ABM G12 Barcelon The Efficacy of Clark and Nikks Product and Service Quality Towards Customer Satisfaction

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THE EFFICACY OF CLARK AND NIKKS’ PRODUCT AND SERVICE QUALITY

TOWARDS CUSTOMER SATISFACTION

A RESEARCH PAPER
Presented to the Faculty of ABM
Senior High School
Xavier University – Ateneo de Cagayan
Cagayan de Oro City

In partial fulfillment
of the Requirements for Research in Daily Life 203
Accountancy Business and Management

Presented by:

Dablio, Nadine Arielle


Encarnacion, Annika Julia
Iran, Nathalie Joy
Itum, Starra Shane
Jangao, Janine Kyle
Nagac, Justine Faith
Reber, Kenneth
Tancongco, Zuriel Louisse

12 - Barcelon

SY 2018 – 2019

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Table of Contents

Title Page

Abstract ……………………………………………………..

CHAPTER 1: Introduction
Background of the Study ………………………………….
Statement of the Problem …..…………………………….
Research Questions …….…..…………………………….
Research Hypotheses …..……………………..…..…….
Significance of the Study …..……………………………..
Scope and Delimitation …………………..……………….

CHAPTER 2: Review of Related Literatures


Theoretical Framework ……………………………………
Conceptual Framework …………………….…….……….

CHAPTER 3: Research Methodology


Research Design ……………………..……………………
Context and Participants …………….……………………
Research Instruments ..……………………………………
Data Gathering and Procedure ….….……………………
Data Analysis ………….………...…………………………

CHAPTER 4: Interpretation, Results and Discussion


Results ………………….….………………………………
Discussions ………………….……………….…………….

CHAPTER 5: Findings, Conclusion and Recommendation


Summary of Findings ………………………………….
Conclusion ………………………………………………..
Recommendations …………………………………….

References …………………………………,………………
Appendices ……………………………………………

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ACKNOWLEDGEMENT

We, the researchers would like to express our deepest gratitude to the owners

of Clark and Nikks for the permission they bestowed upon us in conducting this

research study as it centers on their business and without their consent, this study

would not have been possible. Their kind consideration enabled the researchers to

strive and continue to conduct the research study.

To our Research adviser, Ms. Rose Ann Gicole, for her expert knowledge and

unending support and guidance throughout the process of writing this research paper.

Her advice, assistance, and constructive recommendations and suggestions were a

big help in making and continuously improving our research study. Moreover, her

generosity and willingness to help and advise us during several revisions were

valuable and gave us sense of encouragement to fulfill this study.

In addition, to our families and friends for their unending assistance and support

in making this research study possible most especially for financially supporting the

group. Their sincere care and guidance enabled the researchers to stay motivated and

determined to fulfill the study.

And most especially, we would like to thank the Lord Almighty for giving us the

strength and patience all throughout the making of this research study.

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ABSTRACT

In this paper, the researchers were able to determine the relationship between

the product and service quality of Clark and Nikk’s towards customer satisfaction. The

purpose of the study is to further explain each variable with its respective basis in

affecting the satisfaction of a consumer and how efficient product quality and service

quality are. It is also to determine the functionality of the restaurant and the efficacy to

its consumers in terms of the quality of the products and services provided to them.

The researchers used a descriptive correlational type of research design as the

appropriate design to be used in conducting the study. Through the use of different

data analysis tools, the data gathered from survey questionnaires were administered

to over three hundred fifty-one respondents and were analyzed and interpreted to

clearly illuminate the data obtained. The SERVQUAL Theory, Disconfirmation Theory,

and Service- Profit Chain Theory are the following theories that were used to support

and relate the results from the gathered data in the study. Each independent variable

were being paired to its corresponding dependent variable to exemplify their

relationship and identify significant factors that greatly influence the satisfaction of the

customers in the restaurant. Based from the results obtained and presented in the

paper, it suggests that product and service quality have an influence and therefore

contribute towards the attainment of customer satisfaction. Also, it implies that the

product and service quality of the restaurant are effective as it generated satisfaction

to the customers.

Keywords: Product Quality, Service Quality, Customer Service, Customer


Satisfaction, Customers’ Feedback

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CHAPTER I

Introduction

Background of the Study

In the industrial world, businesses continuously improve its products and

services to meet the expectations of the consumers and in order to attract potential

customers in the market. Service-based industries such as hotels and restaurants

strive to attain a quality service that surpasses the expectations of the customers in

order to be globally competitive (Abdullah, Munna & Rozario, 2009). Quality services

define an organization’s achievement or failure. Companies and organizations allot

extensive efforts in measuring customer satisfaction considering that customers who

are satisfied are vital for the success of the business (Gupta, McLaughlin, & Gomez,

2009). The customers’ prospects particular on the service quality rendered by a

business are continually changing with the factors of time, multiple encounters of the

service, and competitive market are considered. With this, the business is challenged

to maintain good efforts in acquiring and authenticating an innovation of its products

with continuous provision of a quality service.

Small businesses show an important role in the economies around the world.

They portray performances which are associated with the customers’ necessities and

preferences (Ackermann, 2012). With this, businesses are more probable to prosper

when they are joined with growth and differential strategies (Pelham, 2000). Quality

services and customer satisfaction are observed to lead an increase to the loyalty of

the actual customers, and more potential customers who are empowered by the two

variables to contribute in the improved reputation of the business. With this, the

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business’ output is measured through the performance quality of the entity, and the

satisfaction measures the number of customers of the business.

As food is one of the basic necessities of man, it is relevant for food businesses

to satisfy consumers with this need through providing a food product that meets their

expectations and good standard towards one’s products having its outstanding quality

that will lead to their loyalty. At present, the trend of having unlimited chicken wings

from restaurants has been currently popularized in the local area. It serves not only

usual fried chicken wings but also comprises with an innovation through its quality

(appearance, serving size and taste) which entices most of the consumers in the

market. One specific existing food business that provides a similar product is Clark

and Nikks restaurant located at Lifestyle District Corrales Extension, Cagayan de Oro

City. The business started in September of 2017, and is named after the owners, Clark

Daryl Resma and Nikki Kathryn Echavez. One popular dish of the restaurant is its

unlimited chicken wings served at Php 199.00 offered in four different flavors: original,

butter lemon, hot & spicy, and garlic parmesan.In addition, the business also offer

other items on the menu such as pastas, salads, ramen, fish dishes, and combo meals.

The company also caters to customers that would like to hold private parties or events.

The business is open daily from 11 AM to 10 PM. The food products of the business

aim to fit into the demand and interests of the potential customers at present, thus,

providing an exemplary product quality in order to establish a good image which will

attract more customers in the market.

According to Avenir (2009), poor quality products and services will result to the

ineffectiveness of the business in the market as it gives a negative impact for

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customers which will lead to the failure of the business in aiming to be successful as

it continuously operate and grow. Rendering ineffective product and service quality

marks a negative impact for the reputation and credibility of the business as it aims to

fulfill the needs of its customers. This will unable to attract potential customers as it

means failing to entice and fit into the standards of the consumers in the market.

Providing an efficient service quality also means provision of a competitive advantage

for the business in the marketplace (Azzam, 2015). With this, businesses should

consider the changes of the preferences of the consumers in the market as they try to

fit into their demands. This also includes being knowledgeable of their culture and

needs as customers which are part of the factors that affect their standards in a specific

product and service. Following this, the researchers will conduct a study regarding the

efficacy of Clark and Nikks’ product and service quality towards the attainment of the

satisfaction of its customers. This is to assess how the business efficiently manages

the quality of its products and services in setting a difference among other competitors

as it satisfies and meet the expectations of its consumers.

Research Gap

Service-based industries are spending remarkable efforts in evaluating and

improving the quality of the services that it offers (Nailul, Abdullah, & Rozario, 2009).

However, indicators of service quality are complex with the changing business

environment. Therefore, measurement of these variables depends on the business

itself. Among all the relevant variables comprising a service and a product, there are

no similar studies which successfully measured and proved the efficiency of a specific

variable that will serve as a basis and an indicator of the presence of quality for the

satisfaction of customers as the primary goal of a business.

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1.2 Statement of the Problem

Customer satisfaction has become an important factor for businesses that offer

and render products and services. The success of the business is about retention and

gaining of customers, which depends on customer satisfaction level (Fečiková, 2004).

Following this, it would be a great help to be able to comprehensively measure the

quality of products and services, specifically by obtaining the corresponding measures

of quality from the customers’ perceived value of product and service quality.

Following this, the study aims to determine the efficacy of Clark and Nikks'

product and service quality towards the attainment of customer satisfaction. Moreover,

the researchers aim to measure the quality of the restaurant’s products and services

which helps to determine the business' efficacy in keeping loyal customers and at the

same time, gain potential customers in the market area. Another objective of the study

is to provide salient points for the entrepreneurs regarding the status of their business

in the market from the gathered results, which include the certain areas that the

business should improve and consider for the welfare of both the entity and the

customers.

1.3 Statement of the Research Questions

The study intends to answer the following questions:

1. What are the profiles of the respondents in terms of:

a) age

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b) gender

c) occupation

2. How frequent do the customers avail the products and services of Clark and

Nikks in a year?

3. How efficient is the product and service quality of Clark and Nikks in correlation

with the customers' level of satisfaction?

4. Is there a relationship between product quality and customer satisfaction of

Clark and Nikks?

5. Is there a relationship between service quality and customer satisfaction of

Clark and Nikks?

6. How can the product and service quality of Clark and Nikks be improved in

attaining customer satisfaction?

1.4 Research Hypothesis

Ho: There is no significant relationship between product and service quality

efficiency towards customer satisfaction.

Ha: There is a significant relationship between product and service quality

efficiency towards customer satisfaction.

1.5 Significance of the Study

The findings of the research study will prove useful to the following beneficiaries:

(1) Customers. This study will benefit the customers of Clark and Nikks by providing

them with good recommendations with regards to the qualities of the product that the

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business offers affecting their buying preferences in the market. This study will also

contribute to the buying preference of the potential customers in the market that the

business belongs, allowing them to be provided with an overview of the kind of product

the business offers.

(2) Entrepreneurs. The results of the study will provide information to the

entrepreneurs regarding the effectiveness of the business’ product and service quality.

With the factual results and evaluation of the data gathered, this will also be a basis

for further improvements that a business can consider in addressing the problems

gathered from the results and findings of the study which serve as a feedback from its

customers.

(3) Business Owners. The study aims to give information to the business owners of

Clark and Nikks for them to be fully aware of the level of its customers’ satisfaction

with regards to consuming their product. This will help them know the areas that they

should improve in satisfying its customers’ needs and wants as they have the authority

and capability in developing the totality of the business.

(4) Business Competitors. This study will provide information about the business and

the existing market which can give competitors insights on how to improve their

company's products and services similar to Clark and Nikks, how to cater to their

customers, and on how to stay relevant in the existing market with the ongoing trends.

(5) Future Researchers. This research study will give additional knowledge to the

future researchers about the business’ efficiency in its product and service quality.

With this, it will be easier for them to conduct their research study because of the

present data and information from the study, and use it as the basis of their research

study that is in line with the established research paper.

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1.6 Scope and Delimitation of the Study

As the business exists with its continuous operation and good functioning, it is

relevant to assess how the business effectively functions as it provide products along

with its services to its customers, setting a good differentiation among other

competitors in the same market area where the business is situated. With this, the

researchers will only focus on two independent variables which are the quality of the

products and services offered by the business that will be measured in assessing

customer satisfaction as the dependent variable. The components of product quality

are delimited to the taste, appearance, and serving size of the product as the

researchers will only measure evident factors present in perceiving the product of the

business. On the other hand, the components of the service quality are delimited to its

tangibility, responsiveness, and reliability which will be measured in relation to the

dependent variable. The sub-variables are part of the major variables which will serve

as the basis of determining consumers’ level of satisfaction.

This study will be conducted at Xavier University - Ateneo de Cagayan and

questionnaires will be administered at Lifestyle District Corrales Extension, Xavier

University, and other schools within the city considering the observations of the

researchers in which the usual customers of the business are students. The

respondents of the study will only center on the customers of Clark and Nikks who

have already consumed the products and experienced the services of the business.

The intended respondents will be appropriate for the study as they are part of the

customers of the business who have consumed and experienced their products and

services. A purposive sampling method will be used in the data collection as the

researchers will only administer survey questionnaires to the respondents who already

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availed the products of Clarks and Nikk’s at least once. Considering the limited time,

diverse customers of the business, and the large population in the area, the

researchers will only select a sample from the population. The survey questionnaires

will be administered on the third week of January 2019, and will only be in a span of

two weeks. In determining the demographic profile of the respondents, it will be

delimited to the age, gender, occupation, and the name of the respondent which is

optional to disclose. In gathering data from the respondents, a 4-point Likert scale

questionnaire will be utilized which comprises of point 1 for strongly disagree, point 2

for disagree, point 3 for agree, and point 4 for strongly agree with statements provided

in relation to the designated variables relevant for the study. The researchers

disregarded the neutral point in the Likert scale as it will not precisely measure to

whether or not there is a presence of quality in both products and services of the

business.

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CHAPTER II

Review of Related Literature

2.1 Introduction

This section contains an overview of previous researches and information

gathered from different resources. These materials were obtained from books,

journals, online websites and other materials that provided the researchers with an

overview of the topic and a vital background knowledge to proceed the study.

Furthermore, it will assess and create distinct gaps of the existing literature, which will

introduce the framework and the analysis of the business’ product and service quality

as factors from changing perspective of different customers in accordance to their

perception and expectation towards a certain product. This section highlights on the

different discussions regarding the business’ existing variables that correlates with a

business’ rendered product and service quality. Majority of the existing literature in the

study denotes almost completely about the customers and their perception towards

the product concept and quality which are part of the factors that contribute and

determine the level of customer satisfaction obtained based on expectations met from

a customer's perspective. One central goal of a business is to meet and satisfy target

customers’ needs and wants considering their changing preferences. Therefore, small

and large companies stand to profit from learning and considering these factors in

relation to its valued customers in the market.

2.2 Theoretical Framework

In this section of the study, it will provide a framework following three selected

theories that are relevant and in line with the study and its findings. Presented below

are discussion on the three different significant theories that conceptualize claims from

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several authors that support to the connection between the variables present in the

corresponding proposition.

Figure 2.1 Theoretical Framework of the study

The theoretical framework of the study shows the connection of the three

incorporated theories in support to the study. It first follows an implication from the

Disconfirmation theory in which customers initially have expectations in the

prepurchase of the business’ services and has a connection with their experience after

the purchase. Following this, assessment of both the expectation and experience of

the customers will result to their perceived value of the purchased service. Following

the SERVQUAL theory, it explains how the customer’s perceived value includes five

factors as components of service quality and therefore, each should be present in

attaining customer satisfaction. As mentioned from the Service-Profit Chain theory,

responses of customer satisfaction include the willingness of the customer to

repurchase, to recommend and have the preference to the business over other similar

establishments.

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SERVQUAL Theory

Figure 2.2 SERVQUAL Model

According to Kalidas (2007), service quality means the ability of a service

provider to satisfy customer in an efficient manner through improvement of the

business’ performance. SERVQUAL, sometimes referred to as RATER model, is a

model that evaluates customer perceived service quality with the five factors that it

measures, namely: Reliability, which is the company’s ability to execute their promised

services dependably and accurately; Assurance, which measures the company’s

trustworthiness; Tangibles, which are the appearance of physical facilities, equipment

used by staff and employees, and the employees’ physical appearance; Empathy,

which is special attention given to the customers; and Responsiveness, which is the

company’s way of handling the concerns of their customers, and how willing they are

to help address these said concerns. The theory was developed by Parasuraman,

Valerie Zeithaml, and Leonard Berry in 1988. In addition, it suggests that the expected

and perceived value of the service are comparable which entails that customers

anticipate the presence of the five factors and compare it to what they actually received

and experienced from the rendered services of the business which will then ascertain

the overall quality of the service.

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Disconfirmation Model of Satisfaction

Figure 2.3 Disconfirmation Model

The model above shows the comparison between the customer’s expectation

before purchase and the customer’s perception of the overall value after purchase. It

also presents a comparison of the expectations to the purchase experience, which will

lead to one of the three possible outcomes: expectations exceeded, expectations met,

and expectations not met. The theory was proposed by Geoff Fripp of the University

of Sydney in 2017. In this, he stated that customer’s expectations are set by the

following five factors: the firm’s recent communications, which is about the firm’s

communications with their customers such as interactions or marketing strategies that

grab the consumer’s attention; the firm’s brand reputation, which focuses on the

company’s overall image to the public and how they view the company as a whole; the

word of mouth support from other customers which is feedback coming from

customers that have already experienced availing the services of the company; media

and online reviews of the firm, whereas the reviews can be articles written by critics

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which give information about the company, as well as sharing their own thoughts,

opinions, and experiences with the company; and the consumers’ previous experience

with the firm, which sets a standard or expectation for their next purchase.

The customer’s overall value of the experience is determined by the following

factors: overall product or service quality, in which the customer will judge the quality

of the goods and services rendered by the company; the interaction of the staff which

is determined by the responsiveness of the employees or how willing the employees

are to attending to the customers’ concerns; the service experience and process,

which focuses on what happened during the purchase of the product or service; the

perceived price value, in which the customer decides whether or not the product was

worth its price or not; and the image and social status benefits, which answers to

whether the consumer’s self-esteem was enhanced upon purchasing a product or

availing one of the services rendered.

The three possible outcomes from the assessment and comparison between

expectations and experience are expectations exceeded, which means that the

customer was highly satisfied with the product and/or service and they were satisfied

with their experience with the company; expectations met, which means that the

company has met the consumer’s standards and set expectations upon purchasing

their products and/or services; and expectations not met, which means that the

customer was not at all satisfied with their overall experience with the company.

The Service-Profit Chain Theory

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The theory of Service-Profit Chain argues that there is an increase in profit

when there is customer satisfaction in which there is a sufficient evidence that shows

a strong positive relationship between the two factors. It also states that when the

customer is satisfied with the services availed, he will most likely recommend the

products to other potential customers, repurchase, and will possibly try new products

under the same business. It would also increase the chance of the business in being

successful in terms of assets, liabilities, and the overall market strength.

According to Ebrahim, et al. (2016), the brand preference of the consumers will

have a direct positive effect on brand repurchase intention. Preferences stand as an

assessment of customers’ experiences, with the brand interpreting his/her desire to

repeat the experiences and repurchase the brand or product. Along these lines,

customers, having the expectation to repurchase the brand, think about their desire to

repeat the experience.

2.3 Conceptual Framework

Figure 2.3 Conceptual Framework of the Study

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The figure above shows the established conceptual framework of this study

depicting how the product and service quality of the business influence the satisfaction

of its customers. The main variables product and service quality can be measured

through its sub-variables as factors influencing customer satisfaction. The product

quality can be measured through the taste, appearance, and serving size of the

product, and service quality can be measured through the tangibility, reliability, and

responsiveness of the business in rendering its services. Following the factors of the

two main variables, indicators of customer satisfaction include the customers’ ability

to repurchase, prefer, and recommend the business to other potential customers.

Related Studies

Customers are the utmost reason and purpose for being in a business. Profits

can only be acquired if an organization has customers who will pay and consume the

products or services a business has rendered on a continuing basis but it can only be

possible through the ability of the entrepreneur to get into the right track of business

for it to be successful. Even before investing into a business, entrepreneurs should

study the market; conduct market research and only by then, should select an

appropriate business. The business will only be effective if it can give the maximum

return on investment and it is achieved if the enterprise is concerned and dedicated

towards its customers. An essential principle of customer relationship management is

that business prosper by gaining and maintaining the most valued customers. The

most substantial resources of the business are the long-term customers and the

business must recognize their value. Also, the lifetime value of the long-term

customers should be measured which will help the business to appreciate the

significance of maintaining the existing ones. Recognizing the worth of a customer will

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result to better resolutions about how to develop the activities of a business. Most

industries know the costs of obtaining a customer, but they do not know of the costs

of losing a customer. Low quality service and goods which does not fulfill the customer

desires are frequently the outcomes of putting the worth of the customers away

(Gupta, Lehmann, & Stuart, 2004). Customer value and value of the customers in an

industry have a diverse explanation and that should not be mixed up or be interpreted

as the same. Customer value refers to what the customer actually receives in a specific

product or service while the value of a customer refers to the viewpoint which retains

the company in managing a business. The major goal of a business entity is to make

a fair pursuit in generating customer value in order to gain and maintain customer

which will provide quality and at the same time, exceptional value of the business to

the customers. Executing a competent marketing strategy by providing quality goods

and services of the company will fulfill and surpass the anticipations of customer

desires better than other competitors (Jobber & Chadwick, 2012). Therefore, any

business organization should first identify the customers and position their business

towards satisfying the customers.

2.4 Product Quality

As mentioned by Priyono (2017), McDonald’s restaurant provides quality

products which are highly considered by the company as it means satisfying the

business’ customers which is the main intention of the marketing strategies conducted

by the company. With this, it is a challenge for a business to maintain a good image in

the market in terms of providing high quality products and improved business

management. To attain better product position in the market along with the competitors

of the business, the entity should gather the satisfaction of its customers as this

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equates to a preferable product perceived by consumers. According to Morgan and

Vorhies (2001), new tactical methods to the supervision of product quality have

developed into key motivators of product and procedure enhancement and in invention

which modify in businesses. Nevertheless, there are firms which failed to render

expected benefits from providing enhanced product quality. Relevant factors of

clarifying such failure are highly perceived as the application problem of enhanced

product quality. With this, establishment of authentic product quality goals will be

useful and beneficial to the perceptions of the customers to the quality of its product,

which empowers a significant decision data for both managers and workers in the

business. Furthermore, according to Gitlow, Oppenheim, and Levine (2008),

businesses nowadays deal with having to regularly improve the quality of their

products while at the same time having to lessen the costs of their products and

services to meet continually increasing legal and environmental requirements and to

shorten life cycles to meet the market’s changing needs and wants, and to remain a

sense of competitiveness in the market. It is not only limited to allow products at a

lower cost, but also improves its quality as the ability to achieve the said objectives

rely on the product design.

2.4.1 Taste

According to Nadathur and Carolan (2017), our food cravings would lead us to

our buying decisions. Price is a major part of making a decision on purchasing, but

flavor and taste are also the major distributors to consumers’ food satisfaction. There

are factors that could affect our taste on a product namely the culture, surroundings,

inherited traits, and even our mood or cravings for a specific food. In western diets,

the meat and dairy are enjoyed constantly by them however, people have to demote

21
the usage of meat and dairy to give importance to vegan food. Adjusting the flavor and

taste would result to enjoyable products and gain customers’ acceptance, but there

are some cases that these would give off unwanted taste like in nutritious food. There

are chances to change for the better and healthy life. The business can produce goods

around the world by learning the culture, tradition, and informing the nutritional facts.

The customers’ food preferences for dieting have an effect to the surroundings and to

their health. Some people decline food that are new to their taste such as flavors like

bitter and sour, and others. The taste preference will start when people will think the

food is safe and it is accordance to their food choice.

2.4.2 Appearance

Product scheme has been acknowledged as a prospect for distinct advantage

in the market. A product's appearance can have appealing and symbolic value for

consumers and give a quality impression. In addition, it can catch attention and can

impact the categorization of the product. The appearance properties shape a prologue

to the food item before us. They decide the degree and nature of the desires we

subconsciously foresee for eating and drinking knowledge. Such properties can be

comprehended, dissected and estimated utilizing instruments and in addition the

faculties. Shading frames a critical piece of the view of value and assumes a part in

the tactile evaluation of visual structure, translucency, shine and surface. A full

understanding must assess through population contrasts, radiance impacts and the

impacts of lighting (Hutchings, Ming, & Ji, 2014).

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2.4.3 Serving Size

Moreover, according to Vermeer, Steenhuis, and Seidell (2010), consumers

have different views regarding the food portion sizes and towards the portion-size

interventions. There are factors to consider which could influence when purchasing a

food. There are components to be assess such as the cost of the food, larger

availability of portion sizes and serving-size labeling. Consumers have indicated that

the value of what they are paying for should be worth the food. If not, the tendency is

that potential customers would be lost. Though they have concern regarding the large

portion size, it is still more preferable in order not to waste a single penny on what they

paid for. In addition, according to Zlatevska, Dubelaar, and Holden (2014), marketers

have been challenged nowadays to use portion size in order to gain more customers

and encourage to purchase their product.

2.5 Service Quality

Due to the rapid evolution in the significance of services in a business, various

research have been conceded out comprehensively to improve service quality theories

and models over the time. Associated with product quality, service quality is more

difficult to measure extensively as services are intangible units with features such as

insubstantial, perishable, diverse, and synchronized (Lovelock & Wirtz, 2001). Unlike

product quality, a set of qualifications or by tangible factors such as blemishes cannot

be applied to service quality due to its intangible characteristic and synchronized

production and consumption (Tiernan & Waguespack, 2008). Nowadays, with the

growing number of competition, service quality has become a prevalent area for

academic researches and has been acknowledged as a competitive advantage along

with its positive relationship with satisfied customers (Zeithmal, 2000). Also, service

23
quality has become an important factor in the service industry. According to Saghier

and Nathan (2013), service quality is relevant in the service industry and is more

essential for business service providers who find a hard time in presenting their

customers a differentiated output. On the other hand, according to Deshmukh and Vrat

(2005), problems in a service quality can possibly occur especially when a customer

only perceives a product through advertisements either verbally or with the use of

media, and lacks to have the experience of availing one. With this, there is a necessity

to integrate the potential and actual customers’ views and experiences on the service

quality rendered by the business. Several researches have been trailing quality of

service, and a number of theories and concepts have been established to address this

matter and highlight the importance of application and different dimensions of the

operation. Furthermore, there are various descriptions and measures of service

quality, but there is no significant agreement on a single description. Service quality

has been defined as a total evaluation done by the customer service (Eshghi, Roy and

Ganguli 2008), while other scholars have described the customer service as the point

to which services meet customers' needs or expectations. In the current fluctuating

business environment, providing a high quality service through a satisfactory and

resilient focus on customer is one of the crucial factors allowing businesses to obtain

a permanent competitive advantage in captivating the market (Gentiles et al.,2007).

With this, according to (Ladhari et al., 2011), modern marketers are trying to focus

their attention more on the constant monitoring and assessment of service quality,

comprising several innovative contributions and service improvements, which have a

direct impact on the outcome of customer service experiences.

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2.5.1 Tangibility

According to Yator (2012), amenities like a good quality reception desk or

trained personnel can persuade customer insights about tangible service qualities. On

the other hand, Alsaqre (2011) acclaimed in his study that great courtesy must be set

to all tangible factors of service quality because such aspects have their significant

influence towards customers’ loyalty and can ultimately bring more profits to the

business. In line with this, it is also emphasized by Abdullah, Razak, Marzuki and

Jaafar (2013), in measuring five satisfaction assessments such as comfort, safety,

cleanliness, sufficiency and functionality on the facilities allocated at Langkawi Island

jetty terminals. The researchers discovered that the operators of tourism products and

services should have detailed plans by using a specific method to execute the

maintenance activities of their facilities so that the activities of the organization may

be pushed through without unnecessary interruptions which can maintain the

satisfaction level.

2.5.2 Reliability

According to Yator (2012) and Sriyam (2010), customers will also assess the

service provider whether they are able to deliver reliable services. It is the function of

the service provider to execute the assured service in a dependable and precise

manner wherein it should do things right and place great honor to all obligations.

Consequently, it is necessary to comprehend how the customer perceived the service

quality delivered since it will be transformed into the satisfaction level of the customer.

In a study, two service quality scopes which are the tangibility and reliability were

utilized as a tool to measure customer satisfaction of homestay program in Malaysia,

as the program has become a potential region to increase the development of

25
economy, infrastructure, social, and the environment factors especially in tourism

sector (Pusiran & Xiao, 2013).

2.5.3 Responsiveness

Today, marketing research has concentrated on operational responsiveness

and researchers validated that, the application of operational responsiveness is an

effective instrument that marketers can utilize in handling relationships with customers

(Homburg, Grozdanovic, & Klarmann, 2007; Jayachandran & Varadarajan, 2006).

Service responsiveness is an extensive system for assisting employees to display

proper emotional responses. Adverse social emotions (such as shame and

embarrassment) are the main emotional elements between salesperson and

customers (Bagozzi, Verbeke, & Gavino, 2006). These emotions can have affirmative

consequences in the sense of stimulating goal fulfillment, including relationship

enhancing, managing or simply helping people adjust to the changing or hostile

environments. Clearly, vain coping mechanisms indicate that negative social emotions

can become dysfunctional in terms of organization and customer relationships.

Service outcomes include customer perception (such as customer satisfaction or

loyalty), employee perspective (e.g., job satisfaction, revenue) and business viewpoint

(e.g., service performance, profitability). Therefore, this issue is a central focus of

marketing research. However, according to Bhatt and Troutt (2005) and Jayachandran

and Varadarajan (2006), researchers also argue that study on organizational

responsiveness must start from both quantitative and qualitative directions.

Furthermore, with regards to marketing, it is predominantly interesting to observe other

essential dimensions (such as service responsiveness) even though various scholars

of different fields have started to study organizational responsiveness. Wegge, Dick,

26
Fisher, West and Dawson (2006) also emphasized that, positive work emotions are

certainly associated with job satisfaction. The assumed mechanism for this effect was

that positive emotional exhibitions by employees improved customer willingness to

return to the store and offer positive feedback to others. Reid, Lxton and Mavondo

(2005) specified that, the basis for improving organizational responsiveness is to plan

a combination marketing communication idea from the customer and to the

organization’s side wherein for example, the maintenance of service responsiveness

in internal environment and team work can develop employee structure that will later

on result to the effective promotion of customer service (Deeter-Schmelz & Kennedy,

2003).

2.6 Customer Satisfaction

Customer satisfaction is considered as the heart of all marketing procedures.

According to Machleit and Mantel (2001), the primary purpose of marketing products

and services is to satisfy customer needs and wants. The ability to satisfy a customer

is vital in business industry as the satisfied customer will compensate the companies

with satisfactory behaviors. Each business entity has to operate in a way that it is able

to attain more satisfied customers than of its competitors as they would also attempt

to satisfy their customers aggressively at the time. Therefore, to position and stand out

in the market with the existing competition, each business should continue to develop

their products and services and attain higher levels of customer satisfaction. Kotler

(2000), defined satisfaction as: “a person’s feelings of pleasure or disappointment

resulting from comparing a product’s perceived performance or outcome in relation to

his or her expectations”. Hoyer and MacInnis (2001) also added that satisfaction can

be related with feelings of acceptance, happiness, relief, excitement, and delight.

27
There are various factors that influence customer satisfaction. Customer satisfaction

does have a positive effect on the business’ profitability. Satisfied customers form the

base of any effective business as this leads to a repetition of purchase, brand loyalty,

and positive marketing through word of mouth (Hoyer & MacInnis, 2001). Furthermore,

according to Jahanshahi, Gashti, Mirdamadi, Nawaser and Khaksar (2011), the

connection between product quality, customer satisfaction, and loyalty, are one of the

most prevalent research topics. It suggests that better quality of products connotes an

increase of customer loyalty. It also implies that the quality of services to a customer

is one of the required and necessary factors in determining new customer needs as

the key to customer satisfaction and loyalty is by sustaining the customers with their

undiscovered needs. Satisfaction is the overall experience of a customer with the

business including the services rendered and the product itself. Businesses should

provide quality service and product that meets the customers' needs namely fair and

sensible price, on-time delivery, and excellent service performance. For the

businesses to achieve this level, they are required to study their own quality systems

to measure if they have an understanding in the ever-changing customer standards

and satisfaction.

2.6.1 Repurchase

According to Hellier, et al. (2003), repurchasing a product or service intentions

refers to the consumer’s belief that he or she will purchase good or service from the

same firm. The repurchase intentions are driven by the past purchase experience. As

for willingness to pay more, it is defined by Zeithaml et al, (1996) as the likelihood of

a consumer to pay more than competitors charge to pursue a product or service.

28
2.6.2 Preference

Incorporating preference to the customers is a highly desired element in

attaining customer satisfaction. Similarly, when consumers set preferences towards

business that execute on them, research suggests that engagement, purchases, and

customer satisfaction soar (Flamberg, 2014). In addition, according of Ebrahim (2013),

consumer brand preference is an essential factor to understand the choice

behaviour of a customer, and has therefore always received great attention from

marketers. Brand preferences reveal the type of attributes a brand possesses, to

strengthen its position and increase its market share.

2.6.3 Recommend

The customers purchase frequently and recommend products or services to

potential customers when the customer is satisfied with the product or service of the

company. It is impossible for a business organization to grow up in case the company

ignores or disregards the needs of customers (Tao, 2014).

2.7 Synthesis

One goal of a business is to keep the long-term connection with the customers

and the business entity itself. In order to gain potential customers, the needs and

desires of a customer should be acknowledged and met through providing quality

products and services as it will lead to the satisfaction of the customers which has a

major influence on the entire operation of the business. Therefore, it is very essential

for bunt of customer loyalty. The study’s survey was adapted from SERVQUAL model

and identified that the service quality is influenced by operational efficiency and also

has a high influence to the satisfaction of the customers. Thus, based from the results,

29
the study recommended that the managers should continuously improve the

operational efficiency to attain higher level of customer satisfaction. It is also for

businesses to comprehend the actual needs of the customers and then provide quality

products and services to acquire their loyalty over the time. The customers play a vital

role in the chain process of the market. The SERVQUAL Theory, Disconfirmation

Theory and Service-Profit Chain Theory are the following theories that support the

study in which the SERVQUAL model evaluates customer satisfaction with the five

factors that it measures, namely: Reliability, Assurance, Tangibles, Empathy, and

Responsiveness. The customers’ perceived value of the service and the actual service

they received are factors that needed to be considered in order to ascertain the overall

quality of the service. The Disconfirmation Theory shows the comparison between the

customer’s expectation before purchase and the customer’s perception of the

purchaser’s value after the experience in which the comparison between the two may

have three possible outcomes to the customers namely: expectations exceeded

(highly satisfied), expectations met (satisfied), and expectations not met (dissatisfied).

On the other hand, the Service-Profit Chain Theory emphasizes that a satisfied

customer, who has experience good quality service, will normally recommend the

product to others, repeat purchase and try line extensions. Moreover, the satisfaction

provided by businesses, customers are able to empower an opportunity for the

business in acquiring more potential customers. The existing customers that are

satisfied with the product and service have greater chances of encouraging and

recommending the business to the new ones. This study conducted in-depth research

which comprehends the relationship between product quality, service quality, and

customer satisfaction. Following the model presented as the basis of the specific

variables that will be measured in this study, product and service quality influence the

30
attainment of customer satisfaction. In this chapter, it depicted that customers are

satisfied with the product and service considering their perceived value upon purchase

of products and experience of service. Provision of quality products and services leads

to the overall satisfaction of the customers which will lead to the success of the

business.

31
CHAPTER III

Methodology

Research Design

This study used a descriptive correlational research design. As a descriptive

correlational type of research, it aims to determine the relationship between two

variables (independent and dependent variables) to assess the statistical relationship

between the two, and comprehend results based from data gathered (Price et al.,

2015). With this, the study focuses on the product quality and service quality of Clark

and Nikks which are the independent variables measured to evaluate its relationship

towards the attainment of the customers' satisfaction as the dependent variable. In

addition, the data gathered are also used to describe the level of customers’

satisfaction and the efficiency of the business’ product and service quality.

Context and Participants

This study focuses on the customers of Clark and Nikks restaurant who have

consumed any of the business' product at least once. These respondents vary in one’s

demographic profile as they are part of the diverse customers of the business. With

this, the age of the respondents and their gender are considered. The occupation of

the respondents is also considered as an indicator in their capability in availing the

products and services of the business classified as either students or adults with

professions. The data collection is administered at Clark and Nikks restaurant, Xavier

University, and other schools within the city and will be conducted during the last

quarter of the school year 2018-2019. According to Dudovskiy (2019), purposive

sampling is a non-probability sampling method in which the researcher takes his or

32
her own judgment when choosing members of population to participate in the study.

In addition, this sampling method will be proven effective if only limited numbers of

people can serve as primary data sources due to the nature of research design, aims,

and objectives of the study. Following this, the respondents will be selected through

purposive sampling method as they will be chosen according to their characteristics

as the customers of Clark and Nikks restaurant who have availed the products and

services of the restaurant at least once.

Larger sample sizes increase power and decrease estimation error. However,

the limitations of conducting the research study such as time, access to samples, and

financial costs restrict the sample size for most researchers. With this, it is preferred

to generate a sample large enough to provide sufficient power in the generalizability

of the results gathered (VanVoorhis & Morgan, 2007). Following this, heuristics will be

utilized in gathering the sample size of the respondents, referring to the rule of thumb.

Considering the large population of the business’ customers in the local area in which

four thousand (4000) individuals are estimated to be its number of customers per

month as stated by the manager, the use of rule of thumb in obtaining the sample size

intended and relevant for the study will serve as a practical estimation for the unknown

population. According to Tabachnick and Fidell (1996), a good general rule of thumb

for factor analysis is at 300 participants in which guide sample sizes are set at 50 as

very poor; 100 as poor, 200 as fair, 300 as good, 500 as very good and 1000 as

excellent. The general rule of thumb is no less than 50 participants for a correlation or

regression research design with the number increasing with larger numbers of

independent variables (VanVoorhis & Morgan, 2007). Following this, the sample size

of the study were set at three hundred fifty-one (351) participants, considering that the

33
target value is good and significant for the study which ensures the validity and

generalizability of the results. The value was obtained following the good and

acceptable target number of participants of more than three hundred (300). Valid

survey questionnaires were successfully gathered and only three hundred fifty-one

(351) individuals agreed to be part of the participants of the study given the allocated

span of time for data collection.

Research Instrument

The data collection for the study will be conducted through administered self-

made structured questionnaires. Close ended questions were utilized to easily quantify

and analyze data gathered. The researchers will utilize a four point Likert scale

questionnaire which consists of assigned points 1,2,3, and 4 to terms of strongly

disagree, disagree, agree, and strongly agree. The questionnaire consists of 23

questions; 4 questions for profile, 10 questions for product and service quality, 3

questions for customer satisfaction, and 6 questions for the ranking of variables. The

questionnaire is divided into three sections. The first section includes the demographic

profile of the respondents (name, age, gender, and occupation) with an additional

question to determine the frequency of the respondents' annual restaurant visit. The

second section of the questionnaire includes the Likert scale with the statements in

line with the measurement of the main variables focused in the study which are service

quality, product quality, and customer satisfaction.

Item Distribution Table

Variables Statements

Product Quality 1-5

34
Service Quality 6-10

Customer Satisfaction 11-13

Lastly, the third section of the questionnaire includes the part where

respondents will rank specific variables according to which one will they recommend

in order to measure what to improve in the products and services offered by the

business. The reliability of the questions will be measured through Cronbach's Alpha

Coefficient. Following this, the value of more than 0.70 will mean that the survey

questionnaire is reliable. According to Flores (2016), alpha values between 0.80 and

0.90 is preferable and the maximum expected value is 0.90. The survey

questionnaires will be pretested through pilot testing with thirty (30) respondents which

are not part of the sample. After pretesting, all needed modifications of the

questionnaires will be controlled directly to the chosen sample for the study.

Data Gathering Procedure

● A formal letter request will be sent to the manager of Clark and Nikks for an

approval to conduct the study in relation to the function of their business. The

confidentiality of the respondents' profile will be assured. The disclosure of the

respondent's identity will be optional.

● A Likert scale questionnaire measuring related concepts will be distributed to

the respondents. The survey questionnaire comprises of 23 questions; 4

questions for profile, 10 questions for product and service quality, 3 questions

for customer satisfaction, and 6 questions for the ranking of variables.

35
● The validity and reliability of the survey questionnaires will be measured

through pilot testing with chosen number of respondents not included in the

actual sample.

● After measuring the survey questionnaires as reliable, actual and proper

administration of survey questionnaires will be done for efficient data collection.

● In conducting the survey, the researchers were assigned to different areas

provided each with an equal number of survey questionnaires.

● The researchers will also administer and conduct the survey in the actual area

of the business located at Lifestyle District, Xavier University, and in other

schools within the city.

● The survey questionnaires were personally administered to the respondents

provided with formal consent, instructions and clarifications regarding with

some of the items in the questionnaire.

● After conducting the survey, all questionnaires will be collected, coded, tallied,

and analyzed through the use of intended statistical tools for the data.

Data Analysis

The data gathered from the respondents would be analyzed through the use of

different data analysis tools. In this part, data analysis organizes, interprets, structures,

and presents the data into useful information that provides context for the data. To

enumerate, these tools include obtaining the frequency, mean, standard deviation, and

Pearson’s r.

Percentage/Frequency. This statistical tool will be utilized to determine the ratio of

respondents as varied customers of business in terms of their profile.

36
Mean. This will be utilized as an analysis on the efficacy of the service and product

quality of the business towards the satisfaction of the respondents as customers of the

entity.The range scores of each points is the difference between the highest value and

the lowest value over the total number of points in the Likert scale questionnaires. With

this, ranges will be from 1 to 1.75 for strongly disagree, 1.76 to 2.5 for disagree, 2.51

to 3.25 for agree, and 3.26 to 4 for strongly agree as referred from the website of

ResearchGate.com by Melanie Watrin of the University of Lorraine. With this,

researchers will be aided as well in measuring the perceived product and service

quality of the business in relation to the satisfaction of the customers. With the

corresponding level of the mean scores, interpretation per level is identified based

from the Customer Satisfaction Scores (CSAT) which is a measurement of a

customer's satisfaction with the service or product encounter. Following the points in

the Likert scale utilized in this study, good customer satisfaction scores are very

unsatisfied, unsatisfied, satisfied, and very satisfied (Nicastro, 2018).

Mean Level Interpretation

1.0 – 1.75 Strongly Disagree Very Unsatisfied

1.76 – 2.5 Disagree Unsatisfied

2.51 – 3.25 Agree Satisfied

3.26 – 4.00 Strongly Agree Very Satisfied

Table 3.1 Mean Range and Level Interpretation Table

37
Standard deviation. This tool will be utilized as an indicator to whether the variables

measured are significant to the respondents in relation to the attainment of their

satisfaction as customers of the business. A standard value of 0.5 will be the basis in

determining the variables as significant towards the attainment of customer

satisfaction.

Pearson's r. This statistical tool will be utilized as an indicator to whether there is a

linear relationship between product and service quality towards customer satisfaction.

Positive correlation, negative correlation, and no correlation are the three possible

outcomes after the analysis of data through the use of this statistical tool.Positive

correlation exists when one variable decreases as the other variable decreases, or

one variable increases while the other also increases. However, negative correlation

means that there is a negative relationship or inverse relationship between two

variables if higher values of one variable tend to be associated with lower values of

the other. No correlation, on the other hand, means that the other variable does not

tend to either decrease or increases or that there is no relationship, connection, or

interdependence between the variables (Evans, 1996).

Value Verbal Description Verbal Interpretation

Very weak positive


.00 - .19 Very weak
relationship

Weak positive
.20 - .39 Weak
relationship

38
Moderate positive
.40 - .59 Moderate
relationship

Strong positive
.60 - .79 Strong
relationship

Very strong positive


.80 - 1.0 Very Strong
relationship

Very weak negative


.00 - (-1.9) Very Weak
relationship

Weak negative
(-.20) - (-.39) Weak
relationship

Moderate negative
(-.40) - (-.59) Moderate
relationship

Strong negative
(-.60) - (-.79) Strong
relationship

Very strong negative


(-.80) - (-1.0) Very strong
relationship

Table 3.2 Correlation Value (r) Verbal Interpretation Table

39
CHAPTER IV

Results and Discussion

4.1 Introduction

This chapter presents the data analysis and discussion of findings from three

hundred fifty-one questionnaires participated and answered by selected respondents

who have visited the unlimited chicken wings business of Clark and Nikks. This

chapter starts with the presentation of data particularly in the demographic profile of

the respondents which will be followed by the analysis and discussion of the

relationship between the two major variables; product and service quality.

Furthermore, four statistical tools were used in the analysis of data gathered namely

Pearson's r, mean score, frequency and standard deviation to acquire and examine

accurate results from the data that could assist in the interpretation and deeper

comprehension of the findings.

The researchers aim to address five research questions to achieve the purposes of

the study.

1. What are the profiles of the respondents in terms of age, gender, and occupation?

2. How frequent do the customers avail the products and services of Clark and Nikks’

in a year?

3. How efficient is the product and service quality of Clark and Nikks in correlation with

the customers' level of satisfaction?

40
4. Is there a relationship between product quality and customer satisfaction of Clark

and Nikks?

5. Is there a relationship between service quality and customer satisfaction of Clark

and Nikks?

6. How can the product and service quality of Clark and Nikks be improved in attaining

customer satisfaction?

Following these research questions, the researchers will address these with the use

of intended statistical tools to measure each variable and attain relevant results for the

study.

4.2 Results

A. Demographic Profile of Respondents

Figure 4.1 Proportion of Male and Female Respondents from the Total Number of

Participants

41
The figure above shows that fifty-nine percent (59%) of the respondents are

classified as female customers of Clark and Nikks, having two hundred six (206)

respondents. On the other hand, there are one hundred forty-five (145) male

respondents which is forty-one percent (41%) of the total number of participants in

this study.

Figure 4.2 Corresponding age of the respondents in ranges

The figure above shows that majority of the customers of Clark and Nikks ages

between fifteen to twenty (15-20) years old with a number of three hundred seven

(307) respondents. In addition to this, there are thirty-six respondents whose age is at

the range of twenty-one to twenty-five (21-25) years old. There are five respondents

whose age is at the range of twenty-six to thirty (26-30) years old. Lastly, there are

three respondents whose age is at the range of thirty-one and above.

42
Figure 4.3 Corresponding occupation of the respondents

The graph presented above shows that there are four (4) classified different

occupation (student, self-employed, employed, and unemployed) of the respondents.

Results show that two hundred four (204) respondents are students. Furthermore,

there are one hundred (100) respondents who are self-employed, and twenty-six (26)

of the total respondents are employed. Lastly, there are twenty-one (21) respondents

who are unemployed.

43
B. Frequency of the Customers' Annual Visit in Clark and Nikks

Figure 4.4 Number of Respondents and the Frequency of their Annual Visit in the

Restaurant

The graph shown above indicates the annual visit of respondents at Clark and

Nikks. Results show that there are two hundred four (204) respondents who have

visited the restaurant at the range of one to three (1-3) times a year. There are one

hundred (100) respondents who have visited four to six (4-6) times a year. On the

other hand, there are twenty-six (26) respondents who have visited seven to nine (7-

9) times a year, and only twenty-one (21) respondents have already visited the

restaurant more than ten (10) times a year.

44
C. The Efficiency of Clark and Nikks' Product and Service Quality in Correlation

with Customers' Level of Satisfaction

Level Number of Respondents Interpretation

1- Strongly Disagree 7 Very Unsatisfied

2- Disagree 7 Unsatisfied

3- Agree 180 Satisfied

4- Strongly Agree 157 Very Satisfied

TOTAL 351

Table 4.1 Overall Customer Satisfaction

Figure 4.5 Graph of the overall customer satisfaction

The table and the graph illustrated above show that from the total number of

respondents, 96% agree with majority of the statements presented and only 4% were

45
disagreed. Following this, results can be interpreted that majority of the respondents

are satisfied with the business’ product and service quality which implies that both

variables are efficient.

Level Number of Respondents Interpretation

1- Strongly Disagree 8 Very Unsatisfied

2- Disagree 5 Unsatisfied

3- Agree 156 Satisfied

4- Strongly Agree 182 Very Satisfied

TOTAL 351

Table 4.2 Product Quality Satisfaction

Figure 4.6 Graph of product quality satisfaction

46
Based on the table and graph presented above, majority of the respondents

agreed with most of the statements under product quality and only 3% disagreed. This

means that majority of the respondents were satisfied indicating that the business is

efficient particularly in the quality of the business’ product.

Level Number of Respondents Interpretation

1- Strongly Disagree 11 Very Unsatisfied

2- Disagree 22 Unsatisfied

3- Agree 189 Satisfied

4- Strongly Agree 129 Very Satisfied

TOTAL 351

Table 4.3 Service Quality Satisfaction

Figure 4.7: Graph of service quality satisfaction

47
As shown in the table and graph above, majority of the respondents agree with

the statements under service quality and only 9% disagreed. With this, it can be

interpreted that majority of the respondents were satisfied which implies that the

quality of the business’ services is efficient.

48
D. Relationship between Product Quality and Customer Satisfaction

Variables r

Product Quality 0.590002987

Customer Satisfaction

Table 4.4 Relationship between Product Quality and Satisfaction

The data presented above shows the overall relationship between product

quality and satisfaction of customers through measuring the correlation value (r) with

the mean scores of all the answers from each respondent to the statements under the

two main variables. It shows that there is a moderate positive relationship between

product quality and customer satisfaction. As product improves in quality specifically

in terms of its appearance, serving size, and taste, the customers' level of satisfaction

improves as well specifically in their willingness to avail the products for another time,

their preference to the restaurant, and their willingness to recommend the business to

other potential customers. With the direct relationship of the two main variables,

factors under product quality influences customer satisfaction.

Variables r

S1. The appearance of the food is appetizing.

S11. I am willing to avail their products and services for 0.43

another time.

Table 4.5 Correlation between the appearance of the food and willingness of

customers in availing the products and services

49
The data presented from the table above shows the correlation value (r) of two

measured variables indicating that there is a moderate positive relationship between

the appearance of the food and the willingness of the customers to repurchase. This

means that the measured factor of product quality influence and contribute to the

attainment of customer satisfaction.

Variables r

S1. The appearance of the food is appetizing.

S13. I would recommend Clark and Nikks to other potential 0.44

customers.

Table 4.6 Correlation between the appearance of the food and customers’

recommendation to potential customers of the restaurant

The correlation value (r) of the paired variables shows that the appearance of

the food has a moderate positive relationship with the customer’s ability to recommend

the restaurant to its potential customers. This means that when the customer

perceives the appearance of the food as appetizing, it influences him/her to

recommend the restaurant.

Variables r

S3. The serving size of the products is sufficient.

S11. I am willing to avail their products and services 0.49

another time.

Table 4.7 Correlation between sufficiency of the product's serving size and the

willingness of the customers in availing the products and services for another time

50
The correlation value (r) from the data shown above indicates that the

sufficiency of the product’s serving size has a moderate positive relationship to the

willingness of the customers in availing the products and services of the restaurant for

another time. With this, there is a connection between the two variables as the

willingness of the respondents to repurchase is influenced by the perceived sufficient

serving size of the product.

Variables r

S4. The product tastes good.

S13. I would recommend Clark and Nikks to other 0.49

potential customers.

Table 4.8 Correlation between the taste of the product and the customers’

recommendation of the restaurant to potential customers

The table depicts the correlation value (r) of two variables which indicates that

the taste of the product has a moderate positive relationship with the customer’s

willingness to recommend the restaurant to other potential customers. This means that

the taste of the food has a contribution to the attainment of customer satisfaction as it

influences their ability to recommend the business.

51
Variables r

S4. The product tastes good.

S11. I am willing to avail their products and 0.44

services for another time.

Table 4.9 Correlation between the taste of products and the customer’s willingness

to avail their products and services another time

The correlation value (r) in the table presented above indicates that the taste of

the product and the customer's willingness to repurchase the products has a moderate

positive relationship. With this, there is an association between the two variables which

entails that one influences the other.

Variables r

S5. The restaurant provides consistent

quality in the taste of its product.


0.38
S13. I would recommend Clark and Nikks to

other potential customers.

Table 4.10 Correlation between the consistency of the quality in the taste of products

and the customers’ recommendations to potential customers

The presented correlation value (r) from the table above shows that the

consistency of the quality of the taste of products has a weak positive relationship with

the customer’s willingness to recommend the restaurant to other potential customers.

This means that despite the consistency of the quality in the taste of the product, there

52
is a weak implication which will not greatly influence the ability of the customer to

recommend the business.

Statements Mean Standard

Deviation

S1: The appearance of the food is appetizing. 3.30 0.61

S2: The company provides an adequate amount of its 3.30 0.68

product per serving.

S3: The serving size of the products are sufficient. 3.30 0.71

S4: The product tastes good. 3.38 0.68

S5: The restaurant provides consistent quality in the 3.28 0.67

taste of its product.

AVERAGE 3.31 0.67

Table 4.11 Mean and Standard Deviation of Statements under Product Quality

In the table presented above, it shows the corresponding mean score values

and standard deviation of each statement under the variable of product quality. All of

which entails that the respondents agree with the statements presented in the

questionnaire with regards to the product quality of the business. The fourth the

statements obtained a result of 3 as their mean score (ranging from 3.28-3.38)

statement obtained the highest mean score of 3.38 which implies that majority of the

respondents find the taste of the product as good. Meanwhile, the fifth statement

obtained the lowest mean score among the statements which entails that the business

is unable to provide consistent quality in the taste of its product at times. In addition,

53
the average mean of the five statements which resulted to (3.31) indicates a positive

result regarding the business’ product quality as this entails that majority of the

respondents agree with all the statements presented. On the other hand, all of the

statements obtained a result greater than (0.5) as its standard deviation. This entails

that all of the statements under product quality are significant towards attainment of

the satisfaction of the customers. In line with this, the third statement obtained the

highest value of standard deviation having (0.71) which indicates that the serving size

of the product is the most significant factor under product quality that contributes to

the attainment of customer satisfaction. On the contrary, the first statement obtaining

the lowest value of 0.61 entails that out of the five statements, the appetizing

appearance of the food contributes the least in the attainment of customer satisfaction.

54
E. Relationship between Service Quality and Customer Satisfaction

Variables r

Service Quality
0.559029477
Customer Satisfaction

Table 4.12 Relationship between service quality and satisfaction

From the data presented in the table above, the correlation value (r) is

measured through the use of the mean scores from each of the respondents' answer

to the statements under service quality and customer satisfaction. Following this, it

shows a moderate positive relationship between service quality and customer

satisfaction. Generally, this means that with the direct relationship of the two variables,

both has a significant connection as one influences the other. The quality of the

restaurant's services in terms of the physical environment, ambience, approachability

of the staffs and employees, willingness of the staffs to consider concerns of the

customers, and the timeliness of the business in serving the products affect the

customers' level of satisfaction in terms of their willingness to avail the products for

another time, their preference to the restaurant, and their willingness to recommend

the business to other potential customers.

55
Variables r

S6. The physical environment of the restaurant is

clean.
0.31
S12. I prefer this restaurant over similar

establishments.

Table 4.13 Correlation between the physical environment of the restaurant and the

customers’ preference of the restaurant over similar establishments

The data presented from the table above shows a correlation value (r) of 0.31

which indicates that there is a weak positive relationship between the physical

environment of the restaurant and the preference of customers to the restaurant. This

means that despite the perceived service quality, it does not greatly influence the

attainment of customers’ satisfaction. However, there is still an association between

the two variables as it has a direct relationship.

Variables r

S7. The ambience of the restaurant is appealing to the

customers. 0.28

S12. I prefer this restaurant over similar establishments.

Table 4.14 Correlation between the ambience of the restaurant and the customers’

preference of the restaurant over similar establishments

The table above shows a correlation value (r) of 0.28 which implies that there

is a weak positive relationship between the ambience of the restaurant and the

preference of customers to the restaurant. With this, there is an association between

56
the two variables as one influences the other. However, despite the direct relationship,

the ambience of the restaurant has a weak implication to the attainment of customer

satisfaction.

Variables r

S8. Staff and servers are approachable towards the

customers.
0.42
S13. I would recommend Clark and Nikks to other

potential customers.

Table 4.15 Correlation between the approachability of the staff towards the

customers and the customer’s recommendations to potential customers.

The table above shows a correlation value (r) of 0.42 for the two variables. It

depicts that the approachability of the staff towards the customers and the customer’s

recommendation of the restaurant to its potential customers have a moderate positive

relationship. With this, there is a direct relationship as one variable influences the

other. This means that the perceived approachability of the staffs and employees of

the restaurant contributes to the customers’ willingness to recommend the restaurant

to other potential customers.

57
Variables r

S9. Staff and employees are willing to take my concern

into consideration.
0.47
S13. I would recommend Clark and Nikks to other

potential customers.

Table 4.16 Correlation between the willingness of the staffs in taking customer

concerns into consideration and the customer’s recommendations to potential

customers.

The correlation value (r) of the two variables indicates that there is a moderate

positive relationship between the willingness of the staffs and employees in taking

customer concerns into consideration and the customer’s ability to recommend the

restaurant to potential customers. With this, there is a connection between the two

variables as one influences the other. This means that the willingness of the staffs and

employees in taking customer’s concerns into consideration contributes to the

attainment of customer satisfaction in terms of having the customers’ preference to

the restaurant.

Variables r

S10. The business provides the product at the time

they promised.
0.37
S12. I prefer this restaurant over similar

establishments.

58
Table 4.17 Correlation between the punctuality of the restaurant and the customers’

preference of the restaurant over similar establishments

The data presented from the table above shows a correlation value (r) of two

variables which indicates that the timeliness of the restaurant in terms of rendering its

services has a weak positive relationship with the customers’ preference to the

restaurant. With this, it implies that despite the punctuality in serving the food, it has a

weak influence to the attainment of customer satisfaction in terms of having the

preferences of customers to the restaurant.

Statements Mean Standard

Deviation

S6: The physical environment of the restaurant is clean. 3.26 0.66

S7: The ambience of the restaurant is appealing to the 3.19 0.69

customers.

S8: Staff and servers are approachable towards the 3.05 0.72

customers.

S9: Staff and employees are willing to take my concern 3.14 0.72

into consideration.

S10: The business provides the product at the time they 2.98 0.73

promised.

AVERAGE 3.12 0.70

Table 4.18 Mean and Standard Deviation of statements under Service Quality

59
The table above presents the corresponding mean, average mean score, and

standard deviation of each statement under service quality. The each mean score

show a closer value to 3, which indicates that majority of the respondents agree with

the statements presented under service quality. However, the last statement shown in

the table obtained the lowest mean score of 2.98 which implies a disagreement from

the respondents in terms of serving the products at the time it is promised. This means

that the business lacks time efficiency and management as observed by the

respondents. On the other hand, the highest mean score value is on the perceived

clean physical environment of the restaurant which indicates that majority of the

respondents agree. The average mean of the five statements which resulted to 3.12

still indicates a positive feedback regarding the statements in relation to the business’

service quality as this entails to the agreement of majority of the respondents. The

average standard deviation of the statements shows that the clean physical

environment, appealing ambience, approachable staffs and employees, willingness of

the staffs to consider concerns of the customers, and the timeliness of the business in

serving the products have a significant bearing to the satisfaction of the respondents

as customers of the business. As the variables acquired a high value of its standard

deviation, it implies the exact opposite in terms of its mean score values which depicts

that the response of the respondents are varied from each other.

Statements Mean

S11: I am willing to avail their products and 3.17

services for another time.

60
S12: I prefer this restaurant over similar 2.98

establishments.

S13: I would recommend Clark and Nikk’s to 3.25

other potential customers.

AVERAGE MEAN 3.13

Table 4.19 Mean of Statements under Customer Satisfaction

In the table illustrated above, it shows the mean values of each statement under

customer satisfaction. The third statement (Statement 13) obtained the highest mean

score value of 3.25 which indicates the respondents’ agreement referring to the

respondents’ recommendation of the restaurant to other potential customers. On the

other hand, the second statement (Statement 12) obtained the lowest mean score of

2.98 which entails that majority of the respondents disagreed on the statement

referring to the respondents’ preference to the restaurant over similar establishments,

as the value did not reached to 3 as the level of agreement for the statements.

Level Number of Interpretation


Respondents

1- Strongly 7 Very Unsatisfied


Disagree

2- Disagree 4 Unsatisfied

3- Agree 175 Satisfied

4- Strongly Agree 165 Very Satisfied

TOTAL 351

Table 4.20 Data interpretation for customer satisfaction of products and services of
the restaurant

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Figure 4.8 Graph of the respondent's responses to the statements under customer
satisfaction
In the table and figure above, it display the equivalent percentage values of

each statement in its corresponding level, number of respondents and interpretation

under the main variable customer satisfaction. The total number of respondents are

351 with corresponding level of satisfaction to interpret each (Strongly Disagree,

Disagree, Agree, and Strongly Agree). Majority of the respondents (175 respondents)

responded Agree to the statements presented in the questionnaires in relation to

customer satisfaction. It has obtained a percentage of 48 which means that majority

were satisfied with the business. Followed by the second highest percentage, 165

respondents responded Strongly Agree to the statements presented under the certain

variable. It has obtained a close percentage of 46 which entails that the respondents

are very satisfied with their experience in the business. On the contrary, the Disagree

level obtained the lowest percentage together with the Strongly Disagree level which

means that only some of the respondents were dissatisfied and very dissatisfied with

their experience in the restaurant compared from the obtained majority results in the

data.

62
F. Improving Product and Service Quality in Attaining Customer Satisfaction

Product Quality

Ranking Taste Appearance Serving

Size

1 – Least 50 147 154

Recommended

2 - Recommended 70 154 127

3 – Highly 231 50 70

Recommended

Total 351 351 351

Table 4.21 Total number of respondents per ranking in variables under product

quality

In the table illustrated above, it shows the total number of respondents who

ranked the sub variables of product quality (taste, appearance, size) according to their

level of recommendation represented by numbers (1) as least recommended, (2) as

recommended, and (3) as highly recommended. In the first sub variable taste, it has

obtained majority of the respondents who ranked the variable as highly recommended

which means that the taste of the product stood out in the respondents in their visit.

On the other hand, the least number of respondents was found in the least

recommended rank. With this, it can be perceived that the business’ product has a

high efficacy in terms of its taste. Furthermore, the second sub variable appearance

obtained majority of the respondents who ranked the variable as only recommended.

63
This means that the respondents still recommend the factor but not as high as the first

sub variable which is the taste of product. Meanwhile, the highly recommended rank

was found the least in the respondents’ choice in ranking the appearance of the

product. This can be perceived that majority of the respondents do not highly

recommend the appearance of the product. Lastly, the third sub variable size obtained

the majority number of respondents in the least recommended section and the least

number of respondents was found in the highly recommended section. This means

that out of the 3 sub variables, the size of the product is the least recommended one

under product quality while the taste is the most recommended one. Overall, this

results illustrate that the respondents were found more satisfied in terms of the taste

rather than the appearance or size of the product

Service Quality

Ranking Facilities Consistency Responsiveness

and

Equipment

1 – Least 125 74 152

Recommended

2 - Recommended 78 154 119

3 – Highly 148 123 80

Recommended

Total 351 351 351

Table 4.22 Ranking variables under service quality

64
In the table above, its shows the total number of respondents who ranked the

sub variables of service quality (facilities and equipment, consistency,

responsiveness) according to their level of recommendation represented by numbers

(1) as least recommended, (2) as recommended, and (3) as highly recommended. In

the first sub variable facilities and equipment, it has obtained majority of the

respondents in the highly recommended section. However, the second highest

number of respondents obtained in the variable was found in the least recommended

rank which means that some if the respondents may or may not find the facilities and

equipment of the business recommended. In the second variable consistency, it has

obtained majority of the respondents in the recommended section, the second highest

at the highly recommended section and the least at the least recommended section.

This means that the respondents find the business’ consistency of service

commendable. Moreover, in the last variable responsiveness, it obtained the majority

number of respondents in the least recommended section and recommended section

which means that the responsiveness of business in terms of service may or may not

find it commendable by respondents. However, the results obtained are found close

to each other which exemplifies a wide variance since the results are varied to each

other. Overall, it was found out that out of the 3 variables, the business’ facilities and

equipment stood out which obtained the highest number of respondents in the highly

recommended section and the service responsiveness of the business are found the

least recommended variable by the respondents.

4.3 Discussions

Following the findings from the data gathered, it shows that characteristics of

most respondents as customers of the business are teenagers and are students who

65
have visited the restaurant at least one to three times in a year. Having the specific

profile of the respondents will determine the kind of customers that the business have

considering the varied customers of the restaurant in the market area. Consequently,

it implies that consumers of young age are more likened to avail the products and

services of the business as part of its customers. According to Deighan (2008), the

teenagers’ food choice is influenced with the demographics and their environment in

which they are more driven to fast food restaurants with their peers. Young consumers

tend to conform to their peers as to where and what they usually eat. In addition, the

food environment to where teenagers are exposed to will directly influence their food

choices as they grow and are able to adapt cultural differences in food tastes as time

increases. With this, it supports the results of the study in which majority of the

respondents are customers who are teenagers influenced by the restaurant’s products

which are new innovations in the market area and have been a trend at present.

In the study, the efficiency of the business’ product and service quality can be

measured through the satisfaction level of the respondents as customers of the

business. According to Hoyer and MacInnis (2001), satisfied customers form the base

of any effective business as this leads to the repurchase, brand loyalty, and positive

marketing by customers after the product and service encounter. Furthermore, Avenir

(2009) also mentioned that poor quality products and services lead to the

ineffectiveness of the business as it operates. Consequently, having customer

satisfaction serves as a basis on the efficiency of the business through assessment of

the presence of quality in the products and services offered by a business. From the

results, majority of the respondents were satisfied with the product and service quality

of the restaurant which makes it efficient. Following the ‘Disconfirmation Theory’, the

satisfaction of the customers can be measured through assessment of the perceived

66
value from the product and service encounter considering five factors including overall

quality of service and product. With this, findings show that the business were able to

provide quality services and products as customers were satisfied.

On the other hand, results show that there is a moderate positive relationship

between product quality and customer satisfaction as one influences the other. This

means that the taste, appearance, and serving size as measured factors, are

indicators of product quality which have an implication to the satisfaction of the

customers. Moreover, all three factors are significant to customers and the serving

size of the products is classified as the most significant factor that the business needs

to consider in managing to have an efficient quality of its products. With the findings

aforementioned, it entails that having quality products with the presence of the three

factors contribute to the attainment of customers’ satisfaction.

In measuring the correlation between service quality and customer satisfaction,

researchers referred from the theory of Parasuraman, Valerie Zeithaml, and Leonard

Berry in 1988. The SERVQUAL theory states that factors indicating service quality

include tangibility, responsiveness, reliability, empathy, and assurance. These five

factors must be present in pointing out the presence of quality in the rendered services

of a business. Following the theory, the researchers are able to measure only three

factors of service quality which are the tangibility, responsiveness, and reliability of the

restaurant in rendering its services. Results show that there is a moderate positive

relationship between service quality and customer satisfaction as one influences the

other. Following this are the specific pairs measuring each of the three factors in

association with the dependent variable, in which most of the pairs also indicated a

moderate positive relationship. The three factors (tangibility, responsiveness, and

reliability) are classified as significant to the respondents as indicators of quality in the

67
services of the business, with the reliability as the most significant factor. This means

that the reliability of the restaurant should be considered in managing an effective

service to the respondents. Following the ‘Disconfirmation Theory’ discussed by Fripp

(2017), contributors of the customers’ perceived value in the service or product

encounter include the acquired overall quality of products and/or services which the

study measures. This perception from the post-purchase will then be evaluated to

whether the customer is satisfied with the acquired products and experienced

services. Similar to the results of the study, determining the relationship between the

two measured variables indicates the significance of product and service quality with

its specific factors in attaining customers’ satisfaction.

In addressing the last research objective of the study, results show that

products and service quality can be improved through management and evaluation of

its specific factors. From the findings, the serving size is the least recommended

variable which requires an improvement of the factor for the efficiency of the product

as a whole. On the other hand, the highly recommended variable is the taste, which is

the good factor that needs to be maintained in the business’ product. In the services

of the business, results require the restaurant to improve the responsiveness of the

employees in reaching out customers with their concerns. However, the facilities and

equipments of the restaurant are perceived as good in comparison with the other two

factors, and should be maintained as part of the service’s quality.

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CHAPTER V

Summary of Findings, Conclusion, and Recommendations

This chapter provides the summary of findings, conclusions, and

recommendations for the beneficiaries of this study based on the previous chapter

which presents a discussion and analysis on the findings from the data gathered. The

efficacy of the restaurant’s product and service quality is determined by measuring the

sub-variables as factors of the two independent variables. Following this, survey

questionnaires were administered to gather data from the participants of the study,

and statistical tools were utilized in measuring and analyzing the collected data. In this

section, major findings are summarized in relation to the research questions that need

to be addressed and conclusions follow as generalizations and inferences based on

the findings. In addition to this, recommendations are presented to supply the

significance of the study.

Summary of Findings

Following the five research objectives with the data gathered and analyzed, the

findings of the study show that majority of the respondents are female which age at

the range of fifteen (15) to twenty (20) years old who were classified as students. Also,

most of the respondents have already visited the restaurant at least one to three times

a year. Moreover, in addressing the second research question, there is a relationship

between product quality and customer satisfaction in which majority of the paired sub-

variables show a moderate positive relationship. Furthermore, there is a relationship

between service quality and customer satisfaction in which most of the paired

variables show a weak positive relationship. On the other hand, most of the

69
respondents highly recommended the taste and facilities as two outstanding features

of the restaurant’s products and services, while the product’s serving size and

responsiveness of the staffs and employees are the least recommended. Overall, the

customers were satisfied with the product and service quality of the restaurant.

Conclusion

Following the data obtained and analyzed, findings indicate that there is an

efficiency of the restaurant’s product and service quality towards the attainment of

customer satisfaction. Results show that there is a moderate positive relationship

between product quality and customer satisfaction, as well as the service quality

towards the same dependent variable. With this, each factor of the main variables has

a bearing to the satisfaction level of the customers as there is a direct relationship

between the two. In addition, the serving size of the product and the reliability of the

business in rendering its services are the most significant factors as these were the

areas to be considered and focused by the business given the results which indicate

that these variables obtained the least average scores by the respondents that entails

the disagreement under the statement of each variable.

In general, positive results were obtained as for the product and service quality

of the restaurant in which the majority of the respondents agree with the statements

presented in the questionnaires. With this, it indicates that the respondents were

satisfied as to the quality of the products and services of the business and thus, each

factors under product and service quality has a significant connection towards the

attainment of customer satisfaction. Following this, similar businesses should consider

both variables as areas to focus on, as these are the essential elements for the

70
effective operation of the business. Moreover, factors of each variable should also be

considered in order to achieve an overall quality that would satisfy the customers to

their maximum extent.

Furthermore, findings have implications for the efficiency of the products and

services rendered by the business. Similar with the most significant factors mentioned

above, most of the respondents have also considered the serving size of the food

products and responsiveness of the staffs and employees of the business as the least

recommended variables. With this, similar businesses should manage the mentioned

areas specifically through providing an adequate amount of food serving which meets

customers’ expectations. The businesses should also have immediate responses by

properly accommodating the concerns of the customers. Having this, it requires similar

businesses to improve and maintain the factors that have significant roles in the

attainment of customers’ satisfaction as these serve as the basis for the efficiency of

the business as a whole.

Limitations of the Study

This study aims to determine the efficacy of Clarks and Nikks’ product and

service quality towards their customer’s satisfaction with the provision of opportunity

for the business to enhance and develop its functioning. However, in conducting the

study, there are limitations that ought to be recognized and considered. First, the time

of the researchers is limited for they only have their free time after class and on

weekends to conduct their survey questionnaires. In addition, the vacant time given to

the researchers did not only focus on their study as they have also loads of work to do

especially during weekends. With this, the limitation may hinder the success of data

71
collection from the respondents through efficient administration of survey

questionnaires considering the large total target sample for the study. However, in

minimizing the impact of such limitation, tasks were distributed properly and equally to

each member of the group as they have different schedules to be able to conduct the

survey.

Another limitation of the study is the uncontrolled errors in the administration of

the questionnaires specifically in having several invalid answers from the respondents

in some sections of the questionnaire. Consequently, the errors invalidate the data

gathered from the respondents which hinder the reliability and credibility of the results

obtained. In minimizing the impacts of this limitation, the researchers are able to

conduct a pilot testing which is a small scale trial of few respondents participating and

commenting on the structure of the survey questionnaire which enables them to point

out any problems with regards to the instructions, uncertain items, format and other

typographical errors and/or issues. The test was done prior to the actual distribution

of the instrument. Moreover, another approach of the researchers in minimizing the

impacts of this limitation is by ensuring the effective distribution of questionnaires

through relaying proper instructions to the respondents before and after the time they

will answer.

Furthermore, it is also one of the limitations of the study that the customers of

Clark and Nikks are wide and varied considering the population of the residents in the

city to where the business is currently residing and that the sample size of the study

will not completely guarantee the generalization of the results. Having this limitation

also hinders the attainment of the objectives and significance of the study. With this,

72
the researchers are able to minimize the implications through the use of a sampling

method appropriate and applicable for the study in which the respondents are chosen

based from their characteristics as customers of the business. The researchers were

also able to utilize a reliable sampling formula to calculate an intended sample size

given a desired level of precision, desired confidence level, and the estimated

population of the business’ customers.

Recommendations

Based on the conclusions aforementioned above, the researchers would

recommend Clark and Nikks to improve their service quality as evident results were

acknowledged as to how the respondents were dissatisfied with the business’ service

quality in terms of the responsiveness of its employees in addressing the concerns

and the need for accommodation to the customers. With this, the business can have

an evaluation as to its services by conducting monthly surveys to customers in order

to gather their responses as a basis on where it should be improved to be efficient.

Following this, the business can conduct a service quality improvement approach by

planning and implementing several training programs and activities for the employees

that could help them enhance their service delivery. The approach can be made in

response to the customers’ feedback from the service they received in the business.

The activities may include; teaching the employees customer service techniques,

resolving complaints, customer interaction, gathering of feedbacks and recognizing

customers’ concerns and take it into action and consideration.

As for the businesses that offer similar products and services, the researchers

recommend to innovate their products and services in setting a differentiation which

73
will also consider to focus on the significant factors that should be managed in having

quality output. It should manage its product serving size and its employees’

responsiveness in which they can conduct customer surveys and employee

evaluations to monitor and assess their performance as a business both from its

production and service to customers.

In addition, the researchers recommend future researchers to utilize this study

as a reference and have a broader scope of participants considering the varied and

wide customers of the business. The future researchers can focus on measuring the

difference between the product and service quality in relation to customer satisfaction,

in order to assess and weigh the variable which has more impact towards the

customers. They can conduct the survey by distributing the questionnaires to the

customers who are currently in the restaurant for the whole duration of time allotted

for them in data gathering in order to further assess and observe the respondents’

actual experience.

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APPENDICES

Appendix A: Letter of Permission to Conduct Survey

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Appendix B: Reliability Testing using the Cochran Formula in Microsoft Excel

84
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Appendix C: Data of tallied results

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PROJECT INFORMATION
Project Title: Efficacy of Clark and Nikks Product and Service Quality Towards
Customer Satisfaction
Principal Investigator: Janine Kyle B. Jangao
Contact Number: 09561332906 E-mail: janinejangao@gmail.com

Purpose of the Study

You are being asked to participate in a research study that seeks to see the efficacy
of Clark and Nikks product and service quality towards the satisfaction of their
customers. Clark and Nikks is a restaurant that specializes in unlimited chicken wings
and rice at a fixed price of Php 199. The restaurant is located at Lifestyle District in
Corrales Extension of Cagayan de Oro City. The study aims to determine if the product
and service quality of the business has a direct impact on its customer's satisfaction.
The study aims to answer the following questions:
1) What are the profiles of the respondents in terms of age, gender, and occupation?

2) How frequent do the customers avail the products and services of Clark and Nikks
in a year?

3) How efficient is the product and service quality of Clark and Nikks in correlation with
the customers' level of satisfaction?

4) Is there a relationship between product quality and customer satisfaction of Clark


and Nikks?

5) Is there a relationship between service quality and customer satisfaction of Clark


and Nikks?

6) How can the product and service quality of Clark and Nikks be improved in attaining
customer satisfaction?

Possible Benefits

The findings of this study will benefit Clark and Nikk in giving them information
regarding the perception of the customers towards their business and how they can
improve their products and services. The study can also be beneficial to other food
businesses in giving them insights on how they can improve their business as well.
Confidentiality

Your identity will be treated with utmost confidentiality. The results of the study will not
be manipulated nor interchanged and will be used only for research purposes.

87
Termination of the Research Study

You are free to choose whether or not you would like to participate in this study. No
penalty shall be given if you choose not to participate. In the event that you decide to
discontinue your participation, no amount shall be given or charged to you.
Authorization

I have read and understood this consent form and I volunteer to participate in this
research study and I understand that my consent does not take away any legal rights
in the case of intelligence or other legal fault of anyone who is involved in this study.

Thank you for choosing to participate in this research study. We highly appreciate your
time and effort in answering this survey questionnaire.

________________________________________
Principal investigator's signature over printed name

________________________________________
Participant's signature over printed name

88
PART I. DEMOGRAPHIC PROFILE

Name: (Optional) ____________ Gender: Male Female

Age: 15-20 21-25 26-30 31 and above


Occupation: Student employed self-employed unemployed

(1-3) (4-6) (7-9) (10 and


above)
How many times (in a year) have you eaten at Clark 1 2 3 4
and Nikks restaurant?

PART II. LIKERT SCALE


DIRECTIONS: Encircle the number according to your answer per statement. (Point 1
for strongly disagree, point 2 for disagree, point 3 for agree, and point 4 for strongly
agree.)

SN STATEMENT LIKERT SCALE

Strongly Disagree Agree Strongly


Disagree Agree

PRODUCT QUALITY

1 The appearance of the food is 1 2 3 4


appetizing.
2 The company provides an 1 2 3 4
adequate amount of its product
per serving.
3 The serving size of the products 1 2 3 4
are sufficient.
4 The product tastes good. 1 2 3 4

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5 The restaurant provides consistent quality in the taste of its 1 2 3 4
product.

SERVICE QUALITY

6 The physical environment of the restaurant is clean. 1 2 3 4

7 The ambience of the restaurant is appealing to the customers. 1 2 3 4

8 Staff and servers are approachable towards the customers. 1 2 3 4

9 Staff and employees are willing to take my concern into 1 2 3 4


consideration.

10 The business provides the product at the time they promised. 1 2 3 4

CUSTOMER SATISFACTION

11 I am willing to avail their products and services for another 1 2 3 4


time.
12 I prefer this restaurant over similar establishments. 1 2 3 4
13 I would recommend Clark and Nikks to other potential 1 2 3 4
customers.

PART III. RANKING


DIRECTIONS: RANK from 3 to 1 the following variables according to where you
think the business should be recommended (3 as the HIGHLY recommended
variable and 1 as the LEAST recommended variable).

A. PRODUCT QUALITY B. SERVICE QUALITY


Ranking Variables Ranking Variables
Taste Facility and Equipment
Appearance Consistency of Services
Service Size Responsive Employees

90

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