Professional Documents
Culture Documents
Prepared for
Dr. Rezwanul Huque Khan
Associate Professor
Institute of Business Administration
University of Dhaka
Prepared by
Group 3
Nowshin Jahan [Batch: 57E; Roll: 6]
Md Moinul Islam [Batch: 58D; Roll: 32]
Md Towshikur Rahman [Batch: 58D; Roll: 49]
Shahidul Islam [Batch: 59D; Roll: 29]
Anika Ema [Batch: 59D; Roll: 32]
Date of Submission
May 01, 2020
[This report is a working file and is pre requisite submission to enhance the quality of the Term Paper of the
aforementioned course. There is scope of modification to this document till final submission of the Term Paper]
Assessing Service Quality and Customer Satisfaction Towards Superstore Purchasing -
An Empirical Study on Bangladesh Context
LETTER OF TRANSMITTAL
Subject: Letter of transmittal for Literature Review part of the Term Paper of Buyer Behaviour
(M603) course.
Sir,
In accordance to your advice, we have prepared the Literature Review part of our term paper, titled,
“Assessing Service Quality and Customer Satisfaction Towards Superstore Purchasing - An
Empirical Study on Bangladesh Context” for the course Buyer Behaviour (M603).
This report attempts to showcase our concentration of work on the relevant information highlighted
with multiple source of reference to justify the importance of the topic as well as necessarily opts to
guide through the identification of specific objectives, scope of the study, methodology and
questionnaires to be adopted to conduct the study and so on. However, undoubtedly, our effort and
contribution will be best evaluated on your sharp scale of acceptance and remarks. We would
appreciate your kind and important feedback and guidance on this report so that the intended term
paper could viably achieve its’ professed objectives.
We would like to assure that we will remain standby for any clarification, explanation as and when
required.
This report has been prepared under your supervision. Without your permission, no part of this report
can or will be publicized.
We would like to show our gratitude and thank you in advance for your kind guidance and
supervision.
Sincerely,
Nowshin Jahan
Md. Moinul Islam
Md. Towshikur Rahman
Shahidul Islam
Anika Ema
Page | iii
ACKNOWLEDGEMENT
Assessing Service Quality and Customer Satisfaction Towards Superstore Purchasing -
An Empirical Study on Bangladesh Context
TABLE OF CONTENT
LETTER OF TRANSMITTAL..................................................................................................iii
ACKNOWLEDGEMENT...........................................................................................................iv
TABLE OF CONTENT................................................................................................................v
ACRONYMS..................................................................................................................................1
EXECUTIVE SUMMARY...........................................................................................................2
Chapter 1: Introduction................................................................................................................3
1.1. Background of the Study.............................................................................................................3
1.2. Rationale/ Scope of the Study......................................................................................................4
1.3. Superstores of Bangladesh...........................................................................................................5
1.3.1. Agora........................................................................................................................................................................ 5
1.3.2. Shwapno................................................................................................................................................................... 5
1.3.3. Meena Bazar............................................................................................................................................................. 6
1.3.4. Unimart.................................................................................................................................................................... 6
Page | v
3.5. Data Analysis Method...............................................................................................................19
3.6. Ethical Considerations...............................................................................................................19
3.7. Flowchart and Summary of the Steps........................................................................................19
Chapter 4: Data Analysis and Interpretations..........................................................................21
Chapter 5: Findings/ Results......................................................................................................22
Chapter 6: Conclusions...............................................................................................................23
REFERENCES............................................................................................................................24
ANNEX 1 – SURVEY QUESTIONNAIRE...............................................................................26
ANNEX 2 – SURVEY RESPONSE............................................................................................32
ACRONYMS
EXECUTIVE SUMMARY
Assessing Service Quality and Customer Satisfaction Towards Superstore Purchasing -
An Empirical Study on Bangladesh Context
CHAPTER 1: INTRODUCTION
1.1. Background of the Study
To remain competitive in business and keep the bar high, service quality and customer
satisfaction are considered as integral concepts that companies must understand, undertake and
abide by. Core understanding on Service Quality de facto can lead to higher customer satisfaction,
profitability, reduced cost, customer loyalty and retention. Measuring these constructs from the
consumers’ perspective in order to better understand their needs and thereby cater them with
better service is the key to augment the relationship with customer and to grow their business
ultimately.
A superstore, predominantly, a type of offline marketplace that showcases as well as trades a wide
variety of products in a systematic way unlike the conventional retail shop or market. The vast
product line ranges from apparels, footwears, sports goods, electronic devices, computers, home
appliances, food, cosmetics and vary from store to store. A “superstore”, also recognized as
supermarket or super shop. Ushantha, Wijeratne, and Achchuthan (2014) defined superstore as a
store which is self-service oriented and physically arranged with numerous departments to make
sure the wide variety of food and grocery items. This format of retail store is typically smaller in
size with respect to hypermarket and bigger in size compared to traditional grocery shop. It can be
classified as one of the formats of most organized retailing.
During last two decades, Bangladesh has witnessed a tremendous growth in the superstore
retailing. The very first journey started in 2001 with establishment of ‘Agora’ by the large
conglomerate Rahimafrooz. On that time, the industry had limited focus to the upper-class
segment of the society. However, in 2008, with the commencement of the operation of the
superstore ‘Shwapno’, purchasing trend from superstore has now been shifted towards the
middle-class segment of the society as well.
Nevertheless, one of the challenges superstores are facing, despite having 20 years of voyage,
both the middle-class and the upper-class segment are still not entirely dependent or focusing
solely on superstore shopping. A large number of factors force the purchasing pattern and choice
of customers. Not only individual’s mindset, but also time, surrounding environment,
convenience, comfort and the availability of a certain facility i.e. overall service quality play
fundamental roles in defining the choice of the customers. This study attempts to focus on finding
out the preferences on determination of service quality on which the customers put more emphasis
while choosing a superstore over other facilities in their daily buying endeavor. This study also
prioritizes to find out the gap between the expected level of service and delivered level of service
from consumers’ perspective to relate it to the consumers’ purchase decision and will end up with
some recommendations to the management level to bridge those gaps.
This assignment was initiated for an academic course (Course code: M-603, Course Name: Buyer
Behaviour) of MBA Program, spring 2020 of Institute of Business Administration (IBA),
University of Dhaka. The proposal for the term paper was composed as generously prescribed by
the course instructor Dr. Rezwanul Huque Khan.
Page | 3
Saravanan & Rao, (2007) implies that service organizations have initiated focusing on the
customer perceptions of service quality as it helps in developing strategies that lead to customer
satisfaction. This stresses the importance of service marketing to most service industries. Magi &
Julander (1996) has concluded focusing on the reason, why retailing, like most services perceived
quality, has been of high interest to researchers.
This study focuses on superstores which are type of stores that carry out retailing activities since
they are obliged to deal with the sales of goods and also offer services to their customers in the
event of selling goods. Services offered by retailers are facilitating services which could include;
sales assistance and selling of goods. It’s all about services and this is why measuring service
quality for the superstores demand a high importance.
In 2001, through unveiling the operation of first ever superstore, Bangladesh got exposed to the
fourth wave of superstore diffusion where the first wave had commenced in early 80s by Western
Canada. After the commencement of the superstore operation in Bangladesh, the growth of the
industry was quite slow since the initial target customers were limited to the upper income group
of the society. But nowadays with the advancement of numerous facilities and moderate pricing,
superstores are gaining noticeable popularities among the customers. This tremendous growth of
this industry is also linked to the changing lifestyles of customers, demand patterns, cultural
influences, rising of average income level and many other factors.
Although compared to the wholesome of the total retail market, organized retail i.e. superstore
contains only over 1%, along with a rise of middle and affluent class segment, people are left with
more disposable income, which eventually empowers them with higher purchasing power. In
addition to that, the growing white-collar culture with an increase of working women and the
convenience seeking mindset are changing consumer preferences, purchasing habit & buying
pattern. Modern consumers now want a roomful of choice in a comfortable, hygienic environment
and are less prone to take the price haggling challenge which is resulting the demand for super
market. According to Bangladesh Superstores Owners’ Association (BSOA), some 30 companies
with over 160 outlets are currently operating across the country.
With such incremental growth over the period of time, the superstores of Bangladesh are now
facing a tremendous competition to retain their existing customers. Due to innovative technology
and other global challenges, these superstores are striving hard to offer better goods and services
to their customers in a profitable way. They face competition among themselves because of the
similarity in products and services offered by them. This is why there is a need for these retailers
to focus in delivering superior service quality to achieve high levels of customer satisfaction. So,
understanding customer’s preferences, maintaining topnotch service quality to comply with the
factors that influence their buying pattern has become a crucial priority for the superstore retailers
to retain their competition in the market. Therefore, these types of research works should be done
more and more in this current ever-growing stage of demand for superstores.
This study focuses solely on service quality considering its’ important role in most service firms
and it is antecedent to other as it constructs customer satisfaction, profitability, customer loyalty
and repurchase. All these concepts help companies have a competitive advantage in case they
have a proper understanding of service quality and how it is measured.
1.3.1. Agora
Rahimafrooz Superstores Ltd. (RSL) made a forward leap in the urban ways of life by
launching the first retail chain in the history of Bangladesh, ‘Agora’. Currently, there are
seventeen (17) Agora outlets out of which four are at Gulshan and others are located in
different locations including Dhanmondi, Moghbazar and Mirpur territory of Dhaka city.
Agora tries to satisfy the day-to-day shopping needs of the urbanites through reasonable price,
right assortment and best quality. While Agora mainly focuses on food items - ranging from a
wide assortment of fish, meat, vegetables, organic products, bakery, dairy, to grocery - it
carries a huge range of different households, personal care and miscellaneous products as
well.
To elevate its’ business in a newer dimension, Agora has recently launched Agora e-
commerce website. This superstore introduces customer feedback questionnaire to identify
the satisfaction level of the consumers. Apart from the focus on customer only, in order to
encourage & empower employees, it organizes best employee award in each year on the basis
of votes by the consumers. This tradition is still deemed to be unique in Bangladesh and at the
same time obliging to solicit customer’s attention and satisfaction. This pioneering superstore
continually dispatches attractive promotions like Bazimat, Value or Super Value Offer or
Diamond Ring Offer to attract and retain their customer base. Agora rises to open about
eighty outlets across the country in the next five years.
1.3.2. Shwapno
ACI Logistics Limited started its superstore marketplace journey in 2008 with a vision to
setup nationwide retail outlets and came up with a unique name “Shawpno”. The strategic
endeavor of this company was to utilize ACI’s strong presence in Bangladesh through
implementation of world-class supply chain mechanism. Till date, Shwapno holds the
position of the largest neighborhood supermarket chain in Bangladesh having more than sixty
(60) outlets across the country. Shwapno outlets in entire Bangladesh are strategically located
to ensure a wide range of customers having easy access to the outlets. Shwapno’s diverse
range of products, both local and international, means it has the capacity to cater to the needs
of clients from varying backgrounds. Scrupulous product sorting and service placement has
been the key to guarantee of the outlets meeting the needs and demands of the locality
effectively. Retailing is as much about the individuals selling for what it's worth about the
items, and nobody acknowledges this more than Shwapno. At the core of Shwapno’s success,
it is a mammoth line up of staff who are ready to provide their customers with the best
possible service. It aims at providing convenience and hassle-free shopping in a hygienic
milieu.
Another big conglomerate of Bangladesh, Gemcon Group introduced its first superstore
‘Meena Bazar’ at Dhanmondi on November 2002. As of now there are eighteen (18) Meena
Bazar outlets in Bangladesh. Eight outlets are in Dhaka out of which two outlets are at
Dhanmondi and three at Mohammadpur. The rest of the outlets are located in various strategic
locations including Chittagong and Khulna. The holistic aim of Meena Bazar is to ensure
fresh items of consumers’ daily life. It offers around 20,000 items including grocery,
Page | 5
readymade garments, jewelries, cosmetics, stationary, toys, baby items, beverage and food
including a wide range of agricultural and dairy products, electronic goods and many other
household essentials. One of the unique strengths of Meena Bazar is its’ own product
categories like sweets, confectionary items, herbal beauty products, tea, etc. The customers
are also facilitated with fun-zone in its’ outlet for their children. In 2010, it started flexi load
and bill pay services of Grameen Phone at all its outlets for the convenience of the customers.
Whether it comes to promotional offers to its customers, it has shown some potential in
different festival seasons (Eid, New Year, etc) like other superstores. It has planned to open
sixty more outlets in the next four to five years across the country.
1.3.4. Unimart
Unimart – A United Group sister concern has created another top level of shopping center
with 40,000 sq. foot room on the board. Starting from clothing to bags & shoes, and gadgets
to coffee and shrimp all are readily available in this superstore. Unimart has tried its best to
accumulate everything in their store under one single roof, with wide open space and a safe,
friendly atmosphere that makes shopping an enjoyable experience for the consumers. The
purpose of Unimart is to ensure that every consumer can enjoy the best and highest quality
products in town. Unimart has two branches available in Dhaka city; one is in Gulshan – 2
and another one is in Dhanmondi – 15.
Notwithstanding only quality products and services, Unimart has already taken an initiative
by opening Unimart express within the campus of United International University. This is sort
of an unprecedented steps by any superstores as they are trying to have competitive advantage
from it. Apart from that, Unimart is also merging with various top-class restaurants in Dhaka
city. Like Unimart, Unimart express has also grocery product in various categories they
uphold. They sell various product like chips, biscuits, soft drinks, ice cream, makeup items,
books, different types of wearing etc. Having the target consumers mostly the students, based
on their need of daily life, this store has categorized their products.
1.4.1. Attitude
Attitude is a long-term “organization of motivational, emotional, perceptual, and cognitive
processes” in regard to some aspect of our environment or an object (Hawkins &
Mothersbaugh, 2010). Because it is characterized as a “long-term” or “enduring” trait, attitude
is a tendency to react in the same or similar manner repetitively.
According to Shim et al. (2005), the behavioral component of attitude refers to how an
individual feel about various types of behavior toward the stimulus object. Rahman (2006)
fine-tunes this definition as one’s predisposition or tendency to act in a manner consistent
with one’s beliefs about an object.
Where:
𝐴𝑏 = Consumer’s attitude toward a particular brand b
𝑋𝑖𝑏 = Consumer’s belief about brand b’s performance on attribute i
𝑛 = Number of attributes considered
𝑊𝑖 = The importance the consumer attaches to attribute i
𝐼𝑖 = Consumer’s ideal level of performance on attribute i
Page | 7
To have a scenario of service quality, of superstores in Bangladesh and to apprehend the
absolute and relative importance of the five factors (Tangible, Reliability, Assurance,
Responsiveness and Empathy) in terms of attitudes in consumers’ mind
To find out the expectation of the customers regarding service quality in the superstores
of Bangladesh
To identify the perception about the actual or experienced service quality in the
superstores of Bangladesh
To explore the gaps between expected level of service and delivered level of service from
both customers’ perspective and management perspective
To recommend effective roles and immediate steps for healthy growth of superstores in
Bangladesh.
1. Responsiveness: This component is measured with four dimensions and they are:
Inform customers when the service will occur.
Prompt service from the employees.
Employee’s willingness to help.
Employee’s response to request.
Page | 9
2. Assurance: This component is measured with four dimensions and they are:
Employees should be trustworthy
Customers should feel safe when transacting with employees
Employees should be polite
Employees should get adequate support from the firm to do their job well
3. Tangibles: This component is measured with four dimensions and they are:
Up-to-date equipment
Physical facilities are visually appealing
Employees well-dressed/neat
Appearance of the physical facilities are consistent with the type of service industry
4. Empathy: This component is measured with five dimensions and they are:
Firm provides individual attention to the customers.
Employees provide individual attention to the customers.
Employees understand customer needs.
Employees have the best interests of the customer in mind
Operate at convenient hours.
5. Reliability: This component is measured with five dimensions and they are:
The firm meets their promised time-frames for response
The firm is sympathetic and reassuring, when the customer has problems
They are dependable
They provide their services at the times promised
They keep accurate records
The instrument is administered twice in different forms, first to measure expectations and second
to measure perceptions. Then the gap in service gap is calculated by subtracting the expectation
from actual perception. Thus, the measurement of service quality through SERVQUAL model
can be expressed with the following equation (Farhana Khan*, March 2014):
k
SQ=∑ ( PIJ −E IJ )
j=1
Where:
SQ = overall service quality
k = number of attributes
P IJ = Performance perception of stimulus i with respect to attribute j.
E IJ = Service quality expectation for attribute j that is the relevant norm for stimulus i.
Assessing Service Quality and Customer Satisfaction Towards Superstore Purchasing -
An Empirical Study on Bangladesh Context
Super stores, being a different type of shop unlike departmental stores or any type of
conventional grocery shop, have added a new dimension of shopping endeavor to the
Bangladeshi consumers. Having an incredibly large number of product size, quantity and
availability of products, it has opened an unprecedented way to shop, providing the consumers
the best possible comfort and convenience.
The diffusion of superstores in the developing countries took place in three waves, commencing
from the early 1990s. According to Reardon, Timmer, and Berdegue (2004), by introducing the
operation of ever first superstore “Agora” in the year 2001, Bangladesh had become exposed to
the fourth wave of superstore diffusion.
In spite of the slow growth of the superstore industry at commencement, due to the initial target
customer of the upper income group, the industry is expected to grow by 30% per annum and is
expected to experience a turnover of $2.6 billion by the year 2021.
Despite targeting the upper income customers at inception, with emergence of shwapno, the
target has shifted towards the middle class, which has ushered in a new era for the whole
industry.
Ahmed (2007) examined the consumer attitude towards traditional shopping centers vs.
modernized shopping centers (superstores) in Bangladesh. Through frequency analysis, the
outcomes of the study revealed that people from private sectors and business holders did visit
superstores more compared to the government employees. Frequency of visit in the superstores
tends to increase with the increment of family income. Availability of fresh and authentic
products is the main issue considered by the customers to prefer superstores over traditional
shopping centers.
In their study, Datta & Chakraborty (2009) attempted to identify the determining factors of
customer loyalty towards superstores in Bangladesh. Data were collected from 150 customers
who visited Agora, Nandon, and Value plus superstores. Findings of the study illustrated that at
the cognitive level of loyalty towards superstores, cost and benefit issues became important to
customers, whereas at the affective level, they had a positive attitude with satisfaction. With a
better satisfaction, customers tend to recommend the store to their friends and family at the
conative stage of loyalty, which in turn demonstrated in their frequency of visits
Tinne (2011) conducted a study to ascertain the influencing factors in determining the behavior
of consumers with respect to impulse buying in the superstore context of Bangladesh. Through
literature review, the author identified ten (10) influencing issues that might lead to exhibit
impulse buying behavior. Later on, by conducting factor analysis, the study extracted four
factors (pricing strategies, store characteristics, situational factors, and promotional activities)
that are expected to influence consumers’ impulse buying demonstration while shopping at
superstores.
Page | 11
In their study, Ahsan, Rahman, Chowdhury, and Hoque (2013) carried out a study focusing on
measuring the service quality of the superstores in Chattogram city. Taking SERVQUAL as a
base, the authors modified the quality measurement instrument under five dimensions, namely
tangibility, reliability, assurance, responsiveness and empathy with total 19 items instead of 22
of the original models. Total 412 responses were gathered from five superstore chains in
Chattogram. Analyses revealed that the modified SERVQUAL model appeared as a reliable
instrument for capturing service quality for the superstores. Besides, service quality perception
of consumers toward superstores significantly varied across gender (except reliability and
empathy dimension) and age (except empathy dimension). However, the validity of the modified
instrument was not tested statistically.
To investigate the impact of perceived service quality, product quality, price, store assortment,
trust, and corporate image on customer satisfaction, Akbar, Salahuddin, and Shahriar (2013)
conducted a study in the context of superstore chains in the Dhaka metropolitan areas. Stepwise
regression analysis indicated that in explaining the variation in the customer satisfaction toward
superstore chains, perceived service quality, product quality, price, and store assortment exerted
positive and significant influence. However, both trust and corporate image did not have any
significant effect over perceived satisfaction of the customers.
In their study, Alam and Rana (2013) carried out a comparative study between retail chain stores
and traditional small retail stores focusing on the attitudes of customers. Findings revealed that
retail chain stores provide quality products with quality services, variety of assortments in a
congenial atmosphere. The outputs of chi-square analysis illustrated the significant variation in
the attitudes of the customers towards retail chain stores due to different levels of education of
the customers. Moreover, the difference between customers’ attitude towards retail chain stores
and small retail stores was found statistically significant. The study also pointed out several
issues that might be responsible for the growth of retail chain stores in Bangladesh. These issues
can be classified as store related issues (exclusive and comfortable shopping environment,
quality services, variety of assortments under one roof, hygienic products, up-to-date equipment
and method of selling, and better supply chain management) and non-store related issues
(densely population, upgraded standard of living, increased complexity in life, enhanced
purchasing power, traffic jam, the explosive growth of population, and consumers’ time
limitation).
Arif (2013) conducted an exploratory study to find out the reasons for increasing popularity of
superstores among the people in Bangladesh with particular focus on Dhaka city. Issues such as
presence of quality products, comfortable and hassle-free shopping environment, availability of
fresh products, and increasing number of populations, were identified as the reasons for growing
popularity of the superstores among the city dwellers, particularly among the upper- and middle-
class people of the society. The study also anticipated that in the near future the acceptance of
superstore will spread up among the lower income people of the society.
Azad, Hossain, and Parveen (2013) also conducted a study addressing the impact of several
customer and store related factors on customers’ level of satisfaction. Azad, Hossain, and
Parveen (2013) also conducted a study addressing the impact of several customer and store
related factors on customers’ level of satisfaction. The outputs revealed that in selecting the
supermarkets, availability of all necessary products within a small place was pointed out by the
majority of the respondents (72.41%). The results indicated that the factor customer age had a
Assessing Service Quality and Customer Satisfaction Towards Superstore Purchasing -
An Empirical Study on Bangladesh Context
positive and significant impact on the level of satisfaction. While educated people (having
schooling from 3 to 12 years) were satisfied with the supermarkets’ performance, the highly
educated people (having schooling from 13 years onward) were not. As income escalated, the
level of satisfaction towards supermarkets also increased. High price of the products negatively
affected the satisfaction level of the customers; whereas, the satisfaction level was positively
affected by the availability of the products. Interestingly, the study outcome revealed that those
customers were satisfied more who visited the store with less frequency than those who visited
more frequently.
Khan, Tabassum, and Jahan (2014) made an attempt to investigate the state of service quality of
the superstores in Bangladesh. To do so, they tried to identify whether a significant gap prevails
or not in the customer expectations and perceptions of superstore services by deploying
SERVQUAL models. Based on the data collected, outputs revealed that there was a significant
gap in each dimension of the SERVQUAL model between expectations and perceptions of the
customers with respect to service quality of the superstores. The highest gap was found in the
assurance dimension of the SERVQUAL model followed by tangible, empathy, responsiveness,
and reliability.
Shamsher (2014) conducted a study to reveal the shopping preferences of consumers towards the
superstores in Bangladesh. Based on the data collected from 120 shoppers of supermarkets in
Chattogram city, the author concluded that significant change was apparent in the preferential
aspects of consumers regarding shopping in the superstores. Findings revealed that most of the
consumers prefer to do shopping in the superstores in the evening on a weekly basis. Majority of
the consumers were highly satisfied with the existing operating hours of the superstores and not
interested in having the stores open in 24 hours. In selecting the superstores, “time saving” factor
motivated the consumers more, followed by cleanliness, avoiding unwanted traffic in the store as
well as bargaining, and so on.
Alauddin, Hossain, Ibrahim, and Hoque (2015) conducted a study to investigate the influencing
factors of consumers’ impulse buying behavior in the superstore context of Bangladesh. Findings
revealed that store convenience was the most important factor as a store characteristic that
influenced the specific planned purchase of the consumers in the superstores, followed by store
atmosphere, store image, and store location. On the other hand, store characteristics, such as
store atmosphere, point of purchase display, and discount exerted influence on impulse buying
behavior in their order of influencing strength. It was also identified that the more the visits in
the superstores, the higher the frequency of impulse purchase done by the customers. In addition,
the authors also investigated the level of satisfaction of the superstore customers and found that
only 5% were fully satisfied, whereas, 54% of them were somehow satisfied with the
superstores. However, the study did not make any attempt to test the path relationship between
the influencing factors and the impulse buying behavior of the customers during their visit in the
stores
Farid, Alam, Rahman, Barua, and Sarker (2018) conducted a study to illuminate the influencing
factors in the growth of the supermarket in the Sylhet periphery of Bangladesh. Primary data
were gathered from 100 supermarket consumers who visited supermarkets in Sylhet region.
Authors found that several micro economic factors (such as age, income, and education of the
customers) had the close association with the significant growth of the supermarkets. Moreover,
the study also identified some macro-economic factors (such as GDP growth rate, FDI,
Page | 13
increasing trend of women workforce, and urbanization) that are expected to contribute to the
growth of the supermarket.
Assessing Service Quality and Customer Satisfaction Towards Superstore Purchasing -
An Empirical Study on Bangladesh Context
CHAPTER 3: METHODOLOGY
This chapter portrays the choice of method to be adapted, starting from setting up objectives to
collecting and analyzing data, from a theoretical and practical point of view considering the context of
the study. In brief, it describes the systematic and theoretical aspects of research methods, approaches
and designs to identify, select, process, and analyze data on a particular topic throughout the study.
In this study, the theory and the problem derived, entail to the process of deducing hypothesis and
collecting data. Thereby deductive approach has been followed. In terms of theory, the
SERVQUAL model theory is selected as this model is used as main concept to assess service
quality and customer satisfaction using the embedded dimensions of the theory. SERVQUAL
model facilitates to collect data and measure the gap between expected service and perceived
service. The objectives of the study are expected to unveil through quantifiable data collected
from respondents. Eventually this whole process will lead the team to incur a conclusion on how
customers perceive service quality and extent of dimensions that bring satisfaction to them.
Page | 15
single point of time to collect a body of quantitative or quantifiable data in connection with two or
more variables, which are then examined to detect patterns of the intended association.
This research design has been selected as it aids to identify and categorize the variables which
eases the design of questionnaires in such a way that all data requires from the respondents will be
captured in one shot. The dimensions of the SERVQUAL model administered for measuring
service quality will be efficiently exploited while carrying out the survey, since it deals with
expectations and perceptions of individuals about offered services by the retailers. As it is
important for the study to identify how customers perceive service quality, self-completed
questionnaires have been considered to be appropriate. This questionnaire pattern is envisioned to
give the respondents a chance to independently and anonymously give answers that reflect their
innate and unbiased expectations and perceptions.
P(1−P) z 2
n≥
e2
Where:
from superstore). So, with 95% level of significance and considering 5% allowable error, the
approximate minimum sample size is calculated as 138.3 i.e. 150.
The first part of the questionnaire seeks to get generic information of the respondents and
measure demographic variables. It mainly focuses on gender, age, level of education,
frequency of shopping and average monthly expenditures in superstores to get the pulse of
demographic relationship.
The second part is aimed at measuring the expectations of the customers. These are
statements that seek to tap in how the state of services of the super stores should look like
from their perspective. At the same time, this part also seeks to measure perceptions, or what
it actually looks like currently. These are also statements that are a description of particular
service attributes in the superstores for which respondents are expected to rank these
statements according to how far they think these statements apply to the superstores in
Bangladesh from their experience.
The statements were developed following Parasuraman et al., (1988). The original
SERVQUAL instrument has not been changed, however the statements have been rephrased
to uplift it to the context relevant. The dimension wise questionnaire has been catered as
follows:
Page | 17
Questionnaire
# Dimension Name Definition
Serial
The ability to perform the promised service
1 RELIABILITY 1 to 5
dependably and accurately
The willingness to help customers and to provide
2 RESPONSIVENESS 6 to 9
prompt service
The knowledge and courtesy of employees and their
3 ASSURANCE 10 to 13
ability to convey trust and confidence
The provision of caring, individualized attention to
4 EMPATHY 14 to 18
customers
The appearance of physical facilities, equipment,
5 TANGIBLES 19 to 22
personnel and communication materials
All the questions are multiple-choice and close-ended questions. Because of being closed-
ended and multiple-choice in nature the results of the questions are easy to compare, tabulate
and analyze easier. 5-point Likert-scale; “1” denoting “strongly disagree” and “5” denoting
“strongly agree”; were used where the respondents asked to select the most appropriate
number that corresponds to extent of their agreement to the statement.
Initial data screening will be executed in excel using in-built formulas of excel to identify the
demographics of the respondents.
Advanced analysis will be carried out in SPSS software based on the primarily adopted
hypothesis.
Decisions will be taken after discussion, based on the analysis, amongst the group mates and
eventually relevant recommendations will be prepared. Relevancy with the researches already
done will be attempted to relate.
To conclude, the report will be compiled with all the information the team could
accommodate for nourishing the purpose of the term paper.
Questionnaire Preparation
Hypothesis preparation to conduct the survey Report Preparation and
based on the objectives based on the prepared Submission of Reports
Hypothesis
Page | 19
CHAPTER 4: DATA ANALYSIS AND INTERPRETATIONS
Assessing Service Quality and Customer Satisfaction Towards Superstore Purchasing -
An Empirical Study on Bangladesh Context
Page | 21
CHAPTER 6: CONCLUSIONS
Assessing Service Quality and Customer Satisfaction Towards Superstore Purchasing -
An Empirical Study on Bangladesh Context
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Bangladesh?. Reshaping Organizations, 1(1), 387-400.
Alam, Z. M., & Rana, S. S. M. (2013). Customers’ attitudes towards retail chain store services in Bangladesh –
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to Dhaka City. Anveshak International Journal of Management (AIJM), 2(1), 9-34.
Azad, S. N., Hossain, M. M., & Parveen, R. (2011). Customer perception, price and demand analysis of
supermarkets in Dhaka city. Journal of Business and Technology (Dhaka), 7(1), 35-51.
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Datta, P. R., & Chakraborty, B. R. (2009). Determinants of grocery store loyalty of consumers in Bangladesh.
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Khan, F., Tabassum, A., & Jahan, K. (2014). Assessment of service gap in superstores of Bangladesh by using
SERVQUAL model. World Review of Business Research, 4(1), 109–128
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induced organizational, institutional, and technological change in agrifood systems. Electronic Journal
of Agricultural and Development Economics, 1(2), 168-183
Shamsher, R. (2014). Consumer shopping preference towards organized retailing in Bangladesh. ESOFT Metro
Campus International Journal, 1(1), 155-179.
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Page | 23
Ghotbabadi, A. R. and Baharun, R. (June 2012). A REVIEW OF SERVICE QUALITY MODELS. Retrieved from
https://www.researchgate.net/publication/230669329_A_REVIEW_OF_SERVICE_QUALITY_MOD
ELS
Retail story in Bangladesh: A different shape up story. (April 18, 2019) Retrieved from
https://databd.co/stories/organized-retail-industry-outlook-bangladesh-2077
Mahmud, A. H. (April 19, 2020). Why more and more people are leaning towards superstores. Dhaka Tribune.
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Journal of Academic Research in Business and Social Sciences.
Essays ,UK. (November, 2018). SERVQUAL Model – Summary and Evaluation. United Kingdom: UKESSAys.
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Assessing Service Quality and Customer Satisfaction Towards Superstore Purchasing -
An Empirical Study on Bangladesh Context
1. Gender : ☐ Male
☐ Female
2. Age : ☐ Below 20
☐ 21 - 20
☐ 31 – 40
☐ 41 – 50
☐ Above 50
☐ 25,001 – 50,000
☐ Above 75,001
☐ Bachelor in Progress
☐ Graduated
☐ Post-Graduation in Progress
☐ No
Page | 25
Questionnaire based on ServQUAL MODEL:
Based on your Superstore purchase experiences, please mark the below questions:
Dimension 1: RELIABILITY
(The ability to perform the promised service dependably and accurately)
Scale 1 2 3 4 5
Expectation ☐ ☐ ☐ ☐ ☐
Perception ☐ ☐ ☐ ☐ ☐
Scale 1 2 3 4 5
Expectation ☐ ☐ ☐ ☐ ☐
Perception ☐ ☐ ☐ ☐ ☐
3. The store keeps my records and the records are error free –
Scale 1 2 3 4 5
Expectation ☐ ☐ ☐ ☐ ☐
Perception ☐ ☐ ☐ ☐ ☐
Scale 1 2 3 4 5
Expectation ☐ ☐ ☐ ☐ ☐
Perception ☐ ☐ ☐ ☐ ☐
5. The store informs when a service will be performed and does accordingly –
Scale 1 2 3 4 5
Expectation ☐ ☐ ☐ ☐ ☐
Perception ☐ ☐ ☐ ☐ ☐
Assessing Service Quality and Customer Satisfaction Towards Superstore Purchasing -
An Empirical Study on Bangladesh Context
Dimension 2: RESPONSIVENESS
(The willingness to help customers and to provide prompt service)
Scale 1 2 3 4 5
Expectation ☐ ☐ ☐ ☐ ☐
Perception ☐ ☐ ☐ ☐ ☐
Scale 1 2 3 4 5
Expectation ☐ ☐ ☐ ☐ ☐
Perception ☐ ☐ ☐ ☐ ☐
Scale 1 2 3 4 5
Expectation ☐ ☐ ☐ ☐ ☐
Perception ☐ ☐ ☐ ☐ ☐
9. The customers are well aware about the timing of service to be performed –
Scale 1 2 3 4 5
Expectation ☐ ☐ ☐ ☐ ☐
Perception ☐ ☐ ☐ ☐ ☐
Page | 27
Dimension 3: ASSURANCE
(The knowledge and courtesy of employees and their ability to convey trust and confidence)
Scale 1 2 3 4 5
Expectation ☐ ☐ ☐ ☐ ☐
Perception ☐ ☐ ☐ ☐ ☐
11. I find the employees are knowledgeable to respond to the customers’ queries –
Scale 1 2 3 4 5
Expectation ☐ ☐ ☐ ☐ ☐
Perception ☐ ☐ ☐ ☐ ☐
Scale 1 2 3 4 5
Expectation ☐ ☐ ☐ ☐ ☐
Perception ☐ ☐ ☐ ☐ ☐
Scale 1 2 3 4 5
Expectation ☐ ☐ ☐ ☐ ☐
Perception ☐ ☐ ☐ ☐ ☐
Assessing Service Quality and Customer Satisfaction Towards Superstore Purchasing -
An Empirical Study on Bangladesh Context
Dimension 4: EMPATHY
(The provision of caring, individualized attention to customers)
14. The Superstore facilitates with individual attention to the customer (promotional strategies) –
Scale 1 2 3 4 5
Expectation ☐ ☐ ☐ ☐ ☐
Perception ☐ ☐ ☐ ☐ ☐
Scale 1 2 3 4 5
Expectation ☐ ☐ ☐ ☐ ☐
Perception ☐ ☐ ☐ ☐ ☐
Scale 1 2 3 4 5
Expectation ☐ ☐ ☐ ☐ ☐
Perception ☐ ☐ ☐ ☐ ☐
Scale 1 2 3 4 5
Expectation ☐ ☐ ☐ ☐ ☐
Perception ☐ ☐ ☐ ☐ ☐
18. The employees care for the best interest of mine at heart –
Scale 1 2 3 4 5
Expectation ☐ ☐ ☐ ☐ ☐
Perception ☐ ☐ ☐ ☐ ☐
Page | 29
Dimension 5: TANGIBLES
(The appearance of physical facilities, equipment, personnel and communication materials)
Scale 1 2 3 4 5
Expectation ☐ ☐ ☐ ☐ ☐
Perception ☐ ☐ ☐ ☐ ☐
20. The products are organized and appealing enough to find out easily what I need –
Scale 1 2 3 4 5
Expectation ☐ ☐ ☐ ☐ ☐
Perception ☐ ☐ ☐ ☐ ☐
21. The store décor is appealing and consistent with the service industry –
Scale 1 2 3 4 5
Expectation ☐ ☐ ☐ ☐ ☐
Perception ☐ ☐ ☐ ☐ ☐
22. The employees portray neat and clean, professional and consistent outlook –
Scale 1 2 3 4 5
Expectation ☐ ☐ ☐ ☐ ☐
Perception ☐ ☐ ☐ ☐ ☐
Thank you!!
Assessing Service Quality and Customer Satisfaction Towards Superstore Purchasing -
An Empirical Study on Bangladesh Context
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Assessing Service Quality and Customer Satisfaction Towards Superstore Purchasing -
An Empirical Study on Bangladesh Context
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