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Module Code & Module

Title
MN6P00 Management Investigation and Dissertation
Year and Semester
2021 Autumn
Assessment of weightage & Type
20% Individual Report | Research Proposal

Research Topic
Impact of internet service quality on customer satisfaction in context of
Dharan.

Student Name: Rajdeep shakya


London Met ID: 18029270
College ID: NP05BA4A180005
Assignment Submission Date: 3rd January 2021
Word Count (Where Required): 2000
I confirm that I understand my coursework needs to be submitted online via Local Server under the relevant module
page before the deadline for my assignment to be accepted and marked. I am fully aware that late submissions will
be treated as non-submission and a mark of zero will be awarded.
Acknowledgement
Firstly I would like to thank our respected module leader lecturer Mr.Navraj Bhusal and Itahari
International College for giving me such a good guideline for preparing proposal report
throughout numerous consultations. I am very grateful from the bottom of my heart to our
respected module leader Mr.Navraj Bhusal sir for providing such a great platform to prepare the
report which knowledge will help me in my future endeavors. I would like to thank our respected
module lecturer Mr. Bigendra shrestha sir who helped me with my report by offering his
valuable time to give me guidance and support to complete this proposal.
Contents
CHAPTER 1. INTRODUCTION....................................................................................................1
1.1 Background of the study........................................................................................................1
1.2 Statement of the Problems....................................................................................................1
1.3 Research Questions................................................................................................................1
1.4 Research Objectives...............................................................................................................1
1.5 Significances of the study......................................................................................................2
1.6 Limitations of the Study........................................................................................................2
CHAPTER 2: LITERATURE REVIEW.........................................................................................3
2.1 Customer satisfaction.................................................................................................................3
2.2 Customer satisfaction on Internet industry................................................................................3
2.3 Attributes which influence on Customers satisfaction in Internet services...............................3
2.3.1 Network Quality toward Customer Satisfaction.....................................................................4
2.3.2 Price toward Customer Satisfaction........................................................................................4
2.3.3 Perceived value toward Customer satisfaction.......................................................................4
2.3.4 Trust toward customer satisfaction.........................................................................................5
2.4. Empirical Findings....................................................................................................................5
CHAPTER 3: CONCEPTUAL FRAMEWORK.............................................................................6
3.1 Sources of Variables..............................................................................................................6
3.2 Conceptual Framework..............................................................................................................8
4. Research method..........................................................................................................................9
4.1 Research approach.................................................................................................................9
4.2 Data collection.......................................................................................................................9
4.3 Data analysis tool...................................................................................................................9
4.4 Result of Pilot study...............................................................................................................9
5. Timeline....................................................................................................................................10
6. Conclusion.................................................................................................................................10
7. References..................................................................................................................................11
8. Appendix....................................................................................................................................13
8.1 Questionnaire Demographic Data........................................................................................13
8.2 Network quality...................................................................................................................14
8.3 Price.....................................................................................................................................15
8.4 Perceived value....................................................................................................................16
8.5 Trust.....................................................................................................................................17
8.6 Customer satisfaction...........................................................................................................18
8.7. Raw data collected from the pilot study.............................................................................19
Abstract
In the modern world, Internet Service Providers (ISPs) need to consider important qualities
impacting customer satisfaction and provide strategies to maintain current customers because of
the fierce rivalry in telecommunications services. The topic of my study is impact of internet
service quality in context of Dharan. The purpose of this study is to investigate attributes that
influence customer satisfaction in the internet service in context of Dharan and to analyze the
connection among cost and satisfaction level of customer’s towards different Internet service
providers. A quantitative method will be used in the research to collect the data and to find out
the relationship between attributes measuring internet service and their impact on customer
satisfaction. . The relationship between independent and dependent variables is quantified in this
study. To meet the target population for this research, questionnaire method, structured survey
questionnaire and a hard copy data was implemented. The Pearson Correlation Analysis will be
used to identify the correlation between customer satisfaction and affecting attributes of Internet
Service. The findings from the test were dissected using SPSSS (Statistical Software). Based on
the results of this report, Internet Service Providers need to pay attention to several
characteristics to increase the level of customer satisfaction: network efficiency, internet fee
(price), perceived service value (and customer trust), which greatly boost their competitiveness.

Keywords: Customer satisfaction, Internet Service attributes


MN6P00NI Management Investigation and Dissertation

CHAPTER 1. INTRODUCTION
1.1 Background of the study
In the modern world Internet has been unavoidable in our daily life. Internet makes life easy
faster and convenient. Dharan is a small town which is located in Sunsari district. Almost every
individual of Dharan use internet as many of them are business man, students and employees and
the growth of internet has significant impacts in various aspects. Currently, there are more than
10 ISSP operating in Dharan. People of Dharan use different internet service providers according
to their network performance, customer satisfaction and the loyalty towards internet.

This study is about the impact of Internet service quality on customer satisfaction in context of
Dharan. Nowadays, Dsl, Worldlink, Classictech, Subisu, Vianet, Techminds etc. has been the
most popular and used internet service providers in Dharan. This study mainly focuses on how
the internet service quality of various isp are making their customer satisfied according to
network performance, satisfaction and loyalty towards Internet. One of the major challenges is

1.2 Statement of the Problems


There are various types of studies done on customer satisfaction on internet service quality but
mainly the studies are done in context of Nepal. There are only few types of studies done in
context of eastern region but only in the customer loyalty and customer perception towards
internet service quality. This research expands to analyze the connection among cost and
satisfaction level of customer’s towards different Internet service providers.

1.3 Research Questions


The research questions as per the following:
1) What are the factors to affecting the customer satisfaction in Internet service in Dharan?
2) How do the factors of Internet service impact to customer satisfaction?

1.4 Research Objectives


This research is conducted in order to explore the primary determinants to measure in internet
service quality of Dharan and to find out how they impact in customer’s satisfaction of users in
internet in Dharan and thy are given below:

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1) To investigate attributes that influence customer satisfaction in the internet service in context
of Dharan.

2) To analyze the connection among cost and satisfaction level of customer’s towards different
Internet service providers.

1.5 Significances of the study


There are various types of studies done on customer satisfaction on internet service quality but
mainly the studies are done in context of Nepal. There are only few types of studies done in
context of eastern region but only in the customer loyalty and customer perception towards
internet service quality. One important contribution of this research is to know the level of
satisfaction towards internet and to know the problems faced by customers. Secondly, the
research helps to find the best Isp in Dharan. Thirdly, to analyze the connection among cost and
satisfaction level of customer’s towards different Internet service providers. This research will be
useful for the company to make necessary changes in speed, price, and performance and will be
helpful to solve the problems faced by customers.

1.6 Limitations of the Study


This research mainly focuses on how the internet service quality of various ISP are making their
customer satisfied according to network performance, satisfaction and loyalty towards Internet.
This research collects relevant data from multiple sources relating to respondent perception and
literature review and focuses only on customer satisfaction and internet service attributes. The
research started on 1 December and the proposal will end in January and the thesis will end after
2-3 months. The focus of this research is on the customer satisfaction on internet service quality
in context of Dharan.

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CHAPTER 2: LITERATURE REVIEW


2.1 Customer satisfaction
Consumer satisfaction is an essential factor in having client maintenance as it can impacts
impressively to client's disposition to remain a relationship with organizations. [CITATION
Ndu09 \l 1033 ]. Consumer satisfaction is basic to keeping your present clients and holding new
ones. Disappointed clients are a maintenance hazard, and losing them will hurt your image.
[CITATION Gil06 \l 1033 ]. Since when the degree of consumer satisfaction is expanding, that
implies they are bound to keep utilizing products and services offered and they are more faithful
with organizations. The main impact on customer loyalty is satisfaction which is carried by
organization's standing and exchanging costs. [CITATION Met99 \l 1033 ].

2.2 Customer satisfaction on Internet industry


According to Fe and Ikova, the operations of the company must be focused on past experience
with goods and services to satisfy the needs of the consumer, resulting in existing clients and
attracting new ones [CITATION Iko04 \l 1033 ]. Consumer satisfaction is imperative and central
necessities to hold existing clients and make shareholder values, which can influence
organization's standing and helps to create customer loyalty. Actually, most Internet Service
Providers like the significance of consumer satisfaction with their support of assist them with
advancing an upper hand and increase brand pictures in customer loyalty [CITATION Guo09 \l
1033 ].

2.3 Attributes which influence on Customers satisfaction in Internet services


Service quality, Speed of internet and price are the several factors that are very important for
customers to select the Internet Service providers. [CITATION Fat12 \l 1033 ]. To the
satisfaction of internet users, these elements are also substantially important. Furthermore, the
quality of service, brand image, perceived value and trust directly impact overall customer
satisfaction [ CITATION Zei96 \l 1033 ]. Network efficiency is one of the most significant
determinants for Internet service provider which helps to increase the level of customer
satisfaction using the internet [CITATION Sun07 \l 1033 ]. The behavior of employees towards
consumers and service efficiency are the following elements of Internet service plays a vital role

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in managing to satisfy customers. ISPs must maintain a strong relationship with current
customers in terms of long-term consumer loyalty, and how to build brand image, perceived
value and confidence is a significant topic [CITATION Wis09 \l 1033 ].

2.3.1 Network Quality toward Customer Satisfaction


With regard to the efficiency of the network offered by ISPs (Internet Service Providers), the
reliability and speed of transmission of the internet service had a substantial effect on the
preference of internet service providers by customers [CITATION Moh11 \l 1033 ].
Furthermore, the internet's server uptime was analyzed to affect customer satisfaction. Therefore,
they need to enhance their offerings if ISPs wish to have a competitive advantage over other
rivals [CITATION Wan04 \l 1033 ].

2.3.2 Price toward Customer Satisfaction


In terms of perception of users about the price offered by ISPs, internet users typically consider
higher rates for better service. However, when another ISP provides a much fairer price for the
same standard of service, these consumers will consider changing the ISP [CITATION Moh11 \l
1033 ]. Therefore, it is found out that customers pay a great deal of attention to the price offered
for internet service and therefore the higher price decreases customer demand and vice versa.
There is a clear linear effect on retention in the telecommunications sector between price
perception and consumer indifference on retention [CITATION Cha03 \l 1033 ].

2.3.3 Perceived value toward Customer satisfaction


Perceived value figures out that the success of the goods or services supplied depends largely on
the customer's understanding of whether or not they can satisfy them [CITATION Kok \l 1033 ] .
. In the telecommunication sector, consumer who perceive their money in general or internet
users in particular as deserving of services or goods then being more satisfied with ISPs. In
general, a customer who has chosen to use a service from providers for a long period of time
because they are much more comfortable and satisfied with the present level of service quality
and continues to use other services from providers [CITATION Bou93 \l 1033 ].

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2.3.4 Trust toward customer satisfaction


If the employees of a company play a vital role in building and sustaining trust between
consumers and businesses, then customer satisfaction and loyalty will be accomplished.
[CITATION Par85 \l 1033 ]. At the point when internet users trust the provider's internet service,
they are probably going to keep utilizing other services offered by the Firm without the
requirement of advertisement. Customer trust can be seen as a complement to satisfaction, which
guarantees business-customer relationships [ CITATION Har99 \l 1033 ]. Therefore, if internet
user’s trust their preferred brand, their decision to select additional services provided other than
the Internet Service Provider in the telecommunications sector would be affected.

2.4. Empirical Findings


Exploring different review of literatures, customer’s perception toward Internet Service through
this research helps ISPs know about attributes of Internet Service Quality which significantly
affect customer’s satisfaction. Moreover, the result in this research can be seen as references
which help the managers of ISPs have a general and clear view about Internet Service Quality
and the core elements maintaining customer’s satisfaction and creating positive attitudes of users
toward Internet Service. The customer has significant positive relationship towards internet
services. The research also contributes to clarify the measurement of Internet Service Quality in
Dharan. Besides, it plays a role for further research in this field.

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CHAPTER 3: CONCEPTUAL FRAMEWORK

3.1 Sources of Variables

Independent variables Dependent variables

Network Quality Customer Satisfaction

Price

Perceived value

Trust

Dependent variables: Dependent variable is a type of variable whose variations depends upon
other variables. Customer satisfaction is a dependent variable because customer satisfaction
varies with the variables like network quality, price, perceived value and trust of customer
towards Internet service provider.

Independent Variables: Independent variable is a type of variable whose variations changes


according to the will and does not depend on any factor. Network quality, price, perceived value
and trust are therefore independent variables by which customers will get satisfied.

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Variables Relevant Sources of Definitions


Literatures
Network Network quality is one of the most significant determinants for
Quality [CITATION Moh11 \l Internet service provider which helps to increase the level of
1033 ] customer satisfaction using the internet.
[CITATION Wan04 \l
1033 ].

Price is a determining factor that ensures the availability of


Price [CITATION Moh11 \l customers.
1033 ].
[CITATION Cha03 \l
1033 ].

Perceived value figures out that the success of the goods or


Perceived value [CITATION Kok \l services supplied depends largely on the customer's
1033 ] understanding of whether or not they can satisfy them.
[CITATION Bou93 \l
1033 ].

Trust is an essential factor which plays a vital role in binding the


Trust (Parasuraman, 1985) customers or plays important factor to ensure customer loyalty.
[ CITATION Har99 \l
1033 ]

Consumer satisfaction is an essential factor in having client


Customer . [CITATION Gil06 \l maintenance as it can impacts impressively to client's disposition
satisfaction 1033 ] to remain a relationship with organizations.
[CITATION Met99 \l
1033 ].

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3.2 Conceptual Framework

Network Price
Quality
(H2)
(H1)

Trust
Perceived
Customer (H4)
value
satisfaction
(H3)

The framework for this figure seeks to establish the connection between network quality, price,
trust, perceived value and customer satisfaction. The study of this framework illustrates how the
variables are related to each other between customer satisfaction and internet service attributes
and independent variable for this study is internet service attributes which will serve as a
connection on customer satisfaction. The given Hypothesis (H1, H2, H3, and H4) indicates:

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H1: Network Quality is correlated and affects positively to customer satisfaction.

H2: Price is correlated and is positively associated with customer satisfaction


H3: Perceived Value is correlated and has positive influence on customer satisfaction
H4: Trust is correlated and has positive influence to customer satisfaction.

4. Research method

4.1 Research approach


A quantitative method will be used in the research to collect the data and to find out the
relationship between attributes measuring internet service and their impact on customer
satisfaction. This research. The relationship between independent and dependent variables is
quantified in this study. To meet the target population for this research, questionnaire method
and a hard copy data was implemented. The questionnaire consists of six sections of the five
research variables, the sixth itself being demographic data. The aim and objectives of this
research is chosen to examine influences of attributes affecting to satisfaction and loyalty of
Internet users.

4.2 Data collection


Data will be collected through primary and demographic data. The questionnaire was divided
into six segments: the first part of the questionnaire includes questions on the network quality of
ISP, the second part includes price of ISP, the third part includes perceived value, the fourth part
includes trust of customer, fifth part includes customer satisfaction and the sixth part includes
demographic data. Five-point Likert-type scales will be used to measure price, network quality,
perceived value and trust.

4.3 Data analysis tool


The next move was to evaluate data obtained from respondents using quantitative methods in
order to answer the research questions. After the data was collected and analyzed, I will be using
statistical software IBM SPSS version 21 and excel to find out the results of the research. In
order to display the distribution of data, descriptive statistics will be used to obtain a clear image

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of the sample's characteristics and to evaluate the frequency and distribution of the various
variables. The Pearson Correlation Analysis will be used to examine the linear relationship
between customer satisfaction and internet service attributes. To measure the normal objects of
the research, the Chi-squared test will be used.

4.4 Result of Pilot study


As a preliminary measure for this study, a pilot study was carried out for this study, which is
necessary to do that before formal research has been performed.

5. Timeline

6. Conclusion
This study will aim to explore the impact of internet service quality in context of Dharan. This
study sought to find out about the connection among cost and satisfaction level of customer’s
towards different Internet service providers. This study mainly focuses on how the internet
service quality of various ISP are making their customer satisfied according to network
performance, satisfaction and loyalty towards Internet. This study tried to get some answers
concerning the internet service quality in Dharan which will add some knowledge about how
internet service provider can satisfy their customer through efficiency, internet fee (price),
perceived service value (and customer trust). A quantitative method is used in the research to
collect the data and to find out the relationship between attributes measuring internet service and
their impact on customer satisfaction. The Pearson Correlation Analysis is used to identify the

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correlation between customer satisfaction and affecting attributes of Internet Service. The
findings from the test were calculated and evaluated by using SPSSS (Statistical Software) and
excel. The correlation between customer satisfaction and internet service attributes will be the
key findings of this study.

7. References
References
Bektas, C. (2012) Job Satisfaction, Organizational Commitment and Demographic
Characteristics Among Teachers in Turkey: Younger is Better? Procedia - Social and
Behavioral Science, 16(15), pp.1598-608.
Boulding, W.K.A.S.R.&.Z.V. (1993) A Dynamic process model of Service Quality: From
Expectation. Journal of Marketing Research, 30(1), p.7 – 27.
Chun, S.Y. (2007) Network externality and future usage of Internet services. Network externality
and future usage of Internet services, 17(2), pp.1066-2243.
Gil, H.Q. (2006) The influence of service recovery and loyalty on perceived service quality: a
study of hotel customers in Spain. Journal of Hospitality and Leisure Marketing, 14(2), pp.47-
68.
Gomez, R. (2018) The Mediating effect of organizational commitment on perceived person-
organization fit and job satisfaction in the public sectpr of gambia [Online]. Available from:
file:///C:/Users/user/Desktop/dissertations.pdf [Accessed 26 december 2020].
Guo, X.a.T. (2009) Understanding the psychological process underlying customer satisfaction
and retention in a relational service. Journal of Business Research, 62(11), pp.1152-59.
Hart, J. (1999) Growing the trust relationship. Marketing Management, pp.8-19.
Ikova, F.a. (2004) An index method of measuring customer satisfaction. The TQM Magazine,
16(1), pp.57-66.
Kokemuller, N. (2007) What Is Customer Perceived Value? Houston, USA.
Laeheem, F. (2012) A study on determinants of customer satisfaction towards broadband
services in Songkhla Province. Thailand: semantic scholar.

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MN6P00NI Management Investigation and Dissertation

Ndubisi, M.C. (2009) Relationship marketing, customer satisfaction and loyalty: a theoretical
and empirical analysis from an Asian perspective. Journal of International Consumer Marketing,
21(1), pp.5-16.
Nysveen, M.&. (1999) Loyalty of On-line Bank Customers. Journal of Information Technology
vol. 14, no. 4, 14(4).
Ouparami, W. (2009) High-speed internet service providers in Thailand. Thailand: Southern
Cross University.
Parasuraman, Z.B. (1985) A conceptual model of service quality and its implication for future.
Journal of Marketing, 49(4), pp.41-50.
Ranaweera, C. (2003) Some moderating effects on the service quality-customer retention link.
International Journal of Operations & Production Management, 23(2), p.1(2).
Silverthorne, C. (2004) The impact of organizational culture and person-organizationfit on
organizational commitment and job satisfaction in Taiwan. The Leadership & Organization
Development Journal, 25(7), pp.592-99.
Verquer, M.L. (2003) A meta-analysis of relations between person–organization fit and work
attitudesq. Journal of Vocational Behavior, 3(6), pp.473-89.
Wang, Y.L.H.&.Y.Y. (2004) An Integrated Framework for Service Quality, Customer Value,
Satisfaction: Evidence from China’s Telecommunication Industry. Information Systems
Frontiers, 6, p.325–340.
Waskiewicz, S.P. (1999) VARIABLES THAT CONTRIBUTE TO JOB SATISFACTION IN
SECONDARY SCHOOL ASSISTANT PRINCIPALS [Online]. Available from:
https://citeseerx.ist.psu.edu/viewdoc/download?doi=10.1.1.4.2672&rep=rep1&type=pdf
[Accessed 26 december 2020].
Yaacob, M.R.B. (2011) Determinants of Customer Satisfaction towards Broadband Services in
Malaysian. Determinants of Customer Satisfaction towards Broadband Services in Malaysian.,
p.1(2).
Zeithamal, B. (1996) Services Marketing. New York.

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8. Appendix
8.1 Questionnaire Demographic Data
Section 1: Please select the appropriate answer for each question.

1. What is your name? (Full Name)


………………………………………………….
2. What is your gender?
 Male
 Female
 Prefer not to say
3. What is your age group?
 Between 18-24 years
 Between 25-34 years
 Between 35-44 years
 Between 45-54 years
4. What is your occupation?
 Student
 Employees
 Business Owners
 Other (Please Specify) ................
5. Which is your current Internet Service Provider? (Please tick)
 Worldlink

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 Classictech
 Vianet
 Other (Please Specify) .............
6. How long have you used Internet Service from your current Provider?
 Less than 1 year
 From 1 to 2 years
 From 2 to 3 years
 More than 3 years

8.2 Network quality


Please choose the correct answer that mostly represents your opinion in each of the following
questions.

1. The transmission speed of network is always strong.


a) Strongly Disagree
b) Disagree
c) Neutral
d) Agree
e) Strongly Agree
2. The uptime of Internet is always available with no corruption.
a) Strongly Disagree
b) Disagree
c) Neutral
d) Agree
e) Strongly Agree

3. The connection signal of Internet is always stable.

a) Strongly Disagree
b) Disagree
c) Neutral
d) Agree
e) Strongly Agree

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4. I can access to the Internet at any time without interruptions .

a) Strongly Disagree
b) Disagree
c) Neutral
d) Agree
e) Strongly Agree

8.3 Price
Please choose the correct answer that mostly represents your opinion in each of the following
questions.

1. The price charged for Internet Service from Provider is reasonable .

a) Strongly Disagree
b) Disagree
c) Neutral
d) Agree
e) Strongly Agree

2. The price charged by Provider is cheaper than others .

a) Strongly Disagree
b) Disagree
c) Neutral
d) Agree
e) Strongly Agree

3. Service supplied by Provider is equal to its price .

a) Strongly Disagree
b) Disagree
c) Neutral
d) Agree
e) Strongly Agree

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4. Service offered by current provider is better than what I would pay for the same service of

others with the same amount of money.

a) Strongly Disagree
b) Disagree
c) Neutral
d) Agree
e) Strongly Agree

5. I’m willing to pay more money for better Internet Service Quality .

a) Strongly Disagree
b) Disagree
c) Neutral
d) Agree
e) Strongly Agree

8.4 Perceived value


Please choose the correct answer that mostly represents your opinion in each of the following
questions.

1. The customer service department of current ISP gives me sufficient support .

a) Strongly Disagree
b) Disagree
c) Neutral
d) Agree
e) Strongly Agree

2. My current ISP handle network problem for customer quickly .

a) Strongly Disagree
b) Disagree
c) Neutral
d) Agree
e) Strongly Agree

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3. ISP provides adequate information for customer .

a) Strongly Disagree
b) Disagree
c) Neutral
d) Agree
e) Strongly Agree

4. In general, the service offered by my current ISP is valuable .

a) Strongly Disagree
b) Disagree
c) Neutral
d) Agree
e) Strongly Disagree

8.5 Trust
Please choose the correct answer that mostly represents your opinion in each of the following

questions.

1. I believe that my ISP always support internet users .

a) Strongly Disagree
b) Disagree
c) Neutral
d) Agree
e) Strongly Disagree

2. I believe that my ISP always carry out commitment with customers .

a) Strongly Disagree
b) Disagree
c) Neutral
d) Agree

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e) Strongly Disagree

3. I believe that my ISP has enough capability and knowledge to do its duties .
a) Strongly Disagree
b) Disagree
c) Neutral
d) Agree
e) Strongly Disagree

4. I believe that my ISP always puts interests of its customers as priority .


a) Strongly Disagree
b) Disagree
c) Neutral
d) Agree
e) Strongly Agree

8.6 Customer satisfaction


Please choose the correct answer that mostly represents your opinion in each of the following
questions.

1. I will recommend the ISP for others.

a) Very Dissatisfied
b) Dissatisfied
c) Neutral
d) Satisfied
e) Very Satisfied

2. Internet Service from my ISP meets my requirements .

a) Very Dissatisfied
b) Dissatisfied
c) Neutral
d) Satisfied

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e) Very Satisfied

3. I will continue using the service from my current ISP .

a) Yes
b) No
c) Maybe
d) Satisfied
e) Very Satisfied

4. I will use other service offered from my current ISP .

a) Very Dissatisfied
b) Dissatisfied
c) Neutral
d) Satisfied
e) Very Satisfied

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8.7. Raw data collected from the pilot study

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