Building student loyalty in higher education: the role of corporate reputation

Abstract

Background Reputation is a vital asset for Higher Education Institutions (HEIs) as it constitutes a source of competitive advantage because it works as a quality sign for the stakeholders. Because of globalisation, decreasing funding and the changing environment in the Mozambican higher education market, HEIs need to build a favourable reputation to stay relevant. This research aims to study how a university’s reputation can influence student loyalty. Methods Utilizing a descriptive and analytical methodology, a quantitative investigation was carried out by surveying 402 students enrolled in higher education institution (HEI) courses in Mozambique. The research employed a survey questionnaire to directly collect information from the study participants. Results The study concluded that university reputation affects student loyalty, as the relationship between both variables is statistically significant. All dimensions of HEIs reputation, namely, academic competence, social attractiveness, and responsible management, positively impact student loyalty. Although, the latter variable did not have a statistically significant impact, contradicting the current theoretical framework. Conclusions The study’s findings suggest that corporate reputation has a favorable impact on student loyalty, demonstrating a significant relationship between the two factors. Therefore,improve student retention, HEIs should seek to enhance their academic competence and social attractiveness. Furure research The study suggests future research should address sample composition issues by increasing representation from underrepresented groups. It recommends a more in-depth exploration of the responsible management construct, advocating for the inclusion of context-specific indicators. Furthermore, the study proposes investigating additional factors to enhance the understanding of the relationship between university reputation and student loyalty.