The Research Department of Economics and Management of Tadbir Nikan Business, Marketing, and Finance Open In Press 2027 09 01 Customer- and Employee-Related Variables Affecting Customer Retention: A Study of Eghtesad Novin Bank Branches in Tehran Customer- and Employee-Related Variables Affecting Customer Retention: A Study of Eghtesad Novin Bank Branches in Tehran 1 20 EN Journal Article 2026 05 06 <p>This study aimed to explain and analyze the structural relationships between intra-organizational variables and external outcomes within the banking system by examining branches of Eghtesad Novin Bank in Tehran. The conceptual framework of the study was developed based on service-profit chain theory, the resource-based view, and social exchange theory to assess the causal relationships among employee loyalty, customer orientation at both behavioral and perceptual levels, perceived bank performance, and customer retention. Using structural equation modeling (SEM) and data obtained from two statistical populations comprising employees and customers, the findings showed that employee loyalty, with an effect coefficient of 0.58, serves as a key driver of enhanced customer orientation. Furthermore, employee loyalty and employees’ customer-oriented behaviors exerted positive and statistically significant effects on perceived bank performance, with coefficients of 0.24 and 0.35, respectively. Analysis of the customer sample also indicated that perceived customer orientation, with a path coefficient of 0.67, was the strongest predictor of customer retention. In addition to confirming the pivotal role of human capital in competitive markets, the findings emphasize that aligning human resource policies with customer needs constitutes a key strategy for ensuring sustainable performance and maintaining competitive advantage in commercial banking.</p> https://bmfopen.com/index.php/bmfopen/article/download/663/495