The Effect of CSR on Marketing Perfomance of Coopbank 1st Edition by Merid Tullu

This study was conducted with a purpose of investigating the effect of Corporate Social Responsibility on the marketing performance of Coopbank. Both primary and secondary source of data were used. The sample size of 368 were taken from employees of the bank randomly and analyzed both descriptively and using multivariate linear regression model. The descriptive statistics of CSR domain revealed the mean score of 3.9058, 3.8764, 3.9769 and 4.0639 for Economic, Legal, Ethical and Philanthropic CSRs practices respectively implying the existence of strong positive opinion (agreeing the for practicing of CSR dimensions). Besides marketing performance scored mean of 3.9545 which implied there was strong perception of employees the bank performing marketing soundly. Statistical tests were conducted for normality, multi-collinearity, autocorrelation and homoscedasticity. According to multivariate regression result, at R2 =0.390, the coefficients of regression for Economic CSR, Legal CSR, Ethical CSR and Legal CSR were β1=0.170 at P=0.001, β2=0.150 at p=0.010, β3=0.198 at p=0.001 and β4=0.245 at p=0.000 respectively meaning a single unit change in one of either Economic CSR dimension, Legal CSR dimension, Ethical CSR dimension or Legal CSR dimension it can cause 0.170, 0.150, 0.198 and 0.245 unit of change in marketing performance respectively and the formulated hypotheses were all supported that Economic CSR, Legal CSR, Ethical CSR and Legal CSR had positive and significant effect on the marketing performance of Coopbank. It is recommended for the bank to have strong team who works CRS in recording and reporting as well the bank needs to access the impact of CRS on the bank’s goals and it should continue work on each CRS activities as CSR becomes source of competitive advantage.