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Customers Perception Towards Proton Car Servicing Center

Perception is the process by which organisms interpret and organize sensation to produce a meaningful experience of the world, perception, on the other hand, better describes one’s ultimate experience of the world and typically involves further processing of sensory input. In practice, sensation and perception are virtually impossible to separate, because they are part of one continuous process. (Peter Lindsay & Donald A. Norman, 1997)

Proton’s Vision

To transform PPCSB as a prominent and a world class logistic company. (Bhd, P. P. 2008)

Proton’s Mission

We are committed to be the best automotive parts distributor providing the highest quality services available while creating value for our customer. (Bhd, P. P. 2008)

1.2 Statement of problem

The study of this research topic is to find out the effects of customer’s perception towards the Proton car servicing center that are the people really satisfied with the servicing Proton which is providing customers as what they have say in their corporate profiles and their statements in newspapers. Due to globalization in the world customers are now more involved in how the company is providing them with after sales services and their facilities or other added benefit that they could gain after purchasing a product. These are all the important aspects customer’s nowadays are looking into and that’s how a customer also becomes brand loyal to your product.

Majority of the multinational companies spend thousands of dollars to keep their customer service department up to date and to provide better and better services to them. But we are here to find out if this is really happening in Proton and are the people in Selangor area satisfied with their servicing of cars. There are significant linkages between service quality dimensions and overall customer satisfaction. Service quality has been identified as an important contributing factor to the stability of an organization to retain customers in the business.

1.3 Research of objective

There is limited research related to the identification of critical determinations of customer’s perception toward the Proton car servicing center. As a result, the research outcomes will help Proton to understand customer satisfaction and their perception, which will enhance the servicing quality. The main OBJECTIVES of this research are:

to access the effect of service quality in the automobile industry (Proton) on customer satisfaction

to study the impact of car servicing on the customer satisfaction

to study the factors that will influence customer satisfaction and perceived value for the Proton car servicing

1.4 Significance of Study

The significance of this project is to contribute the initiatives that would assit the organization to acquire thrust from its customers and to enable the customers to have a positive perception towards the organization and have a better chance of being a long term customer in the business organization. With reaching customers needs and wants, the organization would increase its profit margin at a rapid rate.

Research Programme

Random sampling: The research is going to be conducted among different servicing outlets around Malaysia so as to acquire reliable information which would be chosen randomly. The sample size would be chosen randomly in different locations with people who would have been experienced with Perodua service for in their lifetime and to obtain the information on how they have perceived the Perodua services.

Data collection and sources

The research paper is basically a qualitative research. Data that would be obtained, it would consist of primary and secondary data. With the assistance of questionnaire and interviews accordingly being used.

Primary data would be obtained through interview and questionnaire. Interview would be conducted to the different service outlets of perodua. Questionnaires will consist of both closed and open ended questions to help to get more information in a short period of time. They will be distributed to the perodua service management and the customers.

Secondary data will be obtained through the reading of books and researches conducted from external sources. This will give a clear understanding of the problem and hence result into better outcomes/solutions in less time.

1.5 Research Question

Does poor enforcement lead to failure of customer satisfaction and negative perceive by the customer towards the product or service

Is training employees important in reaching customers satisfaction and

Is technology a major driving force of positive perception to the industry by the customer

CHAPTER 2: LITERATURE REVIEW

Basically, the customer’s perceptions are self-motivated. First of all, with the developing relationship which is involving the customer and the company, his perception of the company and its products or services will change. The further knowledge the customer builds up, the more perceptions will move from actuality based judgments to a more general meaning the whole relationship gains for him. Over time, he places a stronger center of attention on the result of the product or service utilization (Erasmus, A. C., E. Boshoff, et al. 2001)

In addition, if the customers’ situation changes, their wants and preferring over and over again change too. In the outside surroundings, the contributions of competitors, with which a customer evaluate a product or service will change, therefore changing his perception of the best offer around. An additional point is that the public’s opinion. The public’s opinion towards certain concerns can change as well. This result can reach from fashion developments to the public expectation of good corporate citizenship.

Moreover, the research has been completed on the impact of market share on the perceived quality of a product. Depending on the personality of the product and the customers’ preferences, increasing market share can have positive or negative effect on how the customer perceives the product. The concept of customer perception does not only relate to individual customers in consumer markets. It is also valid in business to business situations. For example, a competitor benchmarking survey of a large industrial supplier revealed that the market leader, although recognized for excellent quality and service and known to be highly innovative, was perceived as arrogant in some regions.

If we take into consideration that there are about four other large players with a similar level of quality and innovative ideas, this perceived arrogance could develop into a serious problem. Customers here are well aware the main characteristics of all the offerings available at the market are largely comparable. So they might use the development of a new product generation of their own to switch to a supplier that can serve them not better or worse, but with more responsiveness and understanding.

2.1Customer Service

Customer service can be defined as an organization’s ability to consistently meet the needs and expectations of its customers. In the corporate world, the emphasis on customer service has been described a marketing concept of business management. Providing excellent customer service entails making every effort to satisfy the customers’ requests. Customer service is an essential ingredient of commercial transactions. In the broadest sense, it involves a company’s response to customer questions and problems (Bauman, Z. 1990).

Customers often need to contact a company because of concerns about the fulfillment process or to identify the status of a service or an account. This customer interaction is the focus of internet customer service. Virtually every area of customer service can be handled via the internet. However, customers may not be able to experience the online customer service of a company prior to making a purchase decision. To use service quality as part of their decision of where to make a purchase, customers need to interpret the semiotic cues about customers’ service on the Website.

2.2Customer Loyalty

In this case study, loyalty is to a service provider and is therefore service loyalty, rather than brand loyalty, which has been developed in relation to goods. Customer loyalty can be describes the propensity of a customer to select one business or product over another for a particular need. Customers may express high satisfaction level with a company in a survey, but satisfaction does not equal loyalty. Marketing segmentation is also often based on marketing products to a specific social class by using special language, symbols, and appeal, which triggers associations of a particular social class. (Williams,2002)

Loyalty is demonstrated by the actions of the customer; the customer can be very satisfied and still not be loyal. Customer loyalty is acknowledged as an important indicator of the likely success of a business. More specifically, direct and significant paths have been demonstrated between service quality, service encounter satisfaction and customer loyalty. Similarly, customer orientation has been found to be related to customer service perceptions and outcome behaviors. Products become symbols of meaning in society (Solomon,1983)

2.3Customer Orientation

Customer orientation is the degree to which an organization emphasizes meeting customer needs and expectations for service quality, while customer feedback involves the solicitation and use of feedback from customers regarding service quality. In this study, customer orientation incorporates both these elements, that is, it includes a commitment to customer need, and gathering and using customer feedback.

CHAPTER 3: RESEARCH METHODOLOGY

3.1 CONCEPTUAL FRAMEWORK

DEPENDANT VARIABLE INDEPENDENT VARIABLE

Accessibility

Loyalty

CUSTOMER

SATISFACTION

Expected

Service

Quality3.1.1Service Quality in the Public Sector

Their perspectives of the service organizations, there is a desire to survive and compete in a global environment. From the perspective of the customer, there is a desire for better quality services. Whereas service quality has achieved considerable popularity across the private sector, the public sector has been slower to take up the concept.(Van de Walle, S. 2007).However, service quality has now moved to the forefront of public sector management as a result of the combined pressure of growing customer expectations, an increased focus on revenue, and growing competition between public and private sector organizations who offer identical services. (Van de Walle, S, 2007)

3.2 Types of Quality

Service quality in the public sector tends to make reference to three areas of quality:

Customer quality ( what the customer wants from the service)

Professional quality ( the process used to meet customer needs)

Management quality ( the use resources to meet customer needs)

Customer or client quality refers to what customers want from a service at both the individual and group level, which is measured through customer satisfaction measures. Professional quality relates to procedures and techniques used to meet customer needs, which are ensured through organizational audits and setting standards. Management quality refers to the efficient use of resources to meet customer demands and is measured through the broader quality approach of the organization.

3.2.1 Accessibility

A public servant’s approachability and ease of contact this tell us that how use is for the car servicing of proton to take their car to their nearest service center and that they don’t have to travel long distances to get the services for their car and of course the availability of the parts and the representatives and the space for the cars.

3.2.2 Customer Loyalty

At a very general level, loyalty is something that consumers may exhibit to brands, services, stores, product categories such as cigarettes, and finally activities like swimming as well. Here, we use the term customer loyalty as opposed to brand loyalty, this is to emphasize that loyalty is a feature of people, rather than something inherent in brands. Based on this, the customer loyalty can be understood as to how customers feel about a product, service or a brand.

3.3 Hypothesis Testing

Studies that engage in hypothesis testing usually explain the nature of certain relationships, or establish the differences among groups or the independence of two or more factors in a situation. Hypothesis testing is undertaken to explain the variance in the dependant variable to predict organizational outcomes. For our study, the hypotheses the hypotheses are going to be:

Quality

H1: quality provided by proton car service center is positively related to customer satisfaction

Loyalty

H2: the loyalty of the customer of proton car service centre is positively related to customer satisfaction

Accessibility and availability

H3: the accessibility and availability for the customers of proton car service centre is positively related to the customer satisfaction

Expected services

H4: The expected service provided to the customer of proton car service center is positively related to the customer satisfaction. Thus it would increase the identification of a good service organization and it would give the industry the credentials.

3.3.1 Population and Sample

The population of this research is the internal customers that are the employees of different service outlets in Malaysia without basing whether its East Malaysia or West Malaysia who in one way or another are engaged in the operations of their organizations. Moreover, the researcher would chose a sample group of customers who have experienced the Perodua services in one way or another in the aspect of different perception of different age groups and people from different back grounds.

3.3.2Limitations

Time constraint: the duration of time is limited, hence this may lead to less data collection and the researcher will not be efficient and more effective to obtain data accordingly. The reason behind this is the duration allocated to go in all of Malaysian regions would be limited and hence it would limit the researcher in obtaining the information and gather them in time. The study is limited by time and no deep analysis of consumer behavior from a specific discipline point of view has been performed, as the goal of the study is to evaluate applicability of the most often used methods for understanding and measuring consumer acceptance and satisfaction (Ackerman, 1997)

Moreover another obstacle that would face the research would be having a research being handled in Malaysia region itself. It would limit to do research beyond borders of Malaysia hence a researcher would be obliged to complete the research itself in the Malaysia region itself.

Another limitation would be response from the sample. The majority of the people in Malaysia may not understand the importance of the given research hence they may be rigid to cooperate and in some cases they may even give wrong information concerning the given topic since most of the business organization does not reveal their information to the external researcher hence this may result into lack of data for this research work. Nevertheless the research may face other obstacle which most of researchers from time to time tend to face which is lack of sufficient previous resources concerning the particular scope of the problem which the researcher would be desired to attend.

3.3.3Expected results

From the findings of this research, the researcher is expecting critical analysis of private and public servicing outlets in Malaysia to practice effectively and efficiently and increase number of new customers and retain the regular customers and enhance growth of market shares of the servicing outlet that would be practicing the better services with greater positive performance with daily routine patrol of the each outlet which would create a positive perception to the customers and the public as a whole.

4.0Conclusion and implication

Proton would be obliged to indulge in different to initiate several supplementary services so as to enable their customers to perceive positive perception and gain maximum profit in which Proton would be able to be place in a better place to compete with their competitors in Malaysia.

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