Relationship Between Corporate Social Responsibility Activities and Bank Performance in Baringo County, Kenya

The main purpose of this study was to examine relationship between CSR activities and banking performances in Baringo County Kenya. The study was developed and guided by the stakeholder theory, which obligates corporate directors to appeal to all sides and balance everyone's interests and welfare in a bid to maximize benefits across the spectrum of those whose lives are touched by the business. Correlation research design was employed. The study targeted 124 employees and customers from 4 Banks in Baringo County. A sample size of 80 respondents was selected under this study. This study adopted correlation research design. Stratified random sampling technique was used to select the respondents. A structured questionnaire was used for data collection. The validity and reliability of the questionnaire was checked by use of pilot testing and Cronbach alpha test respectively. Data collected was coded and analyzed using both descriptive statistics and inferential statistics. This study found that economic activities have exhibited a negative and significant effect on firm performance. Thus, economic activities decrease firm performance. Discretionary activities have a positive influence on firm performance. Finally, ethical activities have a positive and significant effect on the firm performance. This study concluded that enhancing discretionary activities, legal activities and ethical activities increase firm performance. There is need for CSR activities such as donations, activities for the welfare of its employees and society since they create a good image in the consumer's mind and protect the firm from decrease in sales.