Antecedents and consequences of relationship commitment: An empirical study in Taiwan

• Published in: International journal of commerce and management Vol. 24; no. 3; pp. 228 - 242
• Main Authors: Ou, Wei-Ming, Shih, Chia-Mei, Chen, Chin-Yuan
• Format: Journal Article
• Language: English
• Published: Bingley International Journal of Commerce and Management 26.08.2014; Emerald Group Publishing Limited
• Subjects: Brand loyalty; Costs; Customer relationship management; Customer satisfaction; Customer services; Hypotheses; Purchase intention; Reputations; Self interest; Structural equation modeling; Studies; Taiwan
• ISSN: 1056-9219; 2059-6014; 1758-8529; 2059-6022
• DOI: 10.1108/IJCoMA-05-2012-0033

Purpose This research examines the causal influences on the construct, Relationship Commitment. A better understanding of Relationship Marketing is an underpinning goal of this study. Design/methodology/approach Chunghwa Telecom is a Taiwan based telecommunications firm that enjoys Taiwan’s largest domestic market share of Asymmetric Digital Subscriber Line market. Data from Chunghwa Telecom’s subscribers was obtained, and 265 qualified observations were collected. A Structural Equation Modeling approach was employed. Findings Relationship Commitment is understood as dependent on Positive Affective Commitment and Involuntary Continuance Commitment. Positive Affective Commitment, namely, Voluntary Continuance Commitment, enhances customer loyalty. On the contrary, Involuntary Continuance Commitment has negative impacts on customer loyalty. It is discovered that Relationship Quality, Corporate Reputation and Switching Costs have significant effects on Relationship Commitment. Satisfactory Relationship Commitment has positive effects on loyalty. Originality/value Effects of Voluntary Continuance Commitment and Involuntary Continuance Commitment on customer loyalty are not in the same direction. When customers feel trapped in a relationship due to Involuntary Continuance Commitment, they respond to the feeling by provision of negative word-of-mouth.