Understanding the Major Predictors Affecting The Level of Customer’s Satisfaction towards SME Fast Food Industry in Malaysia:The Equity Theory Perspectives

Abstract

The main purpose of this conceptual paper is to propose a holistic framework that could expand the understanding of the real predictors of customer’s satisfaction towards the fast-food industry in Malaysia by applying the Equity Theory. Previous academic studies have identified various aspects that could affect the customer’s satisfaction in the industry. There are numerous local SME fast food entrepreneurs that unable to recognize the predictors, therefore they executing the wrong strategies to attract potential customers. This paper aimed to provide a better understanding towards the identified elements that have been proven by academicians in previous literature about the issue. This study hypothesized four predictors (physical environment, price sensitivity, product quality, and promotion) that could affect the customers’ satisfaction in the SME fast-food business. It is presumed that all predictors are significant in controlling the satisfaction of customers in this study. In order to gain competitive advantages and competitively sustain in the market, a business or company (particularly the small and medium fast-food operators or entrepreneurs) should focus on these four main predictors as it could affect the level of customers’ satisfaction towards the business.