Status : Verified
Personal Name Tan, Tiffany Adelaine, G
Resource Title Antecedents and consequences of customer satisfaction in service recovery programs of casual dining restaurants in Metro Manila, Philippines
Date Issued April 2013
Abstract Based on 2012 estimates, 58.7% of the Philippine’s total GDP came from the services sector, an increase of three-percentage points (3%) from the 2010 estimates. As the services industry makes an increasingly larger contribution to the country’s GDP, the quality of services rendered is key to the sustainable growth of the industry. Since service failure occurs despite management efforts to prevent it, appropriate handling of these situations is a crucial part of a company’s business strategy. Service recovery refers to the firm’s action in response to a service failure. This paper attempts to provide answers to the following questions: (1) What are the underlying factors that impact customer satisfaction in a service recovery process? And (2) what managerial practices are important to improve the efforts of restaurant frontline employees as they perform service recovery? A survey was used to gather data to evaluate the actions, attitudes and efforts of the service employee in the recovery attempt and how the performance of the service employee affects the behavioral intentions of the customers. The survey method assumes that all the questions are measured by customer perceptions. Purposive and snowball sampling were used to collect data from 223 respondents used for this study. Structural Equation Modeling path analysis testing showed mixed results. Only seven of the eleven hypotheses were supported. The results show that all the recovery attributes (reliability, responsiveness and assurance) directly affect the satisfaction of the customer in relation to the recovery performance of the service employee. The influence of the service recovery attributes on behavioral intentions (repurchase and word-of-mouth communication) is mediated by the customer’s level of satisfaction with the frontline employee’s recovery performance.

This research extends the concept of service quality in the service recovery field and contributes to the pool of existing knowledge with regards the relationship of service recovery attributes with customer satisfaction and customer satisfaction with behavioral intentions of repurchase and word-of-mouth communication. This research also provides some guidelines to managers and business owners for developing, evaluating and improving service recovery procedures that increase the level of customer satisfaction and enhance customer relationships. These guidelines serve as a checklist of what the frontline employees should be trained to do to guarantee high levels of customer satisfaction with the recovery process, which in turn affects customers’ future behavior of repurchase and recommendation.
Degree Course Doctor of Philosophy in Business Administration
Language English
Keyword Consumer satisfaction; Customer services; Personnel management; Restaurants
Material Type Thesis/Dissertation
Preliminary Pages
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