Structural Equation Modeling of Determinants of Customer Loyalty: A Case of Franchised Restaurants in Cambodia

Food and beverage business, particularly the restaurant sector, has seen tremendous transformation as a result of rapid economic development, and franchised restaurants have also emerged as a prominent trend in the contemporary food industry. In recent times, thousands of franchised restaurants in Cambodia have been registered and put into operation. To succeed in the management and marketing of franchised restaurants, studies in this subject are also garnering increased attention. As a result, the current article investigated the effects of customer loyalty on the top franchised restaurants in Cambodia. These characteristics were responsiveness, reliability, brand image, service quality, and customer happiness. A total of 312 respondents who had eaten at franchised restaurants in Cambodia participated in the study. The findings of structural equation modeling showed that customer loyalty at Cambodia’s franchised restaurants is strongly dependent on customer pleasure. Customer satisfaction at franchised restaurants in Cambodia is impacted by responsiveness, reliability, brand image, and service quality. The study made the suggestion that future research should also take into account how customers’ pleasure and loyalty are impacted by the cost and quality of the food and beverages served at franchised restaurants.