IDEAS home Printed from https://ideas.repec.org/a/mth/ber888/v3y2013i1p56-88.html
   My bibliography  Save this article

The Mediating Effects of Service Charge Transparency on the Relationship between Corporate Social Responsibility and Customer Behaviour in Hong Kong¡¯s Retail Banking Sector

Author

Listed:
  • Canon Tong
  • Anthony Wong
  • Steven Leung

Abstract

The collapse of substantial numbers of large multinational banking corporations in recent years has prompted regulatory authorities to raise both disclosure and transparency requirements on banks. Banking customers have also called for additional protection against unconscionable practices, and for greater transparency and product information. The literature reveals that transparency positively influences customer behaviour. However, the mediating effect of service charge transparency on the relationship between corporate social responsibility and customer behaviour is a neglected topic. The findings in this research revealed that corporate social responsibility has a positive and significant influence on service charge transparency, customer repurchase intention and word-of-mouth intention. The results also confirmed that service charge transparency has a positive and significant influence on customer repurchase intention and word-of-mouth. Furthermore, they revealed that service charge transparency plays a mediating role in the respective relationships between corporate social responsibility and the two dimensions of consumer behaviour, customer repurchase intention and word-of-mouth intention.

Suggested Citation

  • Canon Tong & Anthony Wong & Steven Leung, 2013. "The Mediating Effects of Service Charge Transparency on the Relationship between Corporate Social Responsibility and Customer Behaviour in Hong Kong¡¯s Retail Banking Sector," Business and Economic Research, Macrothink Institute, vol. 3(1), pages 56-88, June.
    • Handle: RePEc:mth:ber888:v:3:y:2013:i:1:p:56-88
    as

    Download full text from publisher

    File URL: http://www.macrothink.org/journal/index.php/ber/article/view/2801/2724
    Download Restriction: no
    File URL: http://www.macrothink.org/journal/index.php/ber/article/view/2801
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Erickson, Gary M & Johansson, Johny K & Chao, Paul, 1984. "Image Variables in Multi-Attribute Product Evaluations: Country-of-Origin Effects," Journal of Consumer Research, Journal of Consumer Research Inc., vol. 11(2), pages 694-699, September.
    2. Ittner, CD & Larcker, DF, 1998. "Are nonfinancial measures leading indicators of financial performance? An analysis of customer satisfaction," Journal of Accounting Research, Wiley Blackwell, vol. 36, pages 1-35.
    3. Cheung, Yan-Leung & Jiang, Ping & Tan, Weiqiang, 2010. "A transparency Disclosure Index measuring disclosures: Chinese listed companies," Journal of Accounting and Public Policy, Elsevier, vol. 29(3), pages 259-280, June.
    4. Brunk, Katja H., 2010. "Exploring origins of ethical company/brand perceptions: Reply to Shea and Cohn's commentaries," Journal of Business Research, Elsevier, vol. 63(12), pages 1364-1367, December.
    5. Skerlavaj, Miha & Stemberger, Mojca Indihar & Skrinjar, Rok & Dimovski, Vlado, 2007. "Organizational learning culture--the missing link between business process change and organizational performance," International Journal of Production Economics, Elsevier, vol. 106(2), pages 346-367, April.
    6. Xavier Gabaix & David Laibson, 2018. "Shrouded attributes, consumer myopia and information suppression in competitive markets," Chapters, in: Victor J. Tremblay & Elizabeth Schroeder & Carol Horton Tremblay (ed.), Handbook of Behavioral Industrial Organization, chapter 3, pages 40-74, Edward Elgar Publishing.
    7. Herr, Paul M & Kardes, Frank R & Kim, John, 1991. "Effects of Word-of-Mouth and Product-Attribute Information on Persuasion: An Accessibility-Diagnosticity Perspective," Journal of Consumer Research, Journal of Consumer Research Inc., vol. 17(4), pages 454-462, March.
    8. Nier, Erlend W., 2005. "Bank stability and transparency," Journal of Financial Stability, Elsevier, vol. 1(3), pages 342-354, April.
    9. Johnson, Michael D. & Nader, Georg & Fornell, Claes, 1996. "Expectations, perceived performance, and customer satisfaction for a complex service: The case of bank loans," Journal of Economic Psychology, Elsevier, vol. 17(2), pages 163-182, April.
    10. Brown, Jacqueline Johnson & Reingen, Peter H, 1987. "Social Ties and Word-of-Mouth Referral Behavior," Journal of Consumer Research, Journal of Consumer Research Inc., vol. 14(3), pages 350-362, December.
    11. Peter Lok & Richard Y. Hung & Paul Walsh & Paul Wang & John Crawford, 2005. "An Integrative Framework for Measuring the Extent to which Organizational Variables Influence the Success of Process Improvement Programmes," Journal of Management Studies, Wiley Blackwell, vol. 42(7), pages 1357-1381, November.
    12. Lacey, Russell & Close, Angeline G. & Finney, R. Zachary, 2010. "The pivotal roles of product knowledge and corporate social responsibility in event sponsorship effectiveness," Journal of Business Research, Elsevier, vol. 63(11), pages 1222-1228, November.
    13. Brunk, Katja H., 2010. "Exploring origins of ethical company/brand perceptions -- A consumer perspective of corporate ethics," Journal of Business Research, Elsevier, vol. 63(3), pages 255-262, March.
    Full references (including those not matched with items on IDEAS)

    Citations

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


    Cited by:

    1. Amin Ansary & Nik M. Hazrul Nik Hashim, 2018. "Brand image and equity: the mediating role of brand equity drivers and moderating effects of product type and word of mouth," Review of Managerial Science, Springer, vol. 12(4), pages 969-1002, October.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Yucheng Zhang & Zhiling Wang & Lin Xiao & Lijun Wang & Pei Huang, 2023. "Discovering the evolution of online reviews: A bibliometric review," Electronic Markets, Springer;IIM University of St. Gallen, vol. 33(1), pages 1-22, December.
    2. Gwarlann Kerviler & Nico Heuvinck & Elodie Gentina, 2022. "“Make an Effort and Show Me the Love!” Effects of Indexical and Iconic Authenticity on Perceived Brand Ethicality," Journal of Business Ethics, Springer, vol. 179(1), pages 89-110, August.
    3. Li, Hui & Xu, Yunjie & Huang, Lihua, 2021. "When less is more? The contingent effect of product supply limitation in the release of new electronic products," Journal of Retailing and Consumer Services, Elsevier, vol. 60(C).
    4. Jatinder Singh & Oriol Iglesias & Joan Batista-Foguet, 2012. "Does Having an Ethical Brand Matter? The Influence of Consumer Perceived Ethicality on Trust, Affect and Loyalty," Journal of Business Ethics, Springer, vol. 111(4), pages 541-549, December.
    5. Sebastian Schneider, 2022. "Price-related consumer discussions in China and the United States: a cross-cultural study investigating price perceptions and word-of-mouth transmission," Journal of Revenue and Pricing Management, Palgrave Macmillan, vol. 21(3), pages 274-290, June.
    6. Bogdan Anastasiei & Nicoleta Dospinescu, 2019. "Electronic Word-of-Mouth for Online Retailers: Predictors of Volume and Valence," Sustainability, MDPI, vol. 11(3), pages 1-18, February.
    7. Hsiang-Ming Lee & Tsai Chen & Ya-Hui Hsu & Yu-Chi Wu, 2018. "Effect Of Complementary Product Fit And Brand Awareness On Brand Attitude After M&As: Word Of Mouth As A Moderator," Global Journal of Business Research, The Institute for Business and Finance Research, vol. 12(1), pages 51-67.
    8. Amin Ansary & Nik M. Hazrul Nik Hashim, 2018. "Brand image and equity: the mediating role of brand equity drivers and moderating effects of product type and word of mouth," Review of Managerial Science, Springer, vol. 12(4), pages 969-1002, October.
    9. Neubert, Mitchell J. & Montañez, George D., 2020. "Virtue as a framework for the design and use of artificial intelligence," Business Horizons, Elsevier, vol. 63(2), pages 195-204.
    10. Maise Soares Pereira & Ivan Lapuente Garrido & Celso Augusto de Matos, 2015. "Firm-Created Word-of-Mouth Recommendation: is it Also Worthwhile?," Brazilian Business Review, Fucape Business School, vol. 12(3), pages 91-118, May.
    11. Hsiu-Hua Chang, 2017. "Consumer Socially Sustainable Consumption: The Perspective toward Corporate Social Responsibility, Perceived Value, and Brand Loyalty," Journal of Economics and Management, College of Business, Feng Chia University, Taiwan, vol. 13(2), pages 167-191, August.
    12. Chakravarty, Anindita & Liu, Yong & Mazumdar, Tridib, 2010. "The Differential Effects of Online Word-of-Mouth and Critics' Reviews on Pre-release Movie Evaluation," Journal of Interactive Marketing, Elsevier, vol. 24(3), pages 185-197.
    13. Kim, Juran & Kang, Seungmook & Lee, Ki Hoon, 2021. "Evolution of digital marketing communication: Bibliometric analysis and network visualization from key articles," Journal of Business Research, Elsevier, vol. 130(C), pages 552-563.
    14. Vicenta Sierra & Oriol Iglesias & Stefan Markovic & Jatinder Jit Singh, 2017. "Does Ethical Image Build Equity in Corporate Services Brands? The Influence of Customer Perceived Ethicality on Affect, Perceived Quality, and Equity," Journal of Business Ethics, Springer, vol. 144(3), pages 661-676, September.
    15. Vera Herédia-Colaço & Rita Coelho do Vale & Sofia B. Villas-Boas, 2019. "Does Fair Trade Breed Contempt? A Cross-Country Examination on the Moderating Role of Brand Familiarity and Consumer Expertise on Product Evaluation," Journal of Business Ethics, Springer, vol. 156(3), pages 737-758, May.
    16. Richard R. Klink & Lan Wu, 2017. "Creating ethical brands: the role of brand name on consumer perceived ethicality," Marketing Letters, Springer, vol. 28(3), pages 411-422, September.
    17. Tata, Sai Vijay & Prashar, Sanjeev & Gupta, Sumeet, 2020. "An examination of the role of review valence and review source in varying consumption contexts on purchase decision," Journal of Retailing and Consumer Services, Elsevier, vol. 52(C).
    18. A. Rebecca Reuber & Eileen Fischer, 2005. "The Company You Keep: How Young Firms in Different Competitive Contexts Signal Reputation through Their Customers," Entrepreneurship Theory and Practice, , vol. 29(1), pages 57-78, January.
    19. Mbaye Fall Diallo & Christine Lambey-Checchin, 2017. "Consumers’ Perceptions of Retail Business Ethics and Loyalty to the Retailer: The Moderating Role of Social Discount Practices," Journal of Business Ethics, Springer, vol. 141(3), pages 435-449, March.
    20. Koji Ishida & Lisa Slevitch & Katia Siamionava, 2016. "The Effects of Traditional and Electronic Word-of-Mouth on Destination Image: A Case of Vacation Tourists Visiting Branson, Missouri," Administrative Sciences, MDPI, vol. 6(4), pages 1-17, September.

    More about this item

    Keywords

    Corporate Social Responsibility; Service Charge Transparency; Repurchase Intention; Word-of-mouth Intention;
    All these keywords.

    JEL classification:

    • R00 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General - - - General
    • Z0 - Other Special Topics - - General

    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:mth:ber888:v:3:y:2013:i:1:p:56-88. 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.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with 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: Technical Support Office (email available below). General contact details of provider: http://www.macrothink.org/journal/index.php/ber .

    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.