SERVICE QUALITY OF MILLENNIALS By
Nikolas Aryaputra 11303047
BACHELOR’S DEGREE
In
BUSINESS ADMINISTRATION-
HOTEL AND TOURISM MANAGEMENT CONCENTRATION FACULTY OF BUSINESS ADMINISTRATION AND HUMANITIES
SWISS GERMAN UNIVERSITY The Prominence Tower
Jalan Jalur Sutera Barat no. 15, Alam Sutera Kota Tangerang, Banten 15143, Indonesia
August 2017
Revision after the Thesis Defense on 20
thJuly 2017
Nikolas Aryaputra STATEMENT BY THE AUTHOR
I hereby declare that this submission is my own work and to the best of my knowledge, it contains no material previously published or written by another person, nor material which to a substantial extent has been accepted for the award of any other degree or diploma at any educational institution, except where due acknowledgement is made in the thesis.
Nikolas Aryaputra
____________________________________________
Student Date
Approved by:
Munawaroh, SE, MM
____________________________________________
Thesis Advisor Date
Dr. Nila K. Hidayat SE., MM.
____________________________________________
Dean Date
Nikolas Aryaputra ABSTRACT
PARTIAL AND SIMULTANEOUS IMPACT OF TWO DIMENSIONS OF CUSTOMER VALUE CO-CREATION BEHAVIOR TOWARDS PERCEIVED
SERVICE QUALITY OF MILLENNIALS By
Nikolas Aryaputra Munawaroh, SE, MM, Advisor
SWISS GERMAN UNIVERSITY
This research is done to analyze simultaneous and partial impact of two dimensions of customer value co-creation behavior towards perceived service quality of millennials.
The aim of this research is to find how significant does both dimensions of customer value co-creation behavior towards perceived service quality. Questionnaire were spread to 150 respondents who are living in Jabodetabek (Jakarta, Bogor, Depok, Tangerang and Bekasi), in the range of age 17-37 and has dined in a full-service restaurant in the last six months. The valid respondents were shown at 124 respondents.
Multiple regression is used in this research to find out the simultaneous and partial impact of both variables. The research resulted in a significant impact of two dimensions of customer value co-creation behavior towards perceived service quality, partially and simultaneously. It is also proven that customer participation behavior dimension has a higher impact towards perceived service quality compared to customer citizenship behavior dimension. It is suggested for managers in a full-service restaurant to maximize the potential of customer participation through personal interaction, feedback, advocacy and helping.
Keywords: Customer Value Co-creation Behavior, Customer Participation Behavior, Customer Citizenship Behavior, Perceived Service Quality.
Nikolas Aryaputra
© Copyright 2017 by Nikolas Aryaputra
All rights reserved
Nikolas Aryaputra DEDICATION
I dedicate this thesis to my almighty God, Mother Mary and my parents and family for
all their blessings and support.
Nikolas Aryaputra ACKNOWLEDGEMENTS
I am very grateful for all the blessings my Almighty God has given me throughout this thesis work and throughout my life and Mother Mary for her accompaniment through my ups and downs.
Massive love and lots of thank you to my parents who had been supporting me for who I am, for who I wanted to be and for everything they have given to me for granted. My two big brothers and their family for their kind words and advices. As I won’t be who I am right now without them all.
Special thanks to my advisor, Mrs. Mumun for this past semester during thesis work. A big gratitude for those empowerment and kind advice, for those new knowledge I have learned and all those 4 years in SGU.
And lastly, all of my friends who are willing to spend their early morning with me
working on this thesis. Without those early mornings, we won’t be as we are right now.
Nikolas Aryaputra TABLE OF CONTENTS
STATEMENT BY THE AUTHOR ... 2
ABSTRACT ... 3
DEDICATION ... 5
ACKNOWLEDGEMENTS ... 6
TABLE OF CONTENTS ... 7
LIST OF FIGURES ... 11
LIST OF TABLES ... 12
CHAPTER I ... 14
INTRODUCTION ... 14
1.1. Background ... 14
1.2. Research Problem ... 18
1.3. Research Purpose ... 18
1.4. Research Question ... 18
1.5. Significance of Study ... 19
1.6. Scope & Limitation ... 19
1.7. Thesis Structure ... 20
CHAPTER II ... 21
LITERATURE REVIEW ... 21
2.1. Framework of Thinking ... 21
2.2. Service-Dominant Logic (S-D Logic) ... 22
2.3. Customer Participation ... 24
2.4. Value Co-Creation ... 26
2.4.1. Customer Value Co-Creation Behavior ... 28
2.4.2. Customer Participation Behavior ... 29
2.4.2.1. Information Seeking ... 29
2.4.2.2. Information Sharing ... 29
2.4.2.3. Responsible Behavior ... 30
2.4.2.4. Personal Interaction ... 30
2.4.3. Customer Citizenship Behavior ... 31
2.4.3.1. Feedback ... 31
2.4.3.2. Advocacy ... 31
2.4.3.3. Helping ... 31
2.4.3.4. Tolerance ... 31
Nikolas Aryaputra
2.5. Perceived Service Quality ... 32
2.5.1. SERVQUAL ... 33
2.6. Millennial Generation ... 35
2.7. Restaurant ... 36
2.8. Previous Studies ... 37
2.9. Study Differences ... 41
2.10. Hypothesis ... 42
2.11. Research Model ... 43
2.12. The Impact of Two Dimensions of Customer Value Co-Creation Behavior towards Perceived Service Quality of Millennials ... 44
CHAPTER III ... 45
RESEARCH METHODOLOGY ... 45
3.1. Type of Study ... 45
3.2. Type of Data ... 45
3.3. Time Dimensions ... 45
3.4. Data Collection Method ... 46
3.5. Sample & Population ... 47
3.6. Unit Analysis and Unit Observation ... 48
3.7. Data Testing ... 49
3.7.1. Pre-Testing ... 49
3.7.2. Post-Testing ... 49
3.8. Validity & Reliability ... 49
3.8.1. Validity Test ... 49
3.8.2. Reliability Test ... 50
3.9. Data Analysis ... 51
3.9.1. Classical Assumption Test ... 51
3.9.2. Normality Test ... 51
3.9.3. Multicollinearity Test ... 51
3.9.4. Heterocsedacity test ... 51
3.9.5. Hypothesis Testing ... 52
3.9.5.1. F-Test ... 52
3.9.5.2. T-test ... 52
3.10. Operationalization Variable ... 53
Nikolas Aryaputra
CHAPTER IV ... 60
RESULTS AND DISCUSSION ... 60
4.1. Respondent Characteristic ... 60
4.1.1. Gender ... 60
4.1.2. Place of Residence ... 61
4.1.3. Age Group ... 61
4.1.4. Latest Education ... 62
4.1.5. Marital Status ... 62
4.1.6. Current Employment ... 63
4.1.7. Average Spending in Restaurant ... 64
4.1.8. Monthly Income ... 65
4.1.9. Average Visit to a Restaurant in a Weekly Period ... 66
4.1.10. Accompany While Visiting Restaurant ... 67
4.2. Validity and Reliability Test Result ... 68
4.2.1. Pre-Test Validity & Reliability Test Result ... 68
4.2.1.1. Customer Participation Behavior (X1) Validity & Reliability Test (Pre- Test) ... 69
4.2.1.2. Customer Citizenship Behavior (X2) Validity & Reliability Test (Pre- Test) ... 71
4.2.1.3. Perceived Service Quality (Y) Validity & Reliability Test (Pre-Test) ... 73
4.2.2. Post-Test Validity & Reliability Test Result ... 75
4.2.2.1. Customer Participation Behavior (X1) Validity & Reliability Test (Post- Test) ... 75
4.2.2.2. Customer Citizenship Behavior (X2) Validity & Reliability Test (Post- Test) ... 77
4.2.2.3. Perceived Service Quality (Y) Validity & Reliability Test (Post-Test) ... 79
4.3. Classical Assumption Test Result ... 81
4.3.1. Normality Test Result ... 81
4.3.2. Multicollinearity Test Result ... 82
4.3.3. Heteroscedaticity Test Result ... 83
4.4. Hypothesis Testing Result ... 84
4.4.1. First Hypothesis Test Result ... 84
4.4.2. Second Hypothesis Test Result ... 85
4.5. Discussion ... 86
4.5.1. First Hypothesis Discussion ... 86
Nikolas Aryaputra
4.5.2. Second Hypothesis Discussion ... 88
4.5.2.1. Customer Participation Behavior ... 89
4.5.2.2. Customer Citizenship Behavior ... 93
CHAPTER V ... 97
CONCLUSION AND RECOMMENDATION ... 97
5.1. Conclusion ... 97
5.2. Recommendation ... 98
5.2.1. Managerial Implication ... 98
5.2.2. Future Research ... 100
GLOSSARY ... 101
REFERENCES ... 102
APPENDICES ... 106
CURRICULUM VITAE ... 127
