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Explore the Buffering Effects of Perceived Hidden Inflation on Survival of Mobile Phone Service Providers in Taiwan

Sheng-Wen Liu (), Ying-Chieh Yang () and Ralph Norcio ()
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Sheng-Wen Liu: Department of Marketing Management, Transworld University, Jen-Nang Rd., Chia-Tong Li, Douliou 1221, Yunlin, Taiwan
Ying-Chieh Yang: Finance Department, Fuzhou University of International Studies and Trade, 28, Yuhuan Road, Shouzhan New District, Changle, Fuzhou 350202, China
Ralph Norcio: College of Business and Management, Lynn University, 3601 North Military Trail, Boca Raton, FL 33431, USA

Sustainability, 2017, vol. 9, issue 4, 1-12

Abstract: The purpose of this study is to examine the moderating role of perceived hidden inflation on the relationships between service quality, brand trust and brand loyalty. All data collected from the target population are analyzed through two-step structural equation modeling (SEM) and moderated multiple regression (MMR) to examine the hypotheses. 1,050 questionnaires are randomly distributed at 21 telecommunication service stores in Taiwan. Findings indicated that service quality has no direct impact on behavioral loyalty but it has a significant indirect impact on behavioral loyalty through brand trust or attitudinal loyalty. Moreover, findings identify perceived hidden inflation as the moderating role in the service quality–brand trust–brand loyalty chain. Besides the need for empirical confirmation of the hypotheses given, finally, there are several practical implications for service marketers and future research directions for scholars.

Keywords: perceived hidden Inflation; brand loyalty; service quality; brand trust (search for similar items in EconPapers)
JEL-codes: Q Q0 Q2 Q3 Q5 Q56 O13 (search for similar items in EconPapers)
Date: 2017
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