Diagnosing the impact of retail bank customers’ perceived justice on their service recovery satisfaction and post-purchase behaviours: an empirical study in financial centre of middle east
Journal Title: Economic Research-Ekonomska Istraživanja - Year 2016, Vol 29, Issue 1
Abstract
The banking sector ranks among the top three sectors in terms of frequency of complaints. The purpose of this study is to assess the effects of perceived justice on recovery satisfaction and to examine the relationships between recovery satisfaction and customer relationship variables in the banking sector where there are lack of empirical studies. Empirical observations were made through questionnaires conducted with 178 retail bank customers in Dubai. The data are analysed through partial least squares (PLS) approach to path modelling to estimate the measurement and structural parameters. The results revealed that distributive justice (DJ), procedural justice (PJ) and interactional justice (IJ) had significant positive effects on service recovery satisfaction, while IJ has the strongest effect with respect to others. Also, service recovery satisfaction had a significant positive effect on trust. The structural model results also revealed that customers’ perceptions of trust had a significant positive effect on their WOM communication and repurchase intentions. The results of the study show that the service recovery satisfaction is a vital mediating variable between perceived justice of customers and customer relationship variables. Furthermore, the mediational role of trust between service recovery satisfaction and future intentions is extensive.
Authors and Affiliations
Halil Nadiri
Keywords
Related Articles
- EP ID EP201584
- DOI 10.1080/1331677X.2016.1164925
- Views 86
- Downloads 0
The impairment test of goodwill: an empirical analysis of incentives for earnings management in Italian publicly traded companies
Since the current International Accounting Standard 36 introduced substantial subjectivity while testing goodwill for impairment, this study aims to establish if management exploits the discretion and performs the impair...
Foreign direct investment, exports and economic growth: evidence from two panels of developing countries
The purpose of this article is to examine the causal relationship between foreign direct investment (FDI), exports and economic growth in two panels of developing countries (eight European developing countries and eight...
The relationship between the entrepreneur’s personal network multiplexity and firm growth
The purpose of the paper is to develop a consistent measure of the entrepreneurs’ personal network multiplexity and to analyse its relationship to firm growth. The research goals were achieved with a quantitative approac...
A new proposal for efficiency quantification of capital markets in the context of complex nonlinear dynamics and chaos
The main purpose of this paper is efficiency analysis as well as its quantification in the case of emerging capital markets, by building a new measure of market efficiency. The basic assumption of such markets is the lac...
Application of transfer pricing methods in related companies in Croatia
The main purpose of this paper was to investigate and identify which transfer pricing methods are applied in related companies in Croatia, as well as to give certain recommendations that would improve the control of tran...