Factors Influencing Service Quality in Restaurant Business: A Case of SME Bank Cafeteria

Abstract

Many restaurant businesses have faced demise due to stiff competition. Competition is more aggressive due to the emerging of on-line food services and the changing food preferences among consumers. Due to the increasing competition, ‘survival of the fittest’ will be those who could understand the factors that may influence customers’ satisfaction. Therefore, this study explores what is deemed important by customers in restaurant service. Restaurant service quality are food quality, price, and physical environment. To conduct the research, a survey in the form of online questionnaire was distributed to the resident in hostel SME Bank. A total of 100 respondents which from both genders and from different races participated in this study. The key dimensions of food quality, price, physical environment, and customer satisfaction were identified through literature. From the result of the data, it shows that the food quality is the most important factor which impacts on customer’s satisfactions. However, the physical environment is not significant variable of customers satisfaction. Cafeteria owner of SME Bank Cafeteria should pay more attention on food quality and price adjustment to improve the customer satisfaction. Findings from this research provide a useful suggestion in the area of customer satisfaction with the specific interest in restaurant business.