The Open Economics Journal

2013, 6 : 11-17
Published online 2013 October 31. DOI: 10.2174/1874919401306010011
Publisher ID: TOECONSJ-6-11

Modeling Customer Satisfaction: A Panel Cointegration Perspective of The Limited Service Restaurant Sector

Peter Sephton
School of Business, Queen's University, Kingston, ON, K7L3N6, Canada.

ABSTRACT

Panel cointegration analysis is used to examine the links between customer satisfaction and its antecedents as well as satisfaction and consumer voice and loyalty for four firms in the limited service restaurant sector. The results suggest satisfaction and perceived value continually move to maintain a stable balance between perceived quality, expectations, perceived value, and satisfaction. Loyalty and complaints are strongly linked to customer satisfaction. The findings provide conclusive support for enhancing corporate performance through improving measures of customer satisfaction.

Keywords:

Customer satisfaction, loyalty, panel cointegration, unit roots.