Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/335462 
Year of Publication: 
2024
Citation: 
[Journal:] Entrepreneurial Business and Economics Review (EBER) [ISSN:] 2353-8821 [Volume:] 12 [Issue:] 4 [Year:] 2024 [Pages:] 199-214
Publisher: 
Krakow University of Economics, Centre for Strategic and International Entrepreneurship, Krakow
Abstract: 
Objective: The objective of the article is to validate a model of the factors, namely ethical responsibility, social responsibility, bank trust, attitude, and brand loyalty, that influence the behavioural intentions of consumers to continue using banking services. Research Design & Methods: This study focuses on predicting South African consumers' intention to continue using their preferred retail bank's services through a validated measurement model. Using confirmatory factor analysis, reliability and validity analyses, correlation assessments and collinearity diagnostics, the study examines a dataset of 500 participants sourced from a reputable global market research database. The measurement model comprises six latent factors, namely ethical responsibility, social responsibility, bank trust, attitude, brand loyalty and behavioural intention. Findings: Results indicate strong internal consistency (Cronbach's alpha and CR > 0.85) and convergent validity (AVE > 0.50) across all factors. The model also exhibits good fit indices (PCMIN/DF = 2.610, IFI = 0.943, TLI = 0.937, CFI = 0.943, SRMR = 0.042, RMSEA = 0.057), confirming its psychometric properties. Implications & Recommendations: This research highlights the interactions among the studied factors and their implications for customer retention strategies, providing actionable insights for banking professionals and policymakers. Future research should explore the relationships between these latent factors to enhance customer retention and satisfaction strategies in the banking industry. Contribution & Value Added: Brand loyalty remains one of the biggest challenges facing banks today. As such, there is a need to investigate the factors that influence consumers' intention to continue using their preferred retail bank's services to build brand loyalty. This study fills a gap in existing literature regarding banking behaviours in a unique socio-economic South African context.
Subjects: 
confirmatory factor analysis
measurement model
validation
reliability
model fit
JEL: 
M20
M30
M31
Persistent Identifier of the first edition: 
Creative Commons License: 
cc-by Logo
Document Type: 
Article

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