INFLUENCE OF HOSPITAL IMAGE AND SERVICE QUALITY ON PATIENTS’ SATISFACTION AND THEIR LOYALTY INTENTION

Abstract

The increasing number of hospitals in the country have resulted in the competitive environment in healthcare industry. This highly competitive scenario requires service providers to focus on competitive edge such hospital image and service quality and to ensure satisfaction experience by the patients; which in turn, would secure their loyalty. Therefore, having good image and providing high service quality would achieve patients’ satisfaction and would result in their loyalty. This research finding from an empirical study on the effect of Hospital Image and Service Quality on patients’ satisfaction and their loyalty towards public hospitals in Terengganu. The Structural Equation Modelling (SEM) was used to test the proposed hypothesis in the study. The finding showed that hospital image does not have significant influence on patients’ loyalty, but it has a significant effect on patients’ satisfaction. Furthermore, patients’ satisfaction has significant effects on their loyalty. This study also found that the service quality provided by the hospital has a significant influence on patients’ satisfaction and their loyalty. Thus, patients’ satisfaction (as a construct) has full mediation effects in linking the relationship between hospital image, service quality and patients’ loyalty.