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

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...

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Published inInternational 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
LanguageEnglish
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
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Abstract 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.
AbstractList 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.
Purpose - This paper aims to examine 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 were obtained, and 265 qualified observations were collected. A structural equation modeling approach was used. 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.
Author Shih, Chia-Mei
Ou, Wei-Ming
Chen, Chin-Yuan
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Snippet Purpose This research examines the causal influences on the construct, Relationship Commitment. A better understanding of Relationship Marketing is an...
Purpose - This paper aims to examine the causal influences on the construct, relationship commitment. A better understanding of relationship marketing is an...
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SubjectTerms Brand loyalty
Costs
Customer relationship management
Customer satisfaction
Customer services
Hypotheses
Purchase intention
Reputations
Self interest
Structural equation modeling
Studies
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Title Antecedents and consequences of relationship commitment: An empirical study in Taiwan
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