RELATIONSHIP
BETWEEN SERVICE LOYALTY AND SERVICE QUALITY IN MALAYSIA AIRLINE INDUSTRY: MAS
AND AIR ASIA
BY
WONG YUNG LING
The airline industry around the world has faced a worst-case scenario due to the impact of global softness, fear of terrorism, war in Iraq and the spread of Severe Acute Respiratory Syndrome (SARS). This has affected the airline companies tremendously and hence, this research aims to find out whether service quality and service loyalty could solve this problem despite measures undertaken so far for Malaysia airline industry. In order to investigate this problem, the research was designed to find out consumers’ perceived service quality towards MAS and Air Asia using SERVQUAL Model, and to investigate consumers’ service loyalty in terms of preference loyalty, price indifference loyalty and dissatisfaction response. Moreover, it determined the relationship between service loyalty and service quality in order to provide recommendations and appropriate strategies for MAS and Air Asia in today’s environment. In relation to this, a descriptive research was conducted to achieve the stated objectives. The current customers of MAS and Air Asia were targeted and sampled using quota sampling method. Survey, interview and secondary data from various sources were used to solicit necessary information for this research. The data gathered from survey was processed and analyzed by SPSS software using different statistical tests. Generally, a relationship is established between service loyalty and service quality in Malaysia airline industry. Consumers tend to become loyal to the airline company when the service quality is good. Hence, this study is significant to acquire loyal customers. In conclusion, when a customer is loyal to an airline company, they would believe and trust the airline services provided by the company. Consequently they would be confident to fly with the airline company even under today’s critical environment.
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B. A. (Hons) In Marketing
Number: 3