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STRATEGIES OF SIDEWALK VENDORS TOWARD CUSTOMER SATISFACTION…

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Chapter 2

FRAMEWORK OF THE STUDY

This part contains the theoretical underpinnings, review of related studies and

literature, conceptual framework and paradigm, hypothesis, and the definition of the

important terms in this study.

Theoretical Underpinnings

The researcher will anchor his study to the theory of Self-determination by

Eduard Deci (1942) who is a professor of psychology and social science at the University

of Rochester in the United States, and the director of his research programs on human

motivation. He is well-known in psychology for his theories on intrinsic and extrinsic

motivation, the nature and development of self-determination, and the fundamental

psychological need (O’Hara 2017).

Self-Determination Theory (SDT) is an all-encompassing framework for the study

of human motivation and personality. It provides a meta-theory for guiding motivational

research, a formal theory that defines intrinsic and extrinsic sources of motivation, and a

clear understanding of how intrinsic and different types of extrinsic motivation impact

cognitive and social development, as well as individual differences. It focuses on

personal choice and with “what does it mean to exist?”

In relation to this study, sidewalk vendors can have an impact on how they

interact with customers, which can affect how they prioritize customer satisfaction. Based

on the theory of self-determination, sidewalk vendors may adopt strategies that align with
STRATEGIES OF SIDEWALK VENDORS TOWARD CUSTOMER SATISFACTION…

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their own personal goals and values, such as enhancing customer interactions, providing

high-quality services, or offering competitive prices.

Review of Related Studies (Foreign)

Street vendors play an important role in society, but unfortunately, they face many

challenges in their daily activities. This is because the community often perceives them as

less educated, less skilled, and low-income earners who could not secure job offers in the

formal sector. As a result, they have been subjected to evictions and harassment from city

authorities, and they have limited access to capital. Street vendors face unstable security,

further exacerbating their challenges (Wongtada, 2014).

In the context of sustainable urban development in Bangalore, a recent study

examined the role of street vending and its impact on the community. The findings

emphasized the significance of street vending as a vibrant and colorful component of

street life. With millions of people relying on street vendors for their daily sustenance,

this industry has the potential to stimulate economic growth by promoting social equity

and accessibility. Ultimately, this can contribute to sustainable urban development for

street vendors and the community at large (Pavantika, Vaseem, 2016).

Street vendors are an essential part of local culture that offers a unique experience

to tourists and locals. However, globalization and tourism have raised safety concerns,

posing a threat to public health. A study in Shijiazhuang City found that unqualified raw

materials, ineffective inspections, poor infrastructure, and a lack of sanitation knowledge

among vendors are primary risks to street food safety. Strategies to improve safety
STRATEGIES OF SIDEWALK VENDORS TOWARD CUSTOMER SATISFACTION…

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include stricter supervision, better facilities, and training for vendors and inspectors.

These measures will promote a safer and healthier food culture, preserving traditional

culinary practices. (Liu, Zhang & Xiangmei, 2014).

This study is based on problems faced by street vendors In livelihoods this

research paper aims to understand the working life of street vendors in keeping with

financial accessibility social security occupational well-being and working conditions

India is the second most populated country in the world providing employment

opportunities to the governments its greatest deals .due to change of climatic conditions

people are migrating from rural to urban to engage in some other task. This study

involves 55% of street vendors' businesses government of India passed the bill about

street vendors in 2022 for standard lifestyle the research selected 150 respondents from

Coimbatore cities adopting convenient sampling and study in descriptive natures. it is

noted that the street vendors follow the street vending policies and get the licenses from

the authorized officials. Mainly this study will concentrate on the street vendor's

problems (Priya, 2022).

Street food safety is essential, and yet it has been rarely studied in China.

Therefore, a typical city in China was selected as the research object to assess food safety

knowledge, attitudes, and street food suppliers and consumer behaviors using

questionnaires based on previous studies, and considering China’s particular

characteristics and reasonable impacts identified in previous studies, such as increased

income, work experience, licenses, and locations. The food safety knowledge and attitude
STRATEGIES OF SIDEWALK VENDORS TOWARD CUSTOMER SATISFACTION…

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questionnaire conformed to the national conditions in China. It was used to assess the

food safety knowledge and attitudes toward food suppliers and consumers (Lihua, Chen,

Yan, Wu & Zhang, 2019).

Review of Related Literature (Foreign)

The existing literature on the relationship between regulators and street vendors

remain fragmented and limited to specific countries and contexts. This article presents a

narrative review of the existing literature on the relationship between regulators and street

vendors, and through that creates a unified picture of an otherwise fragmented literature

and knowledge base. The concepts of negotiation, power, social network, and perception

are used to analyze the various strategies street vendors have used in gaining access to

urban public spaces in different parts of the developing world. It is revealed that even

though city regulators have access to formal power, street vendors possess a variety of

negotiating strategies that gives them access to both formal and informal power (Forkuor,

Akuoko & Yeboah, 2017).

Street vendors in Accra, Ghana, have a common desire - to work without the fear

of evictions, harassment or fines that have become commonplace in recent years. They

have consistently expressed their desire to work together to build a more equitable system

where regulations are clearly communicated and respected. This is not just a problem in

Accra but in cities all over the world, where informal workers and their organizations are

coming together to defend their right to work in public spaces and urging their

governments to provide fair and regulated access. In many cities, this has become
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increasingly urgent, with the foreclosure of physical spaces and spaces for dialogue with

city officials, as public spaces are privatized or restricted (Harvey, 2019).

Street vending has persisted for centuries and pervasive across the globe since it

plays a remarkable role in fulfilling customer needs in the context of the informal

economy. In the contemporary business context, authorities have not paid sufficient

attention towards street vendors. The paper addresses the specific features of street

vending in the context of Sri Lanka, various challenges faced by street vendors, and

possible courses of action for the empowerment of street vendors. Accordingly, location

issues with lack of infrastructure, less support from the government, insecurity and

unstable conditions, slow growth, lack of financing opportunities and less support from

banks were identified as major challenges faced by street vendors in Sri Lanka. Proper

location and infrastructure development, assurance of security including a specific

insurance scheme and financial assistance are proposed to empower street vendors to

enhance their performance (Karunaratne, 2021).

Street vending represents a vital and growing aspect of the urban informal

economy that is often the subject of municipal regulatory efforts that seek to control,

confine or extinguish it. In the People's Republic of China, recent developments and

discussions on vendor rights and regulation underscore important socio-political and

economic changes and concerns around the role of the informal economy in this country.

As more of China's rural poor enter urban areas and turn to the streets to survive, the

number of unlicensed vendors has risen and municipal efforts at increased regulation and

enforcement of street vending licensure have been enacted. These developments within
STRATEGIES OF SIDEWALK VENDORS TOWARD CUSTOMER SATISFACTION…

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the context of China's 'state-capitalist economy' provide a fertile field for research into the

informal economy, use and re-appropriation of public space, and regulation of a

previously marginalized commercial activity. This paper draws from primary and

secondary sources to provide an overview of street vending in China and consider the

implications of recent regulatory developments and public dialogue that strive to

formalize the informal (Bell, 2014).

The administration of street vending in Bangkok is consistent but not compatible

with changes in the economic and social situation in Thailand as well as the growth of

street vending around the world as well as increasing appreciation of its important role.

To support this argument, the paper presents the policy measures on street vending since

the founding of Bangkok in 1973, the paradigm shift in employment since the Asian

Economic Crisis in 1997, and empirical data from a study of street vending in four

districts in Bangkok in 2016. The study collected data from street vendors and buyers in

Bangrak, Pathumwan, Phranakhon, and Samphanthawong. The sample size of the

vendors in each district was 100 and participants were selected through random sampling.

A sample of 50 buyers in each district was selected through convenience sampling. From

the documentary study and the field data, the paper recommends that the Bangkok

Metropolitan Administration should realign the administration of street vending under the

dynamics of the economic and social situation and international trends (Nirathron &

Yasmeen, 2019).

Review of Related Studies (Local)


STRATEGIES OF SIDEWALK VENDORS TOWARD CUSTOMER SATISFACTION…

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Many people congregate in cities and urban areas in search of better opportunities

and quick money. As an effect, many individuals engaged in sidewalk vending. The

sidewalk vending plays a significant role in the lives of sidewalk vendors in terms of

economic survival. However, the extent of its impact is only enough to attend to their

basic needs and to feed their families (Tindowen & Aquino, 2016).

In developing states of Southeast Asia, street vendors play a significant but

frequently unappreciated role in both the vibrancy of public spaces as well as the

informal economy. Yet, they are subject to indiscriminate purges from sidewalks and

other contested territories, which they occupy for lack of provision of spaces in which

they could otherwise do business. But such occurrences, and the conflicts that may

follow, can be addressed by revisiting policies, which seem anti-vendor or which fail to

comprehend their presence and needs. This research studied street vendors of one of the

active commuter interchanges of Metro Manila, the Monumento Station area in Caloocan

City, framing their needs, issues, and aspirations against existing laws. Simultaneously

examined were typical uses of shifting, often contested stretches of roads, corners, and

easements where hawkers, among other users, daily negotiate a claim to the city’s space

(Recio & Gomez, 2014).

Street vendors add life to streets that are empty of activities, discouraging

antisocial behavior by acting as eyes on the road. Informal economy make up to 72.5%

employment including vendors in the Philippines. Local governments regulate the

vendors to improve community image, to protect shops and restaurants, to avoid sidewalk

congestion, and to reduce the liability of adjacent businesses. The purpose of this study is
STRATEGIES OF SIDEWALK VENDORS TOWARD CUSTOMER SATISFACTION…

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to provide baseline data on the general picture of how street vendors set up their place

and it helps street vendors to minimize the cost of competition. This research was

conducted with a descriptive approach to recognize the different variables needed and

assess the reasons for choosing street vending locations. Furthermore, the location of the

street vendors have a positive effect on customers because of the accessibility to all types

of transportation (Santos, Badua, Callo, & Ferrer, 2020).

The food service industry is also positively booming nowadays. The boom will

most likely impact quick-service and fast-casual restaurants this year. Entrepreneurs enter

the food and beverage business due to its income potential. There are various types of

food establishments such as fine dining restaurants, fast-food chains, and/or street food

stalls. Filipino food takes on an evolving nature, from the streets of Quezon City such as

the street food that is more than just a convenience food source in the Philippines, to the

five-star establishments of Makati (Wolf, et al. 2013).

Review of Related Literature (Local)

Street vendors struggle to secure permanent employment in the formal sector due

to their lack of skills and training. This study surveyed 101 street vendors and found that

they typically had 4-6 family members, earned a daily income of P500 or less, and had

been street vendors for at least six years. There was no significant difference in their

responses regarding governance and legal issues, workplace-related problems, and

physical issues based on household size, daily income, and number of years in street

vending. However, there was a significant difference in their responses concerning

governance and legal, socioeconomic, and workplace-related problems when categorized


STRATEGIES OF SIDEWALK VENDORS TOWARD CUSTOMER SATISFACTION…

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by daily income. Furthermore, the larger the household size of street vendors, the more

likely they are to experience socioeconomic issues. The local government should use

these results to plan and improve existing policies on street vending (Solidum, 2023).

Urban areas progress faster than rural areas, attracting low-income individuals to

cities. They end up in the informal sector, occupying sidewalks to earn a living. This

became an issue. A study was conducted using opinion surveys, interviews, and data.

Street vending is a way for people with no economic recourse to survive. Politicians have

inconsistent approaches to this issue. Sidewalk vendors are not the root cause of the

problem but highlight a larger social imbalance. The study recommends that local

government design an effective intervention program (Golisomo, 2014).

During our time in Manila, we were allowed to see some of the city to further our

understanding of some of the issues facing one of SUEUAA’s case study locations,

including informal settlements and traffic congestion which were cited in many of the

presentations given during the SUEUAA symposium. We also saw some of Manila’s

many during our time in Manila, we explored the city to better understand the issues

facing one of SUEUAA's case study locations, including informal settlements and traffic

congestion. We also witnessed the informal economy of street vendors, who sell a variety

of goods such as fruits, vegetables, clothing, and grooming services. We bought boiled

corn and rambutan from some of the vendors who mostly comprise women and children

(Neary, 2018).

According to (The Philippine Statistics Authority, 2016) ‘ambulant vendors’

refer to the “vendors of goods and service providers without stalls or shops such as
STRATEGIES OF SIDEWALK VENDORS TOWARD CUSTOMER SATISFACTION…

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street vendors or hawkers.” Ambulant vendors are very common in the Philippines. In

the University of the Philippines Diliman (UP Diliman), they usually sell affordable

snacks such as: taho, corn, bread, ice-cream, banana cue, turon, carioca, etc. The

ambulant vendors do not only provide food for the staff and students of the university

but also to those that visit the university .

Street food vending is a major source of livelihood for many Filipinos, but it is also a

source of health risks due to improper food handling. The study aimed to identify the factors that

influence the food handling practices of street food vendors in Biliran Province. A descriptive

cross-sectional survey was conducted among street food vendors in Biliran Province. A structured

questionnaire was used to collect data on street food vendors' knowledge, practice, and attitudes

towards food handling. Descriptive statistics were used to analyze the data. The results showed

that most of the street food vendors in Biliran Province had inadequate knowledge and

practice regarding food handling (Pabilando, 2023).

Conceptual Framework

The study will be conducted using the I-P-O model, with the input phase

consisting of a comprehensive profile of the respondents including their sex, class

section, personal beliefs, and socioeconomic status. Additionally, the effects of online

examination on academic performance will be examined in terms of accessibility, quality,

and convenience aspects, and the relationship between the respondents' profiles and their

strategies toward customer satisfaction will be studied. The study will also provide

recommendations for helping sidewalk vendors develop effective strategies toward

customer satisfaction. Data gathering tools such as web searches and survey
STRATEGIES OF SIDEWALK VENDORS TOWARD CUSTOMER SATISFACTION…

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questionnaires will be used, and data analysis tools such as frequency count and

percentage, mean and standard deviation, and version correlation will be employed. The

output phase will present the study's findings on the strategies of sidewalk vendors

toward customer satisfaction, along with essential recommendations. It's worth noting

that the arrows in the model show a single direction of movement, indicating that the

process is procedural, with input as the initial phase and output as the final phase.

Input Process Output


1. Profile of the 1. Data Gathering The Strategies of
respondents Tools Sidewalk Vendors
toward Customer
1.1. Sex; 1.1. Web Search
Satisfaction with the
1. 2. Age; 1.2. Survey essential
Questionnaire recommendations.
1.3. Monthly Income;
1.3
1.4. Years of
Experience? 2. Data Analysis
Tools
2. Strategies of
sidewalk vendors 2.1. Frequency Count
toward customer and Percentage
satisfaction
2.2. Mean and
2.1. Accessibility Standard Deviation
2.2. Quality 2.3 Version
Correlation
2.3. Convenience
3. Implication of the
findings about the
strategies of sidewalk
vendors toward custo-
mers satisfaction
4. Suggestions to help
sidewalk vendors
develop effective
strategies toward
customer satisfaction?
STRATEGIES OF SIDEWALK VENDORS TOWARD CUSTOMER SATISFACTION…

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Figure 1. Paradigm of the Study using I-P-O Model

Hypothesis

This study will employ null hypothesis as indicated below:

H0 = the strategies of sidewalk vendors toward customer satisfaction have no significant

effect on customer satisfaction.

Definition of Terms

The research presents the set of important terms in this study and defines them

operationally and conceptually as follows:

Accessibility. Is all about creating a world that is accessible and inclusive for

everyone. It involves making information, activities, and environments sensible,

meaningful, and usable for as many people as possible. It's about identifying and

addressing barriers to access and providing equitable opportunities regardless of a

person's abilities or circumstances. By prioritizing convenience, we can create a more

welcoming and supportive society where everyone has the chance to thrive

(SeeWriteHear, 2024).

In this study, it refers to the availability and ease of access to services or products

for customers with mobility or physical disabilities, regardless of age or physical

location.

Convenience. A quality or situation that facilitates ease and usefulness by

reducing the amount of work or time required to accomplish something. An appropriate


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or suitable time for performing a task, or for someone to engage in an activity. An object

or device that enhances comfort and enables you to accomplish tasks more efficiently

(Britannica, 2024).

It refers to a characteristic or attribute of a location, service, or business that

makes it easy and convenient for customers to access and use, regardless of their physical

location, time constraints, or other external factors.

Customer. A customer can be an individual, a group of individuals or an

organization who receives or may receive goods, services, products or ideas from another

person or company in exchange for value, which can be money or anything of equivalent

value. Customers are the foundation of any business, and the more customers a business

has, the more it thrives, and vice versa. Businesses need customers to buy their products

or services. A customer may not buy a product right away, but they may still be part of

the target customer group and may purchase it in the future (Skool, 2024).

In this study, the customer is the individual or entity who purchases the goods or

services offered by such vendors.

Satisfaction. Happiness or pleasure is experienced due to a positive event or

accomplishment. The act of fulfilling a need or desire. The process of addressing a

problem or complaint satisfactorily (Britannica, 2024).

Defined as the quality of achieving or maintaining a desired result, outcome, or

sense of fulfillment derived from the experience of a product, service, or interaction.

Sidewalk Vendors. A sidewalk vendor is a person who sells food or merchandise

from a receptacle or a person on a public sidewalk or pathway. This includes both


STRATEGIES OF SIDEWALK VENDORS TOWARD CUSTOMER SATISFACTION…

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stationary and roaming vendors. Sidewalk vendors can sell food or merchandise from a

pushcart, stand, display, pedal-driven cart, wagon, showcase, rack, or any other non-

motorized conveyance. The term may also have other meanings as assigned by

Government Code section 51036(a) from time to time (LawInsider, 2024).

In this study, it is defined as vendors, typically selling food or other goods and

services, who operate in public areas such as sidewalks, parks, or other outdoor spaces.

They typically use makeshift kiosks, stands, or carts to sell their merchandise.

Strategy. If there is one thing that needs to be returned to its basic, real, and

unchanging nature, it is strategy. Strategy is the intelligent allocation of resources through

a unique system of activities to achieve a goal. In simpler terms, strategy is how you plan

to achieve your goal (Horwath, 2020).

It refers to the plans and actions adopted by businesses or individuals go achieve a

set of desired outcomes or goals. They typically involved identifying key target markets,

creating marketing plans, identifying and managing challenges, and monitoring and

evaluating the efficacy of strategies.

Quality. A product is considered to be of good quality when it meets the

requirements of the customer in terms of performance, grade, durability, appearance, and

intended use. Similarly, a component is said to possess good quality if it works well in the

equipment for which it is intended. In simpler terms, the product should be suitable for

the intended use/purpose, which is known as fitness for purpose. Quality is the total of all

the features and characteristics of a product or service that contribute to its ability to meet

the stated or implied needs of the customer (TQP, 2020).


STRATEGIES OF SIDEWALK VENDORS TOWARD CUSTOMER SATISFACTION…

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In this study, it refers to the characteristics of a product, service, or business that

make it desirable or acceptable to customers in terms of its performance, durability,

reliability, and accuracy. The quality of a product or service refers to its conformity to

specified standards or expectations and plays an important role in a customer’s overall

satisfaction with the product or service.


STRATEGIES OF SIDEWALK VENDORS TOWARD CUSTOMER SATISFACTION…

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References

Notes in Chapter 2

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STRATEGIES OF SIDEWALK VENDORS TOWARD CUSTOMER SATISFACTION…

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