The Influence of Total Quality Management Practices on Customer Satisfaction and Loyalty in Fast Food Companies: A Case Study of Starbucks

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Title: The Influence of Total Quality Management Practices on Customer Satisfaction and Loyalty in Fast Food Companies: A Case Study of Starbucks

Author: Wang Danning

Advisor: Dr. Zhang Li

Degree: Master of Business Administration

Major: International Business Management

Faculty: บัณฑิตวิทยาลัย (Graduate School)

Academic year: 2566 (2023)

Published: 2nd National and International Academic Conference on Innovation and Management for Sustainable 15-16 December 2020 (pp.128-136)  Click     PDF 


Abstract

In recent years, the fast-food industry has witnessed significant growth and competition, especially in Chinese market, where consumer preferences are rapidly evolving. Companies like Starbucks have been at the forefront of implementing Total Quality Management (TQM) practices, which have significantly influenced their customer retention strategies. Limited research in this domain of focus has led to customer loss and low loyalty in the sector. The objectives of this study were: 1) To analyze the existing Total Quality Management practices at Starbucks and their impact on customer retention, 2) To develop and propose comprehensive Total Quality Management strategies tailored for fast-food companies, drawing lessons from the Starbucks case study. In line with these objectives, this research exclusively utilized the quantitative approach, with the primary data collection method of a questionnaire survey. The sample size was 500 respondents, which is considered sufficient for generalizing the findings to the broader population with a confidence level of 95% and a margin of error of 5%. The analysis involved statistical techniques, including correlation and regression analyses, to investigate the relationship between the TQM practices and customer retention. The findings are as follows: 1) the analysis of Starbucks’ TQM practices demonstrated a significant positive impact on customer retention, validating the Alternative Hypothesis (HA) and negating the Null Hypothesis (H0), and 2) the correlation and regression analyses confirmed that higher quality products, efficient service, and responsive and engaged employees are key factors contributing to customer loyalty in the fast-food industry. In conclusion, the research problem was effectively addressed through achieving the set objectives. The study’s outcomes not only contribute to the academic understanding of the TQM’s role in customer retention but also provide practical guidelines for fast-food companies seeking to improve their customer retention rates. The study reveals that the Total Quality Management (TQM) practices at Starbucks significantly enhance customer retention, highlighting the importance of product quality, service efficiency, and employee engagement in the fast-food industry. It provides actionable TQM strategies for fast-food companies, emphasizing the integration of quality products, responsive service, and continuous innovation, thereby offering a blueprint for bolstering customer loyalty and competitive advantage.

Keywords: total quality management, customer retention, fast-food industry


The Influence of Total Quality Management Practices on Customer Satisfaction and Loyalty in Fast Food Companies: A Case Study of Starbucks

6217195417 Wang Danning 2566 (2023) The Influence of Total Quality Management Practices on Customer Satisfaction and Loyalty in Fast Food Companies: A Case Study of Starbucks สารนิพนธ์ (Independent Study), Advisor: Dr. Zhang Li, ปริญญาโท (Master’s Degree), บัณฑิตวิทยาลัย (Graduate School), Master of Business Administration, International Business Management, Bangkok: Siam University

Academic Year 2023, Graduate School 2023, IMBA, IMBA 2023, Independent Study, Independent Study 2023, Master of Business Administration, Master of Business Administration (International Program) 2023, Master of Business Administration 2023, ปริญญาโท (Master’s Degree), บัณฑิตวิทยาลัย (Graduate School), Master of Business Administration,International Business Management

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