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A customer loyalty formation model in electronic commerce

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  • Safa, Nader Sohrabi
  • Ismail, Maizatul Akmar

Abstract

Traditional commerce has been converted to modern or Electronic Commerce (E-commerce) by new technologies. The advantages of this transformation are less process time, cost, errors and mistakes for sellers and buyers. Companies lose their Electronic Customers (E-customers) due to the competitive business environment on the Internet. In this respect, Electronic Trust (E-trust), Electronic Satisfaction (E-satisfaction) and Electronic Loyalty (E-loyalty) play vital roles. In addition, acquiring new loyal customers requires time and money. In this research, a conceptual framework has been presented that shows E-loyalty formation based on E-trust and E-satisfaction. The model, which was formed based on the literature review, has been improved by factor analysis and the effect of every construct has been determined by regression analysis. The direct and indirect effects of organizational, technological and customer factors on E-loyalty were calculated by path analysis. The results show that technological factors have the most effect on E-satisfaction and the organizational factors have the most effect on E-trust.

Suggested Citation

  • Safa, Nader Sohrabi & Ismail, Maizatul Akmar, 2013. "A customer loyalty formation model in electronic commerce," Economic Modelling, Elsevier, vol. 35(C), pages 559-564.
    • Handle: RePEc:eee:ecmode:v:35:y:2013:i:c:p:559-564
    DOI: 10.1016/j.econmod.2013.08.011
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    References listed on IDEAS

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    Cited by:

    1. Oumar Timothy K. & Mang’Unyi Eric E. & Govender Krishna K. & Rajkaran Sookdhev, 2017. "Exploring the e-CRM – e-customer- e-loyalty nexus: a Kenyan commercial bank case study," Management & Marketing, Sciendo, vol. 12(4), pages 674-696, December.
    2. Šneiderienė Agnė & Beniušis Antanas, 2022. "Factors Influencing the Decision-Making of Users of Lithuanian E-Commerce Platforms," Management Theory and Studies for Rural Business and Infrastructure Development, Sciendo, vol. 44(1), pages 72-83, March.
    3. Brusch, Ines & Schwarz, Benjamin & Schmitt, Rebecca, 2019. "David versus Goliath - Service quality factors for niche providers in online retailing," Journal of Retailing and Consumer Services, Elsevier, vol. 50(C), pages 266-276.
    4. Zuzana Svobodová & Jaroslava Rajchlová, 2020. "Strategic Behavior of E-Commerce Businesses in Online Industry of Electronics from a Customer Perspective," Administrative Sciences, MDPI, vol. 10(4), pages 1-24, October.
    5. Fang, Jiaming & Shao, Yunfei & Wen, Chao, 2016. "Transactional quality, relational quality, and consumer e-loyalty: Evidence from SEM and fsQCA," International Journal of Information Management, Elsevier, vol. 36(6), pages 1205-1217.
    6. Ali Abumalloh, Rabab & Ibrahim, Othman & Nilashi, Mehrbakhsh, 2020. "Loyalty of young female Arabic customers towards recommendation agents: A new model for B2C E-commerce," Technology in Society, Elsevier, vol. 61(C).
    7. Shen, Na & Su, Jun, 2015. "A comparison of different contract forms for consumers with switching costs and changed preferences," Economic Modelling, Elsevier, vol. 50(C), pages 19-26.
    8. Chen, Pu & Chen, Yijuan & Hu, Xiangting & Li, Sanxi, 2015. "Can online markets attract high-quality products?," Economic Modelling, Elsevier, vol. 51(C), pages 65-71.

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