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Influence of customer–firm relationships on customer participation in the service industry

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Abstract

Previous research has focused on relationship value and outcome as ‘consequence variables’ of customer participation (CP). This study examines customer–firm relationships as an ‘antecedent variable’ of CP. Early contact and relationships with customers build confidence in the service encounter and create customer trust, which leads to commitment and improves customer cooperation. Likewise, interaction and relationship building in the service encounter encourage active customer cooperation and participation in the later stages of interaction. This study analyzes the influence of relational antecedent factors affecting customer participation intention, examines the moderating effects of customer relationship proneness, and suggests some theoretical and practical implications.

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Notes

  1. \({\text{GoF}} = \sqrt {\overline{\text{AVE}} \times \overline{{R^{2} }} } = \sqrt {0.725 \times 0.423 } = 0.554\).

  2. \({\text{GoF}}_{\text{small}} = \sqrt {0.5 \times 0.02} = 0.10, \,{\text{GoF}}_{\text{medium}} = \sqrt {0.5 \times 0.13} = 0.25, \,{\text{GoF}}_{\text{large}} = \sqrt {0.5 \times 0.26} = 0.36\).

  3. The path coefficient’s standard errors of the structural model obtained from resampling results in each group are used to analyze the difference using a permutation approach. Chin (2000) proposed the equation mentioned below for a paired difference test via the pooled estimator for the variance of each group. This study conducted a t test following the equation based on which the results are presented.

    \(t = \frac{{{\text{Path}}_{{{\text{sample}}_{1} }} - {\text{Path}}_{{{\text{sample}}_{2} }} }}{{\left[ {\sqrt {\frac{{\left( {m - 1} \right)^{2} }}{{\left( {m + n + 2} \right)}}\;*\;{\text{SE}}_{{{\text{sample}}_{1} }}^{2} + \frac{{\left( {n - 1} \right)^{2} }}{{\left( {m + n - 2} \right)}}\;*\;{\text{SE}}_{{{\text{sample}}_{2} }}^{2} } } \right]*\left[ {\sqrt {\frac{1}{m}} + \frac{1}{n}} \right]}}\)

    Path(i): ith path coefficient; m, n: sample size of group m and group n; SE: standard error of ith path coefficient

  4. f 2 ≥ 0.35: strong, f 2 ≥ 0.15: medium, f 2 ≥ 0.02: weak.

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Acknowledgment

This work was supported by the National Research Foundation of Korea Grant funded by the Korea Government (NRF-2013S1A5A8023436).

Author information

Authors and Affiliations

  1. Yeungnam University College, 170 Hyungchoong-ro, Nam-gu, Daegu, 705-703, South Korea

    Jinwoo Ahn

  2. Pusan National University, Business School B317 office, 2, Busandaehak-ro 63beon-gil, Geumjeong-gu, Busan, 609-735, South Korea

    Taeseok Rho

Authors
  1. Jinwoo Ahn
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Correspondence to Taeseok Rho.

Appendix

Appendix

1.1 Measurement items

1.1.1 Customer participation (behavior)

  1. 1.

    I spent a lot of time sharing information about my needs and opinions with the staff during the service process.

  2. 2.

    I put a lot of effort into expressing my personal needs to the staff during the service process.

  3. 3.

    I always provide suggestions to the staff for improving the service outcome.

  4. 4.

    I have a high level of participation in the service process.

  5. 5.

    I am very much involved in deciding how the services should be provided.

1.1.2 Customer participation (intention)

  1. 1.

    I will spend a lot of time sharing information about my needs and opinions with the staff during the service process.

  2. 2.

    I will put a lot of effort into expressing my personal needs to the staff during the service process.

  3. 3.

    I will always provide suggestions to the staff for improving the service outcome.

  4. 4.

    I will have a high level of participation in the service process.

  5. 5.

    I will involve very much in deciding how the services should be provided.

1.1.3 Interaction (communication)

  1. 1.

    Service provider keeps me well informed about what is going on in this service process.

  2. 2.

    Service provider and I well communicated about performance I expect.

  3. 3.

    Service provider did not hesitate to give me information about new service.

  4. 4.

    Service provider treats me friendly.

  5. 5.

    I said to service provider about what I need.

  6. 6.

    Service provider seeks my advice and counsel for their successful performance

1.1.4 Relationship value

  1. 1.

    My participation helps me build a better relationship with the service provider;

  2. 2.

    My participation helps me receive relational approval from the service provider

  3. 3.

    My participation helps me connect better with the service provider.

1.1.5 Emotional commitment

  1. 1.

    I take pleasure in being a customer of the service provider.

  2. 2.

    The service provider is the operator that takes the best care of their customers.

  3. 3.

    There is a presence of reciprocity in my relationship with service provider.

  4. 4.

    I have feelings of trust toward the service provider.

1.1.6 Relationship proneness

  1. 1.

    Generally, I prefer to do business with one provider.

  2. 2.

    Generally, I am someone who wants to be a steady customer of the same provider.

  3. 3.

    Generally, I am someone who is willing to “go the extra mile” to stay with the same provider.

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Ahn, J., Rho, T. Influence of customer–firm relationships on customer participation in the service industry. Serv Bus 10, 113–133 (2016). https://doi.org/10.1007/s11628-014-0258-6

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