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CERTIFICATION The project report entitled “The impact of quality of food and price on the Student’s satisfaction and repurchase intention via café environment. An Empirical Study on the cafeterias of different universities in Lahore, Pakistan” at UCP school of business MBA program program conducted by “Zahid Bilal” Reg No. L1S14MBAM0013, M. Arslan Reg No L1S12MBAE0010 and Ayesha Riaz Reg no L1S12MBAM0062 Semester 2 nd has been completed under my guidance and I am satisfied with the quality of student’s research work. ------------------------- Dr. Azhar Manzoor Dated:

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CERTIFICATION

The project report entitled The impact of quality of food and price on the Students satisfaction and repurchase intention via caf environment. An Empirical Study on the cafeterias of different universities in Lahore, Pakistan at UCP school of business MBA program program conducted by Zahid Bilal Reg No. L1S14MBAM0013, M. Arslan Reg No L1S12MBAE0010 and Ayesha Riaz Reg no L1S12MBAM0062 Semester 2nd has been completed under my guidance and I am satisfied with the quality of students research work.

-------------------------Dr. Azhar ManzoorDated:

Table of contentsAbstract --------------------------------------------------------------------------Introduction ---------------------------------------------------------------------Purpose of study ---------------------------------------------------------------Research Questionnaire ------------------------------------------------------Key words ---------------------------------------------------------------------Literature Review ------------------------------------------------------------Research methodology ------------------------------------------------------Data collection process ------------------------------------------------------Data analysis ------------------------------------------------------------------Results -------------------------------------------------------------------------Limitations --------------------------------------------------------------------Future Recommendations ---------------------------------------------------References --------------------------------------------------------------------Appendix -----------------------------------------------------------------------

Abstract:University students' food service needs is an important area that needs more research. While the importance of offering quality education is paramount, for many colleges that are embattled in their quest to retain students, attention to food services can be important. Administrators must therefore, consider the total offering which includes food services. This study examines university students' satisfaction with their food service establishments. A model is develop from available information and tested using data from a survey conducted at three different universities in Lahore. The results suggest that the three most important variables that explain student satisfaction include caf environment, food quality, and price. Other significant variables include atmosphere, and cleanliness. Attention to these variables could enable those in charge of food services to deliver greater value and satisfaction to enhance students' overall educational experience.Introduction:Along with the large-scale enrollment in the universities, the contradiction of more students, insufficient dining condition appears. In this case, the ministry of education initiated a logistics socialization reform to ease the contradiction. However, with the deepening of the reform of university dining room, the disadvantages of socialization management also became more distinctive (Liang and Wu, 2012). For example, in the course of reform and development, the problems of the staff's technology, dining environment, different consumption idea emerge, which make the university cafeteria food healthy and safety more and more risky (Li and Hu, 2010).Currently the university students account for 60% of food sold in cafeterias. Cafeteria students lunches should provide 33% of the students energy intake, however, according to some research it found that it tends only to provide 19% because of the sale of competitive foods. Research states that girls ages 18 to 23 eat low amounts of fruits and vegetables and more than two-thirds of females in this age group exceed the daily intake amounts of fat and saturated fats (Brodie et al., 2009; Erdem et al., 2006). From 56% to 85% of teenagers consume soda daily and that percentage seems to be higher for boys (Ambler and Styles, 1996). By 2006-2007, most of the universities receiving monies for students who are on free and reduced meals must have a local wellness plan in place. Its purpose is to promote and implement a feasible plan for students to be empowered to make appropriate choices for living a healthy lifestyle. In order to do this, universities must work with all of their stakeholders, including students, teachers, administrators, food services personnel, and community representatives. At present, there are more inquires about on the food quality and wellbeing, for example, the potential hazard in the lounge area (Guan, 2007), to scan for the components to influence the cafeteria sustenance quality and security (Hua et al., 2011), the foundation of the bistros' students wellbeing framework (Wang et al., 2008). There are additionally numerous routes for the examination on the food safety evaluation, for example, developing nourishment wellbeing far reaching assessment marker framework with Analytic Hierarchy Process (AHP) (Liu, 2007). The satisfied customers are usually less price sensitive, less influenced by the competitors attack and loyal to the firm as compare to the dis satisfied customers (Dimitriades, 2006). Although previous research has examined the relationship between consumer satisfaction and consumer loyalty, there has been only limited exploration into the impact of consumer satisfaction on the affiliation quality and satisfaction. Cronin and Taylor (1992), in their studies, originate that the customers favor the same brand in their judgments to repurchase it when they are satisfied to that brand or service. The fulfillment level of the consumers is effective in forming brand loyalty by leading their decision about repeat purchase. Similarly, Oliver (2003) found that there is a positive link between the customer gratification and the customer loyalty intention.Purpose of study:The study was conducted from the students of three different universities of Lahore including university of central Punjab, university of management and technology and university of Lahore as well. This study helps us to find whether the factors food quality and food price, Use of Information and Analysis have any relation to the satisfaction of the students and repurchase intention with the mediating role of caf environment. The research was conducted for following purpose:Find the impact of food quality on the students satisfaction and repurchase intention via caf environment in the universities of Lahore Pakistan.Explore the relationship between food quality and students satisfaction.Describe the relationship concerning food price and students satisfaction.Show the relationship in quality of food and repurchase intention.Examine the relationship between food prices and repurchase intention.Describe the relationship between food quality and caf environment.Explain the relationship between food prices and caf environment.Research Questionnaire:Research question empirically investigates that whether the entire elements food quality and food price are reliable for measure and predict the satisfaction and the repurchase intention via cafeterias environment. Moreover, it sheds light that which variable is the best predictor of satisfaction and repurchase intention of the customers. Responses to these questions will assist the management researchers to develop a deeper understanding that how each variable plays a vital role in driving the customers.1.4 Key words:

1. Food quality 2. Food price 3. Cafeterias environment 4. Students satisfaction5. Repurchase intentionResearch Questions:1. What factors explain satisfaction with food services in university cafeterias ?2. What factors influence students to repurchase food from university cafeterias ?Literature Review:Food quality:The quality and commitment are the first elements of cafeterias that lead to the loyalty and repurchase intentions. The quality of food strengthens the relationship between buyers and suppliers (Morgan and Hunt 1994). On clothing brands, the consumer can effect from brands feature like brand quality, brand trust, brand worth and assimilate with the brand (Gelliland and Bello 2002). Bowen and Chen, (2001) examined the impact of customer satisfaction on quality and environment of food in their articles. The findings of those articles proved that:1. There is a positive relationship between customer satisfaction and food quality.Harrison-Walker (2002) researched on commitment and repurchase strategies. He found that the overall quality and environment of the caf disrupted consumer actions while consumers who have affective commitment perform as a locus for a brand or organization and desire to support organization when they have a solid affective attachment to the firms and firms brand. Prices of food:A special segment of food service users involves university students who lead sufficiently unique lifestyles to warrant looking into their food service preferences separately. For example, one study indicates that they eat their evening meal between 8:00 PM and 2:00 AM (Hume et al. 2002). Another study (Friedland 2005) indicates that many students, given their lifestyles, are on the lookout for dependable on-the-go food that offers value and satisfaction. This is why many of them are brand loyal: while they may dabble in exotic cuisine occasionally, food chains such as Subway, Burger King, or Dunkin Donuts still remain standard fare for university students (Blank 2006), perhaps because of familiarity and because they fit right into students lifestyles. Yet another study at 19 university (Anonymous 2002) reports an increase in overall student approval ratings engendered by improvements in menu variety and food quality. Such improvements may have been brought about by a more aware cohort of todays students for many of whom a foremost concern is what they will eat and whether they will experience the dreaded double-digit weigt gain known as freshman 15 (Singer 2006). Some studies also suggest that young adults are leading more sedentary lives today and are not meeting physical activity requirements (Behrens and Dinger (2006). university students needs are particularly important today because the universities are often embattled in their quest to retain students who have many choices at their disposal.Customer satisfaction:Engel et al., (1990) defined that customer satisfaction is result of personal estimation in which the alternative brand meet or exceeds the expectations. Literature showed that the customer satisfaction grounded on the disconfirmation paradigm (Oliver, 1980). The idea that is used to define the satisfaction is also shows the contrast between expectation and performance. It can be also stated that a consumer is expected to develop the assessment of food. In order to do so, the motivation and capacity is necessary to assess the brand related to the reference point.Petty et al. (1983) developed likelihood model that shows the elaboration is determine by the motivation and capacity. Occasionally, it is very difficult for consumers to make the outlook, performance and to relate two independent elements. For example, it is unable for a consumer to compute the expectations and performance regarding a product if he has not enough information about risky brand and about its alternatives. In other case when the consumer capable and motivated he will be safe from risky situations (Assael, 1987). It might be very hard to elaborate upon the evaluation of a cafeteria. Comparison between expectations and performance shows that the customer must be aware of the outcomes for his/her satisfaction. It is known as manifest satisfaction. When the outcomes of estimation are well developed, this leads to manifest satisfaction. To evaluate the brand choice in the presence of motivation and ability, no explicit comparison is made and this leads to lower level of consumer satisfaction. It is known as the latent satisfaction (Bloemer and Poiesz, 1989). When an implicit evaluation is not elaborated, result as latent satisfaction.

1.4 Repurchase Intention:In Fishbein and Ajzens (1975) construction, behavior is influenced by the attitudes by the behavioral intentions. Previous literature shows that the relationship between attitude toward the object and behavior is not always perfect. The individual prefers his or her habits on his or her intention when they give their opinion about an objective (Warsaw & Davis, 1985). In spite of issues, in consumer behavior the idea of purchase intention is very important (Kotler & Armstrong, 2003). Because the study of repurchase intention has a long term effect so it is very important (Ritti & Silver, 1986). Repurchase intention is similar with purchase intention except with the element of experience.At times, intention is also difficult to measure. For instance, Bagozzi, Baumgartner and Yi (1989) commented that when an individual is unclear about his or her intention in regards to some action, there is strong tendency for him to react based on their past actions. In some cases, attitudes have a direct effect on behaviours (Bagozzi & Warshaw 1992) but no effect in Bagozzi (1992). An intention to buy a brand is based on a consumers attitude towards buying the brand as well as the influence of social norms about what other people expect. Intentions are different from attitudes where attitudes are summary evaluations while intentions represent the persons motivation in the sense of his or her conscious plan to exert effort to carry out a behavior (Eagly & Chaiken 1993). Therefore, repurchase intention is defined as the likelihood the user will purchase again of the smartphone in the future. Bolton, Kannan, and Bramlett, (2000) also mentioned that customers will buy a service again depending on their awareness of value from their earlier service encounters and expectations of the relationship with a business in the future. Rising clients repurchase intention can increase firm continuous revenue and increase operating efficiency over time (McDougall and Levesque, 2000). Ranaweera, Chatura and Prabhu (2003) supported that repurchase intention is a tendency of customers to be with the same company in the near future. Repurchase intention involves an individuals judgment about subscribing service providers again from the same current firm and an evaluation of current service situation (Hellier et al., 2003).

Repurchase intention is the individuals judgment about repeat purchasing again in the same firm (Hellier et al., 2003). The reason that makes customers decide to choose the same service provider and repurchase the same service is on the basis of their past experiences (Wathne et al., 2001). Chandon et al. (2004) mentioned that repurchase intention is the product or service that is accessible in memory than it is for a first time purchase.

The above literature leads us to formulate the following hypothesis.H1: the quality of food has a positive relationship with repurchase intention.H2: The food quality has a positive relationship with the satisfactionH3: The price of food has a positive effect on future purchase.H4: The price has a positive effect on brand satisfaction.H5: Price of food has a positive effect on brand attachment.H6: Cafeteria environment plays a mediating role in brand satisfaction and commitment.

Research Methodology:This chapter describes the methodology that we have used in this researchResearch model:This study includes five variables such as food quality, prices of food, cafeteria environment, students satisfaction and repurchases intention as well.

Customer satisfactionFood Quality

Caf environment

Repurchase IntentionPrices of food

Dependent Variable:There are also two dependent variables are used in this study. The first one is the customer satisfaction and the second one is the repurchase intention.Independent Variable:There are two independent variables in this study whose impact is checked on the Dependent variables through the mediating variable. In this study food quality and prices of food are the independent variables.Mediating Variable:Caf environment is used as mediating variables that shows the relationship between the dependent variables and independent variables.Survey Instrument:The research instrument for data collection was questionnaire. We develop the questionnaire, which includes different questions representing the dependent, mediating and independent variables. The purpose was to examine the relationship between these variables. We developed this instrument with the help of different studies like; the measurement scale for food quality was adopted from the study of Bruner and Hensel (1992). The instrument contained five items. Moreover, the measurement scale for prices of food was adopted from two different studies of Suranga Silva, Seyed Rajab Nikhashemi, Ahsanul Haque, Farzana, Yasmin Ali Khatibi (July-Aug. 2012) and Ruchan Kayaman, Huseyin Arasli (2007) containing five items as well. Measurement scale for Caf environment was also adopted from two different studies of Shu-pei Tsai (30 December 2010) and Didier Louis, Cindy Lombart, (2010) and having four items. Similarly, for Students satisfaction five items were selected and the measurement scale was adopted from the study of Shu-pei Tsai (30 December 2010). Finally, the measurement scale for repurchase intention was adopted from the study of Won-Moo Hur, Kwang-Ho Ahn, Minsung Kim (2011). Repurchase intention contained four items. The five-point likert scale was used, starting from: 1-strongly disagree, 2-disagree, 3-neutral, 4-agree, 5-strongly agree, to measure the items. All the questions are shown to be reliable and valid in the previous research.

Data Collection process:The main variables of the study are; food quality prices of food, caf environment, customer satisfaction and repurchases intention. To measure these variables, standard questions are used which are adopted from previous studies. Moreover, since students of universities are the major consumer of food in universities cafeterias of Pakistan, therefore, data for current study were collected from the students of three universities of Lahore including University of central Punjab, university of management and technology and university of Lahore. Out of the 260 students inquired, 230 responded. 30 questionnaires were rejected due to incomplete responses. Therefore, 250 valid responses were obtained, making a response rate of 88 percent. The portion of male respondents was 59.4% and the portion of female respondents was 41.6%. Statistical software SPSS version 20 has been used for validity and reliability analysis. For validity analysis, principle component analysis with varimax rotation was performed for all the five measurement scales. Factor loadings and Chronbachs alpha of elements of food quality, students satisfaction and repurchase intention have been produced individually. Factors with low factor loading were dropped out from the analysis. By analyzing the results with the help of SPSS, study found that food quality (1 item has been excluded out of 5 due to low loading) has chronbachs alpha=0.808, variance explained 57.450% and Kaiser-Meyer-Olkin (KMO) 0.720. However, Prices of food have chronbachs alpha=0.577, variance explained 61.050% and KMO 0.791. caf environment showed significant factor loadings and possess chronbachs alpha=0.729, variance explained 54.602% and Kaiser-KMO.838. Similarly in students satisfaction all items had significant factor loadings, having chronbachs alpha of =0.701, variance explained 41.315% and KMO 0.800. While in repurchase intention has chronbachs alpha of =0.771, variance explained 69.697% and KMO 0.581.

Result and Finding:Factor analysis:The items in the questionnaire that did not have good discrimination are eliminated by using factor analysis. The factor analysis was conducted on the following multi items variables: food quality, prices of food, caf environment, customer satisfaction and repurchase intention. It is used to find out the inter correlation between items of the variables.By analyzing the result with the help of SPSS we found that in food quality (1 item has been excluded out of 5 due to low loading) explained a total variance of 38.083%. In prices of food (no item has been excluded and it consist of total 5 items) explained a total variance of 42.146%. In caf environment all items has been included and it consist of total 5 items, it explained a total of variance of 46.300%. In strategic planning all items has been included, explained a total of variance of 54.602%. In students satisfaction all items has been included, explained a total variance of 41.315%. In repurchase intention all items has been included, explained a total variance of 69.697%.Reliability analysisBy using the SPSS 20 version, the reliability test performed for the variables. It is a correlation based method. The internal consistency of the variables is calculated by using reliability coefficient. The reliability of multiple-item factors or variables was reviewed by evaluating the internal stability appreciation to the Cronbachs alpha which is a reliability coefficient. The value of the coefficient is situated between 0 and 1 and to show a satisfactory reliability this value should be greater than 0.6. Regression Analysis:Multiple linear regression analysis was run to find out whether food quality, prices of food and caf environment are predictor of customer satisfaction and repurchase intention.In table 3 Results of regression analysis indicate that independent variables (food quality,prices of food & caf environment) account for 20.5% significant variance in customer satisfaction (R2 = .422, F =91.125, p=.000). Standardized coefficient beta values as shown in Table-4 between food quality, prices of food, caf environment and customer satisfaction are significant (=.146, .212, .349 p