Final Thesis

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STRUCTURAL EQUATION MODELS OF SERVICE QUALITY, CUSTOMER SATISFACTION, AND BEHAVIORAL INTENTION IN SMALL AND MEDIUM CONSTRUCTION PROJECTS IN THAILAND

by

Thanawat Phangchunun

A thesis submitted in partial fulfillment of the requirements for the degree of Master of Engineering in Construction, Engineering and Infrastructure Management

Examination Committee:

Dr. Bonaventura H.W. Hadikusumo (Chairperson) Dr. Chotchai Charoenngam Dr. Sununta Siengthai

Nationality: Previous Degree:

Thai Bachelor of Engineering in Civil Engineering Sirindhorn International Institute of Technology Thailand

Scholarship Donor:

Royal Thai Government Fellowship

Asian Institute of Technology School of Engineering and Technology Thailand May 2012

i

ACKNOWLEDEMENT

The author wishes to express my appreciation of gratitude to my adviser, Dr. Bonaventura Hadikusumo for his enthusiastic guidance, valuable suggestion, friendly discussions and persistent supervisor. Without his patience and supreme supervision, this research could not be fully completed. The author is also indebted to my examination committee: Associate Prof. Chotchai Charoenngam and Dr. Sununta Siengthai who devoted immeasurable of time for precious advice and comments that shaped up my idea into new perspective. A lot of thanks are also due to SIIT’s friends for their helping, which is greatly acknowledged for everything in this research as well as all the people who cooperated with me and spend their time for answering the questionnaire during research survey. This research would not be success without those people supports. Special thanks to all classmates in AIT for helping all the time and experience that we shared together being such good friends. Our experience and friendship always remind me from now on. Last but not least, the author gratefully acknowledges the continuing patience, understanding, and vital sacrifices of our beloved father and mother who always love, support, encourage, and guideline to me.

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ABSTRACT

The research focuses on structural equation models of service quality, customer satisfaction, and behavioral intentions in small and medium construction projects in Thailand. The main objective is to recommend service provider (considered as contractor) how to improve service quality in order to achieve higher customer satisfaction and behavioral intentions such a word-of-mouth recommendation, repurchase intention, and willingness to pay more. The design for this research is quantitative approach. At initial stage, the measurement items of service quality in small and medium construction project are developed from SERVQUAL and verified by experts who are familiar in construction business with owner perspective. Twenty-three measurement items were remained in order to assess service quality. The questionnaire was developed based on these items. A total of one hundred and thirty-nine respondents completed the questionnaire. Then, exploratory factor analysis (EFA) used to assess validity and reliability construct. Confirm factor analysis (CFA) is used to explain the relationship between service quality, customer satisfaction, and behavioral intentions. The findings presented that there are four dimensions of service quality construct in small and medium construction projects in Thailand which are Reliability, Responsiveness, Assurance, and Tangibles. Further results indicate that the direct effect of service quality on behavioral intentions is not significant. However, its indirect effect seems to be stronger driver for behavioral intentions as customer satisfaction acting a mediating role. Contractor in small and medium construction projects are recommended to focus on dominant of service quality dimensions in order to improve customer satisfaction and acquire positive behavioral intentions.

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TABLE OF CONTENTS

CHAPTER

TITLE Title Page Acknowledgements Abstact Table of Contents Lists of Figures Lists of Tables...
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