Determinants of Customers' Perceived Value in the Fast Food Industry for Global Brands in Malaysia

Author(s):  
Jalal Rajeh Hanaysha ◽  
Haim Hilman ◽  
Zahari Abu Bakar ◽  
Lee Khai Loon

The purpose of this research was to investigate the effect of food quality, customer service, physical environment, and price fairness on perceived value in the fast food industry. A survey method was used for the collection of desired information from the visitors of global fast food restaurants in the East Coast region of Malaysia. The returned questionnaires were analyzed by SPSS and structural equation modeling (PLS-SEM). Overall, the findings showed that the impact of food quality on perceived value is positive. The results also showed that the effect of customer service on perceived value is insignificant. The outcomes also proved that physical environment has a significant positive impact on perceived value. Finally, the findings indicated that price fairness has a positive effect on perceived value. These results enhance the understanding towards the significance of the selected factors in influencing customers' perceived value in the fast food industry.

2018 ◽  
Vol 19 (6) ◽  
pp. 1494-1514 ◽  
Author(s):  
Jalal Rajeh Hanaysha ◽  
Richard Jan Pech

The highly competitive business environment forces firms to differentiate themselves among their competitors in order to ensure their long-term survival and success. Therefore, building a strong brand has become a key priority for many successful firms. This article examines the effect of physical environment, food quality, price fairness and customer service on brand prestige in the restaurant industry. It also aims to provide a significant contribution to existing literature by examining the mediating effect of word of mouth (WOM) between the stated factors and brand prestige. The data in this study were collected using a survey instrument from customers at several international fast-food restaurant brands on the east coast of Malaysia. The collected data were analysed with SPSS using structural equation modelling (SEM). The findings indicated that physical environment, food quality and customer service have significant positive effects on brand prestige, but the effect of price fairness on brand prestige is insignificant. The outcomes also revealed that price fairness, physical environment and customer service have significant positive effects on WOM, whereas customer service is not significantly related to WOM. Finally, the findings reveal that WOM mediates the relationships between all of the stated factors and brand prestige.


2019 ◽  
Vol 14 (3) ◽  
pp. 119
Author(s):  
Indryati Sunaryo

This study aims to measure and analyze the effect of several restaurant-related quality attributes toward customer loyalty with a mediating effect from customer satisfaction in the local fast-food industry in Indonesia. The nature of local fast-food industry is different compared to its global counterpart, so a new perspective has to be taken into account. Based on literature review of previous studies, the quality attributes that are selected for this study are food quality, service quality, environment, price, and location. Data in this study were collected from the responses of 461 participants and analyzed using Structural Equation Model (SEM). The SEM result shows that only price and location significantly affect customer loyalty through customer satisfaction. When customer satisfaction is removed and restaurant-related quality attributes is directly tested towards customer loyalty, only price and food quality significantly affect customer loyalty. Both with and without mediating effect from customer satisfaction, price keeps influencing customer loyalty. This result is against the majority of fast-food customer loyalty studies which usually emphasize on food or service quality as the main factor that influences customer loyalty and customer satisfaction.


The main purpose of this conceptual paper is to propose a holistic framework that could expand the understanding of the real predictors of customer’s satisfaction towards the fast-food industry in Malaysia by applying the Equity Theory. Previous academic studies have identified various aspects that could affect the customer’s satisfaction in the industry. There are numerous local SME fast food entrepreneurs that unable to recognize the predictors, therefore they executing the wrong strategies to attract potential customers. This paper aimed to provide a better understanding towards the identified elements that have been proven by academicians in previous literature about the issue. This study hypothesized four predictors (physical environment, price sensitivity, product quality, and promotion) that could affect the customers’ satisfaction in the SME fast-food business. It is presumed that all predictors are significant in controlling the satisfaction of customers in this study. In order to gain competitive advantages and competitively sustain in the market, a business or company (particularly the small and medium fast-food operators or entrepreneurs) should focus on these four main predictors as it could affect the level of customers’ satisfaction towards the business


2019 ◽  
Vol 2 (2) ◽  
pp. p1
Author(s):  
Cuong Nguyen ◽  
Duy Nguyen ◽  
Toan Do

This primary objective of this study is to identify the determinants of customer satisfaction for KFC in Vietnam. Fast food industry developed rapidly in an emerging economy like Viet Nam. Current competition in Vietnamese fast food has required companies to pay more attention to customer satisfaction. Data is collected from KFC's customers in Ho Chi Minh City, Viet Nam. The research model is adopted from the SERVQUAL model (Parasuraman et al., 1988). The findings show that the main determinants of customer satisfaction of KFC Vietnam are Food Quality, Ambience, Price, Service Quality. Among these determinants, ambiance causes the most impact on customer satisfaction, following up by food quality and price. Managerial implications for KFC and other fast-food companies are discussed to improve customer satisfaction.


2021 ◽  
pp. 163-183
Author(s):  
Siti Aminah Hasbullah ◽  
Umme Umaimah Amin ◽  
Norhafizi Nordin ◽  
Nurul Asmida Abd Razak

The high demand from customers for quality services and competitive environment in the fast food industry give rise to the need to improve customers’ satisfaction that will increase the restaurant’s revenue. The objective of this study is to investigate the factors effecting customers’ satisfaction in fast food restaurants namely the price, service quality, and food quality of fast food restaurants in Arau, Perlis. The fast food restaurants selected for this study are Marry Brown, KFC, Pizza Hut and Domino's Pizza. A quantitative method was applied using online questionnaire to collect data from customers. The respondents consisted of customers who had experienced purchasing at these fast food restaurants. The findings of the study revealed that there is a significant relationship between customers’ satisfaction and the price of the foods. However, the study indicated insignificant relationships between food quality, service quality of fast food businesses and customers’ satisfaction. For future studies, it is recommended that the study area is expanded to involve various samples of the population, for broader results. To obtain more precise and reliable results, a similar study considering other factors that influence customer satisfaction in fast food restaurants could be added as variables.


This study examines the behavior of consumer in fast food industry. The customer psychology strongly effected from other customer’s word of mouth, review’s and pricing policy of a company. In this study, we examine the consumer psychology with three factors (referent price, referent deservingness and fair pricing). The three factors become a cause to reduce the anger of consumer and due to this customer satisfy from the operations of fast food industry. We distribute more than 300 questionnaire for analyze our research hypothesis. After analyze we conclude that referent price does not impact on customer anger but it impact on satisfaction of customer. The referent deservingness and price fairness has significant impact on anger of customer and satisfaction of customer. This study provides useful information to fast food sector regarding customer psychology.


GIS Business ◽  
2019 ◽  
Vol 14 (6) ◽  
pp. 521-542
Author(s):  
Saroj Kumar Koiri ◽  
Subhadeep Mukherjee ◽  
Smriti Dutta

Today, fast food industry is growing rapidly in India. It is getting adapted and also being upgraded according to Indian food requirements. Online food ordering apps and sites are developed in order to meet consumer’s expectations. With the changing food preferences and habits of the people, it is necessary to know what factors impact the consumer’s perception regarding online food delivery apps.


2015 ◽  
Vol 76 (3) ◽  
pp. 339-352 ◽  
Author(s):  
Brian Quinn

George Ritzer, a sociologist at the University of Maryland, has proposed an influential thesis that suggests that many aspects of the fast food industry are making their way into other areas of society. This article explores whether his thesis, known as the McDonaldization thesis, is applicable to academic libraries. Specifically, it seeks to determine to what extent academic libraries may be considered McDonaldized, and if so, what effect McDonaldization may be having on them. It also investigates some possible alternatives to McDonaldization, and their implications for academic libraries.


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