SERVICE QUALITY AND CUSTOMER SATISFACTION AMONG RESTAURANTS WITHIN THE UNIVERSITY OF BENIN ABSTRACT This research aims to address the quality of services rendered by the University of Benin to her students who could also be regarded as her customers and the level of their satisfaction with the aforementioned services. Particularly, the undergraduate students are the main focus of the study. The main objective is to investigate the relationship between service quality and student satisfaction in the University of Benin. 100 copies of the questionnaire were administered to selected students on the basis of the convenience sampling method. The findings from the data collated revealed that high quality of service delivery by service providers in higher institutions of learning is essential to student satisfaction. Also, the study revealed that the choice of a higher institution of learning by students is influenced by their perceived quality of services rendered in the higher institution of learning. On the basis of the above findings, some of the conclusions drawn included; it is essential that service providers adhere to ethical standards and best practices, students irrespective of sex, age and other demographic variables, who readily enjoy quality service in their school are more likely to recommend their schools to others such as friends or relations. As such, the author recommended that the managements of higher institutions of learning should strive towards the goal of ensuring that students get the necessary equipment that will improve their academic experience in the academic environment, and ultimately enhance the level of their satisfaction with the institution. TABLE OF CONTENT CHAPTER ONE: INTRODUCTION Background to the study - - - - - - Statement of the Research problem - - - - - Objectives of the Study - - - - - - Research Questions - - - - - - - 1.5 Research Hypotheses - - - - - - 1.6 Scope of the Study - - - - - - 1.7 Significance of the Study - - - - 1.8 Limitations of the Study - - - - - CHAPTER TWO: LITERATURE REVIEW 2.1 Introduction - - - - - - 2.2 Definitions Of Service - - - - 2.3 Characteristics Of Services - - - - 2.4 Components Of Services - - - - 2.5 The Service Concept - - - - - - 2.6 The Service Level - - - - - - 2.7 Service Failure - - - - - - 2.7.1 Causes of Service Failure - - - - - 2.7.2 Effects of Service Failure - - - - - 2.8 An Overview Of Service Quality - - - - - 2.9 Importance Of Quality - - - - - 2.10 Benefits Of Delivery Of Quality Service To Customers - - 2.11 Managing Quality In Service Organizations - - - 2.12 Who Is A Customer - - - - - - 2.13 Definitions Of Customer Satisfaction - - - - 2.14 Factors Affecting Customer Satisfaction - - - 2.15 How To Develop And Improve Customer Satisfaction - - 2.16 How To Handle Customer Complaints - - - 2.17 Review Of Related Studies On Service Quality And Customer Satisfaction - - - - - - - CHAPTER THREE: RESEARCH METHODOLOGY 3.1 Introduction - - - - - - 3.2 Research design - - - - - - - 3.3 Population And Sample Size Of The Study - - - 3.4 Research Instrument - - - - - 3.5Validity Of The Instrument - - - - - 3.6Reliability The Instrument - - - - 3.7 Operationalization And Measurement Of Variables - - - 3.8 Method Of Data Analysis - - - - - CHAPTER FOUR:DATA ANALYSIS AND PRESENTATION 4.1 Introduction - - - - - - 4.2 Demographic Profile Of Respondents- - - - - 4.3 Presentation And Analyses Of Data - - - - 4.3.1 Descriptive Analyses - - - - - - 4.3.2 Test of Hypothesis - - - - - - 4.4 Discussions of Findings - - - - CHAPTER FIVE: SUMMARY OF RESULTS, CONCLUSION AND RECOMMENDATIONS 5.1 Introduction - - - - - - - - 5.2 Summary of Findings - - - - - - 5.3 Conclusion - - - - - - - 5.4 Recommendations - - - - - - 5.4.1 Policy Recommendations/Implication - - - - 5.4.2 Further Studies - - - - - - BIBLIOGRAPHY - - - - - - - APPENDIX - - - - - - - LIST OF TABLES Table 4.1 Demographic Distribution of Respondents - - - Table 4.2 Frequencies, Means and Percentages of Data on Service Quality - - - - - - - - Table 4.3 Pearson Correlation Matrix for Tangibility and Customer Satisfaction - - - - - - - Table 4.4 Pearson Correlation Matrix for Responsiveness and Customer Satisfaction - - - - - - - Table 4.5 Pearson Correlation Matrix for Assurance and Customer Satisfaction - - - - - - - Table 4.6 Pearson Correlation Matrix for Empathy and Customer Satisfaction - - - - - - Table 4.7 Pearson Correlation Matrix for Reliability and Customer Satisfaction - - - - - - - Table 4.8 Summary of Regression Model - - - Table 4.9 Analysis of Variance for regression model - - Table 4.10 Coefficients and T-values of regression model - CHAPTER ONE INTRODUCTION 1.1 Background to the Study Restaurant business is an important but often neglected area of study (Kivela, Inbakaran and Reece, 1999). The fact is that ‘restaurant business’ is regarded as a low credence service and the quality of the services are difficult to prove until customers patronize the restaurant (Söderlund and Öhman, 2005). Moreover, the quality of the service that customers encounter may be different each time they re-visit that particular restaurant, thus influencing the level of satisfaction and eventually affecting their re-patronage intentions. The restaurant industry has evolved over the past few decades from merely a meals-providing facility to an augmented combination of service associated features (Fen and Lian, 2014). These features are emphasized to satisfy the complementary needs of its customers. As many industry sectors mature, competitive advantage through high quality service is an increasingly important weapon in business survival (Bojanic and Rosen, 1994; Fu, 1999). The restaurant industry has certainly not been exempted from increased competition or rising consumer expectations of quality. In today’s fast-paced and increasingly competitive market, the bottom line of a firm’s marketing strategies and tactics is to make profits and contribute to the growth of the company (Fen and Lian, 2014).All functional activities, strategies and tactics of a firm should be geared towards its long-run growth, survival and competitiveness. In this vein, customer satisfaction and service quality are global issues that affect all organizations- be it large or small, profit or non-profit, international or local-fundamentally. Quality and customer satisfaction have long been recognized as playing a crucial role for success and survival in today’s competitive market. Not surprisingly, considerable research has been conducted on these two concepts. Notably, the quality and satisfaction concepts have been linked to customer behavioural intentions like purchase and loyalty intention, willingness to spread positive word of mouth, referral, and complaint intention by many researchers (Olsen, 2002; Kang, Nobuyuki and Herbert, 2004; Söderlund and Öhman, 2005). Given the foregoing discussion, the importance of undertaking empirical research to evaluate the relationship between service quality and customer satisfaction for the purpose of strategic decision-making cannot be over-emphasized. Thus, this research work intends to investigate the relationship between service quality and customer satisfaction among selected restaurants within the University of Benin, assess the quality of their respective service deliveries and highlight customers’ complaints and grievances with respect to the quality of their various service delivery systems. 1.2 Statement of the Research Problem In the Nigerian society, customers complain often about the type of services they receive from their respective service providers. The following are common complaints by consumers with respect to the quality of services provided by restaurants; unconduciveenvironment, time wastage, poor salesperson-mannerisms, lack of customer orientation, lack of attention to hygiene, etc. A lot of probing has been going on for the past few decades to rationalize and prove a direct relationship between the two, owing to the fact that the notion of satisfaction is mainly attributed to the quality of service (Kang, Nobuyuki and Herbert, 2004). Many theories and models have been established in this regard. Thus, this study is no exemption in that it also aims to examine the two literature-proven interrelated concepts within the purview of selected restaurants within the University of Benin. 1.3 Research Questions This study seeks to provide answers to the following research questions: ( i ) What is the relationship between the dimension of tangibility in service quality and customer satisfaction among customers of restaurants within the University of Benin? (ii) What is the relationship between the dimension of responsiveness in service quality and customer satisfaction among customers of restaurants within the University of Benin? (iii) What is the relationship between the dimension of assurance in service quality and customer satisfaction among customers of restaurants within the University of Benin? (iv) What is the relationship between the dimension of empathy in service quality and customer satisfaction among customers of restaurants within the University of Benin? (v) What is the relationship between the dimension of reliability in service quality and customer satisfaction among customers of restaurants within the University of Benin? (vi) What is the relationship between overall service quality and customer satisfaction among customers of restaurants within the University of Benin? 1.4 Research Objectives This objectives of this study are to: ( i ) determine the nature of the relationship between the dimension of tangibility in service quality and customer satisfaction among customers of restaurants within the University of Benin. ( ii ) examine the nature of the relationship between the dimension of responsiveness in service quality and customer satisfaction among customers of restaurants within the University of Benin. (iii) ascertain the nature of the relationship between the dimension of assurance in service quality and customer satisfaction among customers of restaurants within the University of Benin. ( iv ) assess the nature of the relationship between the dimension of empathy in service quality and customer satisfaction among customers of restaurants within the University of Benin. (v) find out the nature of the relationship between the dimension of reliability in service quality and customer satisfaction among customers of restaurants within the University of Benin. (vi) explain the nature of the relationship between overall service quality and customer satisfaction among customers of restaurants within the University of Benin. 1.5 Research Hypotheses The hypotheses to be tested in this study are stated in their null form below: Hypothesis 1: There is no significant relationship between the dimension of tangibility in service quality and customer satisfaction among customers of restaurants within the University of Benin. Hypothesis 2: There is no significant relationship between the dimension of responsiveness in service quality and customer satisfaction among customers of restaurants within the University of Benin. Hypothesis 3: There is no significant relationship between the dimension of assurance in service quality and customer satisfaction among customers of restaurants within the University of Benin. Hypothesis 4: There is no significant relationship between the dimension of empathy in service quality and customer satisfaction among customers of restaurants within the University of Benin. Hypothesis 5: There is no significant relationship between the dimension of reliability in service quality and customer satisfaction among customers of restaurants within the University of Benin. Hypothesis 6: There is no significant relationship between service quality and customer satisfaction among customers of restaurants within the University of Benin. 1.6 Scope of the Study According to Agbonifoh and Yomere (1999), the scope of a study may be defined in terms of subject matter, geographically and temporally. This study, although robust and perceivable from different perspectives such as management, staffs, public, etc is focused on the perception of customers as regards the quality of the services rendered by the selected restaurants within the University. Also, since the study was carried out within the University of Benin, the geographical area of interest was Ugbowo campus. With respect to temporal delimitation, this study is cross-sectional because the data used related to a specific point in time, i.e. the current year of the research. 1.7 Significance of the Study It is a fact that there have always been divided opinions about the quality of the services rendered by the various restaurants within the University of Benin. Sadly, most of these opinions are largely based on hearsays and personal experiences. It is hoped that a study of this nature would provide research-based knowledge which would inform people’s opinions, especially customers within the university. Indeed, students, staff and other groups of people who are patronize any of the selected restaurants are potential beneficiaries of this study. Particularly, the most significant beneficiaries of this study are the managers, owners and staff of the selected restaurants who could make use the information provided by this study to facilitate improvement in their respective service delivery. 1.8 Limitations of the Study Ekenhuan campus and other distant learning centres could not be covered owing to limitations of time and resources. Hence, the study was limited to Ugbowo Campus. Moreover, the focal point was the perception of customers within the University. The opinion of other customers who do not study in, reside or earn their living in the University could not be obtained. Another major problem encountered was that it took a lot of persuasion and coaxing to get the participants to fill the questionnaires. However, despite the above limitations, efforts were made by the author to ensure that the study made a significant contribution to existing knowledge.
SERVICE QUALITY AND CUSTOMER SATISFACTION AMONG RESTAURANTS WITHIN THE UNIVERSITY OF BENIN
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