Philanthropic Corporate Social Responsibility and Profitability of Domestic Airlines in Kenya

Lydia Kathae, Dr. Jane Wangari Njuru

Abstract


Domestic airlines in Kenya play a key role in economic growth but face profitability challenges due to high costs and competition. Despite adopting corporate social responsibility initiatives to enhance customer profitability and loyalty, financial struggles persist. This study therefore, examined the influence of philanthropic social responsibility on the profitability of Kenyan domestic airlines. The research was anchored on the triple bottom line theory. This research utilized a descriptive research design. The study targeted 162 heads of corporate affairs/ CSR, finance, information and communication technology, marketing and communication, strategy/business development, operations, human resources, procurement, and customer service departments in the 18 domestic airlines in Kenya. Stratified random sampling was adopted in selecting the sample size. The research used primary data, which was obtained by the use of structured questionnaires. The research tool generated quantitative data, which was analysed by use of inferential and descriptive statistics with the assistance of Statistical Package for the Social Sciences (SPSS) version 28. Descriptive statistics included percentages, standard deviation, frequency distribution and mean. Inferential statistics comprised of Pearson correlation coefficient and linear regression analysis. The findings indicated that philanthropic corporate social responsibility had a positive and significant influence on profitability (?1 = 0.507, p-value 0.000). The study therefore recommends that airline management strengthen partnerships with local suppliers, promote resource efficiency through environmental initiatives, uphold ethical labor practices, and expand community development programs.

Keywords: Philanthropic, Social Responsibility, Profitability, Domestic Airlines, Scholarships, Community outreach programs


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References


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