The Antecedents of Customer Loyalty in Malaysian Retail-Shopping Setting

Customer loyalty is gaining considerable interest from academics and business practitioners because both are interested in knowing the driving forces that enhance a company’s competitiveness. Despite the importance of customer loyalty, there is still a lack of comprehensive work to explore how custo...

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Main Author: Lim, Chow Yeng
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eng
Published: 2012
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Online Access:https://etd.uum.edu.my/3424/1/LIM_CHOW_YENG.pdf
https://etd.uum.edu.my/3424/3/LIM_CHOW_YENG.pdf
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institution Universiti Utara Malaysia
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language eng
eng
advisor Nik Mat, Kamariah
topic HF5001-6182 Business
spellingShingle HF5001-6182 Business
Lim, Chow Yeng
The Antecedents of Customer Loyalty in Malaysian Retail-Shopping Setting
description Customer loyalty is gaining considerable interest from academics and business practitioners because both are interested in knowing the driving forces that enhance a company’s competitiveness. Despite the importance of customer loyalty, there is still a lack of comprehensive work to explore how customers develop loyalty to a particular retailing outlet, and how that loyalty can be maintained. The main objective of this study is to explore the antecedents of customer loyalty from both attitudinal and behavioral perspectives based on two underpinning theories. The underpinning theories are the Oliver’s Four-Stage Loyalty Model and the Mehrabian-Russell’s Environmental Psychology Model. The study setting is on retail-shopping in Malaysia, which focuses on the hypermarkets. The data is collected from a few hypermarkets within Klang Valley and Putrajaya. The instrument used in the study is a self-administered questionnaire. As for the statistical analysis, Structural Equation Modeling is used to test the hypotheses. The findings disclose that the antecedents of cognitive loyalty are the components of store image. They are service quality, product quality, product selection, store atmosphere, and promotion activity. The antecedents for affective loyalty are customer satisfaction, loyalty program, and retailer brand equity. The antecedent for conative loyalty is customer commitment. Likewise, the antecedent for action loyalty is conative loyalty. However, there are no mediating effects of emotional states on cognitive loyalty, affective loyalty, and conative loyalty. Thus, there are three strategic tools that dominate attitudinal aspect, namely, store image, loyalty program, and retailer brand equity. In addition, the findings of the study reveal that the relationships between the four stages in Oliver’s model of cognitive loyalty to affective loyalty, affective loyalty to conative loyalty, and conative loyalty to action loyalty are positive and significant. The study concludes that the Malaysian hypermarket’s customer loyalty level is evolving in stages. Hence, the establishment of attitude-behavior relationship has a great meaning to the retailers due to its predictive power, particularly in marketing strategy formulation.
format Thesis
qualification_name Ph.D.
qualification_level Doctorate
author Lim, Chow Yeng
author_facet Lim, Chow Yeng
author_sort Lim, Chow Yeng
title The Antecedents of Customer Loyalty in Malaysian Retail-Shopping Setting
title_short The Antecedents of Customer Loyalty in Malaysian Retail-Shopping Setting
title_full The Antecedents of Customer Loyalty in Malaysian Retail-Shopping Setting
title_fullStr The Antecedents of Customer Loyalty in Malaysian Retail-Shopping Setting
title_full_unstemmed The Antecedents of Customer Loyalty in Malaysian Retail-Shopping Setting
title_sort antecedents of customer loyalty in malaysian retail-shopping setting
granting_institution Universiti Utara Malaysia
granting_department Othman Yeop Abdullah Graduate School of Business
publishDate 2012
url https://etd.uum.edu.my/3424/1/LIM_CHOW_YENG.pdf
https://etd.uum.edu.my/3424/3/LIM_CHOW_YENG.pdf
_version_ 1747827570041159680
spelling my-uum-etd.34242016-04-19T08:12:20Z The Antecedents of Customer Loyalty in Malaysian Retail-Shopping Setting 2012-04 Lim, Chow Yeng Nik Mat, Kamariah Othman Yeop Abdullah Graduate School of Business Othman Yeop Abdullah Graduate School of Business HF5001-6182 Business Customer loyalty is gaining considerable interest from academics and business practitioners because both are interested in knowing the driving forces that enhance a company’s competitiveness. Despite the importance of customer loyalty, there is still a lack of comprehensive work to explore how customers develop loyalty to a particular retailing outlet, and how that loyalty can be maintained. The main objective of this study is to explore the antecedents of customer loyalty from both attitudinal and behavioral perspectives based on two underpinning theories. The underpinning theories are the Oliver’s Four-Stage Loyalty Model and the Mehrabian-Russell’s Environmental Psychology Model. The study setting is on retail-shopping in Malaysia, which focuses on the hypermarkets. The data is collected from a few hypermarkets within Klang Valley and Putrajaya. The instrument used in the study is a self-administered questionnaire. As for the statistical analysis, Structural Equation Modeling is used to test the hypotheses. The findings disclose that the antecedents of cognitive loyalty are the components of store image. They are service quality, product quality, product selection, store atmosphere, and promotion activity. The antecedents for affective loyalty are customer satisfaction, loyalty program, and retailer brand equity. The antecedent for conative loyalty is customer commitment. Likewise, the antecedent for action loyalty is conative loyalty. However, there are no mediating effects of emotional states on cognitive loyalty, affective loyalty, and conative loyalty. Thus, there are three strategic tools that dominate attitudinal aspect, namely, store image, loyalty program, and retailer brand equity. In addition, the findings of the study reveal that the relationships between the four stages in Oliver’s model of cognitive loyalty to affective loyalty, affective loyalty to conative loyalty, and conative loyalty to action loyalty are positive and significant. The study concludes that the Malaysian hypermarket’s customer loyalty level is evolving in stages. Hence, the establishment of attitude-behavior relationship has a great meaning to the retailers due to its predictive power, particularly in marketing strategy formulation. 2012-04 Thesis https://etd.uum.edu.my/3424/ https://etd.uum.edu.my/3424/1/LIM_CHOW_YENG.pdf text eng validuser https://etd.uum.edu.my/3424/3/LIM_CHOW_YENG.pdf text eng public Ph.D. doctoral Universiti Utara Malaysia Aaker, D.A. (1991). Managing brand equity. New York: The Free Press. Aaker, D.A. (1996). Building strong brand. 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