Abstract

Previous studies have found that service quality has a direct impact on a company's profitability. Given the increasing competition in the steak restaurant business in Taiwan, the restaurant industry has acknowledged the importance of service quality. This study empirically assessed customers' perceptions of services provided to measure service quality of a chain steakhouse in Taiwan. Twenty‐seven service attributes were identified and, by conducting factor analysis and multiple regression analysis coupled with the three‐column approach, the study was able to a) obtain six factors for managing service quality and b) analyze the service gaps existing in the service delivery process to measure service quality and customer satisfaction. As service quality has a direct impact on a company's profit, the research findings are important, particularly to the chain steakhouse studied. Based on the findings, the study proposed some suggestions for the case study firm to improve the service quality for its restaurant operations and further support the company to achieve competitive advantage in the increasingly competitive steak restaurant business in Taiwan.

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