Customer Loyalty Establishment Model based on Corporate Social Responsibility (CSR) Program in Timor Leste

• Published in: Webology 2021, Vol.18 (Special Issue 03), p.299-321
• Main Authors: Widadi, Budi, Hamid, Nur, Savitri, Fania Mutiara, Perwita, Atika Dyah, Barreto, Domingos M.B.
• Format: Article
• Language: English
• Subjects: Brand loyalty; Customer relations; Customers; Demography; Developing countries; Hypothesis testing; LDCs; Rhetoric; Social responsibility; Society; Stakeholders; Stockholders; Strategic management
• ISSN: 1735-188X; 1735-188X
• DOI: 10.14704/WEB/V18SI03/WEB18042

This study aimed to analyze customer loyalty based on Corporate Social Responsibility (CSR) as companies commitment to Timor Leste (Social Care Based Loyalty). The research model was developed through research variables to fill the research gap between CSR and Loyalty by customer trust mediation, country of origin, and social demographic as a moderating variable. SEM analysis was used to analyze the data for hypothesis testing. The finding presented that Social Care Based Loyalty concept is proven. This is indicated by the company's values, which underlie CSR implementation; country of origin moderate the relationship CSR for loyalty establishment and customer trust to mediate CSR to increase customer loyalty of domestic and foreign companies in Timor Leste. The implication is based on the research that customers expect the best additional value obtained from the products/services selection by always providing excellent service based on market demand but still caring about the surrounding community as corporate citizenship implementation.