Mobile Industry of Pakistan

Business and Economics Research Journal Volume 1 . Number 3 . 2010 pp. 35-44 www.berjournal.com

Đşletme ve Ekonomi Araştırmaları Dergisi Cilt 1 . Sayı 3 . 2010 ss. 35-44 ISSN: 1309-2448

Customer Satisfaction for Cellular Phones in Pakistan: A Case Study of Mobilink
Shakir Hafeeza SAF Hasnub

Abstract: Abstract Customer satisfaction is a crucial element for the success of all businesses. One of the biggest challenges for a market is how to satisfy and retain the customers. The purpose of this study is to find the level of satisfaction and loyalty among the users of cellular phones. This study is based on Mobilink’s prepaid customers. The findings suggest that overall customer satisfaction and customer loyalty is comparatively low among the customers of Mobilink. The Customer loyalty in Pakistan’s mobile sector is relatively low because it is an emerging industry, new players are entering in this market and customers are more fascinated to try the new service providers. However it is expected that when the industry will be well established, the results will be more comparable to other studies. Keywords words: Keywords Customer satisfaction, Customer loyalty, Mobile telecommunication, Regression model, Drivers of customer satisfaction, Pakistan Classification: JEL Classification M30, M31

1. Introduction In each company, customers are the most important element and are required to be handled and managed properly. The customers are satisfied when their expectations are fulfilled and delighted when their expectations are exceeded. Contented customers remain loyal buy more are less sensitive and speak positively about the company (Brown et al., 1992). Customer satisfaction normally indicates customer response to the state of fulfillment, and customer opinion of the fulfilled condition (Oliver, 1997). Kotler (1997) defines customer satisfaction as: “Satisfaction is a person 's feelings of pleasure or disappointment resulting from comparing a product 's

References: Anderson, E.W. & Sullivan, M. (1993). The antecedents and consequences of customer satisfaction for firms. Marketing Science, 12, 125–143. Aydin, S. & Ozer, G. (2005). National customer satisfaction indices: An implementation in the Turkish mobile telephone market. Marketing Intelligence & Planning, 23(5), 486-504. Bartikowski, B. & Llosa, S. (2004). Customer satisfaction measurement: Comparing four methods of attribute categorisations. The Service Industries Journal, 24(4), 67-82. Brown, T.J., Churchill, G.A. & Peter, J.P. (1992). Improving the measurement of service quality"; School of Business, University of Wisconsin-Madison. Cambell, A.J. (2003). Creating customer knowledge competence: Managing customer relationship management programs strategically. Industrial Marketing Management, 32, 375–383. Feick, L., Lee, J. & Lee, J. (2001). The impact of switching costs on the customer satisfaction-loyalty link: Mobile phone services in France. Journal of Services Marketing, 15(1), 35-48. Fornell, C. (1992). A national satisfaction barometer: The Swedish experience. Journal of Marketing, 56, 6-21. Fornell, C., Johnson, M.D., Anderson, E.W., Cha, J. & Bryant, B. E. (1996). The American customer satisfaction index: Nature, purpose and findings. Journal of Marketing, 60, 7-18. Business and Economics Research Journal Vol. 1. No. 3 . 2010 43 Customer Satisfaction for Cellular Phones in Pakistan: A Case Study of Mobilink Johnson, M.D., Gustafsson, A., Andressen, T.W., Lervik, L. & Cha, J. (2001). The evolution and future of national customer satisfaction index models. Journal of Economic Psychology, 22(2), 217-45. Kotler, P. (1997). Marketing management: Analysis, planning, implementation, and control. New Jersey: Prentice Hall. Kotler, P. & Armstrong, G. (1996). Principles of Marketing. Prentice Hall. Kristensen, K., Martensen, A. & Gronholdt, L. (2000). Customer satisfaction measurement at Post Denmark: Results of application of the European Customer Satisfaction Index Methodology. Total Quality Management & Business Excellence, 11(7), 1007–1015. Li, B., Riley, M. W., Lin, B. & Qi, E. (2006). A comparison study of customer satisfaction between the UPS and FedEx: An empirical study among university customers. Industrial Management & Data Systems, 106(2), 182199. Narayandas, N. (1996). The link between customer satisfaction and customer loyalty: An empirical investigation. Working Paper, No. 97-017, Harvard Business School, Boston, MA. NQRC (1995). American Customer Satisfaction Index Methodology Report. University of Michigan Business School, Ann Arbor, MI. Nunnally, J.C. (1978), Psychometric Theory, McGraw-Hill, New York, NY. Oliver, C. (1997). Sustainable competitive advantage: Combining institutional and resource-based views. Strategic Management Journal, 18(9), 697-713. Parasuraman, A., & Grewal, D. (2000). Serving customers and consumers effectively in the twenty-first century: A conceptual framework and overview. Journal of the Academy of Marketing Science, 28(1), 9-16. Shaw, M.J., Subramaniam, C., Tan, G.W. & Welge, M.E. (2001). Knowledge management and data mining for marketing. Decision Support System, 31, 127–137. Stenberg, E. (1997). Customer value management: Concept creation and implementation. Turun kauppakorkeakoulu. Takala, J., Bhufhai, A. & Phusavat, K. (2006). Proposed verification method for the content suitability of the customer satisfaction survey. Industrial Management & Data Systems, 106(6), 841-854. Teas, R. K. (1993). Expectations, performance evaluation, and consumers ' perceptions of quality. Journal of Marketing, 57(4), 18-34. Turkyilmaz, A. & Ozkan, C. (2007). Development of a customer satisfaction index model: An application to the Turkish mobile phone sector. Industrial Management & Data Systems, 107(5), 672-687. Wellington, P. (1995). Kaizen strategies for customer care. Financial Times/Prentice Hall. Winnie, W.-L.W. & Kanji, G.K. (2001). Measuring customer satisfaction: Evidence from Hong Kong retail banking industry. Total Quality Management, 12(7), 939–948. Ziethaml, V.A. & Bitner, M.J. (2003). Services marketing: Integrating customer focus across the firm. Boston, MA: McGraw-Hill. Đşletme ve Ekonomi Araştırmaları Dergisi Cilt 1. Sayı 3 . 2010 44