From responsibility to reward: Does corporate social responsibility perception enhance customer loyalty in Vietnamese banking sector?

This study investigated the impact of perceived corporate social responsibility (CSR) on customer loyalty in Vietnam's banking sector, with customer trust as a mediating factor. While prior research has examined CSR's direct influence on customer loyalty, limited studies have explored its indirect effects in developing economies. Using a survey-based approach, data were collected from 386 banking customers across 11 major banks in Vietnam and analyzed through partial least squares structural equation modeling (PLS-SEM). The findings confirm that CSR perception positively affects customer loyalty both directly and indirectly through customer trust. This highlights the strategic importance of CSR in building long-term customer relationships and competitive advantages for banks. The study provides valuable insights for bank managers on designing CSR initiatives that enhance customer trust and loyalty.