IN-FLIGHT SERVICE PERFORMANCE AND PASSENGER LOYALTY: A CROSS-NATIONAL (CHINA/KOREA) STUDY OF TRAVELERS USING LOW-COST CARRIERS

Abstract

While a moderate amount of empirical research has been conducted on passenger loyalty in the low-cost airline industry, there has been no research on the impacts of in-flight core- and encounter-service performance, perceived value, satisfaction, trust, or cultural influences on passenger loyalty. This study looked at these impacts in cross-national field research involving China and Korea. A survey was conducted on international flights between Busan and Qingdao. A total of 346 cases were used in data analysis. Results of the structural model showed that the proposed theoretical relationships were all significant; in-flight encounter-service performance was prominent, and value, satisfaction, and trust had a significant mediating impact. In addition, findings from the metric invariance revealed that the strength of the relationships, particularly among service performances, value, and satisfaction in the proposed model, significantly differed across Chinese and Korean passenger groups. The authors highlight key practical and research implications.