Customer Satisfaction in Nepalese Cellular Networks: Rewan Kumar Dahal
Customer Satisfaction in Nepalese Cellular Networks: Rewan Kumar Dahal
Customer Satisfaction in Nepalese Cellular Networks: Rewan Kumar Dahal
CUSTOMER SATISFACTION IN
NEPALESE CELLULAR NETWORKS
Rewan Kumar Dahal*
*Lecturer, Nepal Commerce Campus, Minbhawan, TU
ABSTRACT
Now a days identification of responsible factors that influence customer
satisfaction is a key concern of marketers and research scholars and it will remain
in future too. The purpose of the study was to identify the responsible factors that
affect on customer satisfaction with cellular networks in Nepal and analyze them.
Nepal Telecom and Ncell were taken as sample organizations where they occupy
more than 94 % of market share. The study was based on primary data collected
through a structured questionnaire based on the judgmental sampling technique
from 816 customers. It examined that price and service quality, brand and loyalty,
corporate social responsibilities, network and coverage, and customer care and
innovation were the responsible factors in the assessment of customer satisfaction
with Nepalese cellular networks services. The study concluded that mobile service
providers should concentrate upon the factors responsible on customer satisfaction
and care of those factors that have significant influence on promoting customer
satisfaction in Nepalese cellular networks industry.
Keywords: service quality - brand loyalty - social responsibilities - customer care
- innovation.
INTRODUCTION
Customer satisfaction as an experience-based evaluation made by
the customers by comparing the actual level of service obtained with that
of their expectations. It is not a universal phenomenon and they do not
enjoy the same service experience by consuming a commodity, service or
idea due to variations of their needs, objectives and past experiences that
influence their expectations (Saha et al. 2016). The unique combination of
product features, services, and relationships of company should satisfy its
customers’ needs better than the competitors (Atkinson et al., 2014).
Achieving and sustaining success by satisfying customers in today’s
hyper-competitive marketplace
6 CUSTOMER SATISFACTION IN NEPALESE CELLULAR
METHODOLOGY
The study applied quantitative research strategy and used primary
data. The data were collected through structured questionnaire survey.
The population of the study comprised all the global system for mobile
communication (GSM) customers of Nepal Telecom and Ncell since they
occupy approximately 94 % of the total market share. The study employed
judgmental sampling technique because there was no evidence of active
and the dead SIM card issue with sample companies. Targeted
respondents of the study were: universities faculties, post graduate
students, service holders, business persons, freelancers etc. who are living
in different provinces and use GSM networks. A Sampling plan was used
as proposed by Krejcie and Morgan’s (1970), Bowerman et al. (2004) and
ensured at least 385 respondents of each sample organization.
The questionnaire designed for customers’ survey consisted of 48
items and organized into three sections. The first section asked for
demographic / general information of the respondents and included 7
questions. The second section requested for customer satisfaction in
various dimensions based on literature and included 33 questions. The
third section asked for the overall satisfaction and included 8 questions. The
last two sections focused on the study variables and series of close ended
questions were composed in order to get appropriate information from the
respondents. All survey items of the study
6 CUSTOMER SATISFACTION IN NEPALESE CELLULAR
Friendly and
responsive -0.003 0.025 -0.003 -0.114 0.909 -.0001 1.752 Rejected
services
Facilities
and effective 0.028 0.026 0.031 1.079 0.281 .0006 1.589 Rejected
communication
Brand and .0210 1.779 Accepted
loyalty 0.182 0.029 0.193 6.347 0.000
Corporate social
responsibilities 0.194 0.023 0.231 8.611 0.000 .0841 1.376 Accepted
Network and .0121 1.314 Accepted
0.090 0.019 0.126 4.824 0.000
coverage
Customer care
0.333 0.026 0.368 12.576 0.000
and innovation .0824 1.644 Accepted
accept that the constructs friendly and responsive services (sr2 = -0.0001, t =
- 0.114, p = 0.909), and facilities and effective communication (sr2 = 0.0006,
t = 1.079, p = 0.281) had significant contribution towards customers
satisfaction in Nepalese mobile telecommunication services.
DISCUSSION AND CONCLUSION
Literature review of the study identified seven major constructs as
the determinants of the customer satisfaction in mobile telecommunication
service. Out of seven constructs, five constructs: price and service quality,
brand and loyalty, corporate social responsibilities, network and coverage,
and customer care and innovation were observed as determinant factors
that affect customer satisfaction in Nepalese mobile telecommunication
services. The study did not accept the factors: friendly and responsive
service, and facilities and effective communication as the determinants of
customer satisfaction in Nepalese mobile telecommunication services
though they were significant on the various previous studies (Kim, Park &
Jeong 2004, Sanchez & Iniesta 2004).
Studies showed that price perceptions directly influence
satisfaction judgments as well as indirectly through perceptions of price
fairness (Herrmann et al. 2007). In consistent with the past studies (Martin-
Consuegra et al. 2007, Hermann et al., 2007, Saha et al. 2016), customer
satisfaction with Nepalese mobile telecommunication service was closely
related with fair price, service quality and service reliability (β = 0.097, P =
0.001, AVE = 0.462). In the line of the previous studies (Martensen et al.
2000, Gupta 2002, Santouridis & Trivellas, 2010, Moreira, Silva &
Mountinho 2017), brand image and loyalty (β
= 0.193, p = 0.000, AVE = 0.286) had significant effect on customer
satisfaction with Nepalese mobile telecommunication services. The brand
image and loyalty were shaped mainly by: recommending products, price
tolerance, trust, entertainment, and brand image.
Business is a part of society; social responsiveness of service
provider creates positive soft corner in the inner mind of the customer and
leads greater satisfaction. This study proved that ‘corporate social
responsibilities’ was one of the major determinants of customer satisfaction
(β = 0.231, p = 0.000, AVE
= 0.408) with Nepalese mobile telecommunication services. Signal quality
and network coverage have always been essential criteria for selecting
mobile telecommunication service providers. Surveys have shown that
both signal quality and network coverage affect consumer’s satisfaction
positively and the image of the company (Woo & Fock 1999). In consistent
with such previous
TRIBHUVAN UNIVERSITY JOURNAL, VOL. 33, NO. 2, DECEMBER, 6
studies, the factor ‘network and coverage’ was one of the significant factors
(β = 0.126, p = 0.000, AVE = 0.614) of customer satisfaction of Nepalese
mobile telecommunication services too. Customer care and innovation
satisfy customers by converting the invention or idea into product/service
and improved firm value at acceptable risk (Dotzel et al. 2013). So, the
factor ‘customer care and innovation’ was one of the significant factors (β =
0.368, p = 0.000, AVE
= 0.359) of customer satisfaction of Nepalese mobile telecommunication
services having with the highest importance.
In conclusion, the study enriches to the literature by providing
some insight into the benefits associated with exploring factors that affect
customer satisfaction in Nepalese cellular networks industry. As per the
stakeholder theory’s guideline, the study supports to treat them well and
manage for their interest, helps a firm to create values along several
dimensions.
LIMITATIONS AND IMPLICATIONS
It was very difficult to survey the research exhaustively. So, this
study cited representative research rather than attempting to be exhaustive.
The reliability of the findings may be contingent on the number of participants
could have been enhanced further by a larger sample. A larger sample size
for the analytical survey would have augmented the validity and
generality of the findings. The findings of this study provide helpful
guidelines for Nepalese mobile telecommunication industry in
understanding key drivers and offer valuable information regarding
strategic areas in the field of customer satisfaction.
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