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The Impact of Trust Model on Customer Loyalty¡XA Study of Direct Selling IndustryWang, Jau-Shyong 19 January 2005 (has links)
The role of trust in market exchange has been of consistent interest to marketing researchers over the past decade. Many researches in marketing have shown that customer trust in a company and its representatives can positively influence customer loyalty. However, a customer¡¦s deal with a particular product/service provider can also be influenced by the customer¡¦s trust in the broader marketplace¡Xfor example, trust in those who regulate the market and trust in the professionals who populate the marketplace. Drawing from a number of disciplines in addition to marketing, we identify three types of trust (Institutional Trust, Role Trust, Generalized Trust) in the broader marketplace that might influence trust (interpersonal trust, firm-specific trust) between two exchange partners. Using survey results collected from direct sellers of Taiwan¡¦s direct selling companies, we test competing theories about the influence of this trust. Our results show that the influence of broad-scope trust on customer loyalty is not direct, but is mediated by narrow-scope trust. Because the substitutional view implies a direct relationship between broad-scope trust and customer loyalty, this finding supports the foundational view of the relationship between broad-scope and narrow-scope trust.
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