Business Intelligence Research Project: Literature Review

This report presents a literature review on the factors influencing customer choice in boutique restaurants. The review synthesizes existing research to identify key constructs such as product/service quality, ambiance, and food value. The report emphasizes the importance of ambiance, including lighting, music, and cleanliness, in shaping customer experience and behavioral intentions. It also explores the significance of food value, which is the measure of nutritional contents of the food and its relationship to the price. Furthermore, the review highlights the role of service quality, including friendly and helpful staff, and the value for money in influencing customer satisfaction and loyalty. The report incorporates research questions and hypotheses derived from the literature, aiming to provide a coherent argument about customer choice in boutique restaurants. The value of food and the value for money are the relationship between the expected quality and price of the food (Farooqui & Alwi, 2019). The consumer’s intensions for buying food depends on the budget constraints. They measure the nutritional value of the food with the price paid by them and determines whether the food is good value for money spent or not. The value of food and the value for money are the relationship between the expected quality and price of the food (Farooqui & Alwi, 2019).

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BUSINESS INTELLIGENCE RESEARCH PROJECT
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Literature review
As per the study conducted by Nezakati, Kuan and Asgari (2011), there are several factors
that influence the business of a restaurant. The study focusses on a developing economy that how
an increase in the income level of people increases the demand for more varieties in fast food.
The changing trend of the market necessitates the existing businesses and upcoming businesses
to be more innovative and adopt changes so that they do not lose their existing and loyal
customers. The customer loyalty affects the perception of customers towards fast food
restaurants. The management of the organization can use this information for developing new
plans so that market competitions can be defeated.There are several factors which generates
customer loyalty towards the fast food restaurant but brand trust, customer satisfaction and the
food quality are the most dominant factors among them.There is no direct method for increasing
customer behavioral intention other than providing better service quality. The behavioural
intentions of the customer can only improve by improving customer satisfaction.The success of a
restaurant depends on its performance and its customer's viewpoint and review about its service
(Namin, 2017).The customer satisfaction can be improved by improving food quality, service
quality and price value ratio (Lehtinen and Lehtinen1991). The service quality has three elements
which are: service quality, corporate quality and the interactive quality. If company wants to
increase the service quality, it has to focus on all these three elements. The performance of a
restaurant is influenced by many factors and creates a negative service environment. The key
factors are ambience, food quality, service quality, and value on consumers (Karki and Panthi
2018).The service quality, food quality, value of money and ambience as the factors which affect
the customer experience (Sukhu, Bilgihan, and Seo 2017).Moreover, there are three other factors

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which can improve the customer experience in the boutique restaurant which are, creation,
consumption and contestation (Chang, 2017).
Definition of key constructs
Product/service quality- It is the sum total of all the features of a product or service which that
are developed to meet the expectation and requirements of the consumer.The product quality is
achieved when the finished product is suitable for use by the customer. The definition of the term
remains vague as it is as per the expectation of the intended
users(Esmaeilpour,Mohamadi&Rajabi, 2016).
Ambience – It means the atmosphere of business like a restaurant. The peaceful environment of a
restaurant depends on the lightings, music, cleanliness, interior decoratives etc. The atmosphere
and environment of the restaurant can impact the experience of the customer while dining in the
restaurant.Several restaurants invest in improving the ambience aspect. It influences the success
of the restaurant because it affects the the willingness of the customers to invest their time and
money in the restaurant. It also affects the behavioural intentions after the dining
experience(AbuThahir&Krishnapillai, 2018).
Value of food - the food value is the measure of nutritional contents of the food. Vlue of food
determines the level of satisfaction of the consumer (Farooqui&Alwi, 2019). The consumer’s
intensions for buying food depends on the budget constraints. They measure the
nutritional value of the food with the price paid by them and determines whether the food
is good value for money spent or not.The value of food and the value for money are the
relationship between the expected quality and price of the food.

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References
AbuThahir, S. B. S., &Krishnapillai, G. (2018). How does the Ambience of Cafe Affect the
Revisit Intention Among its Patrons? AS on the Cafes in Ipoh, Perak. In MATEC Web of
Conferences (Vol. 150, p. 05074). EDP Sciences.
https://www.matecconferences.org/articles/matecconf/pdf/2018/09/
matecconf_mucet2018_05074.pdf
Chang, T. C. (2017). Heritage Boutique Hotels as ‘Experienscapes’: Three Views from
Singapore. Asian Journal of Tourism Research, 2(1), 50-76.
https://asiantourismresearch.cmu.ac.th/Vol2%20No.1/Chapter3.pdf
Esmaeilpour, M., Mohamadi, Z., &Rajabi, A. (2016). Effect of dimensions of service quality on
the brand equity in the fast food industry. Studies in Business and Economics, 11(3), 30-
46.
https://www.degruyter.com/downloadpdf/j/sbe.2016.11.issue-3/sbe-2016-0033/sbe-2016-
0033.xml
Farooqui, M., &Alwi, S. K. K. (2019). Fast Food Trend Analysis by Evaluating Factors Leading
to Customer Satisfaction.
https://pdfs.semanticscholar.org/fdb8/d8dfae95c555ab605a4cc2e647973e924d90.pdf
Karki, D. & Panthi, A. (2018). A study on Nepalese Restaurants in Finland: How Food Quality,
Price, Ambiance and Service Quality Effects Customer Satisfaction.
https://www.theseus.fi/bitstream/handle/10024/150964/Dipesh%20and%20Apil%20Customer
%20Satisfaction%20in%20Nepalese%20Restaurantsin%20Finland.pdf?sequence=1

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Namin, A. (2017). Revisiting customers' perception of service quality in fast food restaurants.
Journal of Retailing and Consumer Services, 34, 70-81.
https://www.researchgate.net/profile/Aidin_Namin/publication/
308876306_Revisiting_customers'_perception_of_service_quality_in_fast_food_restaura
nts/links/59dfce11aca272386b633b5d/Revisiting-customers-perception-of-service-
quality-in-fast-food-restaurants.pdf
Nezakati, H., Kuan, Y.L. & Asgari, O. (2011, June). Factors influencing customer loyalty
towards fast food restaurants. In International Conference on Sociality and Economics
Development (Vol. 10, pp. 12-16).
http://www.academia.edu/download/31306623/12-_2011-_Proceeding_-_rp005_ICSEP2011-
E00008-_Vol_10_-_12-16-_customer_loyalty_towards_fast_food_.pdf
Sukhu, A., Bilgihan, A. & Seo, S. (2017). Willingness to pay in negative restaurant service
encounters. International Journal of Hospitality Management, 65, 11-19.
https://s3.amazonaws.com/academia.edu.documents/56410113/ijhm_WTP.pdf?response-
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