IDEAS home Printed from https://ideas.repec.org/p/wop/pennin/99-12.html
   My bibliography  Save this paper

Customer Loyalty and Supplier Strategies for Quality Competition

Author

Listed:
  • Noah Gans

Abstract

We analyze a model of consumer response to variation in product or service quality. The model, developed in [4], provides closed-form expressions that characterize short-term and long-term measures of customer loyalty to a supplier. In this paper, we develop sensitivity analyses that offer a rich characterization of how factors - such as the underlying quality levels of the suppliers, the customer's ability to distinguish between good and bad suppliers, and the customer's prior beliefs regarding the suppliers affect both short-term and long-term loyalty. We also use the expressions to develop simple normative models for suppliers that wish to develop effective quality strategies.

Suggested Citation

  • Noah Gans, 1999. "Customer Loyalty and Supplier Strategies for Quality Competition," Center for Financial Institutions Working Papers 99-12, Wharton School Center for Financial Institutions, University of Pennsylvania.
    • Handle: RePEc:wop:pennin:99-12
    as

    Download full text from publisher

    File URL: http://fic.wharton.upenn.edu/fic/papers/99/9912.pdf
    Download Restriction: no
    ---><---

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. James D. Dana, Jr. & Nicholas C. Petruzzi, 2001. "Note: The Newsvendor Model with Endogenous Demand," Management Science, INFORMS, vol. 47(11), pages 1488-1497, November.
    2. Dana, James D, Jr, 2001. "Competition in Price and Availability When Availability is Unobservable," RAND Journal of Economics, The RAND Corporation, vol. 32(3), pages 497-513, Autumn.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:wop:pennin:99-12. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Thomas Krichel (email available below). General contact details of provider: https://edirc.repec.org/data/fiupaus.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.