An integration of customer value and customer relationship in urban centres and peripheries: Research implications for business practice and business studies
The purpose of this study is to investigate the role of customer values in building customer relationships with regard to the urban factor. This paper seeks to empirically explain how the urban factor affects customer preferences as the differences between customers from urban centres and those from...
| Main Authors: | , , |
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| Format: | Article |
| Language: | English |
| Published: |
University of Split, Faculty of Economics
2020-01-01
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| Series: | Management : Journal of Contemporary Management Issues |
| Subjects: | |
| Online Access: | https://hrcak.srce.hr/file/354836 |
| _version_ | 1797207167515754496 |
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| author | Rasa Smaliukiene Svajone Bekesiene Gabriele Lipciute |
| author_facet | Rasa Smaliukiene Svajone Bekesiene Gabriele Lipciute |
| author_sort | Rasa Smaliukiene |
| collection | DOAJ |
| description | The purpose of this study is to investigate the role of customer values in building customer relationships with regard to the urban factor. This paper seeks to empirically explain how the urban factor affects customer preferences as the differences between customers from urban centres and those from the peripheries are still notable despite globalization and cultural levelling. The article presents a theoretical framework explaining the role of customer value in building customer relationship. In this sense, customer value follows the general rules stipulating the business-customer relationship and includes steps such as trust building, commitment, satisfaction and loyalty. After grounding the theoretical construct, it is tested using a data set of 364 customers across Lithuania. Exhaustive CHAID (Chi-squared Automatic Interaction Detector) is used for model testing and re-classification. The results from this study report that there are statistically significant differences between customers’ preferences in urban centres and in the periphery. The decision made by the customer to stay loyal to a business has a certain logical dependency. For customers in urban centres, functional value needs to be supplemented by emotional value. Only such a composition of values encourages them to remain loyal to the business. On the other hand, customer loyalty in the periphery is determined by high trust in business, customer commitment and perceived social value. The value of this paper lies in its original theoretical construct where customer value and customer relationship have an effect on customer loyalty, as well as in testing this construct in relation to the urban factor. Additionally, research implications suggest that the findings may be important for business practice and business studies. |
| first_indexed | 2024-04-24T09:18:36Z |
| format | Article |
| id | doaj.art-f7d48460d9124e40ad7574f6b89e1edf |
| institution | Directory Open Access Journal |
| issn | 1331-0194 1846-3363 |
| language | English |
| last_indexed | 2024-04-24T09:18:36Z |
| publishDate | 2020-01-01 |
| publisher | University of Split, Faculty of Economics |
| record_format | Article |
| series | Management : Journal of Contemporary Management Issues |
| spelling | doaj.art-f7d48460d9124e40ad7574f6b89e1edf2024-04-15T16:27:17ZengUniversity of Split, Faculty of EconomicsManagement : Journal of Contemporary Management Issues1331-01941846-33632020-01-0125Special issue436110.30924/mjcmi.25.s.5An integration of customer value and customer relationship in urban centres and peripheries: Research implications for business practice and business studies Rasa Smaliukiene0Svajone Bekesiene1Gabriele Lipciute2Vilnius Gediminas Technical University, Faculty of Creative Industries; General Jonas Žemaitis Military Academy of Lithuania, Department of Strategic Management, Vilnius, LithuaniaGeneral Jonas Žemaitis Military Academy of Lithuania, Department of Defence Technologies, Vilnius, LithuaniaVilnius Gediminas Technical University, Faculty of Business Management, Vilnius, LithuaniaThe purpose of this study is to investigate the role of customer values in building customer relationships with regard to the urban factor. This paper seeks to empirically explain how the urban factor affects customer preferences as the differences between customers from urban centres and those from the peripheries are still notable despite globalization and cultural levelling. The article presents a theoretical framework explaining the role of customer value in building customer relationship. In this sense, customer value follows the general rules stipulating the business-customer relationship and includes steps such as trust building, commitment, satisfaction and loyalty. After grounding the theoretical construct, it is tested using a data set of 364 customers across Lithuania. Exhaustive CHAID (Chi-squared Automatic Interaction Detector) is used for model testing and re-classification. The results from this study report that there are statistically significant differences between customers’ preferences in urban centres and in the periphery. The decision made by the customer to stay loyal to a business has a certain logical dependency. For customers in urban centres, functional value needs to be supplemented by emotional value. Only such a composition of values encourages them to remain loyal to the business. On the other hand, customer loyalty in the periphery is determined by high trust in business, customer commitment and perceived social value. The value of this paper lies in its original theoretical construct where customer value and customer relationship have an effect on customer loyalty, as well as in testing this construct in relation to the urban factor. Additionally, research implications suggest that the findings may be important for business practice and business studies.https://hrcak.srce.hr/file/354836customer valuecustomer relationship managementgeographic segmentationurban factorbusiness practicebusiness studies |
| spellingShingle | Rasa Smaliukiene Svajone Bekesiene Gabriele Lipciute An integration of customer value and customer relationship in urban centres and peripheries: Research implications for business practice and business studies Management : Journal of Contemporary Management Issues customer value customer relationship management geographic segmentation urban factor business practice business studies |
| title | An integration of customer value and customer relationship in urban centres and peripheries: Research implications for business practice and business studies
|
| title_full | An integration of customer value and customer relationship in urban centres and peripheries: Research implications for business practice and business studies
|
| title_fullStr | An integration of customer value and customer relationship in urban centres and peripheries: Research implications for business practice and business studies
|
| title_full_unstemmed | An integration of customer value and customer relationship in urban centres and peripheries: Research implications for business practice and business studies
|
| title_short | An integration of customer value and customer relationship in urban centres and peripheries: Research implications for business practice and business studies
|
| title_sort | integration of customer value and customer relationship in urban centres and peripheries research implications for business practice and business studies |
| topic | customer value customer relationship management geographic segmentation urban factor business practice business studies |
| url | https://hrcak.srce.hr/file/354836 |
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