| dc.description.abstract | Every business takes birth, survives and grows with the consent and co-operation of the society.
The society provides inputs to the business and accepts its output. Naturally the business owes
everything to the society. Corporate Social Responsibility denotes organizations’ willingness to
take responsibility and accountability for the effects of their activities and decisions. It is concerned
with how companies manage the business processes to produce an overall positive impact on
society. This study aimed at investigating the relationship between corporate social responsibility
and profitability of commercial banks in Kenya. The objectives of this study were to establish the
effect of; financial literacy, employee volunteering in community activities, improving community
health and supporting education to the community on the profitability of listed Commercial Banks
in Kenya. This study engaged a descriptive research design rich in survey. The target population
was 43 commercial banks in Kenya. The study used proportionate stratified sampling method with
a sample size of 39 commercial banks categorized in three strata: local private, local public and
foreign commercial banks. Primary data was collected using questionnaires and secondary data
obtained from the bank’s annual financial reports. Chi Square test was done to identify the
association between the dependent and independent variable. The study findings revealed that at
95% level of precision, employee volunteering, community health programs, supporting education
and financial literacy programs have significant influence on the profitability of commercial banks
in Kenya. Further, the perception of the respondents on the relationship between community health,
employee volunteering, financial literacy and profitability contributes to the banks’ profitability by
chance and has no direct correlation with the banks’ profitability. | en_US |
