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Article history: The research investigates the factors influencing medical tourists’ attitudes and behaviors. The factors
Received 7 February 2016 examined include hospital service and customer perceived value. The study was undertaken in a major
Received in revised form hospital located in a South-East Asian country. The sample includes foreign patients who have received
7 April 2016
various medical treatments in the hospital. The findings indicate that medical tourists are value oriented
Accepted 8 April 2016
customers as their value perception has the strongest direct effect on their behaviors, followed by their
attitudes towards the hospital. Hospital service appears to have a substantial direct effect on perceived
Keywords: value and medical tourist satisfaction, and also exerts an indirect effect on medical tourist behaviors. The
Medical tourism research highlights the prominent role of perceived value, and pinpoints the most effective avenues for
Service marketing
healthcare providers in allocating resources to improve hospital performance from the perspective of
Customer value
medical tourists.
Service quality
& 2016 Elsevier Ltd. All rights reserved.
1. Introduction hospitals compete with India and Malaysia on the low cost treat-
ment options and compete with Singapore and South Korea on the
Due to the exorbitant cost of health services, citizens from high-end medical services (Teh, 2007). Fierce competition and
developed nations sought medical treatment abroad, particularly rising operational costs drive healthcare providers to focus on
in developing countries (Wongrukmit and Thawesaengskulthai, designing appropriate strategies to achieve competitive advantage.
2014). For example, about 46 million Americans, with various Similar to other service sectors, quality service provided by med-
reasons have no health insurance (Turner 2007). The majority of ical operators becomes a key advantage in business sustainability
these Americans would seek cheaper yet quality healthcare and growth (Chen, 2008; Mechinda et al., 2010; Wilson, 2011).
somewhere else (Andersen et al., 2007). The Australian health care Research has shown that superior service quality is an important
system is also facing enhanced demand from an ageing popula- factor of customer satisfaction and loyalty, and contributes to
tion, with increased consumer expectations, escalating cost of competitive advantage of the healthcare providers (Laohasir-
healthcare, long waiting list, and need for health maintenance ichaikul et al., 2011; Lee et al., 2010). Service quality has been
(Mitchell and Thompson, 2001). These patients are shifting their widely acknowledged to be a multidimensional construct. To op-
preferences towards more affordable services provided in devel- timize use of organizational resources and maximizing profit-
oping nations (Wongrukmit and Thawesaengskulthai, 2014). These ability, it is important to understand what specific services con-
countries, mostly located in Asia including Korea, Singapore, Ma- tribute to customers’ attitudes and behaviors. Previous research in
laysia and Thailand, have become popular medical tourist desti- medical tourism field fails to address this issue.
nations with low cost and high performance advantages (Forgione On the other hand, quality of service per se is not adequate to
and Smith, 2007). predict customer attitudes and behaviors. Customers interpret
Along with the popularity, competition is intensifying among value in different ways, including low cost, high quality, prestige
these countries. For example, Malaysia is strengthening its posi- service, or equality perception. Patients’ value perception is com-
tion as a premier medical tourism destination, albeit targeting monly based on how satisfied they are with the services received.
Muslim countries (Chee, 2007; Rad et al., 2010). Thai private The service patients receive may not match the value perceived
(Hu et al., 2009; Wu et al., 2008). Very few studies have examined
n
Corresponding author.
how value perception may influence medical customers’ attitudes
E-mail addresses: ms_lyn@hotmail.com (L.M. Prajitmutita), and behaviors.
aperenyi@swin.edu.au (Á. Perényi), cathyjournalarticles@gmail.com (C. Prentice). Consistent with the foregoing discussion, this study develops
http://dx.doi.org/10.1016/j.jretconser.2016.04.005
0969-6989/& 2016 Elsevier Ltd. All rights reserved.
208 L.M. Prajitmutita et al. / Journal of Retailing and Consumer Services 31 (2016) 207–216
an integrative model involving hospital service quality perceived et al., 2008). This combined approach is deemed more suitable to
by medical tourists, value perception, patient attitudes and beha- assess patient satisfaction, particularly for medical tourists, given
viors and examines respective effects on the criterion variables in that their experience of the service provider is not necessarily
the healthcare sector (Choi, Lee, Kim, and Lee, 2005; Hu et al., expected to be a repeated one.
2009). In this model, service quality is referred to as an outcome of González et al. (2007) asserted that service quality involves a
cognitive evaluation (Gill and White, 2009) whereas patient sa- general impression of the superiority of service focusing on the
tisfaction is viewed as affective response (Owusu-Frimpong et al., general attitudes towards services whereas satisfaction is based on
2010; Spreng, Hui Shi, and Page, 2009). Patient perceived value is the affective state of individual transactions (Carlson and O’Cass,
wedged between the cognitive and affective perspectives (Sánchez 2010). Positive attitudes anticipate positive affective state. Superior
et al., 2006), and patient intention is a product of conative atti- service quality leads to higher levels of satisfaction and loyalty in
tudes (Etgar and Fuchs, 2009). Contrasting to uni-dimensional use the healthcare industry (Alrubaiee and Alkaa'ida, 2011; Calisiret
in previous research, (Chen, 2008; Kuo et al., 2009; Omar et al., al., 2014). Patients’ perception of service quality is a primary de-
2010; Shukla, 2010; Wu et al., 2008), this study operationalizes terminant of a healthcare organization’s success. The higher the
service quality and customer value as multidimensional constructs patients’ perceptions of service quality, the more patients are sa-
to examine their respective effects on the criterion variables. tisfied, which in turn benefits respective service providers (Chang,
The following section begins with reviewing the literature in Chen, and Lan, 2013; Wu et al., 2008). On the basis of foregoing
relation to the medical tourism industry, and continues by an discussion, the hypothesis is offered.
overview of the study variables. Hypotheses are formed on the
basis of literature review. The methodology is presented in the H1. Service quality by healthcare providers is positively related to
next section, followed by empirical testing, and discussion of the medical tourist satisfaction.
findings. Managerial implications and recommendations for future
research conclude the paper. 2.2. Patients perceived value
customers in terms of what they get out of the service rather than
being determined objectively by providers in terms of what they SQ
(H4)
put into the service (Landroguez, Castro, and Cepeda-Carrión,
2013). When customers perceive a high value of product or ser- (H1)
vice, their satisfaction increases and this stimulates purchase in-
(H6)
tention. Applying this concept into the healthcare industry, we (H2)
PSAT PI
offer the following hypotheses:
(H3)
H2. Service quality by healthcare providers is positively related to
(H5)
medical tourist perceived value.
PPV
H3. Perceived value is positively related to medical tourist
satisfaction.
Fig. 1. Conceptual model. Note: SQ: Service Quality; PPV: Perceived Patient Value,
2.3. Service quality, perceived value, patient satisfaction and patient PSAT: Patient satisfaction; PI: Patient behavioral intentions.
behavioral intention
Patient behavioral intention is defined as the degree to which a the outcome variable is exerted by hospital service quality. To have
customer forms a plan to engage or not to engage in future be- a better understanding of these relationships, we offer the fol-
havior, referring to the extent of the efforts of carrying out parti- lowing hypotheses:
cular behaviors (Jang and Namkung, 2009; Webb and Sheeran,
H7a. Medical tourist perceived value mediates the relationship
2006). From a firm’s performance perspective, behavioral inten-
between service quality and behavioral intentions.
tions are often used as indicators of customer loyalty and firm
success. Items related to the willingness to purchase, willingness H7b. Medical tourist satisfaction mediates the relationship be-
to recommend and providing positive word-of-mouth commu- tween service quality and behavioral intentions.
nication are commonly used as proxies of customer behavioral
The relationships among the study constructs are presented in
intentions (Choi et al., 2004; Jang and Namkung, 2009).
Fig. 1.
Several scholars (e.g. Wu et al., 2008) have discussed the re-
lationships among service quality, customer value, satisfaction and
behavioral intentions in healthcare contexts. Models built around
3. Method
these constructs in the literature follow the logic of the multi-at-
titudinal framework, where the cognitive component precedes
3.1. Sample
affective response, which in turn, determines conative attitude or
intention (Žabkar et al., 2010).
The study was undertaken in the medical tourism industry in
While service quality and patient perceived value are depicted
Thailand. Reports show that the number of medical tourists has
as an outcome of evaluation, patient satisfaction is a product of
increased by 10–20% annually in recent years (‘Healthcare Industry
affective response (Choi et al., 2004). Patient behavioral intentions
Report: Thailand, 2012; Wibulpolprasert and Pachanee, 2008). The
are a product of personal evaluation resulting in conative intention
income generated from the medical tourism industry has made
(Lai et al., 2009). Service quality is identified as an antecedent of
substantial contribution to the Thai economy (NaRanong and
patient perceived value (Hansen et al., 2013) and both service
NaRanong (2011)). In 2008, the medical tourism industry in
quality and patient perceived value are antecedents of patient
Thailand earned USD 850 million in hospital and clinic revenues,
satisfaction (Choi et al., 2004; Hansen et al., 2013) which in turn
and a total of USD 2 billion was contributed to the national
leads to patient behavioral intentions (Liang et al., 2013; Rauyruen
economy (Wibulpolprasert and Pachanee, 2008). Medical tourism
and Miller, 2007). Researchers have found that perceived value is a
enhances economic growth in Thailand (Bookman and Bookman,
core antecedent of satisfaction, loyalty and more specifically, re-
2007). Due to the lucrative nature of the industry, a significant
purchase intention for medical tourists (Lai et al., 2009; Wu et al.,
increase has occurred over the past years in the number of hos-
2008; Wu et al., 2011). The hypotheses proposed in this study
pital providers in Thailand. Almost half of the providers with more
correspond to the links within the multi-attitudinal framework.
than 100 beds are in Bangkok; 47 in Bangkok and 53 in regional
Such reasoning informs the following hypotheses:
areas surrounding Bangkok (Bangkok Dusit Medical Services,
H4. Hospital service quality is positively related to medical tourist 2011). Competition among medical tourism providers is in-
behavioral intentions. tensifying in Thailand as well as the adjacent countries including
Malaysia, Singapore and South Korea.
H5. Perceived value by medical tourists is positively related to Of the two main players in the Thai private hospital sector,
their behavioral intentions. Bumrungrad reported that 516,000 foreign patients from over 200
H6. Medical tourist satisfaction is positively related to their be- countries were treated in 2014 (Bumrungrad Hospital Public
havioral intentions. Company Limited, 2015) and Bangkok Dusit Medical Services
commonly known as Bangkok Hospital that manages 28 private
Examples from services industries suggest that service quality hospitals, treated 659,070 foreign patients in 2008 (Bangkok Dusit
has an indirect influence on behavioral intentions through various Medical Services, 2009). This highly concentrated and competitive
mediating variables including perceived value (Lai et al., 2009) and market scenario poses a challenge to healthcare providers in terms
satisfaction (Jen et al., 2011). Although some studies have tested of competition and managing patient perceptions and patient sa-
these relationships in the healthcare context (e.g. Omar et al., tisfaction for competitive purposes. The sample selection has im-
2010; Wu et al., 2008), the findings are inconsistent. Wu et al. plication for increasing competitive advantage for the medical
(2008) found that service quality, and other relevant constructs tourist destinations.
have direct effects on medical tourist behavioral intentions; The survey was conducted at one of the leading hospitals in
whereas Omar et al. (2010) indicate that only an indirect effect on Thailand that cater for foreigners (the majority of their customers
210 L.M. Prajitmutita et al. / Journal of Retailing and Consumer Services 31 (2016) 207–216
are foreign patients, referred to as medical tourists for the purpose scale was 0.93.
of this study) outside of Bangkok, located at Koh Samui in the
Southern part of Thailand. According to the Ministry of Tourism 3.3. Data collection
and Sports (2012), the region attracted more than 690,000 foreign
visitors in 2011. The average number of the foreign patients vis- The targeted respondents include a random selection of in- and
iting the participating hospital in 2010 and 2011 was approxi- out foreign patients of the hospital, discharged in the time period
mately 2,170 and 2,280 per month respectively. Foreigners ac- of data collection. Prior to approaching the respondents, an au-
counted for more than half of the hospital’s patients. This hospital thorized medical professional determined whether the patient
is one of the member institutions of Bangkok Hospital, and was was fit and suitable to participate in the data collection. Then the
selected for sampling foreign patients. The choice of the sampling patient was approached by the principal researcher to seek per-
frame allowed for effective management of the data collection mission to conduct the survey. Patients were advised to return the
process (including consistency in terms of the random selection of completed questionnaire either to a secure locked box in the
respondents). cashier’s office or to pass the envelope containing the completed
questionnaire to designated nurses or medical professionals. The
3.2. Measures envelope was provided along with the questionnaire, invitation
letter and consent form. While most of the out-patients were re-
Measures employed in the study are adopted from a wide range cruited in the cashier’s waiting area, the majority of in-patients
of services marketing literature. Sturgeon (2014) argues that were recruited during the discharge process, as suggested by
healthcare services are considered to be similar to other consumer health professionals in the hospital.
services. All services have three common properties – search, ex- As a result, 330 usable responses were generated. This sample
perience and credence – by which their consumption can be size was considered adequate for multivariate statistical analysis,
compared. Hospital services are more reliant on experience: as the final model contained 35 individual indicators, adhering to
where the evaluation occurs during or after receiving the medical Hair et al.’s (2013) recommendations and providing a factor-in-
care; and credence: where it is hard to evaluate the service even dicator ratio of almost 10. Among the respondents, 58.8% were
after the consumption such as in case of a surgical procedure male, 60% aged between 26 and 35, 69.1% had full insurance cover,
(Martínez Caro and Martínez García, 2008). Therefore, perception 77% were out-patients and 75.5% held a European passport. The
based measures adopted from other service sectors are presumed composition of respondents in medical tourism studies varies
to be applicable for healthcare as used in the present study. Si- depending on the availability of data and context of im-
milarly to other perception based studies, a seven-point Likert- plementation. Other studies of medical tourism in Thailand sug-
type scale (1 ¼ strongly disagree; 2 ¼ disagree; 3 ¼ somewhat gest the distribution of respondents between expatriates and mi-
disagree; 4¼ neutral; 5 ¼ somewhat agree; 6 ¼ agree; and 7 ¼ grants; medical tourists; and tourists as 40:26:32 (Wongkit and
strongly agree) was used to measure the items. McKercher, 2013) and 60:30:10 (NaRanong and NaRanong, 2011).
Service quality Consistent with the above view, the five per- The distribution of respondents in this study was 30:14:56 (ex-
ception-based dimensions of SERVQUAL which was originally de- patriate and migrant: medical tourists: tourists), as Koh Samui is a
veloped by Parasuraman et al. (1988) including tangibles, relia- more popular place for overseas travelers.
bility, responsiveness, assurance and empathy was used to reflect The Pearson’s Chi square test was used to affirm homogeneity
functional quality. SERVQUAL scale presents good reliability, con- of the sample in terms of demographic characteristics. The tests
vergent and discriminant validity, and has been most cited in the revealed that responses did not significantly differ in terms of
relevant literature (e.g. Marković et al., 2014; Papanikolaou and (1) nationality and type of respondents (in- or out-patient)
Zygiaris, 2014). To capture the technical aspects of medical service (α ¼0.067); (2) nationality and type of treatment (surgery, cos-
quality, the items adapted from Dagger et al. (2007) and Gallan metic, dental procedure, check-up or other kind) (α ¼0.566);
et al. (2013) are also used to assess medical service quality. These (3) nationality and gender (α ¼0.130) and (4) nationality and age
items are indicative of technical quality of medical service, invol- (α ¼0.384). This sample is indicative of a cohesive cohort.
ving outcome and expertise dimensions. The reliability of this
scale is reported in the result section.
Patient perceived value was defined in terms of what patients 4. Analysis and results
give up for a greater value of acquiring medical services from the
hospital and was conceptualized as a multi-dimensional construct 4.1. Factor analysis and validity testing
consisting of the five dimensions of the SERV-PERVAL scale de-
veloped by Petrick (2002). This scale reflects both monetary and Prior to testing the hypotheses, confirmatory factor analysis
non-monetary aspects of value. The Cronbach’s alpha values for (CFA) was performed to validate the measures (Anderson and
each dimension are reported in subsequent section. Gerbing, 2004). The seven dimensions of service quality measure
Patient satisfaction in this study was defined as a patient’s ful- were incorporated into the analyses. Preliminary results indicated
filment, based on an overall assessment of the service experiences the lack of discriminant validity between the dimensions of ser-
with the hospital provider (Oliver, 2010) in terms of experiences vice quality (as expected). Based on the Fornell and Larcker’s
specific to a particular service encounter (Jones and Suh, 2000). A (1981) criterion, reliability, responsiveness, assurance, empathy
uni-dimensional construct of patient satisfaction measured by four and expertise were found not to be distinct dimensions. Hence, the
items was adopted (Choi et al., 2004; Wu et al., 2008), reflecting a measurement model was re- specified by merging these factors
combination of transaction-specific and cumulative evaluation into one, renamed as ‘expertise’, reflecting the scope of the re-
approaches. The reliability of this scale was demonstrated by a maining indicators after the removal of cross-loading items. This
Cronbach’s alpha value of 0.94. approach is consistent with that in a number of studies (e.g.
Behavioral intentions were measured using items that reflect Marković et al., 2014).
willingness to recommend, intention to repurchase and readiness Ladhari (2008) contended that service quality can be a simple
to articulate positive word-of-mouth communication. The mea- and uni-dimensional construct in some contexts and a complex
sures were adopted from Zeithaml et al. (1996) and Bloemer, and multidimensional in others, depending on the specific service
Ruyter, and Wetzels (1999). The Cronbach’s alpha value for this settings, cultural and value orientations of customers. Consistently,
L.M. Prajitmutita et al. / Journal of Retailing and Consumer Services 31 (2016) 207–216 211
Patient satisfaction and patient perceived value have a direct Notes: TANG ¼ Tangible; EXP ¼ Expertise; OT ¼ Outcome; QJ ¼ Quality judge-
effect on patient intentions; however the effect of service quality ment; MP ¼ Monetary price; REP ¼ Reputation; BP ¼ Behavioral price; EE ¼
on patient intentions is not significant. Service quality exerts a Emotional experience; PSAT ¼ Patient satisfaction; PI ¼ Patient behavioral
strong and significant influence on patient perceived value (0.89) intentions.
and a moderate effect on patient satisfaction (0.37). Patient per-
ceived value has a strong direct and significant influence on pa- Table 3.
tient intentions (0.41), followed by patient satisfaction (0.37). Pa- Further analyses were conducted to examine the direct and
tient perceived value also has a strong, direct and significant in- indirect effects among the study variables (see Table 3). The bias
fluence on patient satisfaction (0.46) as shown in Fig. 2 and corrected bootstrapping p value is recommended for testing
212 L.M. Prajitmutita et al. / Journal of Retailing and Consumer Services 31 (2016) 207–216
Table 3
Relationships among service quality, patients; perceived value, patient satisfaction and behavioral intentions.
nnn
PPV o— SQ 1.29 .16 7.95
PSAT o— PPV .64 .20 3.24 .001
PSAT o— SQ .75 .29 2.57 .01
nnn
PI o— PSAT .46 .10 4.76
PI o— PPV .71 .26 2.80 .005
PI o— SQ .10 .35 0.28 .78
Notes: PPV ¼ Patient perceived value; SQ ¼ Service quality; PSAT ¼ Satisfaction; PI ¼ Patient behavioral intentions; Std. DE ¼ Standardized Direct Effect; Std. IE ¼
Standardized Indirect Effect; Std. TE ¼ Standardized Total Effect.
Model fit indices: χ2 (481) ¼ 1016.06; CMIN/DF ¼ 2.11; CFI ¼ .95; TLI ¼ .95; NFI ¼ 0.91; SRMR ¼ 0.06; RMSEA ¼ .06, 90%; CI ¼ .05: .06; nnn p o .001.
nnn
p r .01.
nn
¼ p r 0.05.
n
¼ p 4 0.05.
L.M. Prajitmutita et al. / Journal of Retailing and Consumer Services 31 (2016) 207–216 213
Table 4 Table 6
Relationships among service quality, patient satisfaction and patient behavioral Results for the relationships between service quality dimensions and the outcome
intention. variables.
nnn
PSAT o— SQ 1.62 0.20 8.19 Patient Intentions 90.38 3,326 .000 .45
nnn
PI o— PSAT .58 .09 6.07 Tangibles .23 4.58 .000
nnn
PI o— SQ .85 .22 3.81 Expertise .15 2.29 .023
Outcome .40 6.84 .000
Construct PSAT PI
Patient Satisfaction 101.16 3,326 .000 .48
Tangibles .12 2.37 .018
Std. DE Std. IE Std. TE Std. DE Std. IE Std. TE
Expertise .31 4.97 .000
Outcome .36 6.27 .000
SQ .78nnn .00 .78nnn .33nn .36nn .69nnn
Patient Perceived value 130.70 3,326 .000 .54
PSAT .47nn .00 .47nn
Tangibles .22 4.59 .000
Expertise .28 4.83 .000
Notes: PPV ¼ Patient perceived value; SQ ¼ Service quality; PSAT ¼ Satisfaction;
Outcome .36 6.70 .000
PI ¼ Patient behavioral intentions; Std. DE ¼ Standardized Direct Effect; Std. IE ¼
Standardized Indirect Effect; Std. TE ¼ Standardized Total Effect.
n
¼ p 4 0.05.
Model fit indices: χ2 (481) ¼ 1016.06; CMIN/DF ¼ 2.11; CFI ¼ .95; TLI ¼ .95; NFI ¼ shows that all independent variables did predict patient inten-
0.91; SRMR ¼ 0.06; RMSEA ¼ .06; 90%; CI ¼ .05: .06; nnn p o .001.
nnn
tions; tangibles (Beta ¼.23, t(329) ¼4.57, p o0.00), expertise
p r .01.
nn (Beta ¼ .15, t(329) ¼2.29, p o 0.05) and outcome (Beta ¼.40, t
¼ p r 0.05.
(329) ¼6.84, p o0.00).
As shown in Table 6, tangibles, expertise, and outcome explain
significant variance in patient satisfaction (F (3,326) ¼101.16, p
Table 5 o0.00, R2 ¼.48, R2 adjusted ¼.48). The analysis shows that service
Relationships among service quality, patients’ perceived value and patient beha- quality dimensions, specifically, tangibles (Beta ¼.12, t(329) ¼ 2.37,
vioral intentions
p o0.05), expertise (Beta ¼.31, t(329) ¼4.97, p o0.00) and out-
Path Estimates S.E. C.R. P come (Beta ¼ .36, t(329) ¼6.27, p o0.00) did predict patient
satisfaction.
nnn
PPV o— SQ 1.27 0.16 8.01 Similarly, service quality explains a significant amount of the
nnn
PI o— PPV 1.02 .27 3.77
variance in patient perceived value (F (3,326) ¼ 130.70, p o0.00,
PI o— SQ .41 .38 1.09 .28
R2 ¼ .55, R2 adjusted ¼.54), with each dimension demonstrating
Construct PPV PI significant beta coefficients, specifically, for tangibles, Beta ¼ .22, t
Std. DE Std. IE Std. TE Std. DE Std. IE Std. TE
(329) ¼4.59, p o0.00, for expertise, Beta ¼.28, t(329) ¼4.84, p
o0.00, and for outcome, Beta ¼.36, t(329) ¼6.70, p o0.00. Result
nnn nnn n nn
SQ .89 .00 .89 .17 .52 .69nnn of the post-hoc analysis show that service quality (tangibles, ex-
PPV .59nn .00 .59nn pertise, and outcome) has direct and significant effects on the
dependent variables (patient intentions, patient satisfaction, and
Notes: PPV ¼ Patient perceived value; SQ ¼ Service quality; PSAT ¼ Satisfaction;
PI ¼ Patient behavioral intentions; Std. DE ¼ Standardized Direct Effect; Std. IE ¼ patient perceived value).
Standardized Indirect Effect; Std. TE ¼ Standardized Total Effect.
Model fit indices: χ2 (481) ¼ 1016.06; CMIN/DF ¼ 2.11; CFI ¼ .95; TLI ¼ .95; NFI ¼
0.91; SRMR ¼ 0.06; RMSEA ¼ .06, 90%; CI ¼ .05: .06; nnn p o .001.
5. Discussion
nnn
p r .01.
nn
¼ p r 0.05.
n
¼ p 4 0.05.
Drawing on the multi-attitudinal framework, this study ex-
amines the relationships among service quality, perceived value,
satisfaction and behavioral intentions of medical tourists. Service
relationship with patient intentions, supporting hypotheses H5 quality and perceived value are cognitive components that pre-
and H6. The findings also suggest that the relationship between cede satisfaction as affective response in the integrative model.
perceived service quality and patient behavioral intentions is en- These in turn determine the behavioral intentions of medical
hanced by the mediating effects of patient perceived value and tourists reflecting conative attitude. Service quality in this study is
patient satisfaction. Therefore, hypotheses H7a and H7b are formed by tangibles, expertise and outcome in relation to hospital
confirmed. services. The findings support the multi-attitudinal framework in
Further testing was performed to explore the mediating effects the healthcare sector. The results demonstrate that service quality,
in models A and B. Results indicate that the relationship between perceived value and satisfaction have different influence on
perceived service quality and patient intentions are no longer medical tourist behaviors. Specifically, service quality substantially
influences perceived value, which has a significant direct influence
significant when patient perceived value is included, indicating a
on medical tourist behavioral intentions. Both perceived value and
full mediation relationship. In contrast, the relationship between
satisfaction mediate the relationship between service quality and
perceived service quality and patient intention remains significant
medical tourist intentions, with the former fully mediating the
when including patient satisfaction which suggests a partial
relationship between service quality and medical tourist inten-
mediation.
tions. The following section discusses these findings.
Subsequently, all service quality dimensions were used in this
analysis with patient intentions, patient satisfaction, and patient 5.1. The relationships among service quality, perceived value and
perceived value, being the outcome variables respectively. The medical tourist satisfaction
results show that tangibles, expertise, and outcome explain a
significant amount of the variance in patient intentions (F Service quality and patient perceived value are conceptualized
(3,326) ¼ 90.38, p o 0.00, R2 ¼.45, R2 adjusted ¼.45). The analysis as multidimensional constructs. Patient perceived value in this
214 L.M. Prajitmutita et al. / Journal of Retailing and Consumer Services 31 (2016) 207–216
5.3. The mediating effect of perceived value and satisfaction on The medical tourism industry is profitable and the competition
medical tourists’ behavioral intentions is rather intense, especially in the internationalizing South East
Asian economies, as competition is not limited to local industry
This study examines the mediating effects of perceived value participants. The findings of this study provide guidance to
and satisfaction on the relationships between service quality and healthcare providers on tailoring services to medical tourists in
behavioral intentions of medical tourists. Two models variants, order to enhance their satisfaction and loyalty. The study parti-
model A (consisting of service quality, patient satisfaction and cularly highlights the prominent role of perceived value, and
patient intentions) and model B (consisting of service quality, pinpoints the most effective avenues for healthcare providers in
patient perceived value and patient intentions), are tested to ex- allocating resources to improve hospital performance from the
amine the mediating effects. perspective of medical tourists.
The results of model A suggest that the effect of service quality Specifically, the study suggests that medical tourists perceive
L.M. Prajitmutita et al. / Journal of Retailing and Consumer Services 31 (2016) 207–216 215
the quality of service through tangible aspects such as; (1) the suggested by numerous researchers (i.e. Prentice, 2013, 2014).
appearance of physical facilities and medical equipment; (2) the
expertise of staff and their performance on carrying out their task;
and (3) the outcome (success) of the medical treatment received. References
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