Perceived Customer Service Quality And Its Effect on Organizational Image: The Case of Ethiopian Airlines
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Date
2024-01-31
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AAU
Abstract
The purpose of this study is to examine the perceived customer service quality and its effect on the
organizational image of Ethiopian Airlines, utilizing the AIRQUAL model. The research employs
a quantitative approach with a descripto-explanatory design that incorporates descriptive and
explanatory methods. A convenience sampling approach is employed to select the sample, with
384 questionnaires distributed and 288 validly completed responses received. The data is analyzed
in two segments, with descriptive analysis addressing the first question and regression analysis
covering the remainder of the questionnaire. The descriptive analysis reveals that Airlines
Tangible (AT), Empathy (EY), and Image (IG) elicit a favorable response regarding the current
customer service quality, while Terminal Tangible (TT) and Personal Services (PS) garner the
highest level of disagreement. In the regression analysis, the correlation is significant at a 95%
confidence level for the image, while it falls within the range of 87% and 96% for the other
components, namely, Terminal Tangible, Personnel Services, and Empathy. However, the
independent variable Terminal Tangible displays a negative and insignificant correlation with the
dependent variable at a 99% confidence level. Conversely, the independent variable personnel
display a negative correlation with all the components of the dependent variable, where the
correlation is significant at 95% for all components. In addition, an hypothesis test was test using
beta Coefficients, accordingly Airline tangible, Empathy, Image have a positive and significant
effect on the organizational image of Ethiopian Airlines at P value greater than 0.05 with beta
coefficient value of 0.085, 0.303,0.10 5resepctively, the other independent variables personnel
services and Terminal tangible has a negative and insignificant effect on the dependent variable
organizational image with P value less than 0.05 with beta coefficient value of -.306 and -.315.The
findings of the study provide decision-makers with an indication of improvement, particularly
regarding variables that exhibit a negative correlation with dependent variables, mainly terminal
tangible and personnel services. Additionally, Ethiopian Airlines' management should prioritize
implementation of the study's outcomes to enhance their customer service quality. They should
focus on enhancing the check-in process by implementing innovative systems, creating
comfortable spaces with excellent air conditioning, and acquiring additional trolleys to enhance
security and improve baggage handling. Furthermore, the company should thoroughly assess its
personnel services and terminal tangible variables and concentrate on enhancing the quality of
services as a result of the correlation relationship effect.