Abstract:
This study aims to examine the effects of corporate social responsibility (CSR) on
marketing performance, with innovation and corporate image acting as mediators, in the
banking sector of Sri Lanka. A quantitative research methodology was employed, and
respondents were selected using a convenience sampling method. Data were collected
through a survey questionnaire, with bank managers in Sri Lanka serving as the sample
unit. Structural equation modeling (SEM) and mediation analysis were conducted to
analyze the data. The findings reveal that CSR has a significant positive influence on the
marketing performance of banks. Moreover, innovation and corporate image significantly
mediate the relationship between CSR and marketing performance. The study underscores
the role of CSR in strengthening corporate image and enhancing marketing outcomes.
This study also highlights the significance of innovation in enhancing the market
performance of the banking industry. This research contributes valuable insights into the
nexus between CSR, corporate image, innovation, and marketing performance in the
banking sector. While the study focuses on banks, the proposed model could be applicable
to other industries. Recognizing innovation as a mediator reinforces the need for banks to
take a proactive rather than reactive approach to CSR. Furthermore, the finding that
corporate image mediates the CSR-marketing performance link suggests that CSR should
be viewed as a strategic investment rather than an expense. A strong corporate image built
through CSR can create long-term value and resilience against market fluctuations. This
research developed an integrated model based on the theory of the firm perspective,
stakeholder theory, and innovation diffusion theory, offering a comprehensive framework
for understanding the strategic role of CSR in business performance.
