The DOI matches its OpenAlex record; 68 of the 68 references it cites were found in a registry or an index.
Customer Satisfaction and Stock Prices: High Returns, Low Risk
Abstract
Abstract Do investments in customer satisfaction lead to excess returns? If so, are these returns associated with higher stock market risk? The empirical evidence presented in this article suggests that the answer to the first question is yes, but equally remarkable, the answer to the second question is no, suggesting that satisfied customers are economic assets with high returns/low risk. Although these results demonstrate stock market imperfections with respect to the time it takes for share prices to adjust, they are consistent with previous studies in marketing in that a firm's satisfied customers are likely to improve both the level and the stability of net cash flows. The implication, implausible as it may seem in other contexts, is high return/low risk. Specifically, the authors find that customer satisfaction, as measured by the American Customer Satisfaction Index (ACSI), is significantly related to market value of equity. Yet news about ACSI results does not move share prices. This apparent inco...
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Cites
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Self-citationZero defections: quality comes to services.
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Luo, X., & Bhattacharya, C. B. (2006) · Journal of Marketing · doi:10.1509/jmkg.70.4.001 · Cited by 3,439
A Customer Lifetime Value Framework for Customer Selection and Resource Allocation Strategy
Venkatesan, R., & Kumar, V. (2004) · Journal of Marketing · doi:10.1509/jmkg.68.4.106.42728 · Cited by 948
How Information Management Capability Influences Firm Performance1
Mithas, S., Ramasubbu, N., & Sambamurthy, V. (2011) · MIS Quarterly · doi:10.2307/23043496 · Cited by 914
Self-citationWhy Do Customer Relationship Management Applications Affect Customer Satisfaction?
Mithas, S., Krishnan, M. S., & Fornell, C. (2005) · Journal of Marketing · doi:10.1509/jmkg.2005.69.4.201 · Cited by 776
Self-citationThe Modern Call Center: A Multi‐Disciplinary Perspective on Operations Management Research
Aksin, Z., Armony, M., & Mehrotra, V. (2007) · Production and Operations Management · doi:10.1111/j.1937-5956.2007.tb00288.x · Cited by 746
Metadata
- Authors
- Fornell, C., Mithas, S., Morgeson, F. V., & Krishnan, M. S.
- Venue
- Journal of Marketing
- Publisher
- SAGE Publishing
- Published
- 2005-12-09
- Volume
- 70
- Issue
- 1
- Pages
- 3-14
- ISSN
- 0022-2429 (ISSN-L)
- OpenAlex
- W2150713892
- Cited by
- 733
- References
- 68
- FWCI
- 50.21
- Type
- journal article
- Language
- en
- Open access
- closed
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- Fornell, C., Mithas, S., Morgeson, F. V., & Krishnan, M. S. (2005). Customer Satisfaction and Stock Prices: High Returns, Low Risk. Journal of Marketing. https://doi.org/10.1509/jmkg.2006.70.1.3
Data sources
Bibliographic data: Semantic Scholar, OpenAlex, Crossref.
Contains information from the Semantic Scholar Academic Graph Datasets, made available under the ODC Attribution License (ODC-BY 1.0).
Semantic Scholar’s data is described in: Kinney, R., et al. (2023). The Semantic Scholar Open Data Platform. arXiv:2301.10140.
