The Effect of Service Quality on Customer Satisfaction: The Moderating Roles of Perceived Value and Service Failure in the Case of Ethio teleom
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Date
2019-11
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A.A.U
Abstract
Service quality in relation to customer satisfaction is one of the interesting research topic area in business strategy and marketing disciplines in the last few decades. The purpose of this research paper is to examine the effect of service quality on enterprise broadband subscribers’ satisfaction of ethio telecom using SERVPERF model and moderating variables. Although a number of related researches have been conducted in different parts of the world in different companies, only limited studies have used moderating variables of Perceived Value and Service failure. This research, thus, aims to address this gap by taking 313 stratified random sampling from ethio telecom enterprises customers in Addis Ababa. Both direct Service quality (SQ) – Customer Satisfaction (CS) relationship and interaction effects of perceived value (PV) and Service failure (SF) as moderators were examined in this relationship. Moderated hierarchical regression has been applied to see how SQ as independent variable and PV and SF as moderator’s influence customer satisfactions. From the analyses it is confirmed that SQ has positive and statistically significant effect on customer satisfaction. PV and SF are also found to moderate the relationship between SQ and customer satisfaction. Recommendations and further studies are also forwarded in this study.
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Keywords
Customer Satisfaction, Moderating Variables, Service Failure, Service Quality