Customer satisfaction and brand equity Articles uri icon

authors

  • TORRES LACOMBA, ANNA
  • TRIBO GINE, JOSE ANTONIO

publication date

  • October 2011

start page

  • 1089

end page

  • 1096

issue

  • 10

volume

  • 64

International Standard Serial Number (ISSN)

  • 0148-2963

Electronic International Standard Serial Number (EISSN)

  • 1873-7978

abstract

  • The study here examines the interaction between shareholder value and customer satisfaction, as well as the impact on a firm's brand equity. Customer satisfaction may have a positive effect on brand equity, except when managers show excessive customer orientation, in which case the effect is negative because of reductions in shareholder value. The empirical analysis uses incomplete panel data pertaining to 69 firms from 11 nations during the period 2002&-2005 and supports the theoretical contentions. This result warns of the perverse effect on brand equity of implementing policies focused exclusively on satisfying customers at the expense of shareholders' interests.

keywords

  • corporate social responsibility; brand equity; shareholders' commitment; customer loyalty