CONSUMER PREFERENCES: PRICE AND SERVICE QUALITY: AIRLINE INDUSTRY
DOI:
https://doi.org/10.61841/jy01qa79Keywords:
Air Industry, Comparison, Consumer References, MalaysiaAbstract
Consumers have different types of preferences, which are directly affected by price and service quality. In this research study, it is discovered on how consumer preferences in the airline industry can be affected by the two variables mentioned and how they can contribute to the levels of consumer satisfaction. Focus has been given to consumers who have experienced MAS and/or Air Asia airlines. Hence, comparison can be made based on the consumers’ reaction towards the price and service quality of both Malaysia Airlines System (MAS), and AirAsia. These tools include descriptive analysis, one independent t-test and Chi Square test. In conclusion, after working on this research, the results show that there is significant relationship between price and service quality in the airline industry that contributes in influencing consumer decision making.
Downloads
References
[1] Adler, N., & Smilowitz, K. (2007). Hub-and-spoke network alliances and mergers: Price-location competition in the airline industry. Transportation Research Part B: Methodological, 41(4), 394-409.
[2] Akmal, S. S. (2014). The analysis of service quality and price on customer satisfaction and loyalty of lufthansa german airline indonesia passangers. President University.
[3] Borenstein, S., & Rose, N. L. (1994). Competition and price dispersion in the US airline industry. Journal of Political Economy, 102(4), 653-683.
[4] Brueckner, J. K., & Spiller, P. T. (1994). Economies of traffic density in the deregulated airline industry. The Journal of Law and Economics, 37(2), 379-415.
[5] Ciliberto, F., & Schenone, C. (2012). Bankruptcy and product-market competition: Evidence from the airline industry. International Journal of Industrial Organization, 30(6), 564-577.
[6] Dai, M., Liu, Q., & Serfes, K. (2014). Is the effect of competition on price dispersion nonmonotonic? Evidence from the US airline industry. Review of Economics and Statistics, 96(1), 161-170.
[7] Deepa, T., Kumar, M. M., & Ganesh, H. J. (2018). Service Quality and Passengers Satisfaction Of Airline Services.
International Journal Of Management and Social Sciences, 8(1.3), 180-182.
[8] Fischer, T., & Kamerschen, D. R. (2003). Measuring competition in the US airline industry using the Rosse-Panzar test and cross-sectional regression analyses. Journal of Applied Economics, 6(1), 73-93.
[9] Gerardi, K. S., & Shapiro, A. H. (2009). Does competition reduce price dispersion? New evidence from the airline industry. Journal of Political Economy, 117(1), 1-37.
[10] Gimeno, J. (1999). Reciprocal threats in multimarket rivalry: Staking out ‘spheres of influence’in the US airline industry. Strategic Management Journal, 20(2), 101-128.
[11] Goetz, A. R. (2002). Deregulation, competition, and antitrust implications in the US airline industry. Journal of Transport Geography, 10(1), 1-19.
[12] Graham, D. R., Kaplan, D. P., & Sibley, D. S. (1983). Efficiency and competition in the airline industry. The Bell Journal of Economics, 118-138.
[13] Lane, S. (1974). The Hazardous Noise Exposure to Which Airline Passengers are Subjected. The Journal of the Acoustical Society of America, 55(2), 465-465.
[14] Lategola, M., Melton, C., & Higgins, E. (1980). Pulmonary and symptom threshold effects of ozone in airline passenger and cockpit crew surrogates. Aviation, space, and environmental medicine, 51(9 Pt 1), 878-884.
[15] Mazzeo, M. J. (2003). Competition and service quality in the US airline industry. Review of industrial Organization, 22(4), 275-296.
[16] Ng, C. K., & Seabright, P. (2001). Competition, privatisation and productive efficiency: Evidence from the airline industry. The Economic Journal, 111(473), 591-619.
[17] Peetawan, W. (2016). Determination of Passanger Load Factor: The Case of Thai Airlines. Retrieved from
[18] Prabowo, F. H. E., Rachmawulan, D. L., & Taufik, N. (2019). Decreasing Satisfaction of Urban Transport Passangers. E-Mabis: Jurnal Ekonomi Manajemen dan Bisnis, 20(2), 141-148.
[19] Sak, F. S., Atalik, O., & Uygucgil, H. (2016). A Geographical Information Systems-Based Analysis of the Profile and Preferences Of German Airline Passangers. Journal of Management Marketing and Logistics, 3(4), 329-345.
[20] Torlak, G., Sevkli, M., Sanal, M., & Zaim, S. (2011). Analyzing business competition by using fuzzy TOPSIS method: An example of Turkish domestic airline industry. Expert Systems with Applications, 38(4), 3396-3406.
[21] Ward, R. I. (1992). Domestic hub airfares: An Analysis of domestic US passanger airline fares from the consumer's perspective.
[22] De Silva A.D.A., Khatibi A., Azam S.M.F. (2018a). Can parental involvement mitigate swing away from science?
Sri Lankan perspectives, Cogent Education
[23] De Silva A.D.A., Khatibi A., Azam, S. M. F. (2018b). Do the Demographic Differences Manifest in Motivation to Learn Science and Impact on Science Performance? Evidence from Sri Lanka, International Journal of Science and Mathematics Education
[24] Delafrooz N., Paim L.H., Khatibi A. (2009). Developing an instrument for measurement of attitude toward online shopping, European Journal of Social Sciences
[25] Dewi N.F., Azam, S. M. F., Yusoff S.K.M. (2019). Factors influencing the information quality of local government financial statement and financial accountability, Management Science Letters
[26] Doa N.H., Tham J., Khatibi A.A., Azam S.M.F. (2019). An empirical analysis of Cambodian behavior intention towards mobile payment. Management Science Letters
[27] Maghfuriyah A., Azam, S. M. F., Shukri S. (2019). Market structure and Islamic banking performance in Indonesia:
An error correction model, Management Science Letters
[28] Nguyen H.N., Tham J., Khatibi A., Azam S.M.F. (2019). Enhancing the capacity of tax authorities and its impact on transfer pricing activities of FDI enterprises in Ha Noi, Ho Chi Minh, Dong Nai, and Binh Duong province of Vietnam , Management Science Letters
[29] Nikhashemi S.R., Paim L., Haque A., Khatibi A., Tarofder A. K. (2013). Internet technology, Crm and customer loyalty: Customer retention and satisfaction perspective , Middle East Journal of Scientific Research
[30] Nikhashemi S.R., Valaei N., Tarofder A. K. (2017). Does Brand Personality and Perceived Product Quality Play a Major Role in Mobile Phone Consumers’ Switching Behaviour? Global Business Review
[31] Pambreni Y., Khatibi A., Azam, S. M. F., Tham J. (2019). The influence of total quality management toward organization performance, Management Science Letters
[32] Pathiratne S.U., Khatibi A., Md Johar M.G. (2018). CSFs for Six Sigma in service and manufacturing companies: an insight on literature, International Journal of Lean Six Sigma
[33] Rachmawati D., Shukri S., Azam, S. M. F., Khatibi A. (2019). Factors influencing customers’ purchase decision of residential property in Selangor, Malaysia , Management Science Letters
[34] Seneviratne K., Hamid J.A., Khatibi A., Azam F., Sudasinghe S. (2019). Multi-faceted professional development designs for science teachers' self-efficacy for inquiry-based teaching: A critical review, Universal Journal of Educational Research
[35] Sudari S.A., Tarofder A.K., Khatibi A., Tham J. (2019). Measuring the critical effect of marketing mix on customer loyalty through customer satisfaction in food and beverage products, Management Science Letters
[36] Tarofder A.K., Azam S.M.F., Jalal A. N. (2017). Operational or strategic benefits: Empirical investigation of internet adoption in supply chain management, Management Research Review
[37] Tarofder A.K., Haque A., Hashim N., Azam, S. M. F., Sherief S. R. (2019). Impact of ecological factors on nationwide supply chain performance, Ekoloji
[38] Tarofder A.K., Jawabri A., Haque A., Azam S.M.F., Sherief S.R. (2019). Competitive advantages through it- enabled supply chain management (SCM) context, Polish Journal of Management Studies
[39] Tarofder A.K., Nikhashemi S.R., Azam S. M. F., Selvantharan P., Haque A. (2016). The mediating influence of service failure explanation on customer repurchase intention through customers’ satisfaction, International Journal of Quality and Service Sciences
[40] Udriyah, Tham J., Azam, S. M. F. (2019). The effects of market orientation and innovation on competitive advantage and business performance of textile SMEs, Management Science Letters
[41] Ulfah R., Amril Jaharadak A., Khatibi A.A. (2019). Motivational factors influencing MSU accounting students to become a certified public accountant (CPA), Management Science Letters
Downloads
Published
Issue
Section
License

This work is licensed under a Creative Commons Attribution 4.0 International License.
You are free to:
- Share — copy and redistribute the material in any medium or format for any purpose, even commercially.
- Adapt — remix, transform, and build upon the material for any purpose, even commercially.
- The licensor cannot revoke these freedoms as long as you follow the license terms.
Under the following terms:
- Attribution — You must give appropriate credit , provide a link to the license, and indicate if changes were made . You may do so in any reasonable manner, but not in any way that suggests the licensor endorses you or your use.
- No additional restrictions — You may not apply legal terms or technological measures that legally restrict others from doing anything the license permits.
Notices:
You do not have to comply with the license for elements of the material in the public domain or where your use is permitted by an applicable exception or limitation .
No warranties are given. The license may not give you all of the permissions necessary for your intended use. For example, other rights such as publicity, privacy, or moral rights may limit how you use the material.
