Tuesday, May 5, 2020

Brand Reputation and Customer Satisfaction †MyAssignmenthelp.com

Question: Discuss about the Brand Reputation and Customer Satisfaction. Answer: Introduction: The strategic management of a firm is one of the most important job role in which there is formulation as well as implementation of the initiatives as well as goals of the company(Peppard Ward, 2016). The strategic management initiatives are being taken by the top management of the company on the behalf of the owners. The strategic decisions need to be taken by considering the internal as well as external environment in which the organization is operating (Hill, Jones Schilling, 2014). The customer relationship management is one of the most important aspects in the strategic management of the modern day organizations. It is related to strategies in which there are tools for fulfilling the customer needs as well as meets their growing expectations. The modern day organizations should formulate practices, technologies as well as policies which would help them to manage the customer interactions well(Hill, Jones Schilling, 2014). The main aim of the companies is to drive profits as we ll as more customer retention. There should be assessment policies for the assessment of the customer needs and it is also important to evaluate the current service level of the organizations. The customers should be heard and their feedbacks should be used for gaining constructive improvements in their business operation. The selected organization for the purpose of this study is Simply Indian Restaurant, which is located at Lower Hut, New Zealand. Simply Indian restaurants have some strategic management issues which need to be highlighted so that necessary improvements can be taken. This paper would enumerate the problems that are being faced by the restaurant. A detailed literature review would be performed which would underline the different important concepts of the concerned topic. The research would be done and on the basis of that data analysis would be performed. The concluding part of the paper would comprise of the short term as well as long-term recommendations for future improvements. Industry background The hospitality industry in New Zealand involves the flights, restaurants and hotels. This industry is currently on the rise and it gives employment to around 200,000 people. The restaurants and bar business is considered as the largest employer with over 50% people working here(Hobbs Hobbs, 2015). The casual dining restaurants have witnessed a 10% growth in the foodservice value in the year 2016. There is a string growth of the restaurant business in New Zealand and it has gained strong customer confidence. There is growing income of the people, which makes the customers to dine outside their homes. In New Zealand, the concept of quality food is associated with casual dining and they give better value than the traditional full-service restaurants (Hobbs Hobbs, 2015). The casual dining joints also provide a more relaxing atmosphere and are ideal for socializing. The Lone Star Cafe in New Zealand has foodservice value of NZD53 million, that represents value share of about 1% in the ca tegory. There has been an increase in the growth of the online food ordering system in New Zealand and that would hinder the development of the full-service restaurants(O'Neill Pearson, 2016). There is an increase in the development of the urban lifestyles, which has led to proliferation of food chains. There is also an emerging system of online ordering as well as third party delivery services. The dine-out systems have the probability of declining as it is usually more time-consuming (Hobbs Hobbs, 2015). It is expected that there would be proliferation of the third party delivery service providers (for example UberEats), which is expected to gain market prominence. One of the finest Indian dining restaurants in Wellington is Simply Indian Restaurant(Simplyindian.co.nz, 2017). It is located at Lower Hut, Wellington, New Zealand. The restaurant has an electric mix of the modern Indian cuisines, which is also inclusive of the traditional foods of India. The restaurant also has efficient as well as personable service. It offers the customers a sophisticated dining experience (Simplyindian.co.nz, 2017). They also provide charming employees and excellent service,which gives tough fight to its competitors (Simplyindian.co.nz, 2017). There are various kinds of services provided by the restaurant such as catering, fine dining, private parties and hosting corporate events. The joint is also famous for the Indian lunch buffer, which has variety of vegetarian as well as non-vegetarian dishes. Simply Indian Restaurant provides a range of dinner menu such as soups, appetizers, maincourse, chefs recommendations, for kids, banquet meal, rice creativity, Chinese connection, Indian breads and naan (Simplyindian.co.nz, 2017). There are other meals available such as takeaways, snacks and lunch (Simplyindian.co.nz, 2017). It also offers range of sweets such as kesarladoo, pista burfi, badampista burfi, saffron peda and others. The project scope would include the different attributes of the Simply Indian Restaurant in serving the customers. The project would investigate the levels of customer service in the restaurant and how they can be improved. The customer service is of paramount importance in todays competitive environment and hence this project would strive to detect the service delivery aspects of the restaurant. The attitude and behavior of the customers would be assessed and their impact on the customer satisfaction levels would be analyzed. The project would first strive to analyze the various kinds of services provided by the restaurants to the customers. The customersreaction would also be measured and the customer feedbacks would be analyzed.The primary focus of the paper would be the quality of customer services and all the factors that affect it either directly or indirectly. Any operational aspect of the restaurant and any financial considerations are outside the scope of this project. Simply Indian Restaurant is one of most popular places of Wellington, New Zealand and it is famous for the tasty dishes they provide (TripAdvisor, 2017). They are well known for their authentic vegetarian dishes and excellent non vegetarian dishes. However, there are several problems with the quality of foodbeing offered to the customers. The customers have made lot of complains regarding the average quality of food that they offer and the poor cooking skills possessed by their chefs (TripAdvisor, 2017). In fact, there were few customers, who have said that the food quality in the restaurant is patheticand they didnt found the food value for money. One customer has given feedback that the Chinese noodles ordered by them was excessive oily and it affected their health(TripAdvisor, 2017). There was another review that one of the vegetarian fish had strong smell of fish, which is certainly not acceptable. The customers also complained about the taste of the foods and they were pretty di ssatisfied with the same(TripAdvisor, 2017). The other identified issue was the lack of customer service, which infuriated the customers in certain instances(TripAdvisor, 2017). The customers have complained about the arrogant behavior of the waiter and rude answers given by them when there are adverse situations. The restaurant authorities also gave little importance to the needs and wants of the customers(TripAdvisor, 2017). The waiters didnt respond well to the customer preferences and hence the customers were not satisfied while visiting the restaurant. Simply Indian Restaurant has decided to focus on improvingthe customer service and increase the number of satisfied customers. It aims to explore the customer service issues in detail and seek to provide a solution for them (Simplyindian.co.nz, 2017). The organization is receiving a growing number of complaints in their online forums, which is deterring their brand image. This has caused them to ponder over the issue and seek for enhancing the customer satisfaction levels. The increased number of customer complaints has led to the negative brand publicity and the customers have started doubting their services. A recent customer survey has revealed that an increasing number of customers are unhappy with the quality of food provided by the restaurant (Simplyindian.co.nz, 2017). The poor quality of foods has caused a decrease in the customer satisfaction levels, which in turn has affected the profitgeneration of the organization. The above issues have encouraged the restaurant to take up this issue in a serious manner and to identify the various loopholes present in the customer service. The research also aims to identify probable solutions for enhancing the satisfaction levels of the customers visiting the restaurant. As opined by Dabholkar (2015), the theory of customer service is concerned with the identification as well as satisfaction of the needs of the customers. The ideal situationbelieves in the fact that the needs of the customers need to be met beyond their expectation levels and this can achieved only through the help of enhanced service delivery. The organizations need to deliver high levels of customer service so that they can not only gain satisfied customers but they also gain loyal customers. As argued by Bowen(2016), the changing role of the employees in service theory has proved to be successful in modern day organizations. The employees of an organization (especially the front-line employees) are critical in driving excellent customer service outcomes. The greater degree of services marketing has led to an increase in the service encounters with the customers. As opposed by Dabholkar(2015), the customer participation in the process of service delivery is responsible for the perception of the service quality. It is argued that for particular services such as customer specific job roles, a greater degree of customer participation would lead to greater perceived service quality (Su et al., 2016). This implies that if the consumers are involved more in the process of service delivery, they would perceive that the service is of premium level. As stated byKurian and Muzumdar(2017), the restaurant formality is known to have ausualdegrading effect on the loyalty of the customers. However, this effect is considered as positive when it combines with customer gratification. The act of reorder and repurchaseis being considered as the combined impact of satisfaction that can be derived from the level of service delivery (Dabholkar, 2015).The act of customer gratification can be defined as the level of emotional pleasure that can be derived by the process of customer satisfaction or customer desire (Kurian Muzumdar, 2017). The resource based view of the company focuses on the fact that the sustained competitive advantage can be gained from the resources as well valuable capabilities of the firm. The resources of the firm form a combination of both tangible as well as intangible assets (Kurian Muzumdar, 2017). The act of servicescape can be defined as the man-made physical environment which can be controlled by the service companie s so that they can achieve the external as well as internal organizational goals (Kearney, 2016). There is an effect of the physical environment such as artifacts, ambience and spatial layout on the customer satisfaction and customer price perception (Kurian Muzumdar, 2017). The more the improved ambience of the restaurant is, the more the customers would perceive the place as a good one. The tidiness of the restaurant staff and the appearance of the service staffs are responsible for greater levels of customer pleasure. According to Aryeeet al.(2015), an enhanced level of customer service can be initiated with the help of following actions- Building a culture of customer service- It is important to give adequate training to the existing as well as new employees of the organization so that they can know about the art of providing effective customer service (Sekaran Bougie, 2016). Theemployees should be trained about the fact that front-line employees need to be as friendlier as possible, which would improve the overall customer happiness. The employees should be rewarded if they are able to satisfy their customers (Kurian Muzumdar, 2017). This can be done in the form of dinners, newsletters, prizes and other perks. Effective communication- The customer service depends on the level of communication level maintained with the customers (Kurian Muzumdar, 2017). The customers should be appreciated and can be given small token of appreciations. Setting up of customer expectations- As commented by Jaakkola and Alexander (2014), a realistic setting of the customer expectations goes a long way in fulfilling their wants and desires. There should not be exaggerated claims, which are proved false when the customers actually avail the products or services (Kurian Muzumdar, 2017). The organization should be able to fulfill the promises made to the customers, which would help them to win the trust of them. Be aware of the target audiences needs- Peppers and Roger (2016) states that it isimportant for the organizations to devise promotional strategies based on the type of target market that they are catering to. It is important to focus on the way customers perceive quality. It is not only sufficient to focus on the demographic details of the customers, but it is also important to focus on their behavioral patterns. The findings of Boo (2017) reveal that the service driven nature of the restaurant industry has generated a lot of income in the global economy and it should be well managed. The various attributes of the service quality need to be identified, which provide the maximum benefit to the customers. The customer service is enhanced by the price of the services and the human services. Customer Satisfaction As defined by Lee, Back and Chan (2015), the customer satisfaction can be defined as the perceived expectations and perceived quality. When there is an increase in the performance beyond the expectation limits, then there is the creation of the customer satisfaction. The customer satisfaction comprises of both the objective as well as subjective factors. The subjective factors comprises of the customer needs and emotions (Kurian Muzumdar, 2017). The objective factors comprise of the product as well as services features. In the hospitality industry, there are important attributes that are considered by the customers visiting the restaurants. Two of the most important attributes are related to service quality and customer satisfaction. As argued by Radojevic, Stanisic and Stanic (2015), there are several factors that determine customer satisfaction such as value for money, security, staff courtesy and others. The cleanliness of the restaurant and the prompt service are preferred by the customers (Ramanathan, Di Ramanathan, 2016). The safety of the place, friendliness of the employees is also important factors of customer satisfaction among the restaurant industry. The customers of the hotel industry are also satisfied with the value for money, quality of food and the waiting time when they visit different restaurants (Ahmad, Ghazali Othman, 2014). As commented by Pizam et al. (2016), the assimilation theory of the customer satisfaction is based on the dissonance theory, in which it is believed that the consumers make cognitive comparison between perceived product performance and product expectations. The assimilation theory is responsible for the promotion of post-use evaluation of the customers (Choi et al., 2014). The consumers tend to avoid dissonance by modifying the perceptions of concerning a given product so that the expectations of the consumers are fulfilled (Mullins et al., 2014). The customers are able to reduce the tensions which are caused as a result of the product performance and expectations. This can be done by reducing the importance of the experienced disconfirmation. As argued by Eisenbeiss et al. (2014), the contrast theory of customer satisfaction is concerned with the tendency of magnifying with the discrepancy between the attitudes of the different opinion statements and own personal statement. This theory identifies the fact that the post-evaluation often cause opposite predictions for the different effects of expectations on customer satisfaction (Lankton et al., 2016). This theory underlines the fact that any kind of discrepancy of experience causing from the expectations are often exaggerated in the same direction of discrepancy. The findings of Sengupta, Balaji and Krishnan (2015) reveal that thenegativity theory is concerned with thediscrepancy of performance rising from expectations from performance can hamper the individuals activity, thus producing negative energy. The negativity theory takes place when the expectations are strongly held and the consumers usually respond to the negativity factor without any visible disconfirmation (Kurian Muzumdar, 2017). The dissatisfaction factor would occur when the perceived performance is less than that of customer expectation (Liao et al., 2017). Any kind of discrepancy arising from the performance of the expectations would disrupt the person, who would eventually produce negative energy. The kind of affective feelings which is displayed by the service or the product and that would be inversely proportional to the various levels of discrepancy. As commented by Peprah and Atarah (2014), the SERVQUAL model is concerned with the measurement of the quality of the hotel industry. This model is used for the perceptions of the consumer perceptions of the service quality. There are several elements of service quality, which are divided into different dimensions such as reliability, tangibles, assurance, responsiveness and empathy (Yin et al. 2016). The providing of the services is considered as the major point for assuring customer satisfaction (Ali Raza, 2017). There are numerous hotel chains in which there are inadequate measures adopted for measuring the guest satisfaction. They also hamper the act of making managerial decisions. The section would discuss the various attributes of the research methodology that would be carried out to seek solutions for the identified problem area. The findings of the data collection would be done and analyzed for deducing suitable conclusions. The study would be conducted by keeping in mind the statement of issue observed in the particular restaurant. The limitations of the study would be discussed and the attributes that prevented the study to be a more accurate one would also be discussed. The assumptions that are made for the purpose of this study would be defined. No study can be done without the help of ethical consideration and hence this would also be discussed. The next section would contain a set of recommendation in order to improve the given problem solution. Two types of recommendations would be proposed such as long term and short term recommendations. The short term recommendations would be applied from a period of one year to three years. On the other hand, the long term recommendations would be implemented from third years onwards. This research would adopt a mixed research methodology in which there is a combination of both primary as well as secondary research methodology that would undertake a large number of sources. The sources would comprise of the academic journals, international publications, scholarly articles, organizational records, government figure and others. A special focus would be given on the official records of the Simply Indian Restaurants. The main focus of the primary data collection would be the observation method and interviews. A sample size of 5 managers of the restaurant is selected and they would be selected randomly. A set of open ended questions would be asked and the answers would be recorded. The observation method would be done by keeping an account of the daily activities of the restaurants especially during rush hours. The behavior of staffs and customers would be noted down. The results of the survey showed that the customer satisfaction is directly related with the type of treatment that they receive at the restaurant. A majority of the customers want them to be greeted once they visit the restaurants. In Simply Indian Restaurants, there was lack of manpower who would greet the diners once they come inside the hall. There were times when there was no one to guide the guests and they felt left out in the new place. The waiters who interacted with the customers often were unaware of the menu of the day which made them silent when the guests enquired them. They were unable to give proper answer which infuriated the guests and made them doubt about the credibility of the place. The studies show that the customers expect the hotel authorities to display proper etiquettes, which reflect the professional attributes of the place. In Simply Indian Restaurant, there were some waiters and staffs, who were not aware of the correct way of serving the guests. They were often confused about which plates are for which diners, which created confusion and also put a bad impression to the customers. Quality of the restaurant meal is important This is one of the most important attributes in a restaurant and Simply Indian restaurant had severe problems regarding the same. The first problem was that it served average food, which implied that the best ingredients were not used for making them. The quality of chefs was poor which degraded the food quality. This annoyed the customers as they expect good quality of foods for the price they are paying. There were also issues with the restaurant menuas they were haphazard and customers were unable to find their favorite items. The restaurant management failed to identify the fact that the menu needs to be updated from time and again, which would meet the changing preferences of the customers. The waiters are not knowledgeable regarding the food items and hence they were unable to guide the customers. This lowered the customer satisfaction levels. The customers perceive time asmoney since they are not only paying for the services they are getting at the restaurant but also spending their valuable time. They perceive time as a valuable resource and hence they want their food to be delivered at the lowest possible time. It has been found that in Simply Indian Restaurants, the wait time is close to 18 minutes, which is pretty long. There are instances when the customers cancel their orders due to long waiting time. There are often situations of chaos when the customers shout at the waiters for delay. This creates an unpleasant atmosphere within the restaurant that hampers the satisfaction of other customers as well. The table location of the restaurant is also not proper, which makes more delay for the service delivery. The waiting time at the restaurant is considered as a major factor of customer dissatisfaction. It is absolutely normal to have different limitations of study and it is important to acknowledge the same. The various limitations of the study are defined below- There has been broad formulation of study aims as well as objectives. There are no specific ways of formulating research aims. Only one aspect of the organization is being discussed, which is customer service. All other aspects of the organization are being ignored. The act of incorporating any additional modes of data collection would have added new insights into the subject topic. The data collection method on focus groups could have explored new areas for an analysis. There are several assumptions that are while performing this research on customer service levels in Simply Indian Restaurants. They are outlined as under- It is assumed that the participants would answer the interview questions in a candid as well as honest manner. The research is being focused on the customer service attributes of the selected restaurants. The sample sizes inclusion criteria are appropriate and hence it is assumed that all participants have been exposed to similar kind of events in their organization. The various ethical consideration of the project is defined as below- The managers and the staffs were not forced for the interview and they voluntarily participated in the research process. They gave their independent views and they were not pressurized for giving any favorable opinions. The participants were not biased and they were selected randomly from the selected restaurants. The participants had informed consent regarding their participation in the research process and full consent was obtained before the survey was done. The research was done with full confidentiality and the data collected was not shared with any third party. The interview was not done with any form of deception or any firm of exaggeration concerning the ultimate motive of the research. The dignity of the participants was protected throughout the research and they were not harmed during the process of data collection. Recommendations It is important to make long term recommendations to the management of Simply Indian, which would be implemented in the organization. These would be implemented in the organization after several years of operation. They are outlined as under- Renovation- The restaurant should try to renovate their restaurants and adopt a more attractive ambience. The tables and chairs or sofas should be placed in such a manner that it becomes convenient for the waiters to deliver the food orders within the restaurant. Quality of foods- The restaurant should try to improve the quality of foods being served at the restaurant. The act of quality control should be equivalent to that of controlling value of the food items being served at the restaurant. The quality control should be equivalent to providing value to the customers and should be given more importance. In the long run, the company should hire goo employees, who would be able to provide top class quality service to the customers. The organization should also take initiatives to empower their employees. The quality control needs to be a full team effort and each one of the employees in the organization should be involved in the process. The company should ensure top level quality standards in their food products and should also comply with the necessary food quality checks. Short term recommendations The short-term recommendations would be implemented immediately and would last till three years from now- Decreasing customer wait time- The front-line staffs should deliver quick and effective service, which would be appreciated by the customers. They should be knowledgeable about how to enroute the customers and serve them in the least possible time. The bottlenecks in the delay should be identified and suitable actions be taken. It is also advisable to implement self-service opportunities in the restaurant which would incorporate digital intervention. There needs to be better web interface and should be channeled around customer expectations. It is also important to optimize the staffs of the restaurants so that the customers do not feel shortage of staffs. The peak times customer data should be analyzed and manpower planning should be done accordingly. The diners should be served their first round of foods or drinks soon after they arrive at the restaurant. Customer Satisfaction- The single most important parameter of the restaurant should be an increase in the satisfaction level of the consumers. Any problem of the customers should be fixed immediately and a negotiating solution should be applied when interacting with the customers. The customer should be heard and their issues needs to be addressed. 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