Purpose -This study seeks to examine the relationship between market orientation, service quality, and their impact towards organizational performance. Design/methodology/approach -A total of 175 sets of structured questionnaires were distributed to managers of 175 service organizations in the northern region of Malaysia, and only 57.71 percent of it, which is 101, was returned. Findings -The results show that market orientation has a significant effect on organizational performance and service quality. Also, service quality has a significant effect on organizational performance. Interestingly, this study found that service quality partially mediates the relationship between market orientation and organizational performance. Research limitations/implications -In order to be more generalized to the service industry, a wider sample with multiple responses from different individuals and management levels can be used for any future study. The same study can also be done by including other mediating or even moderating variables. Practical implications -There is still a shortage of research studying the impact of service quality as a mediator on the relationship between market orientation and organizational performance. Thus, this study contributes a significant knowledge to the service industry. Originality/value -This study adds to the literature by bridging the gap and showing the importance of market orientation in service organizations. It also provides some theoretical contributions to the development of market orientation in relation to service quality and organizational performance.
PurposeService quality has been highlighted as the vital element in fulfilling customers' needs, which contributes to the customers' evaluation on the services given. As food truck business is increasingly popular in Malaysia, it is important for the food trucks' service provider to ensure that their service quality meets the standard to satisfy the customers in order to build customer loyalty. Therefore, the aim of this study is to investigate the relationship between food trucks' service quality with customer satisfaction and its impact toward customer loyalty. The customer service was measured using service quality (SERVQUAL) attributes (tangibles, reliability, responsiveness, assurance and empathy).Design/methodology/approachA quantitative study was conducted to examine the influence of food trucks' service quality on customer satisfaction and its impact toward customer loyalty. A total of 100 food truck customers have been randomly selected to answer the self-administered questionnaire. Data collected were analyzed using frequency, descriptive, reliability, Pearson correlation and regression analysis.FindingsFindings indicated that three out of five attributes of service quality have significant relationships toward customer satisfaction. They are tangibles (β = 0.225, p < 0.05), reliability (β = 0.349, p < 0.05) and assurance (β = 0.311, p < 0.05). Moreover, the customer loyalty (β = 0.643, p < 0.01) has a significant relationship with customer satisfaction.Originality/valueService quality can be characterized as the discrepancy between customer service standards and actual service. When expectations are higher than performance, perceived quality is less than acceptable and therefore consumer disappointment exists which eventually decreases customer loyalty toward a product or services. The study suggested that physical image of the food trucks' service like physical facilities, how the service being performed and also courtesy and knowledge of the food trucks' employees are very important to transfer confidence and trust to customers, which then will influence them to be loyal.
PurposeThe main purpose of this study is to explore the relationship between total quality management (TQM) practices and service quality as well as the relationship between TQM practices and market orientation.Design/methodology/approachStructured questionnaires were distributed to managers of 175 service organisations in the northern region of Malaysia; 101 were returned.FindingsThe results show that employee empowerment, information and communication, customer focus, and continuous improvement had a significant effect on service quality whereas only employee empowerment and customer focus had a significant effect on market orientation.Research limitations/implicationsA wider sample can be used for any future study, which can be generalized to the service industry with multiple responses from different individuals and management levels. The same study can also be completed by including more TQM practices as well as other mediating variables like environment, culture, and control within the organization.Practical implicationsThis study contributes significant knowledge to the service industry since there is still a lack of studies that have been done in relation to TQM in service organizations due to its origin, which is more related to manufacturing organizations. It helps towards understanding the improvement in quality efforts in service organizations in the context of Malaysian practitioners.Originality/valueThis study adds to the literature by bridging the gap and showing the importance of TQM practices in service organizations. It also provides some theoretical contributions to the TQM development, in relation to market orientation.
Most scholars as well as practitioners are fully aware that Total Quality Management (TQM) has become the key factor in improving organizational performance. Most of past researchers have found that TQM has a deep impact on organizational performance including the small and medium enterprises (SMEs). Several researchers have also looked at the issue of ISO 9000 certification in relations to the implementation of TQM. This study tries to examine whether ISO certified companies have higher TQM practices as compared to those non ISO certified small and medium enterprises in the northern region of Malaysia. The result shows that the only significant difference between ISO certified and non-ISO certified organizations was in training and education with ISO certified firms reporting higher extent. However, overall, ISO certified firms did not differ significantly on the other 6 practices. This to a certain extent questions the rationale of getting certified.
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