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How Does Reputation Win Trust? A Customer-Based Mediation Analysis

Author

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  • Raza Ali
  • Zhongqi Jin
  • Kailin Wu
  • T. C. Melewar

Abstract

This study investigates the relationship between customer-based corporate reputation (CBR) and customer trust, in particular, the mediating role of customer perceived risk in this relationship. We propose and test a model comprising of four components: cognitive CBR, affective CBR, customer perceived risk and customer trust using a sample of 156 customers from the fast-food services industry in Pakistan. The results suggest that the cognitive and affective dimensions of CBR behave differently in developing customer trust. Affective CBR has a direct positive relationship with customer trust; whereas, customer perceived risk and affective CBR mediate the relationship between cognitive CBR and customer trust. Implications for research and practice are proposed based on the study results.

Suggested Citation

  • Raza Ali & Zhongqi Jin & Kailin Wu & T. C. Melewar, 2017. "How Does Reputation Win Trust? A Customer-Based Mediation Analysis," International Studies of Management & Organization, Taylor & Francis Journals, vol. 47(3), pages 220-239, July.
    • Handle: RePEc:taf:mimoxx:v:47:y:2017:i:3:p:220-239
    DOI: 10.1080/00208825.2017.1318017
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