Transcript 5.10 B_4 IUFRO Session B #345 Hseih Huang & Lee

The Relationships among Marketing
Forces, Corporate Brand Equity,
Trust, and Customer Loyalty:
An Empirical Study of
Taiwan Lumber Import Market
Tse-Wen Hsieh, Tsui-Ying Huang, and Jun-Yen Lee
Presented by Jun-Yen Lee, Ph.D.
Professor, Department of Bio-industry & Agribusiness Administration
National Chai-Yi University, Taiwan
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Email:[email protected]
INTRODUCTION
Background
The importance of customer loyalty
Can the marketing forces lead to customer loyalty?
What are the mediators in this relationship?
Objectives
To understand the relationships of marketing forces, corporate
brand equity, trust, and customer loyalty
To explore the mediating effects of corporate brand equity and
trust
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LITERATURE REVIEW
1. Marketing forces
Kotler (1999) ；McCarthy (1960) ；Booms and Bitner(1981)
2. Corporate brand equity
Mudambi (1997) ；Allard et al. (2005)
3. Trust
Sako (1992) ；Anderson and Narus (1990) ； Moorman et al. (1993) ；
Morgan and Hunt (1994)
4. Customer loyalty
Oliver (1997)； Rubinson (1996)；Simeon Chow (1997) ； Chaudhuri and
Holbrook (2001) ；Taylor(2004)
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MODEL
Conceptual model
Trust
Taylor(2004)
H4
H6
H1
Marketing
forces
Customer
loyalty
H5
H2
H3
Allard(2005)
Brand
equity
Aaker(1991)
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MODEL
Rival model
Marketing
forces
Trust
H7
H8
Customer
loyalty
H9
Brand
equity
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METHOD
•
•
•
Samples：259 companies
Survey method: questionnaire sent by mail and e-mail
Data analysis method: Structure Equation Modeling
(SEM)
Mail
E-mail
Total
Sent
159
100
259
Responses
62
12
99
Follow-up returns
Response rate (%)
Valid questionnaire
25
38.2％
89
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EMPERICAL RESULTS
Descriptive statistics
Characteristics
Items
Frequencies
Job position
1. CEO
2. Purchase manager
3. others_____
27
43
19
Sales/yr
1. less than $5 million (or U.S. $
170 thousands)
2 $5million~$10 million
3. More than $20 million
12
15
13
49
Operating term
1. less than 10 years
2. 11~15 years
3. 16 ~20 year
4. More than 21 years
18
17
22
32
1. Less than 5 years
2. 5-10 years
3. 10-15 years
4. 15 years
12
18
14
45
Work experience
Respondent
status
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EMPERICAL RESULTS
Reliability and validity analysis
1. Reliability ：
Constructs
Cronbach’s α
Marketing forces (4 Items)
0.903
Corporate brand equity (4 Items)
0.890
Trust (3 Items)
0.749
Customer loyalty (5 Items)
0.892
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EMPERICAL RESULTS
2. Validity ：
– Content validity
– Construct validity ：Validating by the Confirmatory factor
analysis( CFA)
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EMPERICAL RESULTS
Construct validity analysis
1. Brand equity :
ˇ
ˇ
2. Marketing forces：
ˇ
ˇ
CMIN/DF=0.043 , GFI=1.000 , CFI=1.000 , RMSEA=0.000
ˇ
ˇ
ˇ
ˇ
CMIN/DF=0.877 , GFI=0.941 , CFI=1.000 , RMSEA=0.000
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EMPERICAL RESULTS
3. Trust:
4. Customer loyalty
ˇ
ˇ
ˇ
ˇ
CMIN/DF=0.157 , GFI=0.999 , CFI=1.000 , RMSEA=0.000
ˇ
ˇ
ˇ
ˇ
MIN/DF=0.742 , GFI=0.987 , CFI=1.000 , RMSEA=0.000
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EMPERICAL RESULTS
5. Construct validity analysis for whole constructs
ˇ
ˇ
ˇ
ˇ
MIN/DF=1.470 , GFI=0.840 , CFI=0.944 , RMSEA=0.073
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EMPERICAL RESULTS
Goodness of fit and Hypotheses tests
1. Conceptual model
MIN/DF=1.470 , GFI=0.840 , CFI=0.944 , RMSEA=0.073
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EMPERICAL RESULTS
2. Adjusted model-ModelⅠ
MIN/DF=1.460 , GFI=0.840 , CFI=0.944 , RMSEA=0.073
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EMPERICAL RESULTS
3. Adjusted model- ModelⅡ
MIN/DF=1.521 , GFI=0.835 , CFI=0.937 , RMSEA=0.077
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EMPERICAL RESULTS
4. Adjusted model- ModelⅢ
ˇ , GFI=0.834
ˇ , RMSEA=0.076
ˇ
ˇ , CFI=0.937
MIN/DF=1.515
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EMPERICAL RESULTS
5. Rival model
et1
et2
et3
.57
.68
.69
TRUST35
TRUST36
TRUST37
.75
.83
.83
.82
.62
ep1
ep2
.90
.19
.36 .79
PLACE .60
.37
mf
.23
.48
ep3
LA1
trust
PRODUCT
PRICE
ecl .90
LA2
cl
LA4
.54
.55
.59
.54
.60
.66
.44
be
ep4 PROMOTIO
.84
eca2
eca3
.35
ecb2
.30
.76
.75
.61
BA1
BA2
BA3
BA4
eb1
eb2
eb3
eb4
↓
.56
ecb4
.78
.71
↓
eca1
.31
LB4
.86
.87
LB2
.80
↓
ㄨ
MIN/DF=1.929 , GFI=0.796 , CFI=0.886 , RMSEA=0.103
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EMPERICAL RESULTS
Research hypotheses
Hypotheses
Descriptions
Path
Standardized
estimates
Conceptual
model
ModelⅢ
H4:
Marketing forces are positively related to trust.
mf trust 0.469＊＊
H3:
Marketing forces are positively related to
brand equity.
mf be
0.603＊＊＊
0.642＊＊＊
H6:
Trust is positively related to customer loyalty.
trust cl
0.096
0.252＊＊
H2:
Brand equity is positively related to customer
be cl
loyalty.
0.478＊＊＊
0.640＊＊＊
H1:
Brand equity is positively related to trust.
H5:
Marketing forces are positively related to
customer loyalty.
0.617＊＊＊
be trust 0.178
------------
mf cl
------------
0.353**
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CONCLUSIONS
Conclusions
-Hypothesis tests show that marketing forces are positively related to
corporate brand equity and trust.
-Also, trust and corporate brand equity are positively related to
customer loyalty, respectively.
-Corporate brand equity and trust are the mediating factors between
marketing forces and customer loyalty.
-Corporate brand equity has higher effect on customer loyalty than
trust has.
-To increase wood raw material buyers’ loyalty, the suppliers should
build brand equity and customer trust.
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Thank you!
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