Impact Of Product Quality On Customer Retention In Manufacturing Companies In Nigeria

Impact Of Product Quality On Customer Retention In Manufacturing Companies In Nigeria

Chapter One

Preface

Background Of The Study

In this present period, the product of high- quality products, as proponed by Apudo( 2010), has been shown to be a primary factor for consumer retention. harmonious provision of outstanding and quality products through numerous times of frequent use, according to Brown & Eisenhard( 1995), contributes to the added value of familiarity and demonstrated responsibility, which is a derivate of client satisfaction. Historically, utmost organizational success is attributed to the effective product of quality products in the once decades, and this has been dependent on their capacity to descry consumer demands and instantly manufacture products that match these requirements( Brown etal., 1995). thus, product development can be considered the lifeblood of any business( Hassan, Hamid, Muhammad, & Rahman, 2010). As a result, there came a need, as headed by Connor, Galvin, & Evans,( 2005), for associations to understand the value demanded by guests rather than the value handed by the product. To this effect, associations are decreasingly trying to design and manufacture products that meet consumers’ prospects in order to retain them.

In view of the foregoing, business associations, as asserted by Nilsson, Johnson, & Gustafsson( 2001), invest heavily in quality operation systems to insure success in delivering high- quality products and services, which results in client satisfaction and retention. Also, business associations, as stated by Jun & Cai( 2010), constantly place great emphasis on high technological norms as well as solid client connections because they’re critical in the course of client satisfaction. According to Apudo( 2010), in order for businesses to survive and thrive in a competitive request, consumers’ conditions and prospects must be addressed. This is due to the fact that what matters most is the value guests place on the experience they admit from consuming or using products( Jaafreh and Al- abedallat, 2013).

inquiries have revealed the significance of quality product operation as a collection of coordinated conduct that steer and regulate an association’s product performance to achieve effectiveness and effectiveness. The significance of this set of operations, on the other hand, is to secure the vacuity of high- quality products to guests, which serves as the foundation for client retention. likewise, a study on product quality and client retention in Ghana conducted by Michael and Grend( 2019) revealed that product trustability, perceived quality, and brand trust are the primary rudiments that impact client retention and brand fidelity. As a result, there’s no denying that quality products play an important part in client satisfaction and retention.

Statement Of The Problem

According to William and Baldasare, Patrick( 2007), satisfying guests’ solicitations is a

product development problem rather than a solely a marketing or design issue, Product development is an interdisciplinary exertion that necessitates benefactions from virtually all organizational functions.

Three functions, still, are basically abecedarian to the product development process. These, as posited by William and Baldasare, Patrick( 2007), include marketing, design, and manufacturing, all of which are geared toward delivering high- quality products to guests.

Unfortunately, utmost associations’ relinquishment of quality operation styles has been hampered by resistance with the procedures and modus oparandi of quality control operation perpetration. Several studies on quality control operation and consumer retention( though concentrated on small- scale enterprises in advanced nations) have set up that the capability of a manufacturing association to retain its consumers through harmonious provision of quality products is critical to its survival. In moment’s world, the business terrain has come decreasingly competitive, as consumers are now exposed to a plethora of druthers . As a result, associations are seeking to keep their guests and secure client fidelity in order to keep challengers from snatching them( Chalotra, 2012). The significance of product quality, among other aspects that may impact client retention, can not be exaggerated. The most introductory description of a quality product is one that meets the client’s prospects. Consumers, according to Jun( 2010), are pious to brands that successfully and constantly meet their demands through the vacuity of high- quality products. As a result, it’s critical for manufacturing enterprises to confirm difficulties affecting the quality of their products if they’re to keep guests and gain new bones . In light of the foregoing, the purpose of this study is to probe the impact of product quality on client retention in manufacturing enterprises.

Ideal Of The Study

The major and general end of this study is to examine the impact of product quality on client retention in manufacturing companies. Specifically, the study will;

1. Examine the relationship between product trustability and client retention.

2. Examine the relationship between product continuity and client retention.

3. Examine the relationship between product conformance and client retention.

Exploration Hypotheses

The validity of the following statements will be tested in the course of this study;

H01 There’s no significant relationship between product trustability and client retention.

H02 There’s no significant relationship between product continuity and client retention.

H03 There’s no significant relationship between product conformance and client retention.

Significance Of The Study

Though the donation of quality products as a crucial factor for client retention isn’t a new subject in the business world, some companies still treat it with negligence. thus, this study will formerly again remind and educate manufacturing companies on the need to produce quality products and maintain good quality norms in the request so as to constantly satisfy their guests and avoid losing them to challengers.

also, posterior experimenters will use it as a literature review. This means that other scholars who may decide to conduct studies in this area will have the occasion to use this study as available literature that can be subordinated to critical review. Always, the result of the study contributes immensely to the body of academic knowledge with regard to the impact of product quality on client retention in manufacturing companies.

Compass Of The Study

The study focuses on the impact of product quality on client retention in manufacturing companies. It’ll further claw into examining the connections between product trustability and client retention, product continuity and client retention, and product conformance and client retention. The study will be conducted in Enugu State, where some manufacturing companies will be named as case studies for this exploration.

. Limitations Of The Study

In the course of carrying out this study, the experimenter endured some constraints, which included time constraints, fiscal constraints, language walls, and the station of the repliers.

In addition, there was the element of experimenter bias. Then, the experimenter held some impulses that may have been reflected in the way the data was collected, the type of people canvassed or tried , and how the data gathered was interpreted later. The eventuality for all this to impact the findings and conclusions couldn’t be played down.

More so, the findings of this study are limited to the sample population in the study area, hence they may not be suitable for use in comparison to other companies and locales.

Description Of Terms

Product Quality A product is known as a quality product only when it satisfies colorful criteria for its performing for the consumer.

client Retention This refers to the capability of a company or product to retain its guests over some specified period.

Reference

Apudo,M.O.( 2010). Quality operation practices and client retention in micro and small enterprises in Nairobi megacity- county, Kenya.

Chalotra,V.( 2012). client satisfaction regarding small scale diligence products.

Hassan,S., Hamid,A., Muhammad,N.N., & Rahman,N.( 2010). Factors affecting artificial goods buying decision making in a manufacturing company.

Jaafreh,A.B. and Al- abedallat,A.Z.( 2013). The Effect of Quality Management Practices on Organisational Performance in Jordan.

Jun,M. & Cai,S.( 2010). Examining the connections between internal service quality and its confines, and internal client satisfaction.

Nilsson,L., Johnson,M.D. & Gustafsson,A.( 2001). The impact of quality practices on client satisfaction.

Nwiepe, Naata Michael & Grend, Miebaka David( 2019), Product Quality and Consumer Brand fidelity.

O’Connor,G., Galvin,K. & Evans,T.( 2005). Electronic marketing and marketing dispatches The part of technology. Kimmel marketing dispatches new approach.

WilliamT. and Baldasare, Patrick( 2007), The Asymmetric Impact of Negative and Positive trait- position Performance on Overall Satisfaction and Repurchase Intentions.