Abstract

Consumer satisfaction (CS) is usually defined as a function of consumer expectation, which is subject to the amount of information a consumer receives. Marketing mix variables such as price and advertising are often perceived by consumers as signals of product quality. There is scarce integrative research which incorporates CS formation, post-purchase behavior, and quality signaling. This paper sets up a linear structural LISREL model linking together quality signaling, CS information, and consumer loyalty/complaint behavior. The overall significance of the proposed model is supported with survey data on automobile purchases. The major findings of this paper include: (1) CS is mainly determined by perceived performance. (2) Perceived performance exerts more influences on loyalty and complaint intention than does CS. (3) In their capacity as product quality signals, price and advertising indirectly affect CS and post-purchase behavior.