Corporate social responsibility on the competitive advantage of the telecommunication in Kenya: case study of Safaricom

Abstract

Over the past few decades and into the foreseeable future, corporate social responsibility, CSR, has attracted a lot of attention as a focal point of interest, prompting diverse research into its potential impact on businesses' Competitive Advantage (CA). This study will specifically focus majorly on the effect of Corporate Social Responsibility (CSR) on the Competitive Advantage (CA) of Safaricom PLC. By employing a descriptive research approach, the study aims to target about 250 individuals within Safaricom, utilizing a Likert-type questionnaire for data collection. The study explicitly recognizes the crucial role of implementing CSR programs in cultivating a robust company reputation. In parallel, a separate study on Safaricom Kenya Limited collaborates CSR's significant contributions to corporate image, customer satisfaction, loyalty, and organizational performance, thus underscoring the enduring importance of CSR for sustained success. Acknowledging the existing gap in empirical research linking CSR to Safaricom's competitive advantage, the study delineates its primary objective: to investigate CSR's impact, specifically focusing on benchmarking, diversity supportive ratios, and satisfaction ratios. These objectives encompass characterizing and evaluating the impact of benchmarking on Safaricom Company Limited's competitive advantage, establishing the deductive impact of assessing the inferential influence of satisfaction ratios, the impact of diversity on competitive advantage in Safaricom Company Limited, and systematically exploring challenges and opportunities in implementing CSR initiatives at Safaricom PLC for competitive advantage. Immense assessments and industry benchmarks will be integral to the study, facilitating the comparison and evaluation of the deductive relationship between Safaricom PLC's CSR practices and competitive advantage within the telecom industry. The overarching aim of this research is to contribute valuable insights, ultimately enhancing the efficacy of CSR policies and fostering a positive impact on enterprises and society at large. The study explores potential connections between benchmarking and diversity ratios with Safaricom's Competitive Advantage, also recognizing the potential influence of satisfaction ratios. This research investigates how various factors influence Safaricom's competitive edge: benchmarking against competitors, diversity within the company, customer satisfaction, challenges of CSR implementation, and the link between CSR and financial performance. By employing a stratified random sampling approach, this study aims to obtain a representative sample that accurately reflects the characteristics and diversity of Safaricom's organizational structure and workforce. Data analysis encompassed both quantitative and qualitative measures. Quantitative measures dealt with numbers and statistics, while qualitative measures focused on words, descriptions, and experiences. The study primarily relied on questionnaires and interviews as data collection methods. The study ultimately seeks to offer practical recommendations and insights for Safaricom, policymakers, and industry stakeholders, with the overarching goal of optimizing the effectiveness of CSR initiatives. Safaricom's CSR initiatives and practices significantly boost its competitive edge. Strategic CSR investment enhances brand image, customer loyalty, and employee satisfaction, leading to long-term success. This study provides valuable guidance for firms seeking to leverage CSR for a sustainable competitive advantage.