Structural Equation Modeling on the Antecedents of Customer Loyalty

Mohammad Muzahid Akbar and Md. Munir Hossain - 2008

Three conceptual frameworks had been proposed and investigated to assess the effects of perceived service quality, trust, switching cost, customer satisfaction, and corporate image on customer loyalty. Structural equation modelling was employed to analyse the data collected from 322  subscribers/customers of a private telecommunication company in Bangladesh. The results revealed that perceived service quality, customer satisfaction, corporate image, and trust are very powerful antecedents of customer loyalty. Customer satisfaction and trust found to be important mediators between service quality and customer loyalty; corporate image and customer loyalty respectively. Such study might encourage the service providers to take appropriate course of action in order to create a loyal customer base.
Keywords: Service quality, Trust, Switching cost, Customer satisfaction, Corporate image, and Customers loyalty.

Introduction
In the past three decades, due to significant liberalization and privatization the entire telecommunications industry has become a dynamic service industry subject to increasing competition with huge growth potential. (Graack, 1996). In recent years, in some Asian countries the number of mobile subscribers even passed the number of fixed-line subscribers (Fink, Matto, & Rathindran, 2003). Hence, the strategic behavior of telecommunications companies has attracted so much attention in recent years, both in the academic literature and in the popular press. In Bangladesh the scenario is not much different as its socioeconomic profile offers the industry a tremendous opportunity to grow.
In Bangladesh currently six telecommunications companies (five private and one state-owned) are operating; but the aggressive competition has forced the incumbent mobile ...... (baca selengkapnya)

Artikel lengkap dikompilasi oleh/hubungi :

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