measurement of service quality, customer satisfaction, behavioural intention among the organized ...

451 Pages·2015·2.84 MB·English

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MEASUREMENT OF SERVICE QUALITY,
CUSTOMER SATISFACTION, BEHAVIOURAL
INTENTION AMONG THE ORGANIZED RETAIL
STORES WITH REFERENCE TO SELECTED
CITIES OF TAMIL NADU
A THESIS

Submitted by
V.P.SRIRAM
(Reg. No. 201002214)

in partial fulfillment for the award of the degree
of
DOCTOR OF PHILOSOPHY

DEPARTMENT OF BUSINESS ADMINISTRATION
KALASALINGAM UNIVERSITY
(KALASALINGAM ACADEMY OF RESEARCH AND EDUCATION)
ANAND NAGAR, KRISHNANKOIL – 626 126

JULY 2014
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CERTIFICATE

This is to certify that all the corrections and suggestions pointed by the
Indian/Foreign Examiner(s) are incorporated in the Thesis titled
“MEASUREMENT OF SERVICE QUALITY, CUSTOMER
SATISFACTION, BEHAVIOURAL INTENTIONS AMONG THE
ORGANIZED RETAIL STORES WITH REFERENCE TO SELECTED
CITIES OF TAMIL NADU” submitted by Mr.V.P.SRIRAM.

Place: Anand Nagar SUPERVISOR
Date: Dr.S.Rajaram,
Associate Professor,
Department of Business Administration,
Kalasalingam University.
Tamil Nadu.India.
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KALASALINGAM UNIVERSITY
KRISHNANKOIL 626 190

BONAFIDE CERTIFICATE

Certified that the thesis titled “Measurement Of Service Quality, Customer
Satisfaction and Behavioural Intentions among the Organized Retail Stores
with reference to selected cities of Tamil Nadu,India” is the bonafide work of
Mr.V.P.SRIRAM, who carried out the research under my supervision. Certified
further, that to the best of my knowledge the work reported herein does not
form part of any other thesis or dissertation on the basis of which a degree or
award was conferred on an earlier occasion on this or any other scholar.

Signature of the Supervisor
Dr.S.RAJARAM,
Associate Professor,
Department of Business Administration,
Kalasalingam University.
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ABSTRACT

This research aims at measuring the service quality among the organized
retail stores in Chennai, Madurai and Coimbatore cities of Tamilnadu State and
identifying its relationship to customer satisfaction and behavioral intention.
The study was conducted among 900 organized retail stores customer by using
Retail Service Quality Scale (RSQS) instrument with 27 items. Behavioral
intention of the customers was measured by using the behavioral intention
battery. The researcher has used a seven point likert scaling to measure the
expected and perceived service quality (performance) and the behavioral
intention of the customers. The RSQS instrument is selected as the most
reliable device to measure the difference-score conceptualization. It is used to
evaluate service gaps between expectation and perception of service quality.
Modifications are made on the RSQS instrument to make it specific to the
Retail Sector.
The literature review was gathered enough from various sources and
reflecting both Indian and foreign context. A number of hypotheses were
proposed in the thesis and examined using Structural Equation Modeling. The
hypotheses were tested with the software AMOS 21 and SPSS 21 to fulfill the
research objectives. The data were examined using confirmatory factor analysis
to confirm RSQS instrument reliability and validity of the retail industry
performance and service quality dimensions. The resultant CFA model value
shows good psychometric properties.
This research is designed to address the literature gaps. Path analysis,
Multiple regression, correlation, Paired„t‟ test, Chi-square test, Oneway
ANOVA and descriptive statistics were applied to interpret the data. Structural
Equation Model (SEM) is applied to study the relationship and impact between
service quality, customer satisfaction and behavioural intention.
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The findings of the study revealed that the customer‟s perception
(performance) is lower than expectation of the service quality rendered by the
organized retail stores. Responsiveness and Assurance SQ dimensions were the
most important dimensions in service quality scored less SQ gap. The study
concluded that the individual service quality dimensions have a positive impact
on Overall Satisfaction and to the behavioural intention of the customers
towards the service provider. This research also identified the association
difference between demographic factors and satisfaction of the customers
towards the service provider. Both customer satisfaction and service quality
have a significant effect on influencing the behavioural intention. Few
recommendations for further research were also suggested.

Key Words: Retail Service Quality, Behavioral Intention, Customer
satisfaction, Customer‟s Expectation and Perceived Service Quality.
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ACKNOWLEDGEMENTS

My sincere thanks to our Chairman Kalvivallal
Mr.T.KALASALINGAM, Illayavallal Mr.K.SRIDHARAN Chancellor,
Dr.S.SARAVANA SHANKAR, Vice-Chancellor Kalasalingam University, for
providing opportunity to carry out the research work in our University.

Dr. S. RAJARAM, my mentor and supervisor have extended his
valuable guidance and motivation throughout this research, he is a big
inspiration to me. His approach and kindness has motivated me to execute this
research lively. It was possible to maintain quality throughout the research only
because of his freedom and trust.

I extend my thanks to Dr.M.JEYAKUMARAN, Professor, Department
of Business Administration, Kalasalingam University, who gave all moral
support behind the screen.

I dedicate all my work to my parents, wife and daughter. I express my
gratitude to the scarification, effort and pain they have taken in this regard.

I express my pleasure in thanking the students, friends, and my
colleagues for the support and valuable suggestions for the improvement of this
research. There are many others, who have helped me directly and indirectly to
complete this research. I thank them whole-heartedly.

V.P.SRIRAM
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TABLE OF CONTENTS
Abstract ii
Acknowledgement iv
Table of contents v
List of Tables xiii
List of Figures xix
List of Abbreviations xxi

Chapter I DESIGN OF THE STUDY Page. No
1.1 Introduction 1
1.2 Background of The Study 3
1.3 Problem Statement 8
1.4 Research Questions 13
1.5 Objectives of The Study 14
1.6 Justification of The Research Study 15
1.7 Research Gap 16
1.8 Purpose of The Study 17
1.9 Research Methodology 17
1.9.1 Sampling Techniques 18
1.9.2 Determination of Sample Size 18
1.9.3 Research Questionnaire 18
1.9.4 Data Analysis 20
1.10 Structural Content of The Thesis 20
1.11 Conclusion 22
Chapter II OVERVIEW OF INDIAN RETAIL SECTOR
2.1 Introduction 24
2.2 Indian Unorganized Retail Market 26
2.3 Indian Organized Retail Market 27
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2.4 Various Formats In Indian Organized Retail Sector 30
2.5 Conclusion 34
Chapter III REVIEW OF LITERATURE
3.1 Introduction 35
3.2 Overview of Service Quality 36
3.2.1 Service Quality- An Introduction 36
3.2.2 Perspectives on Service Quality 58
3.2.3 Determinants of Service Quality 62
3.2.4 How Service Quality Is Perceived 67
3.2.5 Expected Quality Vs. Experienced Quality 69
3.2.6 Total Perceived Quality 70
3.2.7 Managerial Process For Service Quality 70
3.2.8 Service Quality Measurement 72
3.2.8.1 SERVQUAL Scale 73
3.2.8.2 SERVPERF Scale 76
3.3 Retail Service Quality 78
3.3.1 Service Quality And Demographics 87
3.3.2 Importance of Retail Service Quality 91
The Gaps Model For Improving Retail Service
3.3.3 92
Quality
3.3.4 Measuring Retail Service Quality 94
3.3.4.1 Hierarchical Structure of Retail Service Quality 97
3.4 Customer Loyalty 104
Assessing The Relationship Between Service
3.4.1 122
Quality And Customer Loyalty
The Impact of Service Quality on Customer
3.4.2 138
Loyalty In Organized Retail Environment
Dimensions of Customer Loyalty on a Services
3.4.3 143
Environment
3.5 Behavioural-Intentions Battery 145
3.5.1 Loyal Customers - New Goal For The Retailers 147
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3.6 Frame of Reference 149
3.7 Development of Hypothesis 149
3.7.1 Hypothesis of The Study 150
3.8 Conclusion 153
CONCEPTUAL MODEL FOR MEASURING
Chapter IV
SERVICE QUALITY
4.1 Introduction 154
4.2 Conceptual Model For Measuring Service Quality 156
4.3 Justification for Proposed model 158
4.4 Proposed Research Model 159
4.5 Conclusion 159
Chapter V RESEARCH METHODOLOGY
5.1 Introduction 160
5.2 Research Design 161
5.3 Area of Study 162
5.4 Sample Design 162
5.4.1 Sample Unit 163
5.4.2 Sampling Technique 163
5.4.3 Sample Size 163
5.5 Sources of Data Collection 164
5.6 Scale And Measurement 165
5.7 Demographic Profile of The Respondents 168
5.8 The Reliability And Validity of The Scale 187
5.8.1 Reliability of The Scale 187
5.8.2 Validity of The Scale 189
5.9 Tools Used For Data Analysis 205
5.9.1 Structural Equation Modeling (SEM) 205
5.9.2 Determination of Sample Size For Model Testing 209
5.10 Univariate And Multivariate Statistical Analysis 209
5.10.1 Analysis of Variance (ANOVA) 210
5.10.2 Multiple Regression Analysis 210