Cultural Impact on the Framework of Customer Value, Customer Satisfaction and Customer Loyalty

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TABLE OF CONTENTS

CHAPTER 1: INTRODUCTION1

Research Background1

Research Aim and Objectives2

Research Questions2

Conceptual Model and Framework3

Importance of the study5

CHAPTER 2: LITERATURE REVIEW6

Customer Satisfaction6

Customer Loyalty6

Culture and Customer Loyalty7

Culture and Customer Satisfaction8

Culture and Consumer Behaviour8

CHAPTER 3: METHODOLOGY10

Research Philosophy10

Research Approach10

Questionnaire10

Data Analysis Methods11

Ethical Issues11

REFERENCES13

CHAPTER 1: INTRODUCTION

Research Background

Culture is usually explained in terms of marketing as a system of values which acts as a determinant of customer behaviour, leading towards customer satisfaction, customer retention, and customer loyalty. The member of certain community, specifically belonging to a certain culture, tend to transform their experiences about the social and physical environments up to an abstract level of beliefs regarding what is wanted, what is desired and what is disliked (Lillis &

Tian, 2010, 100). These determined beliefs, also known as values, usually guide the consumers' day to day behaviours, which include decision that are related to purchasing as well as consumption. Across the globe, the cultural values have four dimension based on the Hofstede's model of cultural dimensions (Emery & Tian, 2003, 48; Tian, 2002, 72).

The researches related to cross-cultural impact on international consumer behaviour has taken a new turn as the business is becoming more and more globalized and firms are expanding their territories to various countries and regions. It has been argued by Hofstede (1980) that it is important o understand different cultures as the culture is based on sociological, psychological, and political values and beliefs of a particular community. So, according to Hofstede (1980), understanding a region's or a county's culture means knowing the people's purchasing power, buying behaviour, consumers practices and expectations, such as customer loyalty and customer satisfaction. Recent literature on services and the relationship has emphasized on the importance of the relationship between the variables of customer loyalty and customer satisfaction, and the profitability of a firm (Liang & Wang, 2007, 367).

Studies have proposed that cultures might take a moderate role on how individuals prioritise their values since the cultural value is mainly a part of a region, and the values are, therefore, passed on from generation to generation (Smith & Schwartz, 1997, 83; Hofstede, 1980, 99; McCort & Malhotra, 1993, 112). This research will focus on analysing the impact of culture on the framework of customer satisfaction, customer loyalty and customer value. This research will focus on analysing the cultural impact on the customers' behaviour, motivation and decision related to purchasing and consuming a particular product or service.

Research Aim and Objectives

The research aims at understanding and analysing the impact of culture on the framework of customer satisfaction, customer loyalty and customer value. The following objectives are considered to helpful in achieving this aim:

To analyse the relationship between customer loyalty, customers satisfaction and customer value

To analyze the impact of culture on consumer behaviour in UK

To identify the role of service quality in customer loyalty

To analyse the impact of culture on customer satisfaction, customer value, and customer loyalty

Research Questions

The research will be based on following research questions:

What is the relationship between customer loyalty, ...