THE IMPACT OF CANTEEN ATTRIBUTES ON CUSTOMER SATISFACTION IN NORTH

EASTERN MINDANAO STATE UNIVERSITY

BACKGROUND OF THE STUDY:

The welfare of students in terms of food intake is very important their lives. Some students are
not eating their breakfast because they are lack of time to eat. Taking unhealthy foods and
drinks are the main risk factors that contribute to undernourished customer in NEMSU lianga
campus. It is one big problem that the students facing today with the perception of either food
intake as a source of nutrients or ailments. In an academic institution the canteen is the main
source of meals for learners and workers inside the campus. It is responsible for the healthy
eating behaviors’ among students. On the other hand, it is expected that the food choices of
the students could make a significant contribution to their health. Currently most school
canteen faced common problems with students eating habits. In order to achieve customers
needs and wants ( La Barbera and Mazursky, 1983).Customer (Kotler, 2000). Whereas
customers wants, according to kotler (2000) refer to “The form taken by human needs as they
are shaped by culture and individual personality”. In particular, the kind of food to be sold,
expensive food items small space, lack of kitchen facilities , and hygiene are just a few concerns
of the students in NEMSU Lianga Campus.

The significance of this study is to determine different food services attributes that have an
impact on costumers overall satisfaction of a university of Lianga Campus canteen. The majority
of existing research on university food services has focused either on student satisfactions with
product, service and service environment or on the nutritional intake of students consuming on
campus food and their health implications.

According to Aquino, Correa, and Ani (2014), they state that one of the basic needs of man is to
provide the health requirements of a person in order to live. The availability of food on plate of
every Filipino is among the main concerns of the government in achieving food security. The
Philippines has a number of policies being implemented that recognize the pivotal role of
improving food production and supply to meet the ever-growing food demand. However, more
that achieving availability and sufficiency of supply, food product is facilitated. Shamrao et al,
(2016) , as the students attitude towards education has changing , colleges and their canteens
must provide healthy and quality food to students. If the students are satisfied with quality,
variety, and environment of the canteens then they will not to go anywhere out the college
premise to get their food. Ultimately canteens requires that students want to a quality food ,
environment and are willing to “pay” for it, possibly through higher priced foods, until this
occurs it will be difficult for canteens to get benefits.
Therefore, building on previous research the evaluation of university food services became
essential. No previously published study investigated the quality of food service in Lianga
Campus University and its effects on customer satisfaction living a gap in the body of
knowledge of customers opinion and behaviors’ of the on-campus food service in Lianga. This
study will aim to determine the relationship between canteen services quality and students
satisfaction of NEMSU. Also this research finds to determine the significant impact of canteen
service quality on student satisfaction. In addition, the researchers want to understand how
service quality works in an organization in the developing university.

1.1 Research Objectives

This study will aim to determine the relationship between the canteen attributes on
customers satisfaction in North Eastern Mindanao State University of Lianga , Surigao del
sur. Specifically, this study targeted the following:

1. Identify the level of service quality provided by the School Canteen of NEMSU, Lianga
Campus in terms of;

1.1 Tangibility
1.2 Assurance
1.3 Reliability
1.4 Responsiveness
1.5 Empathy

2. Determine the level of Student satisfaction in the School Canteen of NEMSU, Lianga
Campus.

3. Assess the significant relationship between the domains of canteen service quality do
significant influence on Student satisfaction of NEMSU, Lianga Campus.

1.2. Hypothesis

Ho 1. There is no significant relationship between the domains of canteen service

quality, and student satisfaction at the NEMSU, Lianga Campus canteen.
Ho 2. The domains of canteen service quality do not significantly influence on student
satisfaction at the NEMSU, Lianga Campus canteen.

1.3. Theoretical and conceptual framework

This study was founded on the American theoretical perspective developed by

Parasuraman, Zeithmal, and Berry [42], as well as the SERVQUAL scale for measuring service
quality developed by Chanaka, Wijeratne, and Achchuthan [8]. The concept of service
quality has focused on three issues: what is service quality, what causes service quality
problems, and what service organizations can do to improve quality. Lai [32], on the other
hand, emphasized that the SERVQUAL model provides a theoretical foundation for
investigating the relationship between service quality and customer satisfaction, and that
expectations play an important role in customer satisfaction. According to Jones, Taylor,
Becherer, and Halstead [24], "when expectations are met or exceeded, customers report
higher levels of satisfaction”. There have been numerous previous studies that have
investigated the concept of satisfaction on service setting. Customer satisfaction can be
assessed based on customer’s satisfaction attitude on various attributes of the product or
service. Customer satisfaction is affected by a number of factors, including perceived service
quality, customer mood, emotions, social interactions, and other experience-specific
subjective factors. Furthermore, Parasuraman et al. [41] developed a service quality is
influenced by individual gaps that occur in organizations. They did, however, list
determinants of service quality that can be generated for any type of service. The ten
dimensions include tangibility, reliability, responsiveness, competence, access, courtesy,
communication, credibility, security and understanding. In addition, these ten dimensions
were ten regrouped in the well-known five dimensions in the SERVQUAL model which
include tangibility, assurance, reliability, responsiveness, and empathy. These five
dimensions are defined as follows: tangibility refers to those physical facilities, equipment,
and appearance of personnel; assurance which refers to knowledge and courtesy of
employees and their ability to convey trust and confidence; reliability as the ability to
perform the promise service dependably and accurately; responsiveness as the willingness
to help customers and to provide prompt service; and empathy which refers to caring,
individualized attention the firm provides its customers. Presented in Figure 1 is the
conceptual framework of study where the independent variable is the canteen service
quality with the indicators namely: tangibility, assurance, reliability, responsiveness, and
empathy. The dependent variable is the student satisfaction which includes food, services,
and cleanliness which is based on the provided services of the school canteen of NEMSU-
Lianga.
 INDEPENDENT VARIABLE DEPENDENT VARIABLES

Student Satisfaction
Canteen service quality
 FOOD
 Tangibility
 SERVICES
 Assurance
 CLEANLINESS
 Reliability
 Responsiveness
 Empathy

Figure 1. The Conceptual Framework Showing the Variables of the Study.

1.4 Scope & Delimitation of the study

The researchers will be conducted among student in NEMSU, Lianga Campus about the canteen
attributes service quality and their satisfaction. The respondents were only taken from the
school population in which perfectly random sampling, S.Y. 2023-2024, which does not
represent the entire student population of the said school. Hence, the result may not truly
represent the reality in the school canteen as perceived by the entire population of the said
school.

1.5 Significance of the study

This study is conducted to determine the significant relationship between the levels of service
quality and student satisfaction in the school canteen of NEMSU, Lianga Campus. The results of
the study will be beneficial to the following:

Students: This study would be beneficial to students for them to understand the realities about
the canteen operations and the basic services that are expected to be provided by the campus.

School Administrators: The findings could help shape policy and improve the canteen services
provided to NEMSU students at the Lianga Campus. This may assist the campus director in
providing assistance in the provision of canteen facilities as part of the campus improvement
plan.

Future Researcher: This may serve as basis for those research enthusiasts to conduct further
inquiry regarding canteen service quality and student satisfaction.

1.6 Definition of terms

Canteen Service quality: This refers to the basic services provided by the school canteen that
attributes to NEMSU, Lianga , as perceived by the random sampling . This does not represent
the entire population of the said school. According to Corporate Dynamics (@CorpDyn) chimed
in by suggesting that customer’s service is a “selfless to fulfill the needs of your Consumer and
Community”. The Phrase “selfless desire” is interesting. Customer’s service is all about the
customer.

Student satisfaction: This refers to the degree of satisfaction perceived by the school canteen
of NEMSU, Lianga. Elliott&Shin (11) defined students satisfaction as the favorability of a
student’s subjective evaluation of the various outcomes and experiences associated with
education. In this study, the student satisfaction means customers satisfaction because
students are considered customers of school canteen.
Chapter 2. Review of Related Literature

This part deliberately presented the different views of authors, findings from previous studies,
and varied ideas from research writers regarding canteen service quality and student
satisfaction. The readings were carefully chosen as to its significant contribution to the purpose
of the study. Also, the shared views enriched the discussion of this study and gave the
researcher a wider understanding and perceptions about this present inquiry.

Canteen Service Quality

The concept of quality is difficult to define because quality means different things to different
people. The way one customer will experience a product or service is not the same way another
will experience it. Quality can be categorized in terms of various perspectives like judgment,
product, user, value or manufacturing perspective [12]. With the judgment perspective, the
quality of the quality of a product cannot be defined but one can recognize it one he sees it.
The user perspective is about how the needs of a customer are met. Kasper, Helsdingen, and
Gabbott [27] view there are five service characteristics that determine how service quality is
achieved. The first is the inability to own the service the way one would own a product. Quality
assessment can only be made after the service has been purchased. The second characteristic is
the intangibility of services that make it impossible to assess what is being offered and the
quality of what has been delivered. The third characteristic of service delivery is the
inseparability of the service from the people involved in its production and consumption. The
customer is the participant in the process and thereof this has an effect on the output received
if the customer is not cooperative lower quality may be achieved. The fourth characteristic of
services is heterogeneity or variance of the service from the time to time. This means that
sometimes the service is good while at other times it may be poor. Perishability is fifth
characteristic of the service delivery that affects service quality. If it not managed well it may
mean long waiting lines or no people in the queue at all which the customer interprets as low
quality. In addition, a service in an activity which has some element of intangibility associated
with it which involves some interaction with customers or with property in their possession,
and does not result in transfer of ownership. A change in condition may occur and production
of the service may or may not be closely associated with a physical product. In simple terms
services are deeds, processes, and performances [55]. In the study of Jun, Yang, and Kim [25],
they identified the key underlying dimensions of online retailing service quality as perceived by
online customers. The findings showed that the access dimension had a significant effect on
overall service quality but not on satisfaction it was concluded that a significantly positive
relationship between overall service quality and satisfaction. Furthermore, Tsiotsou [48]
investigated the effect of various perceived quality levels on product involvement, overall
satisfaction and purchase intentions. The findings of the study are perceived perceptions of
product quality were significantly related to all the variables under investigations. Finally
concluded perceived quality explained more of the variance in overall satisfaction than in
product involvement and purchase intentions. Another study conducted by Kyoon yoo and Ah
Park [30] about determining the relationship among employees perceived service quality,
customers and financial performance. The findings of the study revealed that employee training
has an influence on perceived service quality. They concluded that management may keep the
consistency and reliability of perceived service quality by increasing the capability of employee
through training and a shared understanding.

Tangibility.

This determinant related to the appeal of facilities, equipment and material used by a service
firm as well as to the appearance of service employees [16]. Besides, representing the service
physically tangibles are the appearance of physical facilities, equipment’s, personnel, and
communication materials. Tangibles provide physical representation or image of the service
that customers, particularly new customers, will use to evaluate quality [17].

Assurance.

This means that staff’s behavior will gave customers confidence in the school canteen and that
the canteen makes customers feel safe. It also means that employees are always courteous and
have the necessary knowledge to respond the customer’s questions [16]. This is especially
critical where trust and confidence in the service provider are crucial. The assurance perceived
by customers is an important dimension of service quality in any industry but even more so in
the health care industry where customers associate quality with perceptions of human factors
[4]. On the other hand, Dehbidi, Salimifard,& Abdollahzadeh [9] investigated an innovative
study that focuses on the quality of dimensions which is more attracted by customers. The
obtained results from this research showed that courtesy and politeness dimension existed
among staff and customers had the highest score which indicates the importance of this
dimension from the staff and customers viewpoint. The lowest score belonged to tangible
requirements that both groups of participants had the same opinion.

Realibilty.

This means that the service firm provides its customers with accurate service the first time
without making any mistakes and delivers what it has promised to do by the time that has been
agreed upon [16]. Likewise, it is defined as be fundamentally concerned with issues of
consistency of measures [6]. Moreover, it is the ability to deliver expected standard at all time,
how the organization handle customer services problem, performing right services for the first
time, providing services within promised time and maintaining error free record. Reliability
consists of accurate order of fulfillment, accurate record, accurate quote, accurate billing, and
accurate calculation of commissions which keep the service promising to the customer [54].
Additionally, it is also defined as the ability to perform the promised service dependably and
accurately. “In its broadest sense, reliability means that the company delivers on its promises-
promises about delivery, service provision, problem resolution, and pricing”. Customers need to
do business with companies that keep their promises. Of the five dimensions, reliability has
been consistently shown to be the most important determinant of perception of service quality
gap [17].

Responsiveness.

This means that the employees of a service firm are willing to help customers and responds to
their requests a well as to in-form customers when service will be provided, and then the
prompt service [16]. Besides, it refers to the willingness to help customers and provide prompt
service. “This dimension is concerned with dealing with the customer’s request, questions and
complaints promptly and attentively. A firm is known to be responsive when it communicates
to its customers how long it would take to get answers or have their problems dealt with. To be
successful, companies need to look at responsiveness from the view point of the customer
rather than the company’s perspective [17].

Empathy.

This means that the school or firm understands customers’ problems and performs in their best
interests as well as well as giving customers individual personal attention and having
convenient operating hour [16]. Also, it means carrying individual attention to customers
including the features of sensitivity, approachability and understanding customers’ needs. The
aspects of empathy, which could bring about higher levels of customer satisfaction, are
providing personalized care and concern, the ability to anticipate a customer’s need and make
him or her feel special [19]. Furthermore, treating customers as individuals’ individualized
attention that the firm provides its customers, the essence of empathy is conveying, through
personalized or customized service, that customers are unique and special and that their needs
are understood. Customers want to feel understood by and important to firms that provide
service to them [17].

Student Satisfaction.

Elliott & Shin [11] define student satisfaction as the favorability of a student’s subjective
evaluation of the various outcomes and experiences associated with education”. While most
student satisfaction study focus on the perspective of customer, researchers is facing a problem
of creating a standard definition of student satisfaction thus providing a need of customer
satisfaction theory to be selected and modified so that it can explain the meaning of student
satisfaction [21]. Even though it is risky to view students as customer, but given the correct
atmosphere of higher education marketplace, there is new moral prerogative that student have
become “customer” and therefore can, as fee payers, reasonably demand that their views be
heard and acted upon [50]. Elliott & Healy [10] define student satisfaction as short-term
attitude resulting from an evaluation of a student’s educational experience. There is not much
difference between the two terms because of the students is just another kind of customer
who is the consumer of the education service and therefore most of the literature on service
marketing will apply. Customer satisfaction, as noted by Jashireh, Slambolchi, and Mobarakadi
[23], is a customer’s perspective based on expectation and then subsequent post purchase
experience”. In other words, it is an evaluation of products or services quality level that meets
or exceeds the customer satisfaction. Satisfaction as a term means the feeling an individual gets
when his\her wishes, expectations or needs are fulfilled, and the pleasant feeling that follows
from it. As satisfaction is a feeling, it resides in the user’s mind and differs from other
observable behaviors, such as complaining, product choice and purchasing [20]. Satisfaction
and dissatisfaction are two ends of a continuum, where the location is defined by a comparison
between expectations and outcome. Customers would be satisfied if the outcome of the service
meets expectations. When the service quality exceeds the expectations, the service provider
has won a delighted customer. Dissatisfaction will occur when the perceived overall service
quality does not meet expectations [50]. Mauri and Minazzi [36] highlighted that customer
satisfaction is the result of comparison between customer’s expectations and customer
perceptions. In other words, customer satisfaction is seen as the deference between excepted
quality of service and customers experience of perceptions after receiving the service. If the
atmosphere of the restaurant does not comfort the customers and they do not return for
another dining experience, the staff has not created a service that satisfies the service
emotional, psychological and cognitive needs of the customers [34]. In line with this, Xu,
Geodegebuure, and Van der Heijden [53] also states that the increasing demand of restaurants
have led restaurants owners to believe that the environment and ambiance of their restaurant
have to be compelling enough in order to retain customers for more visits. Price is a value or
reward provided in exchange for need satisfaction to the organization. Price and perceived
consumer want should be compatible. It is not easy to decide pricing for a product or service
because of the core values of the available goods are used to evaluate price which is crucial for
consumer satisfaction because the price is the most prominent factor to help customer
estimate the good or service value. Price also determines, for a customer, to decide on a
purchase or not [38]. The role of price on a quality is not very clear. Normally, however, the
price of a service can be viewed in relation to the quality expectations customers or their
previously perceived service quality. If the price of a service is considered too high, customers
will not buy. Price also has an impact on expectations. But in some situations, price seems to be
a quality criterion. A higher price level equals a better quality in the minds of the customers,
especially when the service is highly intangible. In many cases professional service are examples
of such service [16]. Ambiance of criteria plays a big part in customer satisfaction. This element
is about comfortable seating arrangement that leave enough space for customer to move, or
high quality design of the space and building, and also the suitable music [39]. Besides that, the
packaging of food, size and design of plate as well as lighting of the cafeteria will directly affect
the individual’s perceptions [46]. Purdue University conducted a research and they found out
its recent Fred and Mary Ford cafeteria, which provided customer with a modern café
ambiance and variety of food attracted more students to patronize their dining court. Place
with nice ambiance which decorated with high-end furniture and good choice of colors is the
main factor that will build customer loyalty and getting students to come back time and time
again to the dining place [13]. According to Kursunluoglu [31] customer service are intangible or
tangible value increasing activities which are related with products or service indirectly directly
to meet customer expectations and then to provide customer satisfaction and loyalty. Research
shows that 68% of all customers do not return to repeat business of an attitude of indifference
on behalf of the employee serving those [22]. Retailers must provide excellent customer
services to customer for enable to meet customers’ expectation. It has been shown by
empirical studies that the key difference between customer satisfaction and service quality is
that satisfaction reflects customers’ experiences with that service, while quality relates to
managerial delivery of the service. The level of a service quality can be determined based on
the amount that paid for the service [45]. According to Klassen et al [29] purchase decision that
made by students will consider about the price. The good value of price, portion size,
reasonable price and overall value of dining is categorized into price. When perceived price is
low, the perceived satisfied will be low. Food quality is a quality characteristic of food and then
customers can be acceptable [37]. Food quality is very close and the impact of customer
satisfaction that can be measured cafeteria service level by students’ satisfaction. The food
quality has two factors include external factors and internal factors. External factor is major
appearance, size or color, texture and flavor and internal factors will major focus to nutrition,
chemical and physical. That the factors are most important to influence consumer select the
food and evaluate food quality. The degree of satisfying university cafeteria depends mostly on
the quality of meals, diversity of food, food hygiene and environment [28]. Overall quality of
the food, taste of food, freshness of the food and eye appeal of the food are classified for food
quality dimension [40].