Corporate social responsibility at LUX* resorts and hotels: Satisfaction and loyalty implications for employee and customer social responsibility

Abstract

Corporate Social Responsibility (CSR) remains a hot topic in management. Yet, little is known about how well managers, employees and consumers are responding to CSR initiatives to align with the 2030 Agenda for Sustainable Development. Underpinned by well-established theories, this study develops a single integrative model of managers’, employees’ and consumers’ CSR. Data were collected from the LUX* group of resorts and hotels located on three Indian Ocean islands: Mauritius, Reunion and the Maldives. Structural equation modelling was employed. Findings reveal: (1) organizational CSR is positively related to employee social responsibility; (2) organizational CSR is negatively associated with customer social responsibility; (3) employee social responsibility is negatively related to customer social responsibility; (4) employee social responsibility is negatively related to customer delight; (5) customer social responsibility is positively related to customer satisfaction; and (6); customer social responsibility is positively related to customer delight. Strategic CSR initiatives with a multi-stakeholder engagement approach are discussed. Keywords: corporate social responsibility; stakeholder engagement; employee; customer satisfaction; loyalty