ABSTRACT
Continual advances in information technology (IT) have led to increased use of information and communication technologies (ICT) throughout business organizations. In seeking new opportunities, many businesses have turned to customer relationship management (CRM) to strategically compete in global electronic marketplaces. With greater emphasis being placed on the application of technology, does the infusion of ICT influence a business’ ability to retain its customers? A survey of the 1,000 largest companies in Taiwan was conducted to examine the relationships among three CRM elements (market orientation, IT investment, and mass customization) benefiting from ICT, on CRM performance, partnership quality, and customer lock-in, as measured by customer network effect and information sharing. The results suggest that the three elements have positive relationships with CRM performance and partnership quality. However, only positive relationships exist between CRM performance and customer lock-in. None exists between partnership quality and customer lock-in. The findings further suggest that CRM performance mediates the effects of marketing orientation, IT investment, and mass customization on customer network effect. Partnership quality does not appear to influence either customer network effect or information sharing.
