An empirical study about the relation reputation management and customer loyalty

Abstract

The concept of reputation has proven to be one of the major innovative trends in corporate management, in recent years. The management of corporate reputation becomes a popular issue that academics are interested in. Corporate reputation is the result of a signaling activity based on available information about a firm’s actions. Reputation is also a yardstick of the firm’s relative standing routinely used by both internal and external stakeholders when making firm-related decisions. According to academics, ‘good reputation’ and ‘improved relationship with key stakeholders’ reinforce each other. There are lots of recent theoretical and empirical studies that outline the positive relationship between good reputation and competitive advantage. The aim of this study is to define the relationship between the customer’s perception of the company reputation dimensions and their loyalty to the company. For this purpose, this study is conducted in an active passenger transportation firm’s customers in Turkey. As a result it is found that there are significant relations between the dimensions of the corporate reputation and the loyalty of the customers