Effect of Service Recovery on Customer Satisfaction and Behavioral Intention (The Case of Ethiopian Airlines Cargo)
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Date
2016-06
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Addis Ababa University
Abstract
The principal objective of this study is to investigate the effect of service recovery on customer’s satisfaction and behavioral intention by taking the case of Ethiopian airlines cargo service. Data were collected from customers of Ethiopian airlines cargo through a survey questionnaire.A sample of total of 385 respondents was drawn based on a stratified convenience sampling. For analyzing the data both descriptive statistics by applying percentage and tables and inferential statistics by applying structural equations modeling are employed. The findings of this study show that service recovery dimensions based on social justice theory (procedural, interactional and distributive justice) have a positive effect on customer satisfaction with service recovery and future behavioral intentions of word of mouth and re-patronage. In addition it was found that satisfaction with service recovery positively mediates the positive relationship between service recovery dimensions and behavioral intentions. Based on the conclusions made recommendations for Ethiopian airlines cargo are proposed in order to enhance customer satisfaction with service recovery and to positively affect behavioral intention
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Keywords
service recovery, customer’s satisfaction, social justice theory