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International Journal of Advanced Research in Engineering and Technology (IJARET)
Volume 11, Issue 8, August 2020, pp. 819-829, Article ID: IJARET_11_08_081
Available online at http://www.iaeme.com/IJARET/issues.asp?JType=IJARET&VType=11&IType=8
ISSN Print: 0976-6480 and ISSN Online: 0976-6499
DOI: 10.34218/IJARET.11.8.2020.081

© IAEME Publication Scopus Indexed

SERVICE QUALITY ON THE PERCEIVED


QUALITY OF MOBILE NETWORKS IN INDIA
Dr. Sonali P. Banerjee
Assistant Professor, Amity Business School, Amity University, India

Dr. Ruchika Nayyar


Associate Professor, Amity Business School, Amity University, India

Dr. Deepak Jain


Assistant Professor, S.M.V.D.- Shri Mata Vaishno Devi University,
Katra, Jammu and Kashmir, India

Dr. Deepa Gupta


Assistant Professor, Amity Institute of Information and Technology,
Amity University, Uttar Pradesh, India

ABSTRACT
The study attempts to analyse the gap in service quality of Telecom sector in terms
of customers’ expectations and perceptions regarding mobile phone services. It is
important to explore and map the differences which indicate that there is scope for
improvement on behalf of the mobile phone service providers.
Services are deeds, processes and performances (Zeithaml and Bitner, 2003).
Broadly speaking, services include all economic activities whose output is not a
physical product or whose construction is generally consumed at the time it is
produced and which provides added value in forms (convenience, amusement,
timeliness, comfort or health) that are essentially intangible for its first purchaser
(Quinn, Baruch and Paquette, 1987). For service providers, the pursuit of service
quality is essential for competitiveness and gaining momentum (Seth et al, 2007). Over
the last few years, considerable research has been carried out on different aspects of
service quality, leading to a sound conceptual base for both practitioners and
researchers. Some authors (Parasuraman, Zeithaml and Berry, 1985, 1988; Carman,
1990) agree that service quality is an abstract concept, difficult to define and
measure. However, it may be regarded as the degree and the direction of discrepancy
between consumers’ perception and the expectations in terms of the different but
relatively important dimension of service quality which can affect their future
behavior (Parsasuraman, Zeithamal and Berry, 1985). Some of the contemporary
views of service quality are listed in the literature overview.

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Service Quality on the Perceived Quality of Mobile Networks in India

In this study, we are specially focusing on the ‘mobile phone service providers’ as
it has been the most buoyant in terms of its growth and reach in post 1997 New
Telecom Policy period. In fact, mobile telecommunication has become one of the most
effervescent service sectors in the country with its growing network coverage. The
services have penetrated not only the urban but also the rural areas. The rapid growth
of the mobile services market in the past years has resulted in a sector facing a fierce
competition among companies, with mobile operators offering a wide range of
services and offers to attract new customers and to retain the present customers. In
this increasingly competitive scenario, the ability to provide a high level of customer
satisfaction, along with a low defection intentions are key issues in order to
differentiate from competitors. Investigating crucial factors that lead to customer
loyalty in the mobile telephony sector are service quality and customer satisfaction.
Key words: Quality, Mobile Network, Mobile, Telecom sector, services
Cite this Article: Sonali P. Banerjee, Ruchika Nayyar, Deepak Jain and Deepa Gupta,
Service Quality on the Perceived Quality of Mobile Networks in India, International
Journal of Advanced Research in Engineering and Technology, 11(8), 2020,
pp. 819-829.
http://www.iaeme.com/IJARET/issues.asp?JType=IJARET&VType=11&IType=8

1. INTRODUCTION
Telecom sector has a booming market in India. It has been ranked as the second largest
service provider in the world (Bhandari, 2013). There has been a substantial growth in the
subscriber list the last few years due to good network coverage and decline in the tariff due to
intense competition. This has attracted many MNCs to invest in India(Popli & Madan, 2013).
Presently the industry is growing at a very fast pace. The industry contributes more than 400
billion dollars to the gross domestic product of India. GroupeSpeciale Mobile Association
(GSMA) predicted that by the end of 2020 the industry will create more than four million
additional jobs. Though it is witnessing substantial growth, it is facing problems like
government regulation and also better customer services(Deo, 2017).Indian telecom industry
underwent a high pace of market liberalization and growth since the 1990s and now has
become the world's most competitive and one of the fastest growing telecom markets. The
Industry has grown over twenty times in just ten years, from under 37 million subscribers in
the year 2001 to over 846 million subscribers in the year 2011. India's telecommunication
network is the second largest in the world by number of telephone users (both fixed and
mobile phone) with 1.206 billion subscribers as on 30 September 2017. More recently, based
on Brady and Cronin [13] model, Lu et al. [65] developed a multidimensional and hierarchical
model to measure mobile service quality. They proposed that mobile service quality was
composed of three primary dimensions, interaction quality, environment quality and outcome
quality, and each primary dimension further included sub-dimensions. According to Zeithaml
(1988) service quality could be conceptualized as the consumers‟ judgment about the overall
excellence or superiority of a service. High service quality could attract new customers, retain
existing customers and also lure customers away from other service competitors whose
service quality is perceived as poorer (Babakus et al., 2004). Service quality is especially
important in the context of mobile services, since previous researches have pointed out as the
key factors of mobile companies‟ success the service quality and customer satisfaction (Yang
and Peterson, 2004). Service quality is a critical factor for companies‟ profitability and market
success ( ydin and zer 5) Shin and Kim ( 8) service quality is defined as the
consumers‟ overall impression of the relative efficiency of a service provider One consensus
that has emerged from several recent studies is that researchers empirically modelling the

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Sonali P. Banerjee, Ruchika Nayyar, Deepak Jain and Deepa Gupta

service quality construct have consistently identified at least three primary dimensions of
service quality: interaction quality, physical environment quality, and outcome quality (Brady
and ronin 1; lemes et al 11; lemes et al 1 ; lemes et al 7; agger et al
7; Lu et al 9; Mart nez aro and Mart nez arc a 8) These three primary
dimensions are used in this current study.
The service marketing literature suggests that the interpersonal interactions between
mobile communications service providers and their customers significantly impact on mobile
communications service quality as perceived by customers (Kim et al., 2004; Lai et al., 2007;
Lim et al., 2006; Lu et al., 2009; Wang et al., 2004). Dabholkar et al. (1996) suggest that in a
retail store the physical aspects are similar to the tangible dimension of SERVQUAL, but that
the physical aspects have a broader meaning Lai et al ‟s ( 7) and Wang et al ‟s ( 4)
findings show that the store environment, such as whether the physical facilities provided by
mobile communications service providers are visually appealing, and whether employees of
mobile communications service providers are well dressed and neat in appearance, have a
significant impact on customers‟ overall perceptions of mobile communications service
quality in the mobile communications market.
Outcome quality, or technical quality, is what customers receive after the service delivery
process and buyer-seller interactions are complete (Gronroos, 1984). Rust and Oliver (1994,
p ) define customer satisfaction as “a summary cognitive and affective reaction to a service
incident” that results from the comparison of customers‟ perceptions of service quality with
their expectations of service performance.
It has one of the lowest call tariffs in the world enabled by mega telecom operators and
hyper- competition among them. India has the world's second-largest Internet user-base. As
on 30 September 2017, there were 324.89 million internet subscribers in the country.
Telecommunication has supported the socioeconomic development of India and has played a
significant role to narrow down the rural-urban digital divide to some extent. It also has
helped to increase the transparency of governance with the introduction of e- governance in
India. Customer satisfaction is an important factor for maintaining a long-term relationship
between a company and its customers (Anderson and Srinivasan, 2003; Lim et al., 2006).
Satisfaction may be assessed by the customer's rating of the brand, which is based on all the
encounters and experiences of the customer with the brand. Kim et al. (2004). Satisfaction
was defined as a consumer‟s post-purchase evaluation and affective response to the overall
product or service experience (Oliver, 1992). Satisfaction is also a strong predictor for
behavioral variables like intentions of repurchase, recommendations, loyalty (Lin and Wang,
2006). Satisfaction is significantly influenced by the customer's evaluation of service features.
Javalgi et al. (2005).
The rapid growth of the mobile services market in the past years has resulted in a sector
facing a fierce competition among companies, with mobile operators offering a wide range of
services and offers to attract new customers and to retain the present customers (Shukla,
2010). In this increasingly competitive scenario, the ability to provide a high level of
customer satisfaction, along with a low defection intentions are key issues in order to
differentiate from competitors (Deng et al., 2010). Investigating crucial factors that lead to
customer loyalty in the mobile telephony sector are service quality and customer satisfaction.
Ilias Santouridis and Panagiotis Trivellas (2010).
Overall Consumer Satisfaction (CS) has three antecedents: Perceived Quality (PQ),
Perceived Value (PV), and Customer Expectations (CE); and two consequences: Customer
Complaints (CC) and Customer Loyalty (CL). PQ is the consumer's evaluation of the
consumption experience and PV evaluates perceived quality relative to price. Each individual
item of satisfaction is positively correlated with overall satisfaction, and the most correlated

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Service Quality on the Perceived Quality of Mobile Networks in India

items are, in this order, customer care, communications quality and complementary services
followed by adequacy of rates price easily-acquired new handsets bill clarity and coverage
while the least important is the ability to easily find rates and offers ovadonga ij n a b
Teresa ar n-Mu oz c Teodosio P rez-Amaral a n Rafael L pez-Zorzano, the basic ACSI
model (Fornell, Johnson, Anderson, Cha, & Bryant, 1996) .
Better service quality implies that the customers should have better perceived quality.
Numerous studies have been conduct to measure service quality and its relationship with
satisfaction(Caruana, 2002; Hafeez & Muhammad, 2012; Hu, Cheng, Chiu, & Hong, 2010;
Ismail & Yunan, 2016; Kulsum & Syah, 2017; Rahim Mosahab, Osman Mahamad, &
Ramayah, 2010; Sugiati, 2017; Yang, Chiang, & Lin, 2018; J. Zhao, Zhang, & Kong, 2010).
Perceived quality is one of the keys for brand equity. So, the paper intends to measure the
service quality of mobile networks and predict its impact on the perceived quality.

2. LITERATURE REVIEW
Numerous studies have been conducted to find out the relationship between service quality
and satisfaction but this paper attempts establish the relationship between service quality and
perceived quality which is one of the components of brand equity. Studies conducted on the
dimensions of service quality amongst the student clearly indicated that “tangibility
responsiveness reliability assurance and empathy” are the crucial factor determining service
quality (Farahmandian, 2013; Goh, Goh, & Ramayah, 2017; Hasan, Ilias, Rahman, & Razak,
2009; Onditi & Wechuli, 2017; Srivastava & Beri, 2016; X. Zhao, 2012). Similarly, (Meesala
& Paul, 2018) conducted a study to determine the dimensions of service quality in hospital
found that “tangibility responsiveness reliability assurance and empathy” are essential for
the patients satisfaction(Fatima, Malik, & Shabbir, 2018; Sadeh, 2017; Wang & Chou, 2013;
Yang et al., 2018). Numerous studies have been conducted to find the association of service
quality dimensions with loyalty and satisfaction for mobile application found that all the four
dimensions except tangibility were found to be significant (Bebko, 2000; Featherman &
Wells, 2010; Hellén & Gummerus, 2013; Koernig, 2003; Miller & Foust, 2003; Moss &
Barnes, 2008; Pleger Bebko, 2000; Santos, 2002). Studies conducted in banks also proved
that the five dimensions of service quality “tangibility responsiveness reliability assurance
and empathy” are critical factors determining the service quality and are influencing the
customer satisfaction(Li, Zhao, & Lee, 2001; Siu & Mou, 2005; Wong & Kanji, 2001; Yee-
kwong, 1992). Even in the hotel industry studies have shown that the dimensions of service
quality namely “tangibility responsiveness reliability assurance and empathy” are crucial
and impact the satisfaction(Akbaba, 2006; Al-Rousan, 2010; Briggs, Sutherland, &
rummond 7; hu & hoi ; ominici & uzzo 14; ržinić 7; Hartline &
Jones, 1996; Karunaratne & Jayawardena, 2011; Kayaman & Arasli, 2007; Ladhari, 2012;
Lau, Akbar, & Fie, 2005; Markovi ´c & Raspor, 2010; Poke, Zakari, & Soali, 2013).The study
conducted by (Auka, Bosire, & Matern, 2013) proved that perceived service quality is the
aggregation of the dimensions of service quality and it leads to loyalty in banks(Ariff, Yun,
Zakuan, & Ismail, 2013; Arora & Narula, 2018; Clemes, 2008; D. Johannes, Indarini, &
Margaretha, 2018; Firdous, 2012; Izogo, Reza, Ogba, & Oraedu, 2017; Jana, 2014; Sakhaei,
Afshari, & Esmaili, 2018; Titko & Lace, 2010; Tweneboah-Koduah & Yuty Duweh Farley,
2015).The study conducted in Pakistan clearly indicated that the dimensions of service quality
are crucial for cellular network and an additional construct of network has been researched as
a new dimension of service quality(Khan, 2014)(Hong & Hai, 2018; Khan, 2014; Negi, 2009;
Nimako, Azumah, Donkor, & Adu-Brobbey, 2012; Thien Phuc, 2014; Wen & Hilmi, 2011;
Xu, Huan, & Li, 2005; Yousaf, 2010). Customer expectations are beliefs of an individual
about service performance before they receive the actual service delivery (Zeithaml et al.,
6 P 81) In evaluating service quality it is a comparison of customer‟s expectations with

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Sonali P. Banerjee, Ruchika Nayyar, Deepak Jain and Deepa Gupta

the actual performance of service, and the difference between customer expectations and
perceptions of service is the“customer gap” in which a firm needs to close that gap (Bateson,
1995 P 559; Zeithaml et al 6 P 33)Perception is an individual‟s attitude after they have
received services (Reid & Bojanic, 2001, P. 73). Customers perceive service in both terms of
the quality of service and satisfaction, and perceptions of customers always relate to their
expectations and experiences (Zeithaml et al., 2006, P. 106).The research of Parasuraman,
Valarie Zeithaml, and Leonard Berry began in 1983 to identify the service quality
measurement that customers perceive as being important by developed a critical tool known
as “SERVQU L” for measuring and comparing customers‟ perceptions of service quality
with their expectations for a firm to better understand their customers‟ mind (as cited Bateson,
1995, P. 562; as cited in Palmer & Cole, 1995, P. 152; as cited in Zeithaml et al.,2006, P. 116-
117).SERVQUAL measurement of service quality in the research of Parasuraman et al.
(1988) was used in measuring service quality in hotels (Wilkins, 2007), and it was widely
used in a variety of service industries (as cited Bateson, 1995, P. 562; as cited in Palmer &
Cole, 1995, P. 152; as cited in Zeithaml et al., 2006, P. 116-117). Therefore, in this study uses
the SERVQUAL dimensions to measure customer perceptions towards service quality.

3. RESEARCH METHODOLOGY
The research is conducted with an aim to find out the impact of dimensions of service quality
on perceived quality and satisfaction. In order to fulfil the objectives the SERVQUAL model
devised by (Parasuraman, Berry, & Zeithaml, 1991) has been considered as the base also with
perceived quality and satisfaction as additional construct. The data was collected from 401
respondents who have been using a mobile phone with help of a well drafted questionnaire
from June 2018 to December 2018. There were 283 males and 118 females who participated
in the survey. The age group of 21-30 had the maximum respondents with 250 respondents
31-40 age groups had 140 respondents and 41-50 and 50 and above had nine and two
respondents respectively. one hundred and fifty eight respondent have their salary less than
25000 rupees, 164 respondents have their salary 25000-50000, 47 respondents have their
salary rupees 51000-75000 and 32 respondent have their salary more than 75000 rupees. 216
respondents said that they have been using from last five years, 106 respondents said that they
have been using from 5 to 10 years, 72 respondents revealed that they have been using from
11 to 15 years and seven respondent said that they have been using from more than fifteen
years. According to their educational qualification, there were around 131 under-graduates
109 graduates and 161 post graduates in the survey. 100 respondents were in government
jobs, 102 respondents were in private jobs, 110 respondents were business class and 89 were
dependents.

4. DATA ANALYSIS
A SEM was conducted to fulfill the objective of finding out the factors which enable a
customer to buy insurance products. Measurement model results and reliability values of each
construct in factor influencing retention. The model fit indices were assessed for an
acceptable fit. The model fit indices found were chi-square/d f (χ /df) = 4 p =
goodness-of-fit index (GFI) = 0.87, comparative fit index (CFI) = 0.94, normative fit index
(NFI) = 0.92 and root mean square error of approximation (RMSEA) = 0.05. These fit indices
indicated an acceptable measurement model(Bollen, Rabe-Hesketh, & Skrondal, 2008; Lewis,
2017; Lomax, 2013; Schermelleh-Engel & Müller, 2003; Weston & Gore, 2006; Wu, West, &
Taylor, 2009).

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Service Quality on the Perceived Quality of Mobile Networks in India

Figure 1
Table 1
Estimate S.E. C.R. P Label
PQ <--- ASS .345 .244 1.411 .058
PQ <--- TANG .193 .234 .825 .009
PQ <--- RESP .406 .195 2.079 .038
PQ <--- EMP .296 .258 1.146 .052
PQ <--- Network .560 .261 2.144 .032
PQ <--- REL 1.910 .772 2.472 .013
CS <--- PQ .818 .037 21.861 ***
All the hypotheses were found to be accepted at 95% confidence level.

5. DISCUSSIONS
The study was undertaken with an intention to establish a relationship between the
dimensions of service quality and perceived quality and customer satisfaction and it was
found from the research that the dimension of service quality has a significant impact on the
perceived quality and satisfaction(Amiri & Faghani, 2012; Lai, Hutchinson, Li, & Bai, 2007;
Lee, Kim, & Tai, 2008; Samen, Akroush, & Abu-Lail, 2013; Xu et al., 2005). Further, the
additional construct network also found to be significantly impacting perceived quality and
customer satisfaction.

6. CONCLUSIONS
There was a held argument that if there are suitable agreements that the service quality
exceeds . meets or fails to meet the expectations , there would be a common ground for the
continuation and improvement of the quality service level . From the preceding analysis it was
made obvious that the consumers expectations from the mobile phone services have been
higher than the quality which was perceived of the services which were henceforth provided
by them . with the usage of the model of Parasuraman , there also have been deductions that
the quality of the service of mobile phones service providers in India is low than that of other
compared and also there are immediate actions which are to be done to shore up the quality of
their services and to meet if possible and therefore transcend the customer‟s expectations

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Sonali P. Banerjee, Ruchika Nayyar, Deepak Jain and Deepa Gupta

7. FINDINGS
 The services are a performance that cannot be measured , counted or inventorised , it
is an intangible nature of services which makes it difficult for the providers of services
to analyse how the consumers would evaluate and perceive the quality.
 The heterogeneity of services makes it far different whether they are consumer to
consumer or , from provider to provider. . they can't assure the performance of that
service which would be henceforth consistent for all the consumers.
 In the case of the telecom sector, the quality of service also depends on the technical
fault-free facilitation of calls. One of them technical quality which emphasizes „what‟
customer actually receives from service and functional quality emphasizes „how‟
service is delivered.
 The behavior of the employees and speed of service delivery are examples of
functional quality. If it is difficult for the consumer to evaluate the technical
competence of a service provider (technical quality), then he focuses on attributes
associated with the process.

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