The role of university switching costs, perceived service quality, perceived university image and student satisfaction in shaping student loyalty

Abstract

ABSTRACT While majority of earlier studies have examined service quality, student satisfaction, and university image as determinants of student loyalty, university switching costs have largely been ignored. This study includes university switching costs with perceived service quality (perceived academic quality, perceived administrative quality, and perceived physical facilities), student satisfaction, and perceived university image as determinants of student loyalty. Data was gathered through purposively sampling undergraduate business students from five universities in Karachi. Using exploratory factor analysis and structural equation modeling, a significant impact of student satisfaction, university image, and university switching costs on student loyalty was established. Universities may provide monetary and non-monetary incentives to increase university switching costs and, consequently, help retain students. This study contributes to student loyalty literature by adapting the customer loyalty definition to educational context, examining the role of university switching costs in retaining students, and presenting an empirical model depicting interrelations among determinants of student loyalty.