ABSTRACT
By applying institutional theory in retail and COVID-19 settings, this paper investigates the impact of legitimacy dimensions on customer loyalty, considering the moderating effect of the perceived COVID-19 threat. The data collected by a consumer survey in Japan and Croatia were analysed using Structural Equation Modelling. The results from both samples reveal that moral and cognitive legitimacy are critical loyalty drivers. The perceived COVID-19 threat moderated the relationship between cognitive legitimacy and loyalty. The study also reveals some differences between the countries. The impact of pragmatic legitimacy is significant only in Croatia, while perceived threat negatively moderates the relationship between moral legitimacy and loyalty only in Japan. The study provides recommendations for managers on how to gain loyalty through actions supporting legitimacy.
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Notes on contributors
Ivan-Damir Anić
Ivan-Damir Anić, Ph.D., is a senior research fellow at the Institute of Economics, Zagreb, Croatia. His main research interests include retailing, e-commerce, and consumer behaviour. He has published numerous papers in international journals, including Small Business Economics, Technovation, International Journal of Retail and Distribution Management, Electronic Commerce Research and Applications, and the Journal of Consumer Affairs.
Ivana Kursan Milaković
Ivana Kursan Milaković, Ph.D., is an Associate Professor of Marketing (Faculty of Economics, Business and Tourism - University of Split, Croatia). She has published in several international journals, such as the International Journal of Advertising, Business Ethics, the Environment & Responsibility, Electronic Commerce Research and Applications, International Journal of Retail and Distribution Management, and the International Journal of Consumer Studies.
Mitsunori Hirogaki
Mitsunori Hirogaki, Ph.D., is an Associate Professor of Marketing Strategy at Kyushu University, Graduate School of Economics, Japan. He has published numerous papers in international journals such as the International Review of Retail, Distribution and Consumer Research, International Journal of Entrepreneurship and Small Business, and the International Journal of Business and Globalisation.