Article ID: | iaor20032298 |
Country: | United States |
Volume: | 47 |
Issue: | 9 |
Start Page Number: | 1191 |
End Page Number: | 1202 |
Publication Date: | Sep 2001 |
Journal: | Management Science |
Authors: | Matta Khalil F., Conlon Edward, Devaraj Sarv |
Keywords: | service |
We examine the relationship between quality, represented by consumer ratings, and quality-related activities by the customer, represented by maintenance activities in the automotive industry. Based on several converging theoretical perspectives, we present and test a model relating vehicle initial quality ratings to consumers' routine maintenance. Three types of data were collected for the study: (1) vehicle service records at a local dealership, (2) primary data from a survey of vehicle owners, and (3) Consumer Reports data on quality ratings and initial purchase prices. The results of a structural equation analysis of the proposed model indicate a significant link between quality and customers' quality behavior. This link has important strategic implications for both automotive manufacturers and distributors, particularly as ‘leasing’ becomes more prevalent in the industry.