Sharing the Responsibility for Service Failure with Customers: The Effects of Informed Choice and Outcome Foreseeability on Customer Loyalty and Exit

Research on service management has been focused on a few strategies for retaining customer loyalty: improving service quality so that customers do not experience failure and recovering from failure, when it does occur

David A. Cranage

2006

Scholarcy highlights

  • Research on service management has been focused on a few strategies for retaining customer loyalty: improving service quality so that customers do not experience failure and recovering from failure, when it does occur
  • A third strategy is to protect against the ill effects of service failure by preemptive action
  • Discovered is that an informed choice causes customers to share responsibility for a service failure and as a result stay more loyal and exit the service relationship less
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