Effect of advance explanations on customer-perceived justice, satisfaction and loyalty enhancement

Abstract

been widely discussed and used as an economic tool in organizational behavior (e.g., Gilliland, 1994). This concept was applied examining the advance/postexplanation effect with 300 samples in a service industry. The result, based on ANOVA analysis, indicates that the advance explanation effect on enhancing customer-perceived justice, satisfaction and loyalty is powerful and significant (Table 1). We concluded that it is important that managers of companies should be providing advance explanations to customers to maintain this relationship economically and efficiently. The relationships among justice, satisfaction, and loyalty under two types of explanation (excuse and justification) will be studied in further research.