Abstract

<p>This paper empirically explores consumer switching intentions, partial and total switching situations in the Ghana mobile telecom industry. Using data from a cross-sectional survey of 736 mobile subscribers from six global telecom networks in Ghana’s mobile telecommunication industry, the results indicate switching intentions are significantly different among customers of various mobile telecom service providers. Customers of MTN and Tigo mobile operators have stronger intentions to switch than those from the other firms. It also found that more non-porters defect and switch to other mobile networks than porters do. Consistent with the hypothesis, defectors (partial switching) are strongly associated with total switching behaviour than non-defectors. Also, in order to reduce subscriber defect or churn rate, mobile telecom operators should direct more effort and resource to promoting and educating their customers on the benefits of porting their mobile numbers to other networks. Theoretical and managerial implications are discussed. The paper contributes to the body of knowledge in the area of consumer switching behaviour in mobile telecom industry in emerging countries.</p>

Highlights

  • The literature on consumer switching behaviour (CSB) has grown considerably within the last two decades since consumer switching continues to affect firm’s survival, profitability and growth (Keaveney, 1995)

  • Total switching behaviour was measured by asking respondent whether they had switched or changed their mobile telecom network provider to new one within the past two years or not Partial switching by defectingwas measured by asking respondents whether they had stopped being customers of any of the mobile network or not

  • Defectors and switchers are more associated with MTN than the other mobile networks as the results clearly point out

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Summary

Introduction

The literature on consumer switching behaviour (CSB) has grown considerably within the last two decades since consumer switching continues to affect firm’s survival, profitability and growth (Keaveney, 1995). Over the last decade much empirical research has be published on the subject of CSB in both competitive and non-competitive industries (Roos, Edvardsson & Gustafsson, 2004), and across different service contexts (Bell, Auh & Smalley, 2005; Chiu, Hsieh, Li, & Lee, 2005; Balabnis, Reynolds & Simintiras, 2006;Bansal, Taylor & St. James, 2005;Bansal, Irving & Taylor,2004;Morgan and Dev, 1994; Bansal & Taylor, 1999b). Nimako (2012a) pointed out that a complete or total switching process occurs where a customer breaks relationship with a current service provider (known as partial switching or defect) and moves on to develop a new relationship with another service provider. Very little research work has been done to explore these interesting phenomena

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