The Effect of Marketing Mix Elements on Sales Performance of MRO (Maintenance, Repair & Overhaul) Services: The case of Ethiopian Airlines
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Date
2022-10
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Addis Ababa University
Abstract
The aim of this study was to investigate the effects of service marketing mix elements on sales performance for MRO services in the case of Ethiopian Airlines. To achieve the study objectives,
explanatory research design along with quantitative approach was applied. A sample of 56 respondents were chosen from management staffs of Ethiopian MRO based on Non-probability judgmental (purposive) sampling strategy. Survey questionnaire was used to collect the primary data and a total of 51 valid responses were obtained for analysis. Using SPSS 20.0 statistical
application software, both descriptive and inferential analysis were conducted for multiple linear regression analysis to attain the proposed objectives. The results showed that Promotion (β = .260) relatively has the highest effect on sales performance followed by Product (β = .238), Price (β = .156), Place (β = .146) and Process (β = .111) at p-value less than 0.05. however, People (β =
.069), and Physical environment (β =.065) sowed the least effect. Therefore, the results of this study findings revealed that all the 7 marketing mix elements has positive and significant effect on sales performance of MRO services of Ethiopian Airlines. Accordingly, the study suggests in order to improve the sales performance from MRO service, the company should improve quality and variety of MRO service which in the long run will develop brand reputation. It is also mandatory to adhere to customer feedback so as to serve them better, effectively utilize promotion mixelements by increasing resources allocated for communication and advertising activities and put maximum effort to effectively utilize all the possible promotion and advertising means to make the MRO service visible to all potential customers, in order to improve the human resource management, Personnel who interact with customer should be properly equipped with training and skill development programs in line with adequate motivational rewards to enhance employee-customer interactions. and in order to improve accessibility of service locations, the company should implement expanded services on Customer-site & tool Support service, 24/7 AOG support service, etc. needs improvement and revision to meet the vast aviation industry.
Keywords: Marketing Mix Element, MRO Service, Sales performance