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 Rev. Fr. Moses Orshio Adasu University, Makurdi

BENUE JOURNAL OF SOCIAL SCIENCES


Corporate Social Responsibility and Customer Patronage of Small and Medium Enterprises in Kwara State, Nigeria



Abstract

This study investigated corporate social responsibility (CSR) and its influence on customers’ patronage of SMEs in the Ilorin metropolis of Nigeria. The research focused on assessing the environmental dimension of CSR activities and their relationship to customer patronage, as well as evaluating the effects of philanthropic CSR activities on customer support.

A quantitative survey design was employed, with a structured questionnaire serving as the primary data collection instrument. The study population comprised all owners and operators of SMEs within the Ilorin metropolis of Kwara State. Using Taro Yamane’s mathematical formula, a sample size of 384 respondents was determined for the study. The hypotheses were tested, and the relationships between the variables, including significant predictors, were examined using linear regression analysis.

The findings revealed that philanthropic CSR (M = 3.72, r = .784, β = .798, p < .001) significantly and positively influences customer patronage, whereas environmental-focused CSR (M = 3.78, r = .027, β = –.092, p = .004) exerts a weak and negative effect. The regression model explained 62.3% of the variance in customer patronage (R² = .623), with philanthropic CSR emerging as the stronger predictor.

The study concludes that SMEs aiming to enhance customer support should prioritise philanthropic CSR initiatives, such as community development and charitable contributions, over environmental CSR efforts. It therefore recommends that companies view CSR as an ongoing endeavour and continually reconsider and implement its essential tenets for sustainable growth and patronage.



Key words: Customer patronage, Environmental-focused CSR, Philanthropy-focused CSR, Small enterprise, Medium enterprise

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