AUTHORS: Suci Paramitasari Syahlani, Anton Agus Setyawan, Mujtahidah Anggriani, Ummul Muzayyanah

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ABSTRACT: This study aims for factors that affect customer loyalty in business to business poultry industry, specifically in the relationship between feed manufacturersand small scale chicken farming enterprises. There are great differentiatingcharacteristics between those two. Buyers consist of a large number of farmers that operatesmall scale enterprises, inheritingbusinesses for generations, and have limited knowledge of technical and business environments. While suppliers consist of few, butlarge and integrated firms with greaterbusiness advantages. This study used survey design to identify effects of customer perceived value, customer satisfaction,and customer trust toward supplier andcustomer loyalties. This research involved 131 small chicken farming enterprises in Special Province of Yogyakartaas respondents. Data analyses were conducted by structural equation model. The resut revealedthat costumer perceived value influencedcustomer satisfaction and customer trust toward supplier. However, this study showed that customer satisfaction did not affect customer loyalty. Customer loyalty was only affected by costumer trust.

KEYWORDS: Customer Satisfaction, Small Scale Farmers, Feed Supplies, Loyalty.

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WSEAS Transactions on Business and Economics, ISSN / E-ISSN: 1109-9526 / 2224-2899, Volume 16, 2019, Art. #43, pp. 379-392


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