Abstract

The rapid grown of urban development in Malaysia has increased the number of grocery retail outlets that provides a variety of products. Due to this situation customers have become accustomed to visits multiple outlets. Retailers have recognized this trend and noticed that customer satisfaction plays a role in their business success. Therefore, it has become important for grocery retail store to identify the factor of customer selection decision. This study was conducted at three selected store, namely Mydin, Giant and Tesco in AlorSetar, Kedah. A sample from 190 respondents was collected using a set of questionnaires. Data was analyzed using summative score analysis, comparative analysis and chi-square independence test. Factors that are found significant are location, facility, process, product quality and value for money. Chi-square is used in measuring the relationship among the supporting factors, age, frequency, and gender and store choice. Thus, several recommendations are presented to improve customer satisfaction and loyalty of their customers

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