The Roles of Relationships and Service Quality as Drivers of Customer Loyalty: An Empirical Study

Abstract

This study empirically examines 270 B2B firms based in Guangdong province, China, in an attempt to increase understanding of the interplays between service quality, relationship quality and customer loyalty from a social exchange theory viewpoint. The study reveals that service quality is positively related to relationship quality, relationship quality is positively related to customer loyalty, and service quality is positively related to customer loyalty. At the same time, relationship quality partially mediates the relationship between service quality and customer loyalty. The study offers useful insights to practitioners on how to cultivate better relationships with collaborators through offering better services which in turn help them retain customers.

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