CORPORATE GOVERNANCE AND CUSTOMER LOYALTY IN ZIMBABWE: AN EMPIRICAL INVESTIGATION.
DR F MANUERE
Abstract The literature on corporate governance has shown that many studies have been done to investigate the effect of corporate governance on corporate performance. However, no research has been done to investigate the relationship between corporate governance and customer loyalty. Therefore the aim of this paper is to investigate the effect of corporate governance variables on customer loyalty. The independent variables in this paper include independent directors, business ethics, CEO duality, CEO remuneration and board size. Customer loyalty is measured as a dependent variable. This study is quantitative and data were collected from 163 public firms in Zimbabwe. The study revealed that there is no relationship between the existence of independent directors in the board and customer loyalty. There is a negative correlation between CEO duality and customer loyalty. There is a negative correlation between board size and customer loyalty. There is a negative relationship between business ethics and customer loyalty.