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THE EFFECT OF CUSTOMER ORIENTATION ON PERFORMANCE OF RESTAURANT

                                                                              Abstract 
The fundamental tenet of marketing is that all of a firm’s activities should be directed toward ensuring customer satisfaction and creating mutually beneficial, long-term relationships with the market (Kotler, 1980). In other words, firms should and will benefit by providing customers with satisfactory services and products that contribute to long-term relationships. One way to  facilitate this tenet is customer orientation specifically, putting customers’ interests first (Saxe and Weitz, 1982). In this sense, a customer-oriented business culture is preferable for firms that seek success in the market (e.g., Houston, 1986 Parasuraman, 1987). ...



TABLE OF CONTENTS

Title page                                                                                         
Certification                                                                                               
Dedication                                                                                        
Acknowledgement                                                                                     
Abstract                                                                                           
Table of Content                                                                              
CHAPTER ONE:  INTRODUCTION
1.1     Background of the study                                                                           
1.2     Statement of the problem                                                                 
1.3     Objective of the Study  
1.4     Research Questions                                                                          
1.5     Research hypothesis                                                                        
1.6     Scope of the study                                                                  
1.7     Significance of the study                                                                  
1.8     Limitation of the Study                                                          
1.9     Definition of terms                                                                           
CHAPTER TWO:        LITERATURE REVIEW                                           
2.0     REVIEW OF THE RELATED LITETATURE
2.1. Customer Orientation
2.2   The Strategic Management Process For Restaurants
2.3   The Broad Environment For Restaurants Towards Customer  Orientation 
2.4 Technology’s Impact In The Restaurant And Hotel Industry Towards Customer Orientation 
2.5   Managerial Implications in The Restaurant Industry Toward Customer Satisfaction
2.6    An Overview of Different Types of Restaurants
2.7 Different Types of Restaurant Concepts 
2.8 Sheth’s Model of Product and Customer Differentiations
2.9 Customer Orientation and Global Corporate Strategy

CHAPTER THREE: RESEARCH METHODOLOGY                        
3.1     Research Design
3.2     Area of Study      
3.3     Population of the Study
3.4     Sample and Sampling Techniques                                                   
3.5     Method of Collecting Data                                                               
3.6     Method of Data Analysis                                                                 
CHAPTER FOUR: DATA PRESENTATION, ANALYSIS AND INTERPRETATION
4.0     Data Presentation                                                         
4.1     Data Analysis and interpretation
4.3     Discussion of Finding                                                             
CHAPTER FIVE: SUMMARY CONCLUSION AND RECOMMENDATION               
5.1     Summary                                                                               
5.2     Conclusion                                                                             
5.3     Recommendation                                                                    
References










CHAPTER ONE

INTRODUCTION

1.1 Background to the Study

The fundamental tenet of marketing is that all of a firm’s activities should be directed toward ensuring customer satisfaction and creating mutually beneficial, long-term relationships with the market (Kotler, 1980). In other words, firms should and will benefit by providing customers with satisfactory services and products that contribute to long-term relationships. One way to  facilitate this tenet is customer orientation specifically, putting customers’ interests first (Saxe and Weitz, 1982). In this sense, a customer-oriented business culture is preferable for firms that seek success in the market (e.g., Houston, 1986; Parasuraman, 1987).
Customer-Orientation is "the dissemination of information about customers throughout an organisation, formulation of strategies and tactics to satisfy market needs inter-functionally and achievement of a sense of company-wide commitment to these plans" (Shapiro, 2010).
In the service context, individual service employees are the last people to implement the firm’s marketing efforts and the first people to directly interact with the customer (Brown, el at, 2002). In other words, service employees actualize the firm’s customer orientation at the front line and at the same time acquire feedback from customers and provide it to the management as market intelligence. As such, the service firm’s ability to be customer-oriented primarily depends on individual service employees’ customer orientation.
Given the experiential and interactive nature of service and the key role played by service employees in service provision, the customer orientation of service employees (COSE) is critical to service businesses, including restaurants. However, no study yet has focused on the effects of customer orientation of service employees (COSE) on customers’ responses to restaurants. In the hospitality context, Susskind(2007) adopted the construct of the customer (guest) orientation of service employees. However, the study tested customer orientation in the organizational behaviour context. In addition, they adopted Kelley’s (1992) definition of ‘customer orientation’—employees’ general commitment toward customer satisfaction—which is distinct from customer orientation of service employees (COSE).
The objective of the study was to assess how COSE influences customers’ repurchase intention by examining customers’ perceptions of relational benefits, favourable inequity, and satisfaction. The basic notion of this study is that customer orientation of service employees (COSE) leads customers to stay in long-term relationships with restaurants because they benefit by doing so.
As Porter (1990) suggested, the business environment highly influences firms’ strategies. This is more and more accurate as the business environment is growing. Today, most of the business centres have to decide their strategy depending on a worldwide business environment. However, strategy researches and the growing importance of marketing for business success also show that customer dimension must be taken into consideration. On some markets and in certain firms, the offer is much higher than the demand and then, firms need to attract customers. On the national level, firms multiply customer surveys in order to reach their expectations. On the global level, this is more complicated.
1.2 Statement of the Problem
In the bid to maximize profit in the prevalent get rich-quick syndrome of some fraudulent entrepreneurs such as restaurant, some indulge in ill-practice of customer orientation. Absolute firm’s responsibility to the customer’s service is not ensured due to the fact that buyers are often misled by chronic imitators. Bergkvist, el at (2016). As a result a lot of customerhave fallen victim of the unethical practice of advertising known as passing off.
However it appears most manager seems not to understand the roles of customers enlightment as it affect buying behaviour, especially in industrial product because it requires tutors of how to make use of the products and how to disposed the product after use or after consumed. Also it has been observed that most company seems not to make use of public relation as it affects customer’s behaviour due to lack of investing on public relations, public relation will help the organization to achieves its objective effectively.
An effective Public Relations can create and build up the image of the organization. It also establish a good relationship among the organization and customers. At the time of adverse publicity or when the organisation is under crisis an effective Public Relations can remove the "misunderstanding" and can create mutual understanding between the organisation and the public. Also, complaint management has been viewed as a method of securing customer’s loyalty. Most organization do not see this has it ought to be.(Columbus, O.Grid, 1980)
This study is therefore undertaken in order to gain understanding about the effect of customer relation on restaurant business.

1.3 Objectives of the Study

The purpose of the study is aimed on the effect of customer orientation on performance of restaurant in Ekiti State.
The study of the research is as follows:
       i.            To examine the impact of Customers orientation on the buying behaviour.
     ii.            To find the effect of customer enlightment on buying behaviour
  iii.            To find the effect public relation on customer behaviour
  iv.            To find the effect of complaint management on customer loyalty.

1.4 Research Question
1.   Does Customers orientation influence the buying behaviourof restaurant business in Ekiti State?
2.   Does customer orientation has positive effects on sales performance of restaurant business in
Ekiti State?
3. Does Customers orientation and loyalty influence the performance of restaurant business in Ekiti
State?
4.   Does the performance of restaurant influence buying behaviour of customers and customer
satisfaction in Ekiti State?

1.5 Scope of the Study
The study concentrates on the effect of customer orientation on the performance of restaurant business in Ekiti state by using some selected restaurant as a case study.

1.6 Significant of the Study
           The significance of the study can be seen in effect of customer orientation to the improved buying bahaviour. The findings will also offer restaurant a helpful suggestion towards the handling of problems of customer orientation therefore, making Organizations know that if customer orientation are well motivated and making use of, it will make for efficiency in the which leads to the attainment Organizational sales goal.
                   The study will also be of immense benefit to consumers of pampers products who wish to buy best quality of consumer’s products.
Finally, this study will provide a foundation for future researches as this will serve as a motivation for many researchers to further examine other aspects of the subject matter, in the field of academics, the study will stimulate further research into effect of customer orientation on restaurant business.
1.7 Limitation of the Study
The researcher met with the following physical and logistical limitations in addition to the limitations imposed by cost and time.
Customers response: The problem encountered by the researcher in carrying out this work was response, as the respondents felt reluctant to supply useful information; their intention was that such information could be used against the organization.
Financial Constraint: Money serves was a difficult problem because I had limited access to money, as a student.
Finance:
The researcher spent so much money while sourcing for information which includes transportation costs etc.
·        In many occasions, the researcher was denied audience by the very people whom he had hoped would supply him information.  The questionnaire which was distributed was either returned unanswered or half answered.
The researcher spent much time and money repeating visits to those he distributed questionnaire to.  Many even thought that the interview being sought for was for Customers Orientation
1.8 Definition of the Term
The definition are of conceptual meaning:
i          Buyer:  is any person who contracts to acquire an asset in return for some form of consideration (John, 2009).
ii        Consumer: is the one who pays something to consume goods and services produced. As such, consumers play a vital role in the economic system of a nation. Without consumer demand, producers would lack one of the key motivations to produce: to sell to consumers (John, 2009).
iii      CustomerOrientation: a customer orientation focuses primarily on the realization of the interests and needs of customers and deliver appropriate solutions to their requests (Bellou 2009).
iv      Customer-Oriented Behavior: A customer-oriented behavior is the ability of the  service provider to help consumers, which leads not only to an increase in customer satisfaction and a positive relationship with employee performance (Boles et al2001, Brown et al 2002) but also a level of emotional commitment to the organization of these consumers, and more importantly, for retaining these consumers, especially in the case of services with high interaction, as seen in the hotel industry.
v        Strategy:  The process of planning something or carrying out a plan in a skillful ways; marketing strategy; strategy consists of goals and programs for achieving them. Brown et al (2002)
vi      Market:- this is the act of identifying customer’s needs, designing a product that will satisfy such needs and making the product(s) available to customers at (consumers) at a price (benefit). Kotler, 2008
vii    Effect- The powerful impact either positive or negative effect that something has on something or somebody.  Matt Blumberg (2000)
viii  Performance: The action or act of performing something especially very well of people or machines. It is also the ability to do something. Mc Cormick, (2016)
      



 
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