Abstract
This study was undertaken to understand the interrelationships among customer's perceptions of service encounters, customer value, and behavioral intent in a family restaurant. Based on 331 samples obtained from empirical research, we reviewed the reliability and fitness of a research model and verified three hypotheses using a structural equation model. The results showed that physical environment (<TEX>${\beta}$</TEX> = .418) and a customer interaction with the service provider (<TEX>${\beta}$</TEX> = .265) had a significant effect on the customer's hedonic value. Additionally, physical environment (<TEX>${\beta}$</TEX> = .126) and customer interaction with service providers (<TEX>${\beta}$</TEX> = .264) had a significant effect on customer utilitarian value. Customer's hedonic (<TEX>${\beta}$</TEX> = .538) and utilitarian value (<TEX>${\beta}$</TEX> = .382) triggered by service encounters had a significant effect on their behavioral intent. Limitations and future research directions are discussed.
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