THE IMPACT OF THE QUALITY OF LOGISTICS ACTIVITIES ON CUSTOMER COMMITMENT, LOYALTY AND FIRM'S PERFORMANCE

The aim of this study is to examine the role of logistics activities and on customer loyalty, commitment and performance. The main objective is to analyze the logistics service quality (LSQ), commitment, loyalty and performance in a supply chain context. Logistics services include activities that contribute to consistent quality, productivity and efficiency, as well as activities that help companies to better meet customer expectations and needs. Customer loyalty is increasingly recognized as a path to long-term success because finding new customers and doing business with them takes time, effort and money. Increasing the level of performance, while maintaining low costs create value for customers and for companies, too. A questionnaire based on personal survey was conducted among retail customers of a wholesale company in Albania. The study collected data from 204 companies. The hypotheses were tested using structural equation modeling (SEM) which is a comprehensive statistical approach for testing hypotheses about relations between observed and latent variables. The reliability and validity tests show satisfactory results. The conclusions confirm all the relationships hypothesized, and emphasize the crucial role of LSQ in the loyalty-commitment-performance chain of relations.