Abstract
Perceived service quality (PSQ) has been shown to influence satisfaction, loyalty, and other important outcomes, specifically in a competitive environment and is also one of the foremost reasons for choosing an airline. The purpose of this study is to evaluate the difference in PSQ between full service carriers (FSCs) and low cost carriers (LCCs) in the South Korean domestic airline market, which has become more competitive due to the emergence of multiple LCCs. The results showed that PSQ of LCCs is lower than FSCs in terms of the rank of dimension although the trend was surprisingly similar. Moreover, the relationships between service quality dimensions and demographic factors were significantly different between the two types of carriers. These results suggest that new entrants in South Korea should have their own distinguishable service strategy from the FSC.
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