Abstract: The objective of the study is to examine the effect of quality of education on the students' satisfaction and loyalty in the universities of Indonesia. The study has collected 384 responses from the students of Indonesian HEIs using five-point Likert scale self-administered questionnaire. The sample was gathered using nonprobability convenience sampling technique and analysis was based on PLS-SEM using SmartPLS version 3.2.8. The results have shown that quality of education has significant effect on student satisfaction while student satisfaction has significant effect on student loyalty. From a practical point of view, as a cumulative body work arises on the quality of educational service, but this study's conceptual model provides greater acknowledgement if such improvement of image and ranking are addressed by the institution of tertiary level. A strong understanding of the relationship between program quality, industrial link, student satisfaction, image and service quality that allows to make better policy and strategic decisions, as well as finding ways to be strengthened by organization management. This makes it possible to recruit high-quality foreign students in the world's leading universities for academic research and development.
Keywords: Quality of education, Student satisfaction, Student loyalty, Higher Education Institutes, Indonesia
Recieved: 14.06.2020 Accepted: 27.10.2020 UDC: 37.014.6