Examining Uncertainty Avoidance, Relationship Quality, and Customer Loyalty in Two Cultures

Abstract

The study examines culture's role in the association of relationship quality with customer loyalty. Specifically, the association of relationship quality dimensions with loyalty was examined in a European high uncertainty avoidance culture (Turkey) and an Asian low uncertainty avoidance culture (Malaysia). Data were collected through a field survey of randomly selected bank customers in Ankara and Kuala Lumpur. Factor and Hierarchical Multiple Regression Analyses (HMRA) were employed for data analysis. The results show that relationship quality dimensions explain a significant amount of variance in customer loyalty. Trust and satisfaction are significantly associated with customer loyalty. Uncertainty avoidance is significantly associated with loyalty. The impact of trust on loyalty is moderated by uncertainty avoidance. As such, culture is an explanatory variable for customer loyalty.

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