The Activism Equation: CSR’s Influence on Investment Behavior

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Zahra Batool
Amna Tahir
Abdul Nafay Sajid
Mehtab Abbasi

Abstract

This article delves into the complex web of connections between CSR and investment behavior. It delves into how business efforts to promote ethics, sustainability, and community involvement impact the way investors act and inspire them to take action. Case studies, present trends, and the effects of CSR on investors' activism and investor attitudes are all highlighted in this paper. This paper's objectives are to (1) examine how (CSR) practices impede investment behavior, (2) determine if brand quality creates the mechanism effect between CSR and investment behavior, and (3) how perceived risk and perceived certainty mediate the link between brand quality and consumer behavior. This study adheres to a quantitative approach by surveying Pakistani investors who invested in a product with a CSR initiative. The respondents were polled through an online questionnaire. The data was then processed using Smart PLS following the Structural Equation Model. Through the mediating influence of brand equity and image, it was feasible to conclude that CSR actions positively affect investor satisfaction. Perceived risk and perceived certainty determine how much of an effect corporate social responsibility has on brand quality.

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Batool, Z., Tahir, A., Sajid, A. N., & Abbasi, M. (2025). The Activism Equation: CSR’s Influence on Investment Behavior. International Journal of Contemporary Business Literature, 5(1), 15-27. https://ijcbl.org/index.php/public_html/article/view/56

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