The Effects of ESG Management in Foodservice Companies on Public Relationships, Corporate Image, and Customer Loyalty

Abstract

This study aimed to examine the effects of ESG management in foodservice companies on public relationships, corporate image, and customer loyalty. A survey was conducted for one month starting from July 2022 targeting consumers who visited foodservice businesses practicing ESG management. The results of the analysis are as follows. First, ESG management was found to have a significant positive (+) effect on public relationships, corporate image, and customer loyalty. These findings indicate that ESG management in foodservice companies positively influences consumers in forming favorable public relationships with the company. Since ESG management can have both positive and negative impacts on a company’s overall operations and image, it is considered an important managerial strategy. In addition, the higher consumers perceived the level of ESG management, the higher their customer loyalty became. Second, the analysis of the relationships between public relationships and corporate image, as well as between corporate image and customer loyalty, revealed that both had significant positive (+) effects. It was found that when consumers highly perceived the company’s sincerity in responding to customer questions and opinions and reflecting customer feedback, the corporate image of the foodservice company was evaluated more positively. Third, public relationships were found to have a significant negative (-) effect on customer loyalty. This result may be interpreted as many foodservice companies are already actively practicing public relationship activities, and due to consumers’ heightened awareness and expectations, public relationships alone may no longer directly lead to customer loyalty.