Professional Documents
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CH 1 To 3 Revised
CH 1 To 3 Revised
CH 1 To 3 Revised
A Quantitative Research
presented to the Faculty of Senior High School
VALENCIA NATIONAL HIGH SCHOOL
Valencia City, Bukidnon
SHERLYN A. DUTOSME
Research Adviser
January 2024
Chapter I
INTRODUCTION
The coffee shop industry has experienced significant growth and evolution,
loyalty has become crucial for the success of coffee shops. In Valencia City,
Bukidnon, the local coffee shop scene is vibrant and diverse, with establishments
like Don Macchiatos, M310 Cafe, Pet Perry Bean and Leaf, and Nitibrew Cafe vying
for customers' attention and loyalty. The present study seeks to delve into the
intricacies of customer satisfaction and loyalty within the context of selected coffee
attributes and service quality factors that contribute to overall customer satisfaction.
quality, and the relationships among these variables, the study aims to provide
valuable insights for both coffee shop owners and the academic community. The
and the coffee shop they most frequently visit, including popular choices like Don
Macchiatos, M310 Cafe, Pet Perry Bean and Leaf, and Nitibrew Cafe.
essential for tailoring services and marketing strategies to meet the preferences and
expectations of different customer segments. The study will assess the levels of
various attributes associated with coffee shops, including atmosphere, employee
attitudes, IT service, coffee quality, and price fairness. These attributes are critical
components that shape the overall customer experience and contribute to their
satisfaction or dissatisfaction with the chosen coffee shop. Service quality is a pivotal
factor influencing customer satisfaction. The study will examine the levels of service
within the selected coffee shops. This exploration will shed light on the effectiveness
of the services provided and their impact on customer perceptions. The study will
measure the levels of customer satisfaction and loyalty among coffee shop
Understanding the factors that drive satisfaction and loyalty is essential for
coffee shop owners to enhance customer retention and attract new patrons. The
service quality, and customer satisfaction and loyalty based on demographic factors
such as age, gender, and the preferred coffee shop. This analysis will provide a
the context of coffee shops in Valencia City, Bukidnon. The findings may offer
practical insights for coffee shop owners, helping them make informed decisions to
improve their services and better cater to the diverse preferences of their customers.
This study would aim to identify the levels of attributes and service quality
towards customer satisfaction and loyalty among the selected coffee shop in
Valencia City, Bukidnon. It would also investigate the relationship between these
a. sex
a. Don Macchiatos
b. M310 Cafe
d. Nitibrew Cafe
2.) What is the level of attributes of Coffee shop in Valencia City, Bukidnon in terms
of:
a. atmosphere
b. employee attitudes
c. IT Service
d. coffee quality
e. price Fairness
3.) What is the level of service quality of Coffee shop in Valencia City, Bukidnon in
terms:
a. tangibility
b. reliability
c. responsiveness
d. assurance
e. empathy
4.) Is there any significance relationship between attributes, service quality and
customers satisfaction and customer loyalty on Sex, Academic strand, Coffee shop
often visited?
organizations. The finding and solutions of this research work would benefit to the
following:
Business owners and managers: The study can help them identify which
service attributes have the biggest impact on customer satisfaction and loyalty,
allowing them to prioritize improvement efforts and invest in areas that yield the most
significant results.
within a specific industry, empowering them to make informed choices and hold
deliver high-quality service, making it easier for customers to identify companies they
Researchers and academics: The study can contribute to the ongoing body of
research on customer satisfaction and loyalty, providing valuable data and insights
that can inform future studies and theoretical frameworks.The findings can also be
used to develop new models and frameworks for measuring and evaluating service
quality, leading to more effective methodologies for businesses to track and improve
their performance.
satisfaction and loyalty has broad implications for various stakeholders, offering
valuable insights for improving customer experience, building stronger customer
The study will be conducted during the first semester of the school year,
allowing for data collection and analysis within this specific period.The primary focus
will be on students from Valencia National High School, whose input will be valuable
for assessing the attributes and service quality of the selected coffee shops,
understanding the impact of service quality on customer satisfaction and loyalty, and
specific coffee shops in Valencia City: Don Macchiatos, Pet Perry Bean and Leaf,
and this study aims to assess the attributes and service quality of the selected coffee
shops, explore the relationship between service quality and customer satisfaction
and loyalty, and gain insights from Valencia National High School students'
The study is limited to the first semester of the school year, restricting data
collection and analysis to this specific period.The primary focus is on students from
Valencia National High School. The study does not include input from other schools
coffee shops in Valencia City: Don Macchiatos, Pet Perry Bean and Leaf, Starbucks,
and Nitribrew Cafe. Other coffee shops in the area are not
from coffee shop owners, employees, and customers beyond the targeted high
Chapter 2
REVIEW OF THE LITERATURE AND CONCEPTUAL FRAMEWORK
In the coffee shop industry, this study looked at five characteristics as antecedents of
customer satisfaction. The five characteristics were: coffee quality, price fairness, employee
attitude, store atmosphere, and information technology (IT) service. The first factor that is
thought to positively correlate with customer satisfaction is the atmosphere of the store.
According to earlier research, customers who feel at ease in the store environment are more
likely to be satisfied (Tripathi & Dave, 2014; Han & Hwang, 2015; Han & Hyun, 2017).
Furthermore, Han and Jeong's (2013) study discovered a positive correlation between
customer satisfaction and store atmosphere. Additionally, Heung and Gu (2012) discovered a
positive correlation between customer satisfaction and the store atmosphere of a restaurant or
cafe. By fostering a good atmosphere and surroundings, it will have an emotional impact on
are crucial for influencing and creating first impressions views that customers have of a store,
and it also has an effect on a store's reputation. Consequently, atmospheric and environment
The second component in this study is employee attitude. In the coffee shop
sector, employee attitude is a critical factor, and clients will notice it first when
assessing the overall service performance of Starbucks (Lee et al., 2018). A warm
restaurant service and hospitality (Tsaur et al.,2015). Hwang and Ok (2013) also
discovered that interactions between patrons and staff in the restaurant business
organization play an important role in ensuring the satisfaction and loyalty of the
influence on customer perceived value. The results of Ha & Jang (2010) show a
perception of the atmosphere are better to apply good employee service to increase
IT service
patrons of the coffee shop is referred to as the information technology (IT) service.
Prior research has indicated that the availability of free wireless internet connectivity
was essential to elevating the standard of service in the restaurant sector (Honack &
Waikar, 2017; Brochado, Rita, & Margarido, 2016; Bulut, Demirbas, & Ferhatosman
oglu, 2015). Another study conducted by Lee et. al (2018) found that IT service leads
Whalley (2004), Honack & Waikar (2017), free Internet access is now a crucial
component that can raise the caliber of services. Specifically, as stated by Darini &
Spacey, Muir, Cooke, Creaser, & Khozaei (2016) According to Spezi (2015),
wireless Internet access gives businesses in the restaurant or food services industry
a competitive edge. For instance, in a research of clients in the United States, per
Cobanoglu et al. et. al. (2012), the function of Internet access that is wireless
Coffee quality
The most crucial element in the food service industry, according to several
earlier studies by Dorn et al (2016), and Han & Hyun (2017), is food quality.
full-service restaurants by Tsaur et al. (2015) and in hotel restaurants by Han & Hyun
(2017), revealed the same conclusion: food quality has an impact on patron
satisfaction. Finally, Lee et al. (2018) discovered in their research that the quality of
coffee has a major impact on how satisfied customers are with coffee shops. A
product's quality is crucial, particularly For instance, in the food and beverage sector,
eateries and coffee shops. Items that are intended By quality of product, ingredients,
calorie count, Taste (Mohamud et al., 2016), sugariness (Wang & Yu, 2016),
product quality yields varying outcomes Lee et al (2018). Therefore increasing the
Kumar (2020) further state that price fairness is a subjective assessment made by
customers independent of the appropriateness of the price a seller sets for a given
the product price (goods or service) and whether it is reasonable and appropriate
given the amount paid. One of the key factors in determining customer satisfaction is
price fairness. Superior techniques for pricing and customer satisfaction can rise with
for an example and Wisenblit (2015), consumers frequently observe the prices other
consumers pay and occasionally think that price disparities are unjust. Nobody
enjoys finding out that they are paying more for a movie or airline ticket than the
person occupying the seat across from them. Fairness in pricing, then, will be one of
the main factors influencing a customer's visit; this applies to comparisons with other
customers as well as with the benefit that they receive in return. According to an
article from Katadata (2020), the manager or owner of a coffee shop will compete to
get the customer by offering good quality of product and affordable price.
Service quality is crucial for businesses to maintain prestige value and gain
customers and survive in the competitive coffee shop market. The rising demand for
coffee has led to fierce competition among coffee shops, making it essential for
businesses to offer high-quality service. Five indicators to assess service quality
Research by Kartikasari and Albari (2019) and Suryadharma and Nursehya (2015)
have shown that raising the standard of excellent service directly increases customer
competitive edge.
Tangibility
and more. The findings of this investigation are consistent with studies conducted by
Tamwatin et al. (2015) and Iskandar et al. (2015), which indicate a relationship
experiences customers have with the company's offerings organizations, the higher
Reliability
customer contentment. This implies that the capacity to offer assured timely,
provide services in accordance with what is promised accurately and reliably. The
Responsiveness
will positively evaluate employees' capacity to adapt to what they have, enabling
address issues that clients encounter when using services. Parasuraman defines
responsiveness in (Kotler, 2016) as the capacity to offer responsive services and the
readiness of service providers, particularly given their nature to assist customers and
and provide prompt and appropriate services to customers; if customers are not
given clear information in a timely manner, they will develop a negative perception of
the quality of the services. Studies carried out by (Islamet al., 2021). The results of
Assurance
Customers are more assured by this that the service delivery representative
will perform their tasks with professionalism, particularly the coffee-making and
assurance is the capacity of service providers to engender consumer trust and self-
assurance regarding their ability to meet the needs of customers, particularly through
employees. includes the skills, abilities, civility, and dependability that employees
Research conducted by (Kadek et al, 2019) has finding assurance has a positive
Empathy
wherein the service providers go above and beyond in the interaction to provide the
client with a sense of value and special treatment (Bahadur et al., 2018). Murray et al.
(2019) assert that empathy requires putting oneself in the shoes of the customer in
order to comprehend their needs. They further state that the following characteristics
the client's specific needs; willingness to give special attention; and willingness to
take the time to explain the protocols and practices that must be followed in the
service, or brand) are associated with loyalty (Kim et al., 2015; So et al., 2016).
augmenting "customer loyalty" due to the fact that favorable psychological conditions
are more likely to elicit favorable outcomes (e.g., willingness to pay, repurchase
intention, and word of mouth). Numerous prior studies have demonstrated a positive
family restaurants (Jung & Yoon, 2013) and hotel restaurants (Han & Hyun, 2017).
As stated by Lee et al. Al (2018) discovered that customer loyalty is a direct result of
purchasing, or the action of purchasing and acquisition (Pei et al., 2020). Sustaining
or grow their market share, businesses must work to outperform their rivals by
providing better goods and services that satisfy consumers (Limna & Kraiwanit,
2022).
and repeat business (attitudinal loyalty) toward service providers. It comprises the
propensity to return or buy goods or services again, as well as to tell friends and
family about the service provider (Kanyama, Nurittamont, & Siripipatthanakul, 2022;
Limna & Kraiwanit, 2022). According to research, a company's ability to retain and
grow its customer base is directly correlated with its level of customer loyalty (Adobe,
2020). Furthermore, devoted clients are less price-sensitive, more likely to make
contribute to higher sales and profitability for the business (Sánchez-Fernández &
Iniesta-Bonillo, 2020).
most recent study from 2021, providing excellent customer service is one of the
precursors to fostering brand loyalty among consumers. Gaining client loyalty may
crucial to its long-term success. The goal of creating and sustaining customer loyalty
service quality. Through an indirect way, it can ensure the profitability of the business
additional purchases from them after contentment (Charles & Kumar, 2014). Loyalty
is demonstrated by the goal of the buyer to keep using and making future purchases
company's overall performance (Dam & Dam, 2021). Additionally supporting the link
between customer satisfaction and service quality is Kotler and Armstrong's (2020)
claim that a customer will not believe or be dissatisfied if the quality of the service is
below expectations. Therefore, the secret to providing services of the highest caliber
Conceptual Framework
Having examined the related literature above, the study perused the
conceptual framework in order to establish a model to be proposed for the study (see
figure 1 below).
age
academic strand
The figure 1 shows the independent and dependent variables. The independent
variables is the sex, academic strand (ABM, STEM, HUMSS, and GAS), coffee shop
often visited, and the level of attributes and service quality, while the dependent
Research Hypothesis(es)
HO1: There is no relationship between the Attributes of coffee shop, service quality,
customers satisfaction and customer loyalty sex, academic strand and coffee
HA1: There is a relationship between the Attributes of coffee shop, service quality,
Definition of Terms
The following terms are operationally defined for the purpose of the study.
thing.
shape, and color of raw beans are among the parameters used to assess quality.
communication materials
on promised services .
Empathy The capacity to view things from the viewpoint of the client.
Being empathetic toward customers entails being able to place yourself in their
customers are with the goods, services, and abilities provided by a business.
Customer loyalty is the result of a customer and a business having a
your service and after-sales support that they decide to stick with you forever.
Chapter 3
METHODOLOGY.
Research Design
study allows the researchers to describe the demographic profile of the respondents
in Valencia City and the level of the attributes and service quality towards customers
study design enables a thorough comprehension of both the descriptive features and
The Sample
Quota random sampling was the sampling strategy used, in which the
characteristics to be questioned concerning the subject of the study and added to the
sample at the appropriate judgment of the researcher (Etikan and Bala, 2017).
Additionally, one hundred sixty (160) Senior High School students are required as
sample size of at least one hundred (100) is sufficient to obtain any kind of
meaningful result; for this reason, the researchers collected one hundred sixty (160)
respondents in order to more accurately generalize the population. For each strand
of the academic track, four (4) sections and ten (10) students were chosen, making
The Instrument(s)
The researchers used a structured survey questionnaire that consisted four (4)
The first (1) section sought to determine the demographic profile of the students
specifically the respondents' sex, academic strand, and the Coffee shop often visited,
The second (2) section aims to identify the level of attributes of Coffee shop in
Valencia City, Bukidnon. While the third (3) part contains the level of service quality
of Coffee shop in Valencia City, Bukidnon . Questions from Edrozo (2019) The
effect of brand image and service quality to customer satisfaction in selected coffee
shop Bonifacio, Taguig city. The questionnaire was divided into four (4) parts and
each consists five (5) indicator statements that determines the customer satisfaction
in terms of level of attributes and service quality. In addition, in accordance with the
Data Privacy Act of 2012, the student's name was regarded as optional. Participation
in the study was voluntary, and consent was sought before the study began. Only
4 Agree Good
3 Neutral Neutral
2 Disagree Poor
High School and to the Senior High School Department to allow the researchers to
2. The researchers gathered forty (40) respondents from each of the four (4)
inputted.
4. Data cleaning was done by the researchers before the data was coded,
1. SPSS (Statistical Package for the Social Sciences) was used by the
researchers in analyzing the data gathered from the descriptive-correlational survey
questionnaire.
2. Descriptive statistics was then used to determine the level of attributes and
satisfaction and customer loyalty , Bivariate Correlational was used as the statistical
tool.
5. The level of attributes and service quality of coffee shop and academic
To analyze the relationship between sex and the level of attributes and service
7. Then, the researchers used descriptive and frequencies to identify the sex,
academic strand and coffee shop often visited of the respondents in order to
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