Global Journal of Finance and Management. ISSN 0975-6477 Volume 6, Number 5 (2014), pp. 403-412 © Research India Publications http://www.ripublication.com Linking of Customer Satisfaction with Shareholders’ value: A Review Pankaj Kumar Singh 1 , J.K.Pattanayak 2 1 Department of Management Studies, Indian school of Mines, Dhanbad- 826004, Jharkhand, India 2 Department of Management Studies, Indian School of Mines, Dhanbad- 826004, Jharkhand, India Abstract Firms that do better than their competitors in terms of satisfying customers, generate superior return at lower risk. Satisfied customers are more loyal, less sensitive to price movements. The aim of this study is to examine the impact of customer satisfaction on shareholders’ value creation. Customer satisfaction involves behavior of customers that typically relate to purchase or consumption of product or services. Theoretically, managers wish for a balanced performance on both the dimensions viz. marketing and finance as both the dimensions are reciprocal in nature. Customer satisfaction increases future cash flows and reduces their variability and thereby the shareholders’ wealth gets maximized in the long run. With this backdrop, the present study identifies the linkage existing between customer satisfactions with shareholders’ value maximization by taking into consideration the available literature in this regard. Keywords: Customer Satisfaction, Shareholders’ Value. Introduction Over the last two decades, the shareholders’ value has become a widely used indicator for the success of a firm. Commonly, the shareholder value orientation is increasingly changing the methods of corporate decision making. As a result, marketing strategies along with any other management decisions are evaluated by their ability to enhance shareholders’ value and no longer by traditional yardsticks such as market share, sales