Examining the Nonlinear Effects in Satisfaction-Loyalty-Behavioral Intentions Model

Anand Jaiswal and Rakesh Niraj

No WP2007-11-01, IIMA Working Papers from Indian Institute of Management Ahmedabad, Research and Publication Department

Abstract: Extant research has widely investigated linear functional forms in satisfaction and loyalty models. Though complex nonlinear nature of satisfaction loyalty link is suggested by several researchers, few attempts have been made to empirically examine nonlinearity. Moreover, researchers have used divergent functional forms to model nonlinearity and their findings are often inconclusive. In this study we use nonlinear form to describe the relationship between satisfaction, attitudinal loyalty, purchase loyalty and customer behavioral intentions such as willingness to pay more and external and internal complaining responses in the context of business-to-consumer ecommerce. We find modest empirical support for nonlinear effects in the relationship. Results support nonlinearity only in the case of attitudinal loyalty to internal complaining response link. Results also present evidence about the mediating role of attitudinal loyalty in the relationship between satisfaction, purchase loyalty, willingness to pay more and internal complaining responses.

Date: 2007-11-01
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Working Paper: Examining the Nonlinear Effects in Satisfaction-Loyalty-Behavioral Intentions Model (2010)
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