EFFECTS OF CORPORATE SOCIAL RESPONSIBILITY TOWARDS BRAND TRUST IN COFFEE INDUSTRY (A CASE STUDY OF STARBUCKS IN CIKARANG)

Abstract

Brand trust is very important for a product to survive in the market. This research investigates the relationship between CSR and brand trust, as well as the variables that best represent CSR. The study empirically measured CSR using an adapted scale based upon Turker‘s (2009) CSR scale and a brand trust scale developed by Delgado Ballester and Munuera Aleman (2001). The data for the study was collected from the consumer survey of Starbucks undertaken in Cikarang. The findings showed that two components represented CSR which were legal & employee and ethics & economic. As these components represent CSR, it would indicate there are different areas that both represent CSR and effect brand trust. In the multiple regression analysis, the legal & employee component was the most influential component for th e overall data and the socially responsible company. Overall this study explores the linkages between CSR and brand trust. This study provides a foundation for further research and identifies several important implications for the leaders of organizations to consider in terms of CSR investment and the effects on brands within their portfolio.