An Introduction to Theoretical Foundation
CHAPTER-1
INTRODUCTION TO STUDY
INTERODUCTION TO STUDY:
THEORETICAL FOUNDATION
Introduction
In a competitive marketplace where business compete for customers, customer satisfaction is seen as a key differentiation and increasingly has become a key element of business strategy. Customer satisfaction refers to extent to which customers are happy with the products and services provided by a business. Customer satisfaction levels can be measured using survey techniques and questionnaires. Gaining high levels of customer satisfaction is very important to a business because satisfied customers are most likely to be loyal and to make repeat orders and to use a wide range of service offered by a business.
The importance of customers has been highlighted by many researchers and academicians. Zairi (2000) said “customers are the purpose of what we do and rather than them depending on us, we very much depend on them. The customers is not source of a problem, we shouldn’t perhaps make a wish that customers ‘should go away’ because our future and our security will be put in jeopardy”. That is the main reason why organizations today are focusing on customer satisfaction, loyalty and retention.
According to Hansemark and Albinsson (2004),”satisfaction is an overall customer attitude towards a service provider, or an emotional reaction to the difference between what customers anticipate and what they receive, regarding the fulfillment of some need, goal or desire”. Customer loyalty, on the other hand, according to Anderson and Jacobsen,” is actually the result of an organization creating a benefit for a customer so that they will maintain or increase their purchase from the organization”.
Customer satisfaction is the state of mind that customers have about a company when their expectation have been met or exceeded over the lifetime of the product or service. The achievement of customer satisfaction leads
INTRODUCTION TO STUDY
INTERODUCTION TO STUDY:
THEORETICAL FOUNDATION
Introduction
In a competitive marketplace where business compete for customers, customer satisfaction is seen as a key differentiation and increasingly has become a key element of business strategy. Customer satisfaction refers to extent to which customers are happy with the products and services provided by a business. Customer satisfaction levels can be measured using survey techniques and questionnaires. Gaining high levels of customer satisfaction is very important to a business because satisfied customers are most likely to be loyal and to make repeat orders and to use a wide range of service offered by a business.
The importance of customers has been highlighted by many researchers and academicians. Zairi (2000) said “customers are the purpose of what we do and rather than them depending on us, we very much depend on them. The customers is not source of a problem, we shouldn’t perhaps make a wish that customers ‘should go away’ because our future and our security will be put in jeopardy”. That is the main reason why organizations today are focusing on customer satisfaction, loyalty and retention.
According to Hansemark and Albinsson (2004),”satisfaction is an overall customer attitude towards a service provider, or an emotional reaction to the difference between what customers anticipate and what they receive, regarding the fulfillment of some need, goal or desire”. Customer loyalty, on the other hand, according to Anderson and Jacobsen,” is actually the result of an organization creating a benefit for a customer so that they will maintain or increase their purchase from the organization”.
Customer satisfaction is the state of mind that customers have about a company when their expectation have been met or exceeded over the lifetime of the product or service. The achievement of customer satisfaction leads