Abstract
The study uses Structural Equation Modelling (LISREL 8.5) to compare four competing models of linkage between service quality, satisfaction, value and behavioural intentions of repurchase and recommendation in public sector bank context of India. The indirect effects model was selected due to parsimony and best fit. Service quality was found to significantly impact customer satisfaction and value perceptions. Satisfaction and value were significant antecedents of word of mouth and value was significant antecedent of repurchase intentions. Value has a significant but negative effect on satisfaction. The indirect effect of service quality on behavioural intentions via value and satisfaction is significant. The results indicate the need for adopting a comprehensive approach to managing customer loyalty. Future studies of antecedents of behavioural intentions need to incorporate the effect of value and its components to develop better insight into its role in service encounter outcomes.
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