Microsoft Word 2007 ichrie conference Proceedings Final-Final 06-06-07. doc

 
2007 Annual International CHRIE Conference & Exposition 
224
EXAMINING THE DETERMINANTS OF LOYALTY FROM AN INVESTMENT MODEL 
PERSPECTIVE 
Xiang (Robert) Li 
School of Hotel, Restaurant, and Tourism Management 
University of South Carolina 
Columbia, SC, USA 
and 
James F. Petrick 
Department of Recreation, Park and Tourism Sciences
 
Texas A&M University 
College Station, TX, USA 
ABSTRACT 
This study attempts to find a theoretical explanation of loyalty development. Based on the Investment 
Model in social psychology, the authors suggest that customers’ attitudinal loyalty to a brand is weakened by the 
quality of alternative options, while strengthened by their satisfaction with and investment in the brand. An online 
panel survey was conducted in a cruising context, and results supported all hypotheses. The 3 predictors collectively 
accounted for over 74 percent of the variance in attitudinal loyalty. It was concluded that the Investment Model may 
be useful in integrating extant research findings, and explaining the loyalty formation process.