FROM EMPLOYEE SATISFACTION TO CUSTOMER TRUST: A MODERATED MEDIATION MODEL IN THE ITALIAN CHAMBERS OF COMMERCE

The importance of employee satisfaction in enhancing customer satisfaction has been emphasized in past research, as well as the link between customer satisfaction and (external) customer trust. Yet there is limited research exploring the mechanism linking them and very little is known about moderators and mediators - if any - affecting in their relationship. As employees are mainly responsible for service delivery, the interpersonal interaction between customers and employees has been found to substantially affect customer perceptions of services and considered as the key to customer satisfaction. Past research also indicated that employee satisfaction can enhance customer-employee interactions, which, in turn, increases customer satisfaction. Thus, there has been dedicated scientific interest for exploring the mechanisms linking employee, customer satisfaction and finally (customer) trust. Integrating the "congestion" of the service (number of firms / number of employees), this study attempts to bridge this research gap by developing and testing a framework that includes the mediating emotional mechanism through which employee satisfaction affects customer satisfaction in a public service context. Furthermore, the model investigates how customer satisfaction generates trust. A theoretical framework was developed to explore the employee-customer satisfaction and trust mediated by customer satisfaction. Moreover, the FE ratio (number of firms / number of Chamber's employees) was taken as moderator of the relationship between customer satisfaction and trust. Survey data collected from a sample of Italian Chambers of Commerce was examined through structural equation modeling. Results show very interesting implications for both boards of directors and management of the Chambers of Commerce.