U N I V E R S I T I T E K N O L O G I MARA
F A C U L T Y O F BUSINESS M A N A G E M E N T
A STUDY ON C U S T O M E R S A T I S F A C T I O N ON S E R V I C E S P R O V I D E D B Y K O T A K I N A B A L U I N D U S T R I A L P A R K
NOOR B A I Z U R A H S. A B D U L L A H 2002126772
A P R I L 2010
ABSTRACT
Kota Kinabalu Industrial Park (KKIP) is an important private organization that promotes growth in the industrialization of Sabah. It provides critical services and products to investors who are keen to invest in manufacturing-based and related industry at K K I P . Being a customer centric organization, customer service is one of the supporting services that is continuously measured and improved in K K I P . This study focuses on customer satisfaction for K K I P customer service with the purpose to determine the level of customer satisfaction for customer service based on five service quality domains as proposed by Parasuraman et al (1988, 1991). Questionnaire is the main primary research instrument which was distributed to the entire population of investors in K K I P with an expected return rate of 75 - 80 percent. A total of 148 questionnaires were collected with a return rate of 74.0 per cent but only 135 sets were used for this study. Results of the study showed a moderate level of customer satisfaction among the respondents, which was significantly not differentiated based on investment category and type, and length of business operation. It was also found that the five aspects of customer services were closely correlated to customer satisfaction. The aspect of assurance has the highest correlation followed by responsiveness and reliability; the lowest being tangibility.
Regression analysis showed that 79.3 per cent of the variance in customer satisfaction can be explained by these five aspects of customer services. It was proposed that future research should examine underlying causes of customer satisfaction from the perspective of internal customers, the staffs themselves. Improvement of customer services can be done through providing a working culture that regards high quality of customer services with KPIs for guidance.
A C K N O W L E D G E M E N T
First and foremost, I am thankful to Allah s.w.t. for giving me strength and chance to further my study in University Technology MARA in Bachelor of Business Administration Majoring in Marketing and thus, do my research paper which I believe
will be very good opportunity for me to gain knowledge apart from completing the requirement of my course.
Secondly, I would like to thank my supervisor, Dr. Haji Abdul Kadir Bin Roseline for the guidance and help he rendered in preparing my research paper.
Thirdly, I want to thank my family and parents for giving me moral support and financially in completing this research paper.
Last but not least, I also want to thank the respondents and friends in assisting me in completing this research paper.
THANK Y O U
T A B L E OF CONTENTS
PAGE
CHAPTER 1 1 INTRODUCTION 1
1.1 Background of the Study 1 1.2 Scope of the Study 4 1.3 Problem Statement 6 1.4 Research Objectives 8 1.5 Research Questions 9 1.6 Research Hypotheses 9 1.7 Significance of the Study 11 1.8 Limitations of the Study 12 1.9 Definition of Terms 12
1.10 Summary 14 CHAPTER 2 16 L I T E R A T U R E R E V I E W 16
2.1 Introduction 16 2.2 Definition of Customer Satisfaction 17
2.3 Definition of Customer Service 19 2.4 Customer Satisfaction Measurement 20 2.5 Customer Service in K K I P Sdn Bhd 24 2.6 Previous Customer Satisfaction Survey Results for Customer Service by
K K I P Sdn Bhd 25 2.7 Summary 28
CHAPTER 3 29 RESEARCH M E T H O D O L O G Y 29
3.1 Introduction 29 3.2 Research Design 29 3.3 Population and Sample 32 3.4 Data Collection Method 32 3.5 Data Analysis Procedure 33 3.6 Research Scheduling 34
3.7 Summary 36
CHAPTER 4 37 RESEARCH RESULTS 37
4.1 Introduction 37 4.2 Respondents' Profiles 38
4.2.1 Category of Investment 39 4.2.2 Types of Investment 40 4.2.3 Length of Business Operation 41
4.3 Level of Customer Satisfaction for K K I P Customer Services 42
4.3.1 Category of Investment 42 4.3.2 Customer Satisfaction Level Based on Category of Investment 43
4.3.3 Customer Satisfaction Level Based on Types of Investment 44 4.3.4 Customer Satisfaction Level Based on Length of Business Operation 46
4.4 Customer Satisfaction for Five Aspects of Customer Services 47 4.5 Relationship between Customer Satisfaction and the Five Aspects of
Customer Services 54 4.6 Underlying Causes of Low Customer Satisfaction 57
4.7 Summary 58
CHAPTER 5 60 CONCLUSIONS AND RECOMMENDATIONS 60
5.1 Introduction 60 5.2 Summary of Findings 60
5.3 Discussion of Findings 64