate image
while supporting
worthwhile causes. Journal
of
Brand
Management, 17(4), 266-278.
Dietz, P. E., Matthews, D. B., Van Duyne, C., Martell, D. A., Parry, C. D., Stewart, T., ...
& Crowder, J. D. (1991). Threatening and otherwise inappropriate letters to Hollywood
celebrities. Journal of Forensic Science, 36(1), 185-209.
Domino, T. M. (2003). Toward an integrated communication theory for celebrity
endorsement in fund raising.
El-Bassiouny, N. (2014). The one-billion-plus marginalization: Toward a scholarly
understanding of Islamic consumers. Journal of Business Research, 67(2), 42-49.
Esen, E. (2013). The influence of corporate social responsibility (CSR) activities on
building corporate reputation. In International business, sustainability and corporate
social responsibility (pp. 133-150). Emerald Group Publishing Limited.
Fan, Y. (2005). Ethical branding and corporate reputation. Corporate communications: An
international journal, 10(4), 341-350.
Farhat, R., & Khan, B. M. (2011). Celebrity endorsement: A congruity measure of
personalities. Research for Rural Development, 19(9), 1-7.
Ferrel, O. C., & Hirt, G. (2000). Business: A changing world. Tata McGraw-Hill
Education.
Ferris, K. O. (2001). Through a glass, darkly: the dynamics of fan‐celebrity
encounters. Symbolic Interaction, 24(1), 25-47.
Fry, L. W., Keim, G. D., & Meiners, R. E. (1982). Corporate contributions: Altruistic or
for-profit? Academy of management Journal, 25(1), 94-106.
59
Ganesan, S., & Hess, R. (1997). Dimensions and levels of trust: implications for
commitment to a relationship. Marketing letters, 8(4), 439-448.
Gbadamosi, T. (2016). Muslims and contemporary political challenges. In U. Bugaje (Ed.),
Muslims and the Nigerian political space (pp. 61–74). Abuja: Books and Libraries.
Geser, H. (2009). Work values and Christian religiosity: an ambiguous multidimensional
relationship.
Gonzalez-Perez, M.A. (2013) Corporate Social Responsibility and International Business:
A Conceptual Overview. In: Gonzalez-perez, M.A. and Leonard, L., Eds., International
Business, Sustainability and Corporate Social Responsibility (Advances in Sustainability
and Environmental Justice), Emerald Group Publishing Limited, 1-35.
Glavas, A., & Kelley, K. (2014). The effects of perceived corporate social responsibility
on employee attitudes. Business Ethics Quarterly, 24(2), 165-202.
Grahn, J. L., Hannaford, W. J., & Laverty, K. J. (1987). Corporate philanthropy and
marketing strategy: A review and directions for research. AMA Educators’ Proceedings,
Series, 53, 67-69.
Griffin, J. J., & Mahon, J. F. (1997). The corporate social performance and corporate
financial performance debate: Twenty-five years of incomparable research. Business &
society, 36(1), 5-31.
Hamaker, R. M. (1984). Live from the Met. Public Relations Journal, 40, 27.
Haneef Khan, Z., Watson, P. J., & Habib, F. (2005). Muslim attitudes toward religion,
religious orientation and empathy among Pakistanis. Mental Health, Religion &
Culture, 8(1), 49-61.
Harrington, C. L., & Bielby, D. D. (1995). Where did you hear that? Technology and the
social organization of gossip. Sociological Quarterly, 36(3), 607-628.
Hasan, M., & Dridi, J. (2011). The effects of the global crisis on Islamic and conventional
banks: A comparative study. Journal of International Commerce, Economics and
Policy, 2(02), 163-200.
60
Hashim, R. (2011). Transformative Islamic education through a transformative pedagogy.
Paper presented at the International Conference on Reforms in Islamic Education, 9–10
April, Cambridge University, UK
He, H., Li, Y., & Harris, L. (2012). Social identity perspective on brand loyalty. Journal of
Business Research, 65(5), 648-657.
He, H., & Li, Y. (2011). CSR and service brand: The mediating effect of brand
identification and moderating effect of service quality. Journal of Business Ethics, 100(4),
673-688.
Hilary, G., & Hui, K. W. (2009). Does religion matter in corporate decision making in
America?. Journal of Financial Economics, 93(3), 455-473.
Hirschman, A. O. (2013). Getting ahead collectively: Grassroots experiences in Latin
America. Elsevier.
Hunt, R. A., & King, M. B. (1978). Religiosity and marriage. Journal for the Scientific
Study of Religion, 399-406.
Idowu, S., Capaldi, N., Zu, L., & Das Gupta, A. (2013). Encyclopedia of CSR.
Jacoby, J., & Kyner, D. B. (1973). Brand loyalty vs. repeat purchasing behavior. Journal
of Marketing research, 1-9.
Jafari, A., & Sandıkcı, Ö. (2015). Islamic’consumers, markets, and marketing: A critique
of El-Bassiouny's (2014) “The one-billion-plus marginalization. Journal of Business
Research, 68(12), 2676-2682.
Jamal, A. A. (2006). Reassessing support for Islam and democracy in the Arab world?
Evidence from Egypt and Jordan. World Affairs, 169(2), 51-63.
Kabir, S. N., & Bourk, M. (2012). Representing Islam and Muslims in New Zealand
Newspapers. Journal of Muslim Minority Affairs, 32(3), 324-338.
Kaikati, J. G. (1987). Celebrity advertising: a review and synthesis. International Journal
of Advertising, 6(2), 93-105.
61
Keim, G. D. (1978). Corporate social responsibility: An assessment of the enlightened selfinterest model. Academy of Management Review, 3(1), 32-39.
Kennedy, H. (2007). The great Arab conquests: How the spread of Islam changed the
world we live in. Da Capo Press.
Khan, Z. H., Watson, P. J., Naqvi, A. Z., Jahan, K., & Chen, Z. J. (2015). Muslim
experiential religiousness in Pakistan: meaning in life, general well-being and gender
differences. Mental Health, Religion & Culture, 18(6), 482-491.
King, M. B., & Hunt, R. A. (1972). Measuring the religious variable: Replication. Journal
for the Scientific Study of Religion, 240-251.
Krauss, S. E., Hamzah, A. H., Juhari, R., & Hamid, J. A. (2005). The Muslim ReligiosityPersonality Inventory (MRPI): Towards understanding differences in the Islamic
religiosity among the Malaysian youth. Pertanika Journal of Social Sciences &
Humanities, 13(2), 173-186.
Kumar, A. (2011). Celebrity endorsements and its impact on consumer buying behavior.
Laczniak, G. R., & Murphy, P. E. (1991). Fostering ethical marketing decisions. Journal
of Business Ethics, 10(4), 259-271.
Lai, C. S., Chiu, C. J., Yang, C. F., & Pai, D. C. (2010). The effects of corporate social
responsibility on brand performance: The mediating effect of industrial brand equity and
corporate reputation. Journal of business ethics, 95(3), 457-469.
Lee, K., & Carter, S. (2011). Global marketing management. Strategic Direction, 27(1).
Lindridge, A. (2005). Religiosity and the construction of a cultural-consumption
identity. Journal of Consumer Marketing, 22(3), 142-151.
Maignan, I., & Ferrell, O. C. (2004). Corporate social responsibility and marketing: An
integrative framework. Journal of the Academy of Marketing science, 32(1), 3-19.
Maignan, I., Ferrell, O. C., & Ferrell, L. (2005). A stakeholder model for implementing
social responsibility in marketing. European Journal of Marketing, 39(9/10), 956-977.
62
Maltby, J., Day, L., McCutcheon, L. E., Houran, J., & Ashe, D. (2006). Extreme celebrity
worship, fantasy proneness and dissociation: Developing the measurement and
understanding of celebrity worship within a clinical personality context. Personality and
individual differences, 40(2), 273-283.
Margolis, J. D., & Walsh, J. P. (2001). People and profits? The search for a link between
a company's social and financial performance. Psychology Press.
Marin, L., Ruiz, S., & Rubio, A. (2009). The role of identity salience in the effects of
corporate social responsibility on consumer behavior. Journal of business ethics, 84(1), 6578.
McCracken, G. (1989). Who is the celebrity endorser? Cultural foundations of the
endorsement process. Journal of consumer research, 16(3), 310-321.
McCullough, M. E., & Willoughby, B. L. (2009). Religion, self-regulation, and selfcontrol: Associations, explanations, and implications. Psychological bulletin, 135(1), 69.
McDaniel, S. W., & Burnett, J. J. (1990). Consumer religiosity and retail store evaluative
criteria. Journal of the Academy of Marketing Science, 18(2), 101-112.
McGinty, A. M. (2012). The ‘mainstream Muslim’opposing Islamophobia: selfrepresentations of American Muslims. Environment and Planning A, 44(12), 2957-2973.
McGuire, J. W. (1963). Business and society, McGraw-hill.
Mokhlis, S. (2009). Relevancy and measurement of religiosity in consumer behavior
research. International Business Research, 2(3), 75.
Morgan, R. M., & Hunt, S. D. (1994). The commitment-trust theory of relationship
marketing. The journal of marketing, 20-38.
Morris, R. I., & Biederman, D. A. (1985). How to give away money intelligently. Harvard
Business Review, 63(6), 151-159.
Muniz Jr, A. M., & Schau, H. J. (2005). Religiosity in the abandoned Apple Newton brand
community. Journal of consumer research, 31(4), 737-747.
63
Nachtigall, C., Kroehne, U., Funke, F., & Steyer, R. (2003). Pros and cons of structural
equation modeling. Methods Psychological Research Online, 8(2), 1-22.
Nan, X., & Heo, K. (2007). Consumer responses to corporate social responsibility (CSR)
initiatives: Examining the role of brand-cause fit in cause-related marketing. Journal of
advertising, 36(2), 63-74.
Norris, M., & Oppenheim, C. (2007). Comparing alternatives to the Web of Science for
coverage of the social sciences’ literature. Journal of informetrics, 1(2), 161-169.
O'connell, B. J. (1975). Dimensions of religiosity among Catholics. Review of Religious
Research, 198-207.
Orlitzky, M., Schmidt, F. L., & Rynes, S. L. (2003). Corporate social and financial
performance: A meta-analysis. Organization studies, 24(3), 403-441.
Pappu, R., & Quester, P. (2016). Brand innovativeness effects on perceived quality,
satisfaction and loyalty. In Looking forward, looking back: Drawing on the past to shape
the future of marketing (pp. 763-763). Springer, Cham.
Peters, R., & Mullen, M. R. (2009). Some Evidence of the Cumulative Effects of Corporate
Social Responsibility on Financial Performance. Journal of Global Business Issues, 3(1).
Petersen, J. A., McAlister, L., Reibstein, D. J., Winer, R. S., Kumar, V., & Atkinson, G.
(2009). Choosing the right metrics to maximize profitability and shareholder
value. Journal of Retailing, 85(1), 95-111.
Porter, M. E., & Kramer, M. R. (2002). The competitive advantage of corporate
philanthropy. Harvard business review, 80(12), 56-68.
Preston, L. E., & O'bannon, D. P. (1997). The corporate social-financial performance
relationship: A typology and analysis. Business & Society, 36(4), 419-429.
Rajan Varadarajan, P. (1986). Cooperative sales promotion: An idea whose time has
come. Journal of Consumer Marketing, 3(1), 15-33.
Rapp, S., & Collins, T. (1987). Maximarketing: The concept and its implications. Journal
of Direct Marketing, 1(1), 65-75.
64
Robinson, W. P., & Giles, H. (Eds.). (2001). The new handbook of language and social
psychology. Wiley.
Rosenthal, F. (1950). Sedaka, Charity. Hebrew Union College Annual, 23(1), 411-430.
Roy, S., Gammoh, B. S., & Koh, A. C. (2012). Predicting the effectiveness of celebrity
endorsements using the balance theory. Journal of customer behaviour, 11(1), 33-52.
Roy, S. (2012). To use the obvious choice: Investigating the relative effectiveness of an
overexposed celebrity. Journal of Research for Consumers, (22), 15.
Ruben, R. J. (2000). Redefining the survival of the fittest: communication disorders in the
21st century. The Laryngoscope, 110(2), 241-241.
Salmones, M. D. M. G. D., Perez, A., & Bosque, I. R. D. (2009). The social role of financial
companies as a determinant of consumer behavior. The International Journal of Bank
Marketing, 27(6), 467-485.
Sims, R. L., & Kroeck, K. G. (1994). The influence of ethical fit on employee satisfaction,
commitment and turnover. Journal of Business Ethics, 13(12), 939-947.
Sandvoss, C. (2005). One-dimensional fan: Toward an aesthetic of fan texts. American
Behavioral Scientist, 48(7), 822-839.
Sekaran, U., & Bougie, R. (2016). Research methods for business: A skill building
approach. John Wiley & Sons.
Singh, J. (2016). The influence of CSR and ethical self-identity in consumer evaluation of
cobrands. Journal of business ethics, 138(2), 311-326.
Song, G. F., Chaipoopiratana, S., & Combs, H. (2008). A STUDY OF CHINESE
ADVERTISING PRACTITIONER‟ S PERSPECTIVES ON THE SELECTION OF
CELEBRITY ENDORSERS. Journal of Business and Behavioral Sciences, 19(1), 17-32.
Stroup, M. A., Neubert, R. L., & Anderson Jr, J. (1987). Doing good, doing better: Two
views of social responsibility. Business Horizons, 30(2), 22-25.
65
Sweetin, V. H., Knowles, L. L., Summey, J. H., & McQueen, K. S. (2013). Willingnessto-punish the corporate brand for corporate social irresponsibility. Journal of Business
Research, 66(10), 1822-1830.
Taai, N. M. (1985). Religious Behavior Scale. Kuwait: Arrobyan Publishing.
Tabash, M. I., & Dhankar, R. S. (2014). The impact of global financial crisis on the stability
of Islamic banks: an empirical evidence. Journal of Islamic Banking and Finance, 2(1),
367-388.
Torres, A., Bijmolt, T. H., Tribó, J. A., & Verhoef, P. (2012). Generating global brand
equity through corporate social responsibility to key stakeholders. International Journal of
Research in Marketing, 29(1), 13-24.
Varadarajan, P. R., & Menon, A. (1988). Cause-related marketing: A coalignment of
marketing strategy and corporate philanthropy. The Journal of Marketing, 58-74.
Verschoor, C. C. (1998). A study of the link between a corporation's financial performance
and its commitment to ethics. Journal of Business Ethics, 17(13), 1509-1516.
Vitell, S. J., Paolillo, J. G., & Singh, J. J. (2005). Religiosity and consumer ethics. Journal
of business ethics, 57(2), 175-181.
Vitell, S. J., Paolillo, J. G., & Singh, J. J. (2006). The role of money and religiosity in
determining consumers’ ethical beliefs. Journal of business ethics, 64(2), 117-124.
Vlachos, P. A., Tsamakos, A., Vrechopoulos, A. P., & Avramidis, P. K. (2009). Corporate
social responsibility: attributions, loyalty, and the mediating role of trust. Journal of the
Academy of Marketing Science, 37(2), 170-180.
Vogel, D. (2007). The market for virtue: The potential and limits of corporate social
responsibility. Brookings Institution Press.
Week, B. (1982). Quality, the US drives to catch up. Special Report, 19, 66-80.
Yoo, B., & Donthu, N. (2001). Developing and validating a multidimensional consumerbased brand equity scale. Journal of business research, 52(1), 1-14.
66
Zehri, C., Abdelbaki, A., & Bouabdellah, N. (2012). Effects of the current financial crisis
on Islamic banks compared to conventional banks. Banks and Bank Systems, 7(1), 83-93.
67
Questionnaire for Research
Dear Respondent!
I am a student of Riphah International University (RIU) Islamabad and doing this survey as I am
working on my thesis entitled “Rivalry between Religion and Brands: Impact of cause related
marketing on brand loyalty via perceived corporate social responsibility. Moderating role of
Celebrity endorsement and Religiosity”.
These questions require answers based on your experiences in personal life. Your answers will be
kept strictly confidential and will be used only for research purpose. Your identity will be not
disclosed on this document so kindly give an honest opinion to make this research unbiased.
You are requested to take 15 minutes out of your busy schedule to fill this questionnaire. Although
you are not bound to answer these questions and at any point in time, you can quit answering but
still I will be privileged by your opinion in this research work. If you need findings of this research,
please order a copy at sajjad43h@gmail.com.
Once again thanks for your precious time and cooperation
Regards,
Sajjad Hussain
Research Scholar
Note:
Please choose a number from 1-5 against each statement in the provided blank, to indicate the
extent to which you agree or disagree with that statement by using the following scale.
Column 1
Column 2
Column 3
Column 4
Column 5
Strongly
Agree
Neutral
Disagree
Strongly
Agree
Disagree
68
Section A
Demographics
 What is your gender?

Male

Female
 What is your age?

18-24

25-34

45-54

55-64

More than 65
 Expertise in brands and social causes

Highly experienced user

Moderated experienced user

Low experienced user
Section B
Note: While answering these questions, keep in mind the brand of your choice.
Cause-related marketing
My opinion of Company B is higher than that for
1
2
3
4
5
1
2
3
4
5
1
2
3
4
5
1
2
3
4
5
Company A
I am more likely to buy Company B's television than I am
Company A's
My opinion of Company A is higher than that for
Company B
I am more likely to buy Company A's television than I am
Company B's
69
Perceived corporate social responsibility
Social
Contributing to the well-being of employees is a high
1
2
3
4
5
1
2
3
4
5
1
2
3
4
5
1
2
3
4
5
1
2
3
4
5
1
2
3
4
5
1
2
3
4
5
1
2
3
4
5
1
2
3
4
5
1
2
3
4
5
1
2
3
4
5
priority at my organization
Contributing to the well-being of customers is a high
priority at my organization
Contributing to the well-being of suppliers is a high
priority at my organization
Contributing to the well-being of the community is a high
priority at my organization.
Environmental
Environmental issues are integral to the strategy of my
organization
Addressing environmental issues is integral to the daily
operations of my organization.
My organization takes great care that our work does not
hurt the environment.
My organization achieves its short-term goals while
staying focused on its impact on the environment.
Brand loyalty
I feel loyal to (brand) when considering the purchase of a
(product category)
It is likely that (brand) would be my first choice when
considering the purchase of a (product category)
I would not buy another brand of (product category) if
(brand) was available at the store
70
Celebrity Endorsement
Do you feel that Negative Publicity about a celebrity
1
2
3
4
5
1
2
3
4
5
1
2
3
4
5
1
2
3
4
5
1
2
3
4
5
He prays mainly to gain relief and protection.
1
2
3
4
5
What religion offers him the most is comfort in times of
1
2
3
4
5
1
2
3
4
5
1
2
3
4
5
He attends to religious meetings mostly to spend time with 1
2
3
4
5
endorser can influence your purchase decision?
I‘m likely to purchase products or services that have been
endorsed by celebrities.
I do purchase products and services endorsed by
celebrities.
In overall, I‘m happy with purchasing products or services
advertised by celebrities.
Religiosity
Intrinsic Religiosity
He tries hard to live all his life according to his religious
beliefs.
trouble and sorrow.
Extrinsic Religiosity
He attends to religious meetings because it helps him to
make friends.
He attends to religious meetings to contact with people
who have potential benefit to him.
his friends with whom also do business.
71