Abstract

This study aims to determine "The effect of Food Quality and Price Fairness on Customer Satisfaction and Repurchase Intention of Customer at satay restaurant in Padang City". The survey technique was applied to 125 satay customers in Padang, West Sumatra, indonesia. Research instrument were adapted from previous studies. The data of this study were analyzed by using structural equation modelling (SEM) technique with Smart Partial Least Square (SmartPLS 3.0) application. The results of this study indicate that Food Quality has significant effect to customer satisfaction and repurchase intention. In addition, Price Fairness also has significant effect to repurchase intention. Meanwhile, Price Fairness does not have significant effect to customer satisfaction. Furthermore, Customer Satisfaction has significant effect to repurchase intention. Keywords: Food Quality, Price Fairness, Consumer Satisfaction, Repurchase Intention DOI: 10.7176/EJBM/13-14-08 Publication date: July 31 st 2021

Highlights

  • Indonesia is a country that has a variety of cultures and typical foods in each region

  • This finding inline with previous research that found that food quality has significant effect to customer repurchase intention (Konuk 2019; Prybutok 2010; Jalilvand 2017; Hyun 2010) 4.4.3 The link of Price Fairness and Satisfaction This study found that food quality does not have significant effect to customer satisfaction

  • The increase of price fairness will not increase customer satisfaction significatly. This finding is different with previous researchs that found that price fairness have significant effect to customer satisfaction (Konuk, 2019; Bo et al 2017; Chung 2010; El Hadadat et al 2015 and Lee 2011) 4.4.5 Price Fairness and Repurchase Intention This study found that price fairness has significant effect to repurchase intention

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Summary

Introduction

Indonesia is a country that has a variety of cultures and typical foods in each region. One of the businesses that are often encountered is the culinary business. Indonesian culinary has proven to have a great appeal, especially with the crowning of rendang which is a traditional West Sumatra culinary delicacy as one of the most delicious foods in the world (CNN, 2017). Apart from rendang in the first place and fried rice in the second place, Indonesia has the most delicious food in the world, namely satay. The satay culinary destination is included in the list of the most delicious food which is ranked 14th out of the 50 most delicious food category in the world based on the voting conducted by CNN in 2017 through 35,000 Votes on CNN Facebook Media (CNN, 2017)

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