SpringerLink
Log in

Structural Equation Modeling of Determinants of Customer Loyalty: A Case of Franchised Restaurants in Cambodia

  • Conference paper
  • First Online:
Proceedings of World Conference on Information Systems for Business Management (ISBM 2023)

Part of the book series: Lecture Notes in Networks and Systems ((LNNS,volume 834))

Included in the following conference series:

  • 101 Accesses

Abstract

Food and beverage business, particularly the restaurant sector, has seen tremendous transformation as a result of rapid economic development, and franchised restaurants have also emerged as a prominent trend in the contemporary food industry. In recent times, thousands of franchised restaurants in Cambodia have been registered and put into operation. To succeed in the management and marketing of franchised restaurants, studies in this subject are also garnering increased attention. As a result, the current article investigated the effects of customer loyalty on the top franchised restaurants in Cambodia. These characteristics were responsiveness, reliability, brand image, service quality, and customer happiness. A total of 312 respondents who had eaten at franchised restaurants in Cambodia participated in the study. The findings of structural equation modeling showed that customer loyalty at Cambodia’s franchised restaurants is strongly dependent on customer pleasure. Customer satisfaction at franchised restaurants in Cambodia is impacted by responsiveness, reliability, brand image, and service quality. The study made the suggestion that future research should also take into account how customers’ pleasure and loyalty are impacted by the cost and quality of the food and beverages served at franchised restaurants.

This is a preview of subscription content, log in via an institution to check access.

Access this chapter

Log in via an institution
Springer+ Basic
EUR 32.99 /Month
  • Get 10 units per month
  • Download Article/Chapter or Ebook
  • 1 Unit = 1 Article or 1 Chapter
  • Cancel anytime
Subscribe now
Chapter
USD 29.95
Price excludes VAT (Canada)
  • Available as PDF
  • Read on any device
  • Instant download
  • Own it forever
eBook
USD 169.00
Price excludes VAT (Canada)
  • Available as EPUB and PDF
  • Read on any device
  • Instant download
  • Own it forever
Softcover Book
USD 219.99
Price excludes VAT (Canada)
  • Compact, lightweight edition
  • Dispatched in 3 to 5 business days
  • Free ship** worldwide - see info

Tax calculation will be finalised at checkout

Purchases are for personal use only

Institutional subscriptions

Similar content being viewed by others

References

  1. Run P (2017) Customer satisfaction on KFC company in Cambodia. Master Thesis, Siam University, Bangkok, Thailand

    Google Scholar 

  2. Dinakaran U (2013) A study on franchised restaurants as a successful business model for franchisees. CLEAR Int J Res Commer Manage 4(2):107–111

    Google Scholar 

  3. Kimsay H (2016) Restaurant owners see further growth. Phnom Penh Post (2016) https://www.phnompenhpost.com/business/restaurant-owners-see-further-growth. Accessed 20 May 2023

  4. Sun D (2017) Franchising a restaurant, explained. EATER. https://www.eater.com/2017/5/8/14936008/how-to-franchise-restaurant-mcdonalds-arbys-subway. Accessed 20 May 2023

  5. Sashi CM, Prasad Karuppur D (2002) Franchising in global markets: towards a conceptual framework. Int Mark Rev 19(5):499–524

    Article  Google Scholar 

  6. Johnson G (2021) Kingdom continues to draw interest of global franchises. Khmer Time. https://www.khmertimeskh.com/50865159/kingdom-continues-to-draw-interest-of-global-franchises/. Accessed 20 May 2023

  7. Stopfake (2019) Cambodia—fast food and beverage franchises. Cambodia country commercial guide. https://www.stopfakes.gov/article?id=Cambodia-fast-food-and-beverage-franchises. Accessed 20 May 2023

  8. Findaro P (2021) 100 Worst franchise failure rates. Visa Franchise. https://www.visafranchise.com/blog/top-100-franchise-failure-rates. Accessed 20 May 2023

  9. KFC (2012) KFC in Cambodia takes hit as losses continue. Open Development Cambodia. https://opendevelopmentcambodia.net/news/kfc-in-cambodia-takes-hit-as-losses-continue. Accessed 20 May 2023

  10. Parasuraman A, Zeithaml VA, Berry LL (1988) A multiple-item scale for measuring consumer perceptions of service quality. J Retail 64(1):12–37

    Google Scholar 

  11. Andaleeb SS, Conway C (2006) Customer satisfaction in the restaurant industry: an examination of the transaction-specific model. J Serv Mark 20(1):3–11

    Article  Google Scholar 

  12. Zeithaml VA, Bitner MJ, Gremler DD (2006) Services marketing: Integrating customer focus across the firm. McGraw-Hill/Irwin, Boston

    Google Scholar 

  13. Nguyen Q, Nisar TM, Knox D, Prabhakar GP (2018) Understanding customer satisfaction in the UK quick service restaurant industry: the influence of the tangible attributes of perceived service quality. British Food Journal 120(6):1207–1222

    Article  Google Scholar 

  14. Wu HC, Mohi Z (2015) Assessment of service quality in the fast-food restaurant. J Foodserv Bus Res 18(4):358–388

    Article  Google Scholar 

  15. Heizer JH, Render B (2014) Operation management: sustainability and supply chain management, 11th edn. Pearson, Boston

    Google Scholar 

  16. Aftab J, Sarwar H, Sultan QUA, Qadeer M (2016) Importance of service quality in customer satisfaction (A study on fast food restaurants). Entrepreneur Innov Manage J 4(4):161–171

    Google Scholar 

  17. Stiakakis E, Georgiadis CK (2009) E-service quality: comparing the perceptions of providers and customers. Managing Serv Qual Int J 19(4):410–430

    Article  Google Scholar 

  18. Iberahim H, Mohd Taufik NK, Mohd Adzmir AS, Saharuddin H (2016) Customer satisfaction on reliability and responsiveness of self service technology for retail banking services. In: 5th international conference on marketing and retailing, vol 37. Procedia Economics and Finance, pp 13–20

    Google Scholar 

  19. Agbor JM (2011) The relationship between customer satisfaction and service quality: a study of three service sectors in Umea. Master Thesis, Umea University

    Google Scholar 

  20. Liu Y, Jang SS (2009) Perceptions of Chinese restaurants in the US: what affects customer satisfaction and behavioral intentions? Int J Hosp Manag 28(3):338–348

    Article  Google Scholar 

  21. Bougoure US, Neu MK (2010) Service quality in the Malaysian fast food industry: an examination using DINESERV. Serv Mark Q 31(2):194–212

    Google Scholar 

  22. Keller KL (1993) Conceptualizing, measuring, and managing customer-based brand equity. J Mark 57(1):1–22

    Article  MathSciNet  Google Scholar 

  23. Pavesic DV (1989) Psychological aspects of menu pricing. Int J Hosp Manag 8(1):43–49

    Article  Google Scholar 

  24. Andreassen TW, Lindestad B (1998) Customer loyalty and complex services: the impact of corporate image on quality, customer satisfaction and loyalty for customers with varying degrees of service expertise. Int J Serv Ind Manag 9(1):7–23

    Article  Google Scholar 

  25. Dunuwille VM, Pathmini MGS (2016) Brand image and customer satisfaction in mobile phone market: study based on customers in Kandy district. J Bus Stud 3(1):1–13

    Article  Google Scholar 

  26. Suhartanto D, Gan C, Sarah IS, Setiawan S (2020) Loyalty towards Islamic banking: service quality, emotional or religious driven? J Islam Mark 11(1):66–80

    Article  Google Scholar 

  27. Anderson EW, Fornell C, Lehmann DR (1994) Customer satisfaction, market share, and profitability: findings from Sweden. J Mark 58(3):53–66

    Article  Google Scholar 

  28. Wu HC (2013) An empirical study of the effects of service quality, perceived value, corporate image, and customer satisfaction on behavioral intentions in the Taiwan quick service restaurant industry. J Qual Assur Hosp Tour 14(4):364–390

    Article  MathSciNet  Google Scholar 

  29. Yulisetiarini D, Prahasta YA (2019) The effect of price, service quality, customer value, and brand image on customers satisfaction of Telkomsel cellular operators In East Java Indonesia. Int J Sci Technol Res 8(3):5–9

    Google Scholar 

  30. ** N, Lee S, Huffman L (2012) Impact of restaurant experience on brand image and customer loyalty: Moderating role of dining motivation. J Travel Tour Mark 29(6):532–551

    Article  Google Scholar 

  31. Powers TF, Barrows CW (2003) Introduction to the hospitality industry. Wiley

    Google Scholar 

  32. Ladhari R, Brun I, Morales M (2008) Determinants of dining satisfaction and post-dining behavioral intentions. Int J Hosp Manag 27(4):563–573

    Article  Google Scholar 

  33. Qin H, Prybutok VR (2009) Service quality, customer satisfaction, and behavioral intentions in fast-food restaurants. Int J Qual Serv Sci 1(1):78–95

    Google Scholar 

  34. Brady MK, Robertson CJ (2001) Searching for a consensus on the antecedent role of service quality and satisfaction: an exploratory cross-national study. J Bus Res 51(1):53–60

    Article  Google Scholar 

  35. Gronroos C (2007) Service management and marketing: customer management in service competition. Wiley

    Google Scholar 

  36. Ashraf MG (2014) Include the position of Islamic banking, service quality, satisfaction, trust and loyalty in the context of an integrated model for Islamic finance. Eur J Bus Manage 6(17):156–169

    Google Scholar 

  37. Rusmahafi FA, Wulandari R (2020) The effect of brand image, service quality, and customer value on customer satisfaction. Int Rev Manag Mark 10(4):68–77

    Google Scholar 

  38. Omar MS, Ariffin HF, Ahmad R (2016) Service quality, customers’ satisfaction and the moderating effects of gender: a study of Arabic restaurants. In: 6th international research symposium in service management, vol 224, pp 384–392 (Proc Social Behav Sci)

    Google Scholar 

  39. Uddin MB (2019) Customer loyalty in the fast food restaurants of Bangladesh. Br Food J 121(11):2791–2808

    Article  Google Scholar 

  40. De Ruyter K, Wetzels M, Bloemer J (1998) On the relationship between perceived service quality, service loyalty and switching costs. Int J Serv Ind Manag 9(5):436–453

    Article  Google Scholar 

  41. Javadein SRS, Khanlari A, Estiri M (2008) Customer loyalty in the sport services industry: the role of service quality, customer satisfaction, commitment and trust. J Human Sci 5(2):1–19

    Google Scholar 

  42. Ali F, Kim WG, Li J, Jeon HM (2018) Make it delightful: customers’ experience, satisfaction and loyalty in Malaysian theme parks. J Destin Mark Manag 7:1–11

    Google Scholar 

  43. Saleem H, Raja NS (2014) The impact of service quality on customer satisfaction, customer loyalty and brand image: evidence from hotel industry of Pakistan. Middle-East J Sci Res 19(5):706–711

    Google Scholar 

  44. Al-Ansi A, Olya HGT, Han H (2019) Effect of general risk on trust, satisfaction, and recommendation intention for halal food. Int J Hosp Manag 83:210–219

    Article  Google Scholar 

  45. Han H, Nguyen HN, Song H, Chua BL, Lee S, Kim W (2018) Drivers of brand loyalty in the chain coffee shop industry. Int J Hosp Manag 72:86–97

    Article  Google Scholar 

  46. Shamah RAM, Mason MC, Moretti A, Raggiotto F (2018) Investigating the antecedents of African fast food customers’ loyalty: a self-congruity perspective. J Bus Res 86:446–456

    Article  Google Scholar 

  47. De Waal A, van der Heijden B (2016) Increasing customer loyalty and customer intimacy by improving the behavior of employees. J Strateg Manag 9(4):492–510

    Article  Google Scholar 

  48. Bowerman BL (2017) Business statistics in practice: using data, modeling, and analytics, 8th edn. McGraw-Hill Education, New York

    Google Scholar 

  49. Hair JF, Black WC, Babin BJ, Anderson RE (2019) Multivariate data analysis, 8th edn. Cengage Learning, Hampshire

    Google Scholar 

Download references

Author information

Authors and Affiliations

  1. Royal University of Phnom Penh, Phnom Penh, Cambodia

    Phichhang Ou, Sokheng Douch, Rathna Sann & Sokheang Soun

Authors
  1. Phichhang Ou
    View author publications

    You can also search for this author in PubMed Google Scholar

  2. Sokheng Douch
    View author publications

    You can also search for this author in PubMed Google Scholar

  3. Rathna Sann
    View author publications

    You can also search for this author in PubMed Google Scholar

  4. Sokheang Soun
    View author publications

    You can also search for this author in PubMed Google Scholar

Corresponding author

Correspondence to Phichhang Ou .

Editor information

Editors and Affiliations

  1. University of Cantabria, Santander, Spain

    Andres Iglesias

  2. University of Aizu, Fukushima, Japan

    Jungpil Shin

  3. Knowledge Chamber of Commerce and Industry, Ahmedabad, Gujarat, India

    Bharat Patel

  4. Global Knowledge Research Foundation, Ahmedabad, Gujarat, India

    Amit Joshi

Rights and permissions

Reprints and permissions

Copyright information

© 2024 The Author(s), under exclusive license to Springer Nature Singapore Pte Ltd.

About this paper

Check for updates. Verify currency and authenticity via CrossMark

Cite this paper

Ou, P., Douch, S., Sann, R., Soun, S. (2024). Structural Equation Modeling of Determinants of Customer Loyalty: A Case of Franchised Restaurants in Cambodia. In: Iglesias, A., Shin, J., Patel, B., Joshi, A. (eds) Proceedings of World Conference on Information Systems for Business Management. ISBM 2023. Lecture Notes in Networks and Systems, vol 834. Springer, Singapore. https://doi.org/10.1007/978-981-99-8349-0_21

Download citation

Publish with us

Policies and ethics

Search

Navigation