The Effect of Technical and Functional Quality on Guests’ Perceived Hotel Service Quality and Satisfaction: A SEM-PLS Analysis

Abstract

Numerous models on perceived service quality are discussed in literature besides SERVQUAL including technical and functional quality model. Functional quality attributes have been well studied but studies about technical quality attributes are rather limited. This article aims to integrate existing frameworks and propose antecedents towards perceived service quality and resulting customer satisfaction. A total of 204 questionnaires were collected from the guests staying at hotels in Malaysia. Partial least squares (PLS-SEM) method was employed to test the proposed relationships. Findings from the study support the significant relationship between functional quality, technical quality, overall perceived service quality and guest satisfaction. Furthermore, the first order constructs on the designated second order constructs support that both functional quality and technical quality as second order reflective constructs with five and three first order dimensions respectively. Practical implications and limitations of the study are discussed in detail.