Brand Loyalty and Brand Performance of Chinese Banks

This paper examines the loyalty of Chinese listed firms in repeat borrowing from banks. Paired observations of firm-bank loan duration provide a unique panel data set of dynamic relationship between China's listed firms and their credit providers. This study explores firms’ borrowing patterns drawn from Brand Performance Measures (BPMs), pre- and post-financial crisis period. We also apply the Dirichlet model to describing corporate borrowing behaviour and choices of credit suppliers. It shows that the loyalty of borrowing behaviour can be well predicted by previous borrowing choices and preferences