Research Project: McDonald's Service Quality and Consumer Satisfaction

This research project investigates the impact of service quality on consumer satisfaction, using McDonald's as a case study. The project includes an introduction outlining the research aim, objectives, and a review of existing literature on service quality and customer satisfaction. The methodology section details the research methods, sampling techniques, and data collection processes, including the use of questionnaires. The project also presents data analysis and discussions, exploring the relationship between service quality and customer satisfaction. Finally, the project concludes with recommendations for McDonald's to enhance customer satisfaction and suggests areas for further research. The project covers various aspects of service quality, including employee training, customer perceptions, and the competitive landscape of the food industry, emphasizing the importance of maintaining customer satisfaction for long-term business success. The project also provides a detailed structure with Gantt charts to manage the research activities.

RESEARCH PROJECT
(Impact of quality of service on raising satisfaction level of consumers)

TABLE OF CONTENTS
CHAPTER 1: INTRODUCTION....................................................................................................1
1.1 Research project description.............................................................................................1
1.2 Research Aim and Objectives..........................................................................................2
1.3 Literature review..............................................................................................................2
1.4 Research methodology.....................................................................................................2
1.5 Structure of the project.....................................................................................................3
CHAPTER 2: LITERATURE REVIEW.........................................................................................6
2.1 Introduction......................................................................................................................6
2.2 Literature Review.............................................................................................................6
CHAPTER 3: RESEARCH METHODOLOGY...........................................................................11
3.1 Research Methods..........................................................................................................11
3.2 Sampling.........................................................................................................................13
3.3 Data collection................................................................................................................13
3.4 Ethical consideration......................................................................................................13
CHAPTER 4: DATA ANALYSES...............................................................................................15
4.1 Data collection................................................................................................................15
4.2 Data Analysis and Discussions.......................................................................................16
CHAPTER 5: CONCLUSION AND RECOMMENDATIONS...................................................23
5.1 Conclusion......................................................................................................................23
5.2 Recommendations..........................................................................................................24
5.3 Area for further study.....................................................................................................24
sREFERENCES.............................................................................................................................25
APPENDIX....................................................................................................................................27
Appendix 1: Questionnaire...................................................................................................27
Appendix 2: Research Proposal............................................................................................29

CHAPTER 1: INTRODUCTION
1.1 Research project description
Customers are the life blood of the business; each firm aims to enhance satisfaction level
of its consumers so that it can sustain in the market for longer duration. Companies try to provide
high quality products and services to the customer in order to retain them in the workplace for
longer duration (Service Quality of McDonald’s, 2015). Quality of product and services impact
on satisfaction level of consumers to great extent and make them positive towards the brand.
Current study is based on McDonald's which is the multinational firm that provides wide range
of food products to consumers. Its main objective is to satisfy customers so that they buy its
products frequently.
Rationale: The main objective of conducting this investigation is that there are many
companies which are unable to provide satisfactory services to consumers; that is the reason why
their sales volume is continuously decreasing. These firms aim to enhance their profitability.
Improving service quality is the only way through which companies can enhance their
satisfaction level of customers that can enhance revenues of business unit to great extent. For
that, it is essential for the entities to provide necessary training to employees so that workers can
get to know about needs of consumers and they can serve them according to their requirement.
This is a way that can support in raising their satisfaction level and retaining them in the business
for longer duration. In addition, it can assist in growth of business and sustaining in the market
for longer duration. McDonald's is offering quality services to the consumers but it is required to
enhance its service level so that more consumers can take interest in its products. This is because
KFC and other competitors of the business are offering extremely well services to consumers
that gain their attention. So, it is essential for McDonald's that to improve quality of services so
that it can gain competition advantage (Effect of Quality Products, Services and Brand on
Customer Satisfaction at McDonald's, 2017).
Food industry is concentrating on improving their quality of services so that it can
enhance satisfaction level of their potential buyers. This study will concentrate on conceptual
framework of service quality and consumer satisfaction. It will discuss the various factors which
are helpful in manner to enhance the customer satisfaction for McDonald's. Furthermore, impact
of service quality on raising customer satisfaction in the organisation will be explained in this
research project.
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1.2 Research Aim and Objectives
Aim
“To access the impact of quality of service on raising satisfaction level of consumers: The case
study of McDonald's”.
Objectives-
 To understand the concept of quality service and customer satisfaction.
 To determine the various factors which are helpful in manner to enhance the customer
satisfaction for McDonald's.
 To determine impact of service quality on raising customer satisfaction.
1.3 Literature review
An organisation’s success depends upon the way it retains customers for long run. A
service industry needs to understand the customers’ perception due to involvement of
intangibility into business offerings. According to Zameer, Tara and Mohsin, (2015), quality of
services delivered cannot be quantified or measured. On other hand Orel and Kara, (2014)
argued that it is on the basis of quality of services that customers do pay monetary value to
businesses. Henceforth, it seems to be an essential element for food sector to measure quality of
services offered. Khan and Fasih, (2014), supported the fact by providing an evidence of way
customers have distinct set of perceptions for quality of services offered. In the view of Zameer,
Tara and Mohsin, (2015), the service industry needs to be highly effective in designing its
offerings; since value proposition tends to be highly based on consumers’ perceptions.
Khan and Fasih, (2014) claimed that food industry needs to enhance quality of services
offered so as to retain customers for long run. It is through creating a value in form of both
tangible & intangible offerings that the customers tend to get satisfied. Further, the organisation
need to deliver services that has been promised at the first instance. This in turn would ensure the
customer retention for long run. Service quality is expected to impact customer satisfaction;
since they tend to develop an expectation while purchasing services from any food unit
(Gyawali, Tao and Müller, 2013).
1.4 Research methodology
It is essential for researcher to determine suitable ways and methods that are applicable to
conduct the research work in an efficient manner. The research proposed herewith is conducted
through accumulation of primary & secondary information. The data collected through
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secondary sources that are published in form of journals, articles, etc. will be analysed by way of
literature review. On other hand, primary information will be collected through sample of
customers. In order to conduct the analysis, a sample of 50 customers is expected to be selected
who will be asked to fill questionnaire. It is through adoption of random sampling technique that
sample of customers will be selected. Finally, the data accumulated will be analysed through
adoption of thematic analysis; whereby distinct sets of themes will be created. The arguments in
favour and against of themes are derived on the basis of frequency distribution & graphical
presentation. The researcher has ensured to meet all ethical obligations while conducting the
research work.
1.5 Structure of the project
In order to conduct research work in effective manner; it is essential to frame a schedule
of activities with specific deadlines. In order to plan effective completion of the research into
consideration; a Gantt chart & network diagram is constructed underneath:
Table 1: List of activities
Sr. No. Activities List of activities Weeks Preceding activities
1 A Meeting with supervisor 1
2 B Drafting of proposal 1 A
3 C Submission of proposal 2 B
4 D Getting proposal approved 1 C
5 E Conducting Literature review 5 D
6 F Collection of primary information 4 D
7 G Analysis of data 4 E,F
8 H Interpretation of data 3 G
9 I Drafting the research project 4 E,G
10 J Reviewing the project 2 I
11 K Finalizing the project 1 J
12 L Submission of the final project 1 K
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As per the critical path constructed above, the research project will take minimum duration of 22
weeks for completion. The researcher needs to abide by schedule presented through Gantt chart.
Further, all deadline should be met so as to avoid all kinds of delay in completion of research
project.
Structure Chapter 1 Introduction: This is the first part in which scholar will give brief overview of
the topic. Individual will frame aim and objectives and will define the way in which
entire research project will be conducted.
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 Chapter 2: Literature Review: It is the next part in which researcher will take support of
earlier literature on the same topic and will review these studies. This will support in
developing understanding about the subject matter. Chapter 3: Research Methodology: It would be the next chapter in which scholar will
explain the selected methods for the present study that have supported in completing the
study in effective manner. Rationale of selecting these tools will be explained in this
chapter. Chapter 4: Data Analyses: This is next chapter in which entire data will be analysed and
final results will be find out.
 Chapter 5: Conclusion and recommendation: In the last section researcher will conclude
the whole study and will give necessary recommendations through which company can
enhance satisfaction level of its consumers.
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CHAPTER 2: LITERATURE REVIEW
2.1 Introduction
Literature Review is the part in which researcher has to review articles of other scholars
in order to develop understanding about the subject matter. This chapter will review literatures
on quality of services and its impact on raising satisfaction level of customers in the service
industry.
2.2 Literature Review
Maintaining customer satisfaction
As per the view of Chiu-Chi and et.al., (2013) the main role of the every organisation is
to deliver those kinds of services which is helpful to full fill the need and expectation of
customer. People like to go in such places where they can enjoy their meal time and can get
hygienic tasty food in the organisation. Hence, it is essential to provide effective and efficient
services in order to maintain the service quality to maintain the reputation of the business
enterprise in the market. Adak and Yumuşak, (2017) also said that with the help of effective
working of employees in the entity company become able to generate high profit volume. This
support in gaining competitive advantage to the business unit. In market there are various food
firms those which are able to provide good services in this manner there are tough competition.
In order to get overcome from this issue the entity need to be more responsible and should
provide attractive offers so that they can gather the attraction of customer. The Azimi and et.al.,
(2011) states that the power of handling the customers in the best manner is the foundation of
promotion growth and development opportunities in firm. In order to perform all these activities
there should be present of effective communication with the customer so that they are able to
enjoy the food services (Service Quality of McDonald’s. 2015).
Outcome of quality of services in respect to profit margin and cost of the business enterprise
Adak and Yumuşak, (2017) said that in market there various number of factor are
available which is need to be considered by the food industry. The interaction of the staff with
the customer help to improve the many barriers which can hampered to the growth of the
business enterprise. In order to maintain the good communication the firm is able to provide
better and effective services to the customer. These kinds of activities are helpful to earn
maximum level of satisfaction. Contrary to this Dey, Clegg and Bennett, (2010) also said that the
employees should provide effective training so that they can know they can know how to behave
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with customer in good manner. It is essential to win the consumer trust so that firm is able to
maintain retention rate. The communication is the one of the main factor with the help of which
they can greet the customer in they can greet the customer in the best possible manner with the
high quality of services. Staff of the company needs to treat all consumer in equal manner and
take initiatives in relation to provide the luxury services to employees. According to Customer
satisfaction and product's quality makes profit. There is a linkage between quality and profit, it is
considered a competitive source of the organisation leading to customer’s satisfaction increasing
loyalty, elevating the organisation profit on short and long term. This means that quality leads to
satisfaction, while satisfaction leads to loyalty and loyalty leads to profit. Customer satisfaction
increases the profit of the company and complete the customer need in their time. Customer
satisfaction also gives the opportunity high grow and popularity to the company by mouth to
mouth marketing.
As per the view of Chiu-Chi and et.al, (2013) Customer satisfaction increases the number
of clients, loyalty of customer, quality customer, quality products and quality services. Quantity
of products consumed by the customers, evolving the customers' number and profitability of
company, bringing new clients (Effect of Quality Products, Services and Brand on Customer
Satisfaction at McDonald's. 2017).
Ways that are helpful to maintain service quality in manner to have improvement
According to Adak and Yumuşak, (2017) quality is defined as the communication or
interaction between the company who provide the services and the consumer, since the costumer
sees the services quality through comparing is expatiations of this service with the actual
performance. According to research addressed the concept of quality defined qualities as the
overall characteristics of a product that shows and reflect the capacity of product to fulfil explicit
and implies needs (Service Quality of McDonald’s. 2015). It is the specification of a product or a
service that generated the ability to fill explicit and implied needs quality is reaching the gap
between the consumer's expectations for the product's quality and their realization of the actual
performance of that product.
According to Azimi and et.al., (2011) the success of overall quality management cannot happen
without the full commitment of the top level management. It is also important to take in
consideration the customer's satisfaction when determining the concept of quality the concept of
quality and its ways. Quality is depended between consumer and service provider interaction and
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communication which give satisfaction to the customers. Customer satisfaction is a positive
impression from the customer side towards the consumed product, this impression is formed by
comparing the customer expatiations and actual product services. Consumer quality impact on
satisfaction. As per the view of Azimi and et.al. (2011) customer satisfaction doesn't just impact
the business bottom line, it also impacts retention and team morale (Effect of Quality Products,
Services and Brand on Customer Satisfaction at McDonald's, 2017).
As per the view of Azimi and et.al., (2011) Revenue is the key of success for any
company. Revenue is the amount of money that a company actually receives during a specific
time, including discounts and deduction for returned merchandise. It is the top line or gross
income figure from which costs are subtracted to determine net income. Revenue is calculated
according multiplying the price at which goods or services are sold by the number of units or
amount sold. Revenue is known as the top line because it is displayed first on a company's
income statement. Expenses are then deducted from revenue in order to obtain net income or
profit the bottom line. There are different ways of calculating revenue, depending on the
accounting method a business employs (Service Quality of McDonald’s. 2015). Revenue
improvement is necessary for the company because they give good quality of services and
product and it will be carry on if revenue will be increase and employs will be satisfied then
customers also will be satisfied.
Once you have identified and measured your key profit drivers, you should developed strategies
to grow them, without increasing costs. Making your business more profitable involves looking
at ways sales revenues as well as decreasing your costs and benchmarking your business to see
where you can save money. You should also prioritise the strategies you have chosen to improve
your profit so you can focus on the most important ones.
As per the view Chiu-Chi and et.al., (2013) find new customers and find the new markets
so that it help to the increase in revenue and generate the more profit. New customers can help
grow your business and new markets research to determine if you could expand your business
into new area. If you started your business in the new area so many people available for the use
your services and product so your business will grow but also grow your revenue (Effect of
Quality Products, Services and Brand on Customer Satisfaction at McDonald's. 2017).
According to Chiu-Chi and et.al., (2013) if company is providing quality services to its
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consumers then people will like the brand and if in such condition entity enhances its prices then
also people will buy its products and services. As per the view of Azimi and et.al., (2011) make
strategies to decrease costs in the way of decrease overheads, decrease direct costs, decrease
inventory. In the inventory stock control is as good way to streamline your business. Decrease
indirect costs, for example, try to minimise waste and errors in your business by training staff, or
reduce marketing costs by using low cost marketing techniques and save energy wherever
possible or try find a cheaper energy supply company.
According to Azimi and et.al., (2011) you can invent in service training, rather than
quality department. This departments track and documents quality issues and work to address
them. As per the view of _ don't stop training employees after their first few days or weeks on
the job. Teach employees that there is always more they can and should be learning about their
job, your business, and how to serve customers and how to sale the product or how to give them
best services. For the good quality, firm can set up a new employee initiation program. In this
program you can train new workers on quality and services as soon as they start work on the
product and be ready to give services to the customers. The program should include an overview
of your company's approach to service and product (Service Quality of McDonald’s. 2015). If
possible, conduct part of the new employees' orientation yourself. Lead one of the training
sessions to show the new employees you are committed to the new hire program. This will also
give a chance to teach company values in the new hires right away and set the new employees up
for success. Make sure to train your employees to communicate welcome with their body
language as well as their words. As per the view of _ focus on specific actions and attitudes like
greeting every customer with a smile and a hello, helping them with a fitting room and sizing,
and making sure their transaction at the register is fast and pleasant. According to Azimi and
et.al., (2011) in the company product should be clean and services are pure. The most important
improvement is listened to feedback from your customers about services and product. Conduct a
quality survey at least once a year among your customers.
Factors that contributes in enhancing satisfaction level of customers
As per the view of Darren, (2012) consumers always prefer to get high quality services
against their paid amount. Employee attention is the major factor that contribute in providing
quality services to the consumers and raising their satisfaction level. If workers are not paying
attention on consumers then it demotivates them and they become negative towards the brand.
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Dey, Clegg and Bennett, (2010) stated waiting time is the major factor that impact on the
satisfaction level of clients. If people are getting their products on time by the company then it
makes them feel happy and they like to buy its services again in the future (Effect of Quality
Products, Services and Brand on Customer Satisfaction at McDonald's. 2017). This is the major
element that impact on the satisfaction level of consumers to great extent.
According to Adak and Yumuşak, (2017) communication between employee and
consumers is the main element that supports in raising satisfaction level of consumers
significantly. Food industry is the sector where consumers like to go to such firms that offer
them hygienic products and quality services that do not impact on their health. Apart from this,
clients like effective coordination with employees so that they can put their quarries in front of
them and they can get immediate resolution of their problems (Service Quality of McDonald’s.
2015). If people are able to coordinate with the staff members that that makes them positive and
they become frequent buyer of the firm.
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