THE ROLE OF COMMITMENT AND RELATIONSHIP SATISFACTION ON FRANCHISEE LOYALTY / The Role Of Commitment And Relationship Satisfaction On Franchisee Loyalty

Abstract

This study aims to examine the influence of commitment and relationship satisfaction on franchisee loyalty through the level of importance of each variable dimension. It gives new perspective of how to reach franchisee loyalty through each dimension of commitment and relationship satisfaction. Dimensions of variable are focused on franchising and from franchisee perspective namely: franchisor attitude, raw material, payment method, franchisor support. Data is collected from questionnaire of 52 respondents and analyzed with multiple linear regression. The results of regression coefficient indicate that commitment has a significant effect by 0,014 which is lower than relationship satisfaction 0,473. The F test shows that commitment and relationship satisfaction jointly influence franchise loyalty while regression coefficient of R Square is 0,883. It indicates that the variable commitment and variable relationship satisfaction together affect the variable franchisee loyalty of 88.3%. This result explains that commitment and relationship satisfaction are two important variables in maintaining franchisee loyalty.