INTENnON TO REVISIT FAST FOOD " R-eSTAURANT IN KOTA K1NABALU YEOH CHEE KEONG DISSERTATION SUBMI1TED IN PARTIAL FULfIlLMENT FOR THE DEGREE OF MAS I ER OF BUSINESS ADMINISTRATION SCHOOL OF BUSINESS AND ECONOMICS UNIVERSm MALAYSIA SABAH 2008
INTENnON TO REVISIT FAST FOOD "R-eSTAURANT IN KOTA K1NABALU
YEOH CHEE KEONG
DISSERTATION SUBMI1TED IN PARTIAL FULfIlLMENT FOR THE DEGREE OF MAS I ER
OF BUSINESS ADMINISTRATION
SCHOOL OF BUSINESS AND ECONOMICS UNIVERSm MALAYSIA SABAH
2008
UNIVERSITI MALAYSIA SABAH
BORANG PENGESAHAN STATUS TESIS
JUDUL: INTENTION TO REVISIT FAST FOOD RESTAURANT IN KOTA KINABALU
IJAZAH: SARJANA PENTADBIRAN PERNIAGAAN
SESI PENGAJIAN: 2006-2008
Saya, Yeoh Chee Keong mengaku membenarkan tesis Sarjana ini disimpan di Perpustakaan Universiti Malaysia Sabah dengan syarat-syarat kegunaan seperti berikut:
1. Tesis adalah hakmilik U niversiti Malaysia Sabah. 2. Perpustakaan Universiti Malaysia Sabah dibenarkan membuat salin an untuk tujuan
pengajian saya. 3. Perpustakaan dibenarkan membuat salinan tesis ini sebagai bahan petukaran antara
institusi pengajian tinggi. 4. TIDAK TERHAD
(Penuli : YEOH CHEE KEONG)
Alamat: 46, Lorong Raja Udang 2, Taman Kingfisher 2, 88400 Kota Kinabalu Sabah
Tarikh: 17 July 2008
Disahkan oleh:
(T ANDAT ANGAN PUST AKA WAN)
(Penyelia: Dr. rf!::~ Kim Lian) Tarikh: I., 1"7 ( 08
Sekolah Perniagaan dan Ekonomi Universiti Malaysia Sabah
CATATAN: Tesis dimaksudkan sebagai tesis Ijazah Doktor Falsafah dan Sarjana secara penyelidikan atau disertassi bagi pengajian secara kerja kursus dan penyelidikan, atau laporan Projek Sarjana Muda (LPSM)
~UMS ~;,..I:
UNIVERSITI MALAYSIA SABAH
DECLARAnON
I hereby deClare that the material in this thesis Is my own except for quotations, excerpts/. equations/. summaries and references, which have been duly acknowleclqecl.
1 July 2008 Yeoh Chee Keong PE20G6-8522
UMS UNlvtRSITI MALAYSIA SABAH
NAME
MATRIC NO.
TITlE
DEGREE
VIVA DATE
: YEOH CHEE KEONG
: PE2006-8522
: INTENnON TO REVISIT fAST fOOD RESTAURANT IN KOTA K1NABALU
: MASTER OF BUSINESS ADMINISTRAnON
: 24 June 2008
DECLARED BY
1. SUPERVISOR {pro Jennifer Chan Kim UanJ
(Signature)
ACKNOWLEDGEMENT
I would like to express my deepest gratitude and appreciation to my supervisor, Dr. Jennifer Chan Kim Uan for all her aclvices, guidance and support in this research work that led to the completion of this dissertation. Her valuable comments and suggestions have made my piece of study to be more complete and practical. I wish to thank all the lecturers In Universlti Malaysia Sabah whom had given me their opinions, comments, suggestions and guidance to make this dissertation a better one.
Nevertheless, I would like to thank the respondents of this study whom were willing to spend their preciOUS time for completing the questionnaires in the data gathering of this study. I would also like to express my token of appreciation and thankfulness to the McDonald's and Burger King Fast Food Restaurant outlets' management which were involved in this study for their cooperation to allow me to carry out my surveys In their premises.
Last but not least, I would like to thank my giri friend, family members and fellow friends for their endless moral support and guidance throughout the dissertation completion process.
Thank you and God bless you all!
UMS UNIVERSITI MALAYSIA SABAH
ABSTRACT
This quantitative research was done to Identify the relationship between the fast food restaurant's attributes (variety of food., food taste and Quality., ambience and hygiene., service speed, price and location) and intention to revisit fast food restaurant among the Kota Klnabalu consumers using the model adopted from Goyal & Singh (2007). thIs study also attempted to find out whether age and monthly Income Significantly influence the relationship between fast food restaurant's attributes and the Intention to revisit fast food restaurant. The research area focused on fast food restaurants which hamburger is their main seiling menu In Kota K1nabalu. Data was collected from 120 respondents whom had experienced dining at the fast food restaurants using the questionnaire survey_ The data was analyzed using the Statistical Package for Social Science (SPSS) software and the result showed that there were significant relationships between variety of food, food taste and quality, service speed and price with Intention to revisit fast food restaurant. However, ambience and hygiene and location were found to have no significant relationships with intention to revisit fast food restaurant. As for the moderating variables, age was found to have no significant moderating influence on the relationship between fast food restaurant's attributes and intention to revisit fast food restaurant. However., monthly income was found to have significant moderating influence on the relationship between fast food restaurant's attributes and Intention to revisit fast food restaurant.
UMS UNIVERSITI MALAYSIA SABAH
ABSTRAK
Kelnglnan Nengunjungl RestrHan Nllkllnsn SegI!1l1l SenIUM dl KDIII Klnllbalu
Kajian kuantitatif ini dfjalankan untuk mengenal pasti hubungan antara cirl-drl restoran makanan segera (kepelbagaian makanan,. rasa dan kualiti makanan, sua sana dan kebersihan, kelajuan perkhidmatan, harga dan lokasl) dengan keinginan untuk mengunjungi restoran makanan segera semula di kalangan pelanggan dl Kota Kinabalu dengan menggunakan model yang diaplikasi dartpada Goyal & Singh (2007). Kajian ini juga berhasrat untuk men genal pasti sama ada umur and gaji bulanan mempengaruhi keinginan untuk mengunjungi restoran makanan segera semula. Tempat kajian ini tertumpu kepada restoran makanan segera yang menjual berger sebagai menu utama mereka sahaja dl Kota Kinabalu. Data diperolehi darlpada 120 responden yang telah menjamu se/era di restoran makanan segera dengan menggunakan borang kajian soal selidik. lJata yang diperolehi dianalisa dengan menggunakan program StatistiCiJI Package for Social ScIence (SPSS). Keputusan yang diperolehi menunjukkan bahawa terrJapat perhubungan signifikan dl antara kepelbagalan makanan, rasa dan kualiti makanan~ kelajuan perkhidmatan dan harga dengan keinginan untuk mengunjungi restoran makanan segera semula. Namun begitu, sua sana dan kebersihan serta /okasi dldapati tidak mempunyal perhubungan signifikan dengan keinginan untuk mengunjungl restoran makanan segera semula. Se/ain ilU, umur didapati tidak mempengaruhi perhubungan dl antara drl-drl restoran makanan segera dengan kelnglnan untuk mengunjungi restoran makanan segera semula. Walau bagaimanapun~ gaji bulanan didapati mempengaruhl.perhubungan di antara cirl-cirl restoran makanan segera dengan kelnginan untuk mengunjungl restoran makanan segera semu/a secara slgnifikan.
TABLE OF CONTENTS
TITLE
DECLARATION
ACKNOWLEDGEMENT
ABSTRACT
ABSTRAK
TABLE OF CONTENTS
UST OF FIGURES
UST OF TABLES
UST OF ABBREVIAnONS
UST OF SYMBOLS
CHAPTER 1: INTRODUcnON
1.1 OVerview
1.2 Research Problem
1.3 Research Objectives
1.4 Scope of Study
1.5 Significance of Study
1.6 Key Concepts
1.6.1 Fast food
1.6.2 Attributes of Fast Food Restaurants
1.6.3 Age
1.6.4 Monthly Income
1.6.5 Intention to Revisit Fast Food Restaurant
1.7 Summary and Organization of Study
Page
ii
Iv
v
vi
vii
xi
xli
xlii
xlv
1
5
7
7
8
8
8
8
9
9
9
CHAPTER 2:
2.1
2.2
2.3
2.4
2.5
2.6
2.7
2.8
2.9
CHAPTER 3:
3.1
3.2
3.3
3.4
3.5
3.6
3.7
LITERATURE REVIEW
Introduction
Uterature on Fast Food
Fast Food in Malaysia
Fast Food Restaurant's Attributes
2.4.1 Variety of Food
2.4.2 Food Taste and Quality
2.4.3 Ambience and Hygiene
2.4.4 Service Speed
2.4.5 Price
2.4.6 location
Intention to Revisit Fast Food Restaurant
Relationship between Fast Food Restaurant's Attributes and Intention to Revisit Fast Food Restaurant
Effect of Moderator (age) on Relationship between Fast Food Restaurant's Attributes and Intention to Revisit Fast Food Restaurant
Effect of Moderator (monthly Income) on Relationship between Fast Food Restaurant's Attributes and Intention to Revisit Fast Food Restaurant
Summary
RESEARCH METHODOlOGY
Introduction
Research Framework
Research Hypotheses
Research Design
Instrument
Sampling Design
Data Collection Method
11
11
13
18
19
19
20
20
23
23
24
26
31
32
33
34
34
35
36
36
37
3.8 Data Analysis
3.9 Summary
CHAPTER 4: DATA ANALYSIS AND INTERPRETAnON
4.1 Introduction
4.2 Respondents' Profiles DescrIptive Statistics
4.3 Reliability Test - Cronbach's alpha
4.4 Overview of Variables' Statistics
4.5 Hypotheses Testing
4.5.1 Multiple Regression Analysis
4.5.2 Hierarchical Regression Analysis
4.6 Summary of Findings
CHAPTER 5: DISCUSSIONS AND CONCLUSION
5.1 Introduction
5.2 Recapitulation of Study
5.3 Discussions and Implication of Study
5.3.1 The Impact of Variety of Food
5.3.2 The Impact of Food Taste and Quality
5.3.3 The Impact of Ambience and Hygiene
5.3.4 The Impact of Service Speed
5.3.5 The Impact of Price
5.3.6 The Impact of Location
5.3.7 The Impact of Age as Moderator
5.3.8 The Impact of Monthly Income as Moderator
5.4 Condusion
5.5 Umltation and Suggestions for Future Studies
REFERENCES
37
38
39
39
41
42
43
43
46
48
SO
50
51
51
52
53
53
54
55
55
56
56
58
APPENDIX A: Questionnaire Sample 68
APPENDIX B: Respondents' Profile DescrIptive Statistics 74
APPENDIX C: Reliability Test 77
APPENDIX D: Multiple Regression Analysis 84
APPENDIX E: Hierarchical Regression Analysis 86
APPENDIX F: Universltl Malaysia Sabah OfficIal Letter for Research 92
~UMS ~.--;
UNIVERSITI MALAYSIA SABAH
Figure 1.1:
Fig"ure 1.2:
Figure 2.1: Figure 3.1:
UST OF FIGURES
Asia-Pacific fast food market segmentation by share percentage in 2006 2006 Asia-Pacific fast food market segmentation by country and share Model of repurchase intent Research framework
Page
3
4
27 34
LIST OF TABLES
Page
Table 1.1: Fast food market segments and its definitions 1 Table 1.2: Asia-Pacific fast food market value (US$ billion) from 2002 2
to 2006 Table 1.3: Asia-Pacific fast food market volume by transactions from 2
2002 to 2006 Table 1.4: Brand shares of chained fast food by value percentage for 4
2003-2006 Table 1.5: Global brand owner shares of chained fast food by value for 4
2002-2006 Table 2.1: Fast food definitions 11 Table 2.2: Previous researches and findings on fast food Industry from 12
various ,perspectives Table 2.3: Fast food by subsector: units/outlets 2001-2006 14 Table 2.4: Fast food by subsector: transactions 2001-2006 14 Table 2.5: Fast food by subsector: foodservlce value 2001-2006 15 Table 2.6: Fast food by subsector: percentage foodservice value 15
growth 2001-2006 Table 2.7: Summary of fast food restaurant's atbibutes that best fit the 30
Intention to revisit fast food restaurant from past researchers
Table 2.8: Importance of choice variables for restaurant selection by 32 age
Table 3.1: Statistical methods for hypotheses testing 38 Table 4.1: Respondents' ,profiles 40 Table 4.2: Cronbach's alpha for variables 41 Table 4.3: Means and standard deviation of Independent variables 42 Table 4.4: Model summary of multiple regression analysis 44 Table 4.5: Multiple regression analysis result 45 Table 4.6: Hierarchical regression analysis result for age as the 46
moderator Table 4.7: Hierarchical regression analysis result for monthly income as 48
the moderator Table 4.8: Summary of hypotheses testing results 49
UMS UNIVERSITI MALAYSIA SABAH
CAGR Corp Dr. i.e. Inc KFC
Mdm. No. QSR RM
Sdn. Bhd. US
UST OF A88REVlAnONS
compound annual growth rate Corporation Doctor in example Incorporated Kentucky Fried Chicken Madam Number Quick Service Restaurants Ringgit Malaysia Sendlrian Berhad United States
% $ I & ±
percent dollar or and
USTOF SYMBOLS
standard deviation
CHAPTER 1
INTRODUCTION
1.1 Overview
Some underlying consumer trends resulted in the increasing popularity of eating out
over the last three decades (Berry, 1990). The absence of free time among the
consumers affected their restaurant chotce whereby they were unlikely to spend too
much time searching for the highest perceived standards (Sen, 1998). Based on this
trend, fast food restaurant chains 'were trying to readl their customers' by bui1dlng
and operating numerous geographically dispersed small units rather than a few large
unIts (Sradath, 1'998).
Globalization has led a common culture worldwide and the fast food
testaurant 'is one typita1 form of g1oba1 business (fmErSOn, 1990). "The fast food
market Is defined as the sale of food and drinks for immediate consumption either on
the prem1ses or 1n des1gnated eating areas shared With other foodservlce operators,
or for consumption elsewhere" (Datamonltor, 2007:7). The fast food market
defirtltion- excluded sa1es through vending machines and is restricted to sa1es in four
specffic food service segments as shown In Table 1.1.
Table 1.1: Fast food market segments and Its definitions
'No. fi5t1'oocl martcet Oetiftitioft segments
1 Quick Service Locations where primary function is to provide full meals Restaurants {QSR) but where table service Is not offered.
2 Takeaways Establishments that provide freshly prepared food for immediate consumption and where typically 80% or more of revenues come from consumers who take the food off the~remises to consume.
3 , Mobile and street 8ther individual mobile stalls or vans that offer a limited vendors range of freshly prepared food as well as beverages.
4 Leisure locations Locations serving food and drinks for Immediate t:QIlSUOlPtion OIl. premises within Jelsure restaurants that the leisure operator owns and operates itself. . Source: Datamomtor (2007)
In 2006, US$18.4 billion in total revenues was generated from Asia-Pacific
fast 'food market; this represented a compound annua1 growth ran! (CAGR) of 2.7%
from 2002 to 2006. Asia-Pacific fast food market value In 2006 was US$18.4 billion
and represented 7.20/0 growth (Oatamonltor, 2007). Asia-Pacific fast food market
value growth was shown in Table 1.2. OVer the same period of time, the United
States of America and European markets grew with CAGRs of 3.7% and 3.30/0 1n
2006, to reach respective values of US$ss.2 billion and US$19.s billion (Datamonitor,
2007).
Table 1.2: Asia-Pacific fast food market value (US$ billion) from 2002 to 2006
Year US$bmlon % Growth 2002 16.6 2003 16.9 2.20 2004 16.1 -5.10 2005 17.2 7.00 2006 18.4 7.20
CAG~ 2002-2006: 2.70 Source: Datamonltor (2007)
In 2006, market consumption volumes Increased with a CAGR of 2% between
200Z'and' 2006 to reach a total of 26.5 biftiuntransattluns. In 2006, Asia-Pa'dftt'fa-st
food market volume was 26.5 billion transactions which represent 1.8% growth
(Oatamonltor, 2007). Table 1.3 shows Asia-Paclf1c fast food rnaTketvolume growth tn terms of transaction amount for the period of 2002 to 2006. By the end of 2011, the
market'S"volume is expected to rise to 29 bittion transactions, representing a CAGR of
1.8% for the period of 2006-2011 (Data monitor, 2007).
Table 1.3: Asla-Padfic fast food market volume by transactions from 2002 to 2006
Yea,.- Transations {blUion) 1M» Growth 2002 24.5 2003 25.0 2.00 2004 25.5 2.20 2005 26.0 1.80 2006 26.5 1.80
CAG~ 2002-2006: 2.00 Source: Datamonitor (2007)
In 2006, the quick service restaurants segment was the market's most
'Iaefatlve" segment:; genercftinytota1leVenues ofUS$1'O.7 biffioo, equIValent .'9 5 UNIVERSITI MALAYSIA SABAH
the market's overall value. The takeaways segment market was 21.1% and mobile
and street vendors market segment was 10.1% In 2006.The leisure location segment
contributed revenues of 10.9% of the market's overall value in 2006 (Data monitor,
2007). Figure 1.1 shows Asia-Pacific fast food market segmentation by percentage
share In 2006.
Figure 1.1: Asia-Pacific fast food market segmentation by share percentage in 2006
Takeaways 21 .1%
Source: Datamonitor (2007)
M:lbie & Str~t Vendors
10.1%
Quick Service Restaurants
57.9%
As the perfonnance of the market is forecasted to accelerate, an anticipated
CAGR of 6.2% is expected for the 2006-2011 period and drive the market value to
US$24.9 billion by the end of 2011. Comparatively, United States of America and
European markets Is expected to grow with CAGRs of 3.7% and 3.3% respectively
over the same period, to reach respective values of $66.2 billion and $22.9 billion in
2011 (Datamonltor, 2007). Asla-Padtlc fast food market segmentation by country
and percentage share fOr 2006 is shown in Figure 1.2. China had the biggest Asia
Pacific fast food market share with 38.0% In 2006, followed by Japan 29.7%, South
Korea 12.9%, India 3.5% and rest of Asia Pacific with 15.9% (Datamonltor, 2(07).
Global chained fast food market value was dominated by KFC brand which
was owned by Yums! Brand Inc with 48.5% In 2006. This was followed by
McDonald's with 21.2%, Marrybrown with 6.4%, both A&W and Burger King with
2.4% each as shown in Table 1.4. Yums! Brand Inc dominated the global chained
fast food shares with 51.0% of brand value in 2006. McDonald's Corp owned 21.2%
of the market value and Burger King Holdings Inc owned 2.4% of the market value
as showed in Table 1.5.
Figure 1.2: 2006 Asia-Pacific fast fOOd market segmentation by country and share
Rest of AsiaPacific 15.9%
Source: Datamonitor (2007)
Mia 3.5%
Japan
29.7%
China
38.0%
Table 1.4: Brand shares of chained fast food by value percentage for 2003-2006
0/0 Value Global Brand Owner Year
Brand 2003 2004 2005 2006
KFC Yum! Brands Inc 45.6 45.8 46.8 48.5
McDonald's McDonald's Corp 23.7 22.6 22.0 21.2
-Marrybrown Marrybrown FrIed Chicken Scln. Bhd. 6.4 6.4 6.4 6.4
A&W Yum! Brands Inc 2.1 2.3 2.4 2.4
Burger King Burger King Holdings Inc 1.5 2.2 2.4 2.4
Source: Euromonitor Intemational (2007)
Table 1.5: Global brand owner shares of chained fast food by value for 2002~2006
CVo value Year
Company 2002 2003 2004 2005 2006
Yum! Brands Inc 50.9 47.7 48.1 49.3 51.0
McDonald's Corp 20.0 23.7 22.6 22.0 21.2
Marrybrown Fried Chicken Sdn. Bhd. 6.7 6.4 6.4 6.4 6.4
Burger King Holdings Inc 1.4 1.5 2.2 2.4 2.4 . Source: Euromonltor International (2007)
Intention to revisit fast food restaurant is part of consumer choice making
process. There are two approaches In research on predicting consumer chol 5 are stochastic approach or attitudinal approach (AI-Weqaiyan, 2005).
UNIVEASITI MALAYSIA SABAH
A
choice models explained that next future brand choice is predicted using conditional
probability identifying the parameters of prior choice using linear models, while
assuming that past inddents of choice to be totally independent. Some researchers
challenged this approach and argued that uncovering the underlying motivational and
psychological processes that identify explanatory market variables Is more Insightful
than modelling the behaviour mathematically (Bums & Krampf, 1992).
Deterministic models, assumed that interdependency and sequential linkages
among brand choice decisions and predict the next choice on the basis of prior choice
history (Meyer &. Kahn, 1991). This model is also supported by cadotte et a/. (1987),
whom stated that probability of repurchasing largely depends on prior experience.
Deterministic models focus on identifying the key determinants of consumer brand
choice when the choice has been made under the conditions (A1·Weqaiyan, 2005).
This approach Is consistent with the general view that consumer decision making
process vary considerably in terms of task complexity, involvement, cognitive effort
and not homogenous in nature. The intention to revisit fast food restaurant in this
research was based on the deterministic models which viewed choice more as a
deliberate action where some thought, information search and comparisons which
had taken place prior to make that choice (A1-Weqaiyan, 2005).
Presently, a major trend in Malaysia is that more people are eating meals
outside their homes and fast food restaurants are benefiting from this apparent trend.
However, there are limited attentions or study within the hospitality and food
services studies on consumer behaviour in connection to fast food (Gagozzi et aI.,
2000; lee&. lee, 2000).
1.2 ResearchProbiem
It Is important for fast food restaurant sectors to know what the customers want and
what makes them come back agaJn. Restaurateurs are wonying about customers'
expectations (Ner the following years (Dailey, 1998). The high rate of failure in the
food·servlce Industry suggests that the management may wish to seek attributes that
are responsible for customers' return business because customers have their own
reasons to want to retum to any restaurant (Soriano, 2001). ,fast
5 UNIVEASITI MALAYSIA SABAH
"'"
customers are constantly seeking quality, value and desirable environment away
from the pressureS of daily life (SorianO, 2001). In order to gain cOmpetitive
advantage in today's market, fast food restaurants are striving to offer good food,
good service and gOod value in a favourable ambience. Identifying the key factors
affecting consumer choice helps manager to (Bolton et al, 2000):
1. differentiate their brands on customer-valued dimensions,
2. create brand loyalty using a more targeted approach to manage marketing
resources,
3. Increase brand equity
Research on understanding the underlying Intentions to revisit fast food
restaurant is relativelY limited. Due to tt'le fact that most growth in fast-food market
is gained from expansion to International markets, validity and generalizablllty of
western Oriented findings are seriously questioned In the abSence of empirical
investigation. It could be argued that fast food restaurant operators continued to be
hampered by both the lack of appropriate customer feedback and problems related
to the content validity of guest comment cards, I.e. they measure post-dlnlng
perteptions only (Kivela et aI., 1999a). This research was dOne to bridge this
research gap to identify the relationship between fast food restaurant's attributes and
the intention to reviSit fast foOd restaurant among the Kota Kinabalu consumers.
Probability of repurchasing largely depends on prior experience (Cadotte et al, 1987).
In this researth, the data cOllected was largely based on prior experience Of dining In
fast food restaurant. This study also explored how age and monthly income of an
individual influenced the customer's intention to revisit fast food restaurant.
This research questions were as follow:
1. Which fast fOOd restaurant's attributes (variety of food, food taste and quality,
ambience and hygiene, service speed, price and location) has significant
influence on customer's intention to revisit fast food restaurant?
2. How age and monthfy Income can moderately influences the fast food
restaurant's attributes with customer's Intention to revisit fast food restaurant.
1.3 Research Objectives
The purpose of this research was to offer knowledge of fast food restaurants
attributes in influencing the Intention to revisit fast food restaurant. This research
also covered the element of moderating factors which were age and monthly income
which impact to influence the customers' intention to revisit fast food restaurant.
The objectives of this study were as follows:
1. To Identify which fast food restaurant's attributes namely variety of food, food
taste and quality, ambience and hygiene, service speed, price and location
are likely to Influence the intention to revisit fast food restaurant.
2. To determine the moderating Influence of age and monthly Income on the
relationship between the fast food restaurant's attributes and customer's
intention to revisit fast food restaurant.
1.4 Scope of Study
This study looked into the customers' intention to revisit fast food restaurant within
the Kota Kinabalu vicinity. Fast food restaurants with burger as their main selling
menu were chosen, which were~
1. 4 branches of McDonald's (Centre Point, Api-Api Plaza, Karamunsing and Shell
Jalan Sulaman)
2. 3 branches of Burger King (Centre Point, Damal and Kota Klnabalu).
The customers that were the subject of Interest In this research Included the
locals from all types of races and background whom were either existing or walk-In
customers of particurar fast food restaurants whom were experiencing the product,
Service and fiK:llities provided by the fast: foOd restaurantS.
1.5 Significance of Study
By determining the attributes that influenced the intention to revisit fast food
restaurant among the Kota Kinabalu local residents, this study provided:
1. A clear understanding of the relationship between fast food restaurant's
attributes and Intention to revisit fast food restaurant, moderated by age and
monthly income.
2. Information to the management on the importance of fast food restaurants'
attributes which influence their customers' Intention to revisit the fast food
restaurant.
3. A guideline and room for Improvement for the fast food restaurants to
enhance their attributes offering to create brand loyalty using a more
targeted approach to manage marketing resources.
1.6 Key Concepts
The following terms were further clarified to avoid confusion on its meaning in the
context of this study.
1.6.1 Fast Food
Fast food is defined as limited menu of foods that lend themselves to production-line
techniques; suppliers tend to specialize in products such as burgers, pizzas, chicken
or sandwiches (Bender & Bender, 1995).
1.6.2 AtbibutBs of Fast Food Restaurants
As conceptualized by Goyal & Singh (2007), fast food restaurants' attributes were
categorized Into six major attribute groups that might Influence the intention to
revisit fast food restaurant among the consumers. The definitions of the attributes
were as follow:
~UMS ~....-::
UNIVERSITI MALAYSIA SABAH
No. Attributes DefInitions
1 Variety of food - Different types of foods (Woodford & Jackson, 2003).
2 Food taste and - How good or bad is the particular flavour of food and its
quality nutritional value (Goyal & Singh, 2007).
3 Ambience and - 'Package environment' that create or reinforce leanings
hygiene toward product purchase and the degree to which people
keep themselves or their surroundings clean (Kotler et aI.,
2006).
4 Service speed - How fast any act or performance that one party can offer
to another that is essentially Intangible and does not
result in the ownership of anything (Kotler et al, 2006).
S Price - The amount of money for which something is sold
(Woodford & Jackson, 2003).
6 Location - The place or position (Woodford & Jackson, 2003).
1.6.3 Age
Age is defined as the period of time someone has been alive (Woodford & Jackson,
2003).
1.6.4 Monthly Income
Amount of money earned from doing work or received from investments every
month (Woodford & Jackson, 2003).
1.6.5 Intention to Revisit Fast Food Restaurant
Want and plan to go to fast food restaurant again (Woodford & Jackson, 2003).
1.7 Summary and Organization of Study
The fast food restaurant's atbibutes were adopted from Goyal & Singh (2007) to
Identify the relationship between the attributes and Intentlll ta reyr 5 ~ UNIVEASITI MALAYSIA SABAH
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A1manza, 8. A., Jaffe, W. -& Un, L C. 1994. Use of the service attributes matrix to measure consumer satisfaction. HospitiJlity Research Joumal. 17(2):73-75.
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