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

Author

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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)

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.

Suggested Citation

  • Sheng-Wen Liu & Ying-Chieh Yang & Ralph Norcio, 2017. "Explore the Buffering Effects of Perceived Hidden Inflation on Survival of Mobile Phone Service Providers in Taiwan," Sustainability, MDPI, Open Access Journal, vol. 9(4), pages 1-12, April.
  • Handle: RePEc:gam:jsusta:v:9:y:2017:i:4:p:555-:d:95135
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    References listed on IDEAS

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    1. James Devine, 2001. "The Cost of Living and Hidden Inflation," Challenge, Taylor & Francis Journals, vol. 44(2), pages 73-84.
    2. Alford, Bruce L. & Biswas, Abhijit, 2002. "The effects of discount level, price consciousness and sale proneness on consumers' price perception and behavioral intention," Journal of Business Research, Elsevier, vol. 55(9), pages 775-783, September.
    3. Ovidiu I. MOISESCU & Brad ALLEN, 2010. "The Relationship Between The Dimensions Of Brand Loyalty. An Empirical Investigation Among Romanian Urban Consumers," Management & Marketing, Economic Publishing House, vol. 5(4), Winter.
    4. Gheorghe ORZAN & Otilia-Elena PLATON & Cristian Dragos STEFĂNESCU & Mihai ORZAN, 2016. "Conceptual Model Regarding The Influence Of Social Media Marketing Communication On Brand Trust, Brand Affect And Brand Loyalty," ECONOMIC COMPUTATION AND ECONOMIC CYBERNETICS STUDIES AND RESEARCH, Faculty of Economic Cybernetics, Statistics and Informatics, vol. 50(1), pages 141-156.
    5. Somnath Mukherjee & Shradha Shivani, 2016. "Marketing Mix Influence on Service Brand Equity and Its Dimensions," Vision, , vol. 20(1), pages 9-23, March.
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    More about this item

    Keywords

    perceived hidden Inflation; brand loyalty; service quality; brand trust;

    JEL classification:

    • Q - Agricultural and Natural Resource Economics; Environmental and Ecological Economics
    • Q0 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - General
    • Q2 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation
    • Q3 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Nonrenewable Resources and Conservation
    • Q5 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics
    • Q56 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environment and Development; Environment and Trade; Sustainability; Environmental Accounts and Accounting; Environmental Equity; Population Growth
    • O13 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Agriculture; Natural Resources; Environment; Other Primary Products

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