Does corporate reputation matter in the relationship between organizational cultural intelligence and customer loyalty among SMEs in Nigeria?

Abstract

The declined customer loyalty and low competitive spirit confronting Nigerian owned SMEs when compared to their foreign counterparts operating under the same business environment have been an issue of concern for scholars and practitioners. The main thrust of this study is to evaluate the role of organizational cultural intelligence and corporate reputation on customer loyalty. A survey questionnaire was retrieved from 250 businesses owned by Nigerian (other than the natives of the place of operation) and Non-Nigerians operating in Plateau State Nigeria, and from 335 customers of these businesses as well. The data collected was analyzed using Smart-PLS 3.2.7 Software to determine the direct relationship between Organisational Cultural Intelligence and Customer loyalty and the indirect relationship through the intervening role of corporate reputation. The results revealed the relationship between organizational cultural intelligence and customer loyalty as positive but insignificant. While corporate reputation mediates the relationship between organizational cultural intelligence and customer loyalty. We further discussed the theoretical and practical implications as well as a recommendation for future studies. We inferred that Organisational CQ and Corporate reputations are important predictors and mechanisms to understanding customer loyalty among SMEs in Nigeria.