Table of Contents


 TOC \o “1-3″ \h \z \u 1      Chapter 1 Introduction.. PAGEREF _Toc222308372 \h 5


1.1       Background. PAGEREF _Toc222308373 \h 5


1.1.1   Tourism Development in Hong Kong. PAGEREF _Toc222308374 \h 5


1.1.2   Hong Kong Shopping Tourism… PAGEREF _Toc222308375 \h 7


1.1.3   Mainland Chinese Tourists. PAGEREF _Toc222308376 \h 8


1.2       Problem Statement PAGEREF _Toc222308377 \h 10


1.3       Research Objectives. PAGEREF _Toc222308378 \h 11


1.4       Significance of the Study. PAGEREF _Toc222308379 \h 12


2      Chapter 2 Literature Review.. PAGEREF _Toc222308380 \h 13


2.1       Tourism in Hong Kong. PAGEREF _Toc222308381 \h 13


2.2       Shopping Tourism… PAGEREF _Toc222308382 \h 15


2.3       Service Quality. PAGEREF _Toc222308383 \h 17


2.4       Tourists Satisfaction.. PAGEREF _Toc222308384 \h 19


2.5       Importance-Performance Analysis (IPA) PAGEREF _Toc222308385 \h 22


2.6       Summary. PAGEREF _Toc222308386 \h 23


3      Chapter 3  Research Methodology. PAGEREF _Toc222308387 \h 24


3.1       Research Design.. PAGEREF _Toc222308388 \h 24


3.2       Sampling. PAGEREF _Toc222308389 \h 25


3.3       Questionnaire Development PAGEREF _Toc222308390 \h 25


3.4       Measurement PAGEREF _Toc222308391 \h 26


3.5       Data Collection.. PAGEREF _Toc222308392 \h 27


3.6       Data Analysis. PAGEREF _Toc222308393 \h 28


3.7       Limitations. PAGEREF _Toc222308394 \h 30


4      Chapter 4 Presentation, Interpretation and Analysis of Data. PAGEREF _Toc222308395 \h 31


4.1       Findings and Discussion.. PAGEREF _Toc222308396 \h 31


4.1.1   Demographic Profile. PAGEREF _Toc222308397 \h 32


4.1.2   Pre-Shopping Attitude. PAGEREF _Toc222308398 \h 35


4.1.3   Perceived Importance of Hong Kong Stores’ Service Quality Attributes. PAGEREF _Toc222308399 \h 39


4.1.4   Performance of Hong Kong Shopping Stores. PAGEREF _Toc222308400 \h 43


4.1.5   Importance Performance Analysis of Hong Kong Shopping Stores. PAGEREF _Toc222308401 \h 46


5      Chapter Conclusion and Recommendation.. PAGEREF _Toc222308402 \h 52


6      References. PAGEREF _Toc222308403 \h 54


7      APPENDICES.. PAGEREF _Toc222308404 \h 59


7.1       APPENDIX 1. PAGEREF _Toc222308405 \h 59


7.2       APPENDIX II PAGEREF _Toc222308406 \h 61


 


 


 


 


 


Table of Figures


 


 TOC \h \z \c “Figure” Figure 1 Comparison of Actual Number of Visitors (Extract from Appendix I) PAGEREF _Toc222307725 \h 6


Figure 2 The Service Process Matrix (Schemenner 1993) PAGEREF _Toc222307726 \h 16


Figure 3 Importance-Performance Matrix (Martilla & James, 1977, p.78) PAGEREF _Toc222307727 \h 22


Figure 4 IPA for Shopping Store in Hong Kong. PAGEREF _Toc222307728 \h 48


 


Table of Tables


 


 TOC \h \z \c “Table” Table 1 Spending Activities of Tourists in Hong Kong. PAGEREF _Toc222307739 \h 9


Table 2 Demographic Profile of Respondents. PAGEREF _Toc222307740 \h 32


Table 3 Pre-Shopping Attitude of the Respondents. PAGEREF _Toc222307741 \h 35


Table 4 Mean Ranking for Importance of Shopping Stores’ Service Quality Attributes  PAGEREF _Toc222307742 \h 39


Table 5 Performance Statement of the Shopping Stores in Hong service Quality. PAGEREF _Toc222307743 \h 43


Table 6 Perceived Importance and Performance of Shopping Store’s Service Quality Attricutes  PAGEREF _Toc222307744 \h 46


 


 


 


Abstract


 


            This study aims to investigate and analyze the level of quality of the Hong Kong shopping industry in order to assist the different individuals and organizations who owns store in the said city to formulate customized strategies in order to improve their customer relationship. Survey questionnaire were deployed to 200 respondents, and 130 returned valid answers. The result of the said questionnaire was analyzed using Importance-Performance Analysis of IPA. 16 influential attributes were analyzed, which considered as important factors in managing and marketing shops in Hong Kong.


 


 



 
1      Chapter 1 Introduction 1.1    Background 1.1.1     Tourism Development in Hong Kong

Hong Kong is considered as one of the most successful regions in terms of tourism industry in the world. The city received a total of 25.25 million tourists’ visits in 2006, including the visitors from mainland China. It helped to generate a total of HK7.3 billion or US billion in income. Therefore it made the tourism industry as the second largest generator of foreign currency (Cochrane 2008, p. 260). In 2007, the industry showed a continuous increase in terms of the number of visitors. In September of the year, there was 2,120,350 visitors arrived in Hong Kong, showed a great increase of 15.9% from previous rate, while from January 1 up to present arrivals have reached 20,363,764, showed an increase of 9.6% year-on-year (Business Monitor International, 2008).


            Hong Kong is known as the Shopping Paradise, attracting thousands of travellers from all over the world. It is one of the most important pillars of the economy of the city. The situation had improved due to the implementation of Individual Visit Scheme (IVS) of the government of China, which allows the citizen of mainland China, to visit Hong Kong in individual basis. Prior to the said scheme, mainland Chinese, travel by group or by business visa. Since then, Hong Kong has become the favourite destination of Mainland Chinese tourists (Hong Kong Economic Times, 2006). The situation has created a tremendous business opportunities to the tourism industry in HK. In 2004, there were about 2.6 million of individual document holders from Mainland Chinese that have visited the city since the implementation of the IVS. Furthermore, the scheme had already brought a total of HK.6 billon worth of revenues (People, 2004). According to the Hong Kong Tourism Board (2006), Mainland China reached 58.8% out of the total tourists in the city by the end of 2006 (see Appendix I).


            The growing influence of the Mainland Chinese visitors is the primary reason why different players in the tourism industry is focusing on the behaviours, demands and desires of the Mainland Chinese visitors in the process of their decision-making.



Figure  SEQ Figure \* ARABIC 1 Comparison of Actual Number of Visitors (Extract from Appendix I)


 


 


 


1.1.2     Hong Kong Shopping Tourism

Shopping is considered as the most common and enjoyable activities undertaken by people during holidays. Due to the current growth and development of efficient transportation systems, the Internet, and widespread use of credit cards, people have been able to travel different places in order to go shopping (Timothy, 2005).


            Shopping plays an important role in the field of tourism. This is due to the fact that for many tourists, an integral part or even the entire purpose of their travel or visit is shopping (Jansen-Verbeke, 1998). In addition, shopping is a major time-use for many of the tourists, despite of their primary motivation for travel (as cited from Theobald, 1998).


            Hong Kong’s primary attractions are its shopping industry and the scenery (Hudman & Jackson, 2002). The city is a duty-free port; it means that the imported goods are not taxed in the Special Administrative Region or SAR with exception of only few luxury products such as tobacco and alcohol. As the result, people can buy products in the SAR at a cheaper price compared with the price in other countries (Reiber, 2007).


Hong Kong is considered as one of the most fascinating, product-diverse, and accommodating shopping destinations in the world. These are the reasons why the city has been dubbed as a shopper’s paradise and Hong Kong is synonym for shopping (Timothy, 2005; Hudman & Jackson, 2002). Every year thousands of people travel in the city in order to avail the most valued items for sale such as electronic equipment, cameras, watches, furniture, Chinese antiquities, and jewellery. The popularity of the items usually reflects the lower price tag in Hong Kong compare in other places in the world like Europe and North America. According to the study of the Department of Hotel and Tourism Management in 2001, 68% of the shoppers purchased clothing and footwear, 50% bought jewellery, accessories and gifts and 22% bought electronic gadgets. It is important to consider that the primary reason why the products dominated the market is due to the attractive price. On the other hand, the consumers are also considering the variety of goods, quality, fashion and even novelty in their buying behaviour (Timothy, 2005).


1.1.3     Mainland Chinese Tourists

Due to the closeness of mainland China and Hong Kong in terms of geography and even culture, the number of en route tourists from China is higher compare to other countries in the world (Qui Zhang, Pine & Lam, 2005). Thus, the increasing number of mainland Chinese tourists in the city can be identified as one of the most important factors contributing to the success and continuing growth of the Hong Kong tourism and entire economy.


            The fact can be seen from the statistics that have been released and reported by the Hong Kong Tourism Board that during the first half of 2008, the same-day visitors made up close to half of all the arrivals from the Mainland China from 41% of the last year (Chan, 2008). Furthermore, people from Mainland China believe that Hong Kong is a major trend setter in terms of fashion and style.


            Tourists from mainland China, spend most of their money on shopping when they came to Hong Kong. During 1996, shopping took the 63% of the total expenditures. From 1996 to 2001, visitors in the city is spending more and more on shopping, that had increased to 64% during 2001 (Zhang & Pine, 2005, p. 74). This shows that shopping is considered as one of the most important motivation of the Mainland Chinese visitors in the city. Table 1 shows other important spending activities of tourists in Hong Kong.


Table  SEQ Table \* ARABIC 1 Spending Activities of Tourists in Hong Kong


Activities


Spending Percentage (1996)


Spending Percentage


(2001)


Shopping


63%


64%


Hotel


17%


15%


Meals Outside Hotel


11%


13%


Source: (Zhang & Pine, 2005, p. 74)


Chinese visitors are likely to stay in less expensive hotels and devote more of their money in spending for different luxury goods, dedicating a large 73% of their outlay to shopping (Chan, 2008). It shows that shopping has a strong influence and motivation towards the mainland Chinese travellers in Hong Kong.


It is obvious that that shopping travel has become one of the most important activities by tourists in the city. Since the culture, consumer behaviour, and expenditure patterns of Mainland Chinese might be different from those from other countries, it is critical for the retail shops to provide tailor-made service in order to attract them to buy the products and services. It would be the primary concern of the Hong Kong tourism industry. Therefore, service quality plays an important role in increasing Hong Kong s’ tourism industry and attracting the largest inbound tourist market – Mainland Chinese. Previous observations indicated that customer satisfaction will lead to changes of decision-makers in the tourism industry (Zhang & Chow, 2004). It is necessary to analyse if this group of tourists are satisfied with the service quality experience in Hong Kong, and make recommendations to the retail shops on how to modify or improve their service quality in order to attract them.


1.2      Problem Statement

Due to the fact that there are many retail shops in the city, and there are vast number of tourists that are from different nationalities and regions, it can affect the quality of service that the shops are offering to their consumer. Some service providers might be especially trained to deal with different nationalities of tourists, while some others do not focus in serving tourists. All of them are facing the same situation: tourists from Mainland China can walk in shops randomly and select whatever they want if they are satisfied with the products and services. Therefore service quality in this research will apply to all retail shop service providers in Hong Kong whether their target customers are tourists or not. Although there have been a few studies exploring service quality of many service sectors in Hong Kong, such as tour guide (Zhang & Chow, 2004), travel agents (Lam & Zhang, 1999), and the hotel industry (Qu &Sit, 2007), little attention has been paid to shopping service. As shopping has become one of the most important motivations for Mainland Chinese to travel Hong Kong, it is therefore critical to examine tourists’ satisfaction with shopping service and enrich the knowledge in this field.


1.3      Research Objectives

The aim of this research is to examine whether Mainland China tourists are satisfied with their shopping experience, and whether they are satisfied with the service quality in the retail shops of Hong Kong. The research is expected to achieve the following objectives. 


1)    To identify the different critical success factors for retail service providers in servicing Mainland China tourists;


2)    To examine Mainland China tourists satisfaction with the service quality in the retail shops;


3)    To compare the current perception of mainland Chinese towards high quality shopping services, with their past and present shopping in different stores in Hong Kong;


4)    To identify ways for the retail shops to build customer satisfaction for Mainland China tourists;


5)    To provide implications to decision-makers in the retail shops on how to enhance service quality to attract Mainland China tourists.


 


 


1.4      Significance of the Study

This study conducts a comprehensive approach in order to examine the Chinese tourists’ satisfaction with the quality of shopping service in Hong Kong. The findings of this study will provide both academic and empirical contributions. Academically, the result of this study will help to generate information on the concept of customer satisfaction. Empirically, this study serves as a valuable source of information on how the Hong Kong retail shops may change its service quality in order to cater the culture and consumer behaviour of the Mainland China tourists. With regard to the student, this research will enhance his knowledge and understanding regarding the service quality and tourism that will serve as a preparation for better career prospects in the future.


 


 


 


 


 


 


 


 


 


 


 


 


2      Chapter 2 Literature Review 2.1      Tourism in Hong Kong

In 2007, the tourism industry of Hong Kong set new record with more than 28 million visitors’ arrival of up to 11% compare to the record last year. Most of the long haul and short haul markets such as the Americans, Europeans, Australians, and Southeast Asians have recorded a steady growth. On the other hand, the Mainland China was still the largest source market with the total arrivals that have increased by 13.9% or more than 15.4 million (Tourism Commission 2008). The result show that about 54% of the total number of the inbound tourists in the year is from Mainland China (Hong Kong Government 2008). Due to the growing number of tourists, there is no doubt that tourism is still one of the most important economic pillars of the city. This is due to the fact that it has a great impact over the employment rate and other economic and financial aspect of the city.


Based on the figures and numbers regarding the growing number of Mainland Chinese visitors in the city, it concluded that visitors from the Mainland China has a great influence and roles in the development of the entire Hong Kong tourism industry.


The decision of the tourists, primarily the Mainland Chinese tourists regarding visiting or revisiting the city may be depended largely and influenced by their satisfaction with the city’s attractions, facilities and the quality of the services in the industry during their trips. In addition to that, their experiences can be shared to their friends that might affect their decisions to visit the city.


Based on the analysis summarized above, the tourists have a strong control over the flow of development and growth, it is important for the different service providers and tourism-based companies and organizations to bring revolutions and innovations in the service quality to sustain their individual as well as nation’s competitive advantage (Seybold, 2001). Tourists’ satisfaction in the tourism sector depends largely on the service providers in the destinations. Satisfied customers are likely to have higher expenditure and revisit the destination (Ryan, 1995). The more the tourist revisits the place, the more he/she would continue to purchase from those that have rendered satisfaction to the tourist in the previous trip. It is obvious that service quality has major impact on the success of the tourism industry of a destination. That is why every company in the tourism including retail shops, hotels, restaurants, travel agents, coach companies, and excursions, should try their best to provide the best service quality to tourists.   


 


 


 


 


 


 


2.2      Shopping Tourism

The entire retail market is showing a continuous growth due to the increasing number of tourists that are coming from the Mainland. The ever increasing purchasing power of the mainlanders, results to the continuous appreciation of retailing and it helps to motivate as well as encourage the demand for retail shops.


Customers have more knowledge in making purchasing decisions due to the efficient access to information. Retailers are facing a group of knowledgeable and more sophisticated customers than before. Apart from the products pricing and quality, tourists are also concerned on how they are being served and treated. They are more affluent, more mobile, and less loyal to the retailers unless they can provide the products and services that they expect to receive by paying the price (Morgenstein & Strongin, 1992).


The benefits that customers like to seek differ dramatically by the type of retailers. Some shoppers look to mass shops for low prices, convenient locations, and a good returns/exchange policy. Others look for up-to-date designs, high quality products, and the best service. McDonald (1993) classified shoppers into six categories based on their decision-making style, which are loyalist, value, fashionable, diverse, recreational, and emotional shoppers. Figure 2 illustrates the service process matrix by Schemenner, it is a classification matrix of the service industry firms that is based on the characteristics of the individual service processes of service (Helms, 2006).


 


Figure  SEQ Figure \* ARABIC 2 The Service Process Matrix (Schemenner 1993)


 


 


 


 


 


 


 


 


 


 



 

Adapted from: (Greasley 1998, p. 66)


            The classification characteristics include the degree of labor intensity and a jointly measured degree of the customer interaction as well as equipment. The labor intensity can be defined as the ratio of labor cost to the plant and equipment. On the other hand, the customer interaction pertains on the degree where in the customer can intervene in the processes of the service.


            The figure shows that retailing belongs to the lower left quadrant that tackles on the different firms that have a high degree of labor intensity. However, it has a low degree of interaction and customization. It means that retailing business or retail shops requires a high content of time as well as effort with comparatively little plant as well as equipment cost, it can be said to be labor intense. Thus it shows that customers of retailing business will receive low degree of interaction, meaning that there will be an undifferentiated service provided in the labour-intensive environment.


2.3      Service Quality

There may be different perceptions to quality and quality assurance. Crosby (1995) summarized his quality management philosophy as: 1) the definition of quality is conformance to requirements; 2) the system of quality is prevention; 3) the performance standard is zero defects; and 4) the measurement of quality is to price of non-conformance. On the other hand, Deming (Walton, 1986) defined quality in terms of customer satisfaction. He developed the concept of quality as a management activity using fourteen points for management to seek commitment and stewardship of quality, which can be regarded in terms of three broad philosophical categories – constancy of purpose, continual improvement, and cooperation between functions. Juran (2000) expressed his approach to quality in the form of Quality Trilogy that involves three basic processes – quality planning, quality control, and quality improvement. He identifies ten steps to quality: 1) build awareness of opportunities to improve; 2) set goals for improvement; 3) organize to reach goals; 4) provide training; 5) carry out projects to solve problems; 6) report progress; 7) give recognition; 8) communicate results; 9) keep scores; and 10) maintain momentum by making annual improvement part of the regular systems and processes.


As the business environment evolves and competition becomes more acute, quality also takes on a broader perspective. Basically, the overall goal of quality is the achievement of customer satisfaction and market success leading to business excellence. As stated in the ISO 900 quality standards:


1) Business is a team work, in which everyone should know their part and play their part; 2) Management should establish a policy for quality attainment that is understood by all; 3) Activities need to be carried out in ways which are as effective and as efficient as possible for the business concerned; 4) Any management system must be dynamic, updated and monitored to cope with changes in business scopes and technologies (Peach, 1997).


Quality system is not something imposed on top of other business systems; it is the system of the business (Juran, 2000). Quality is being seen as an increasingly important element in defining a service provision. It is an important basis that customers use for differentiating between competing services. The service quality can normally only be assessed once the service has been consumed, which is unlike a tangible good that can usually be assessed by examination (Palmer, 1998). Therefore, the purchase decision process for a service usually involves more risk than in the case of tangible goods.  It is not sufficient for a service provider to set quality standards according to assumptions of customer expectations. Customers often attach the quality of the service provider with the service being provided (Lovelock & Wirtz, 2003). This makes consistency in service quality even more complex and difficult. Many analysis of service quality has attempted to distinguish between objective measures of quality and measures, which are based on the more subjective perceptions of customers. Analysis of service quality is further complicated by the affect that production and consumption of a service generally occur simultaneously (Zeithaml, Berry & Parasuraman, 1996).


It is important to meet the expectations of the customers in order to gain competitive advantage due to the fact that it can help to gain loyalty from the customers. That is why it is important for any firm and industry to focus on the different activities and plans that will help to understand and analyze the customer expectations. It can be done by conducting different researches that will focus on the quality service such as customer continuous customer surveys, formation of customer panels, transaction analysis, perception surveys, complaint analysis, employee research as well as industry research (Zeithaml, Berry & Parasuraman, 1993). This will enable the firm to know about what will motivates them to buy and avail of specific product and service.


2.4      Tourists Satisfaction

Customer satisfaction is regarded as a post-consumption evaluation that depends on perceived quality or value, expectations and confirmation or disconfirmation in the deviation between actual and expected quality (Anderson, Fornell & Lehmann, 1994). Customer satisfaction is a complex human process, which involves cognitive and affective process, besides other psychological influences (Oh & Parks, 1997). Customer satisfaction involves need fulfilment, pleasure, displeasure, expectation-performance interactions, evaluation of the purchase, consumption experience, and evaluation of the benefits of consumption (Hunt, 1997).


Customer satisfaction with total retail experience is a goal most retailers should target. They can listen to criticisms and adapt appropriately by gearing the overall mission and goals to customer satisfaction. If shoppers are satisfied, other corporate goals are more easily achieve (Berman & Evans, 2006). No matter what product or service is provided, customer satisfaction is always one of the important criteria that businesses would consider in formulating their strategies. Any deviation between customer expectation and customer experience would cause dissatisfaction. If the perceived performance of the product is below customer expectations, it would cause negative disconfirmation of expectation thus leading to disappointment and dissatisfaction of the customer. On the contrary, if the performance matches customer’s expectations, it would lead to neutral feeling (Oliver, 1980). The extent of discrepancy between customer’s expectations or desires and their perceptions of the quality of service is generated through word-of-mouth, personal needs, experience and external communications that influence customers’ expectations (Parasuraman, Zeithaml & Berry, 1990). Expectation is the desire or wants of customers, and what they feel a service provider should offer rather than would offer (Parasuraman, Zeithaml & Berry, 1990). The term expectation has been used to represent what customers ideally want, which is termed as normative expectation (Cove, 2004). The expectations component is designed to measure customers’ normative expectations (Parasuraman et al., 1990). It is viewed as predictions made by customer about what is likely to happen during a coming transaction or exchange (Zeithaml et al., 1993).


Satisfied customers demonstrate considerable customer loyalty in respect of a product or service that they have already purchased previously from the same supplier (Yeon et al., 2006). Repeated purchases build and broaden a solid customer base. Therefore, loyal customers are in fact assets of a company.  Increasing customer satisfaction is an effective and efficient way to improve company performance and image, which may increase sales and build better reputation. It is apparent that satisfaction rating has close relation to the degree of company success (Anderson & Sullivan, 1993).


Basically, customers perceive their experience with the service in terms of all the different actions of the employees of the service provider, which include the behaviours, knowledge, response, personality, attitude, communication skills, attire, and other attributes (Peppers & Rogers, 2005). In addition, the attributes of the company are also important. A customer can create value for a company by purchasing its service or products today, or repeat further purchases in the future (Peppers & Rogers, 2005). With customer loyalty, the company can expect higher “return on customer”, which is tracked by how much business the customer has given to the company throughout his lifetime (Peppers & Rogers, 2005). 


 


 


 


 


2.5      Importance-Performance Analysis (IPA)

Importance-Performance Analysis or IPA is originally a marketing research tool, but it had received a considerable attention in different fields and disciplines. From then on, it had become a widely used and applied tool both in self-assessment and competition analysis, particularly in the process of evaluating the service delivery system as well as customer satisfaction (Baloglu & Love 2003). IPA was introduced by Martilla and James in 1977 in order to examine the performance of an auto dealers’ service department. From then, it had become one of the most used and popular tool in performance measurement, primarily because of its simplicity, ease of applicability as well as visual attractiveness to the decision makers. The application areas include healthcare, education, tourism and leisure, hotel and restaurants (Baloglu & Love 2003).


Figure  SEQ Figure \* ARABIC 3 Importance-Performance Matrix (Martilla & James, 1977, p.78)


 


 


 


 


 


 


 


 


 


The top left quadrant indicates the area of highest leverage for service quality improvements, where importance is high while performance is low. The attributes in this quadrant have the most need for improvement. In the top right quadrant are the attributes to maintain. They are the ones that a company performs well and that are very important to customers. The low were two portraits contain attributes that are less important, some of which are performed well and others poorly. Neither of these quadrants merits as much attention in terms of service improvements as the upper two quadrants because customers are not as concerned about the attributes that are plotted in them as they are the attributes in upper two quadrants.


    By identifying the attributes that are important to the customers from the quadrants and comparing with the experienced performance of the retail shops, it is possible to evaluate whether the customers have customer satisfaction with the retail shops or not.


2.6      Summary

The above literatures reviewed the relationship between tourism and the businesses in Hong Kong. They further present the general situation in shopping tourism, the importance of service quality and customer satisfaction to cooperate success. The chapter introduces a measurement tool – the importance-performance analysis, which can be used for evaluating and confirming the attributes and degree of customer satisfaction versus expectations in the retail shops. The succeeding chapters will further explore the methodology and the findings attained based on the importance-performance analysis that will be adopted for this research.


3      Chapter 3  Research Methodology 3.1      Research Design

This study is a descriptive research, which is a research that intends to show facts that concerns with the current status and situation, as it exists at the time of the study (Creswell, 1994). It also help to focus on the relationship and practices that exist, together with the beliefs and processes that are going on, thus affects things that are in demand or in trend. Furthermore, it can help to describe the current situation based on the impression and reactions of the respondents of the study (Creswell, 1994).


Fundamentally, a descriptive research utilizes observations and surveys. That is the reason this approach was chosen by the researcher, whose intention is gather first hand data from respondents. Furthermore, it also allows flexible approach that when new issues arise during the study, a further investigation can be conducted in order to fill the gap. Apart from this, the research will also be allowed to drop different unproductive areas of research from the original plan of the study. Above all, it will be fast and cost-effective.


Primary data was collected directly from conveniently selected Mainland Chinese tourists. It used a set of questionnaire at various major tourist attraction spots where most Mainland China tourists like to visit. First of all, a pilot test was undertaken to test the wording, and time completing a questionnaire. Secondly, the final survey was conducted on a convenience sample. The questionnaire was designed in a way that was straightforward enough that respondents only needed to spend minimal time in the process (Creswell, 1994). 


3.2      Sampling

The target sample of this study is Mainland Chinese tourists. A total of 200 questionnaires were distributed to the target sample by convenience sampling. Convenience sampling is picked over types of probability sampling because it will make the survey faster and easier. The criteria for the sampling are that the respondents should be Chinese and tourist from China. These specific demographic requirements have been put in the study so as to make the results more specific.


3.3      Questionnaire Development

The entire questionnaire was constructed in Mandarin, due to the fact that it is the official language in mainland China. In addition, because the respondents were chosen in convenience sampling and the research was interrupt their activities for the day, close-format questions were used in order to make it easier and faster for the respondents to answer.


A ranking approach used to measure the degree of importance and satisfaction level of the respondents on several statements. A five-point Likert Scale was used in this measure. In the Likert scale, the degree of importance and irrelevance or satisfaction and dissatisfaction was given a numerical value ranging from one to five, thus a total numerical value can be calculated from all the responses (Underwood, 2004). The equivalent weights for the answers were:


Range                                                Interpretation


4.50 – 5.00                            Very Unimportant/Very Dissatisfied


3.50 – 4.00                            Unimportant/Dissatisfied


2.50 – 3.49                            Not Sure


1.50 – 2.49                            Important/Satisfied


0.00 – 1.49                            Very Important/Very Satisfied


 


A survey instrument was created in order to gather the perception of the tourist’s shoppers regarding the importance of attributes as well as performance of the retail shops. The questionnaire were contained 40 questions that helped to rate the level of importance of the customer satisfaction.


The questionnaire includes two parts. The first part contained a set of attitude statements while the other part intended to acquire the demographic profile of the respondents. The purpose of the set of attitude statements was to determine the level of importance. Furthermore, the questions were asked for the overall rating of the shoppers regarding their satisfaction in the retail shops that they have visited.


3.4      Measurement

This research made use of the Importance-Performance Analysis to evaluate customer satisfaction and perceptions of Mainland China tourists for decision-makers in the retailing industry (Martilla & James, 1977). We often wonder why customers stop purchasing a particular product or service after a while. This is because there are different factors that must be considered in order to fully understand how the customer satisfaction affects the entire buying behaviour and their interest on the given product. Despite favourable customer satisfaction survey results, some companies still lose customers. Many companies have made a variety of customer satisfaction measurements in order to understand the complex behaviours of customers and capture a larger market share. These measurements usually involve surveying customers about the rating of a company’s products or services in terms of satisfaction dimensions using numerical scales. However, real customer satisfaction is based on much deeper values, which are developed by continual relationships and experiences between a company and its customers. Therefore, tracking and measuring real customer satisfaction is one of the most important objectives of companies.


Tourists’ satisfaction towards shopping service was measured by 16 attributes. The attributes of the questionnaire came from the previous literature that have been gathered and review that tackles the same issue of subject. It also used different online reactions, blogs and forums that tackle the issue of shopping satisfaction.


3.5      Data Collection

            Survey was chosen as the means to collect the primary data due to the fact that it can help to understand the respondents as well as define the existence and magnitude of the problems. In addition, the survey data can also help to determine the different issues that are related to the satisfaction of the tourists, together with the characteristics of the shopping tourism industry in Hong Kong (Commonwealth of Learning, 2000).


The recruitment of respondents and the dissemination of the survey questionnaire were conducted in four major shopping areas in the city, where most of the Mainland Chinese tourists often go. The four shopping areas are: Mongkok, Tokwawan, Sheung Wan and Causeway Bay.


3.6      Data Analysis

All data was evaluated using the latest SPSS software. The weighted mean and percentage of the responses were calculated. The data results of the study were analyzed by determining their corresponding frequency, percentage and weighted mean. The following statistical formulas were used:


1.     Percentage – to determine the magnitude of the responses to the questionnaire.


n


% = ——– x 100        ;           n – number of responses


                        N                                             N – total number of respondents


2.     Weighted Mean


            f1x1 + f2x2  + f3x3 + f4x4  + f5x5


x= ———————————————  ;


                                                  xt                                                                         


where: f – weight given to each response


                        x – number of responses


                        xt – total number of responses


 


 


In addition, descriptive analysis such as the frequency, mean and standard deviation were conducted in order to examine the demographic profiles of the visitors. The Crobach’s Alpha was calculated in order to test the reliability of the importance of the performance of the Shopping industry of Hong Kong perceived by the Chinese visitors. A factor was considered significant if its Cronbach’s alpha was 0.70 or above (Zhang & Chow, 2004). The Cronbach alphas is 0.79 for the entire 16 importance items and 0.82 for the 16 performance items, which are all above the said minimum value, which indicates the reliability of the attributes (Qu & Yung Sit , 2007).


The importance and performance mean scores of each attribute in the questionnaire was calculated and then plotted into two-dimensional grid with the vertical axis of importance values and a horizontal axis of the performances values. For positioning the crosshairs of the grid, the overall means of the importance as well as performance score were used. Thus, using the mean scores for the crosshair positioning is considered as more critical approach than using the middle point of the scale or some arbitrary point. The two-dimensional grid displayed the following four quadrants: Keep up the Good Work with high on importance scale and high on performance scale; Concentrate Here with high on importance scale and low on performance scale; Possible Overkill with low on importance scale and high on performance scale; and Low Priority with low on importance scale and high on performance (Okata, Lankford & Inui, n.d.).


3.7      Limitations

The limitation of this study was that many potential sources of selection bias would occur as the interviewer has the full power to determine which respondent to interview. In addition, convenient samples can not represent any population, and this may limit the generalability of this study.



 
4      Chapter 4 Presentation, Interpretation and Analysis of Data 4.1      Findings and Discussion

This chapter presents the data gathered from the questionnaires conducted by the researcher from the respondents that will help to answer the developed research question. From 200 questionnaires distributed to the overall population of respondents, a total of 130 participants returned valid responses and made up the sample of this study, representing a response rate of 65%. The findings of the study are presented in two sections. Part One presents the profile of the respondents of this study. The second part will be the discussion of the result based on the questionnaires that were conducted by the researcher. The main objective is to determine different factors that are affecting the preferences and satisfaction of the consumer towards the shopping tourism and services in Hong Kong.


The conduct of this study involves a detailed account of the demographic profile of the respondents, because it is assumed that the said attributes can influence their behavior and answers on the survey questions. The said attributes are related to the shopper satisfaction which can be determined by four important elements such as: product characteristics; service and performance; customer characteristics and behavior, together with the different environmental influences (Timothy, 2005, p. 1973)



 
4.1.1      Demographic Profile

            Mathieson & Wall (1982) stated that demographic profile of the respondents such as the age, gender, education as well as income, together with the prior experiences could influence their attitudes, perceptions as well as motivations, then affect their travel decisions (Tosun, Temizkan, Timothy & Fyle, 2007).


Table  SEQ Table \* ARABIC 2 Demographic Profile of Respondents


Demographic Profile


Frequency


(N = 130)


%


 


Gender:


Male


Female


 


52


78


 


40


60


 


Age:


25 – below


26 – 35


36 – 45


46 – above


 


39


20


53


18


 


30


15.4


40.8


13.8


 


City/Province:


Shanghai


Beijing


Guangzhou


Shenzhen


Dongguan


Tianjin


Hangzhou


Guiyang


Xiamen


Chongqing


Changsha


Shandong


Yunnan


Jilin


 


43


27


14


9


4


5


7


5


2


7


1


3


1


2


 


33.1


20.8


10.8


6.9


3.1


3.8


5.4


3.8


1.5


5.4


.8


2.3


.8


1.5


 


            Table 2 shows the demographic profile of the respondents. It can be observed that the number of female respondents is somewhat far from the number of male respondents. There were 52 males (40%), compare to 78 (60% of female). The said number is not that surprising because there is a vital difference between the attitudes of male and female towards shopping. Jansen-Verbeke (1987) stated that women are generally more positive about shopping than men; as a result, women tend to spend more money in shopping than men do (Tosun et al., 2007). Aside from that, for women, shopping is considered as a joyful experience while men perceive it as a task, not an adventure (Evatt, 1993, p. 140).


            The main age group was 36 – 45 years old, which represents the majority  of 40.8%. The next three groups were 25 – below (30%), 26 – 35 (15.4%) and 16 – above (13.8%). In terms of the geographic group, it can be observed that majority of the respondents were from major cities and large province in China.


The result shows that majority of the respondents came from Shanghai, garnering a total of 33.1% or 43 individual visitors. 20.8% or 27 are from Beijing, while 10.8% or 14 are from Guangzhou. In addition, there are a total of 9 people or 6.9% of the entire respondents that are from Dongguan, and 3.1% to 3.8% are from Tianjin. Hangzhou contributed 7 persons or total of 5.4% and Guiyang with 3.8% or total of 5 persons. There are also 2 persons from Xiamen or total of 1.5%, 7 persons from Chongqing or 5.4%; 1 person or .8% from Changsa; 3 persons or 2.3% from Shandong; 1 person or .8% from Yunnan; and 2 persons or 1.5% from Jilin. Based on that result, it can be observed that majority of the Mainland Chinese visitors came from huge cities in the country, while minority of the entire respondents came from the province.


 


 


 


 


 


 


4.1.2      Pre-Shopping Attitude

Knowing the different pre-shopping attitudes can help the different tourism stakeholders, particularly the different shop operators to design successful and proficient strategies in order to make the region more attractive to shoppers.


Table  SEQ Table \* ARABIC 3 Pre-Shopping Attitude of the Respondents


Pre-Shopping Attitudes


Frequency


(N = 130)


%


 


First Time Visitors:


Yes


No


 


 


37


93


 


 


28.5


71.5


 


No. of Visit in Hong Kong:


Once


2 – 3 times


4 – 5 times


More than 5 times


 


 


 


21


46


17


9


 


 


 


22.6


49.5


18.3


9.7


 


Reasons for Visiting Hong Kong:


Quality of Products and Services


Accessibility


Low Price


Huge Variety of Products


Plenty of Place to Go


 


 


 


108


 


96


130


73


99


 


 


 


21.3


 


19


25.7


14.4


19.6


 


Common Products/Items to Buy:


Clothes


Accessories


Footwear


Jewellery


Electronic Gadget


Others: Food


 


 


 


127


106


89


98


114


57


 


 


 


21.5


17.9


15.1


16.6


19.3


9.6


 


Amount to be Spent:


Less Than RMB5000


RMB5001 – 10000


RMB10001 – 20000


RMB20001 – 30000


RMB30001 and above


 


 


25


27


33


16


29


 


 


19.2


20.8


25.4


12.3


22.3


 


            The following pre-shopping attributes, are considered as those aspects that has a direct impact on the behavior or perception of the visitors in the shopping industry. Majority or 93 (71.5%) of the respondents are no longer new to the city, or those visitors who have visited the city before, while there are only 37 (28.5%) are first-timer in the city. Out of 93, majority of the respondents stated that they are visiting the city from twice to thrice time a year; the second group stated that they visit the city once a year. The remaining minority group declared that they are visiting the city for 4 – times (17 or 9.7%); and more than 5 times a year (9 or 9.7%).


            The primary reason of the respondents in shopping or visiting the city is the availability of cheap and affordable products and services (130 or 25.7%). Other says that it is because of the quality of the products and services (108 or 19%); the huge varieties of place to go to (99 or 19.36%); and the huge selection of products and services being offered by shops in the city, due the mix of culture (73 or 14.4%);


            Out of the huge varieties of products that are available in Hong Kong, the most requested product for the respondents is clothes (127 or 21.5%). It can be observed that the respondents are very particular with fashion regarding their shopping activity, that is, aside from clothing, respondents focused on buying accessories (106 or 17.9%); footwear (89 or 15.1%); and jewellery (98 or 16.6%). On the other hand, the respondents tend to buy electronic gadget (114 or 19.3%). The minority of respondents focus on buying food, whenever they have the chance to visit Hong Kong (57 or 9.6%).


            Above all, in terms of financial aspect, majority of the respondents declared that they are likely to spend a total of RMB10001 to 20000, in each visit in the city. While, other spend RMB30001 and above (29 or 22.3%); RMB5001 – 10000 (27 or 20.8%); less than RMB5000 (25 or 19.2%); and RMB20001 – 3000 (16 or 12.3%).


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


4.1.3     Perceived Importance of Hong Kong Stores’ Service Quality Attributes

In order to address the perceived importance of the shopping stores’ quality attributes by the Mainland Chinese visitors in Hong Kong, the means and standards were calculated. The result is presented with accordance to the mean of the result, showed in table 4.


Table  SEQ Table \* ARABIC 4 Mean Ranking for Importance of Shopping Stores’ Service Quality Attributes


Store Quality Attributes


Mean


Std. Deviation


Rank


Authenticity


5.000


.000


1


Language ability


4.985


.175


2


Offers many variety of products


4.970


.457


3


Cleanliness and safety of the places and facilities


4.946


.227


4


Courtesy, politeness and respect received by the shopper from the staff


4.931


.309


5


Accessibility, near the transportation system


4.823


.457


6


Longer Opening Hours


3.808


1.295


7


Visually Appealing External Appearances of the store


4.777


.470


8


Reliability and dependability of staff


4.684


.598


9


Choice of Payment Methods


4.639


.659


10


Good Location


4.623


.638


11


Provide services in timely manner


4.623


.819


12


Knowledge of products and attentions to the details


4.608


.894


13


Visually appealing appearance of the staff


4.531


.728


14


Lighting and ambiance


3.338


1.279


15


Consistency of service by the staff


4.154


.927


16


 


All of the 16 service qualities, had mean score that is higher than 3, ranging from 5, or considered as perfect scores, which shows that all of the Chinese respondents considered all of the said attributes between very important and important.


The top 3 attributes that are very important for the respondents are: authenticity (mean = 5), which have garnered a perfect score from the respondents. The said aspect is very important because it is the primary factors that bond the shoppers and the shops, thus, it also help to build loyalty. Aside from that, the term authentic does not only imply on being genuine or real of a given product, it also pertains on different aspects, primarily, the uniqueness of the product (Timothy, 2005, p. 79).


In addition, Chinese shoppers considered the language ability of the staffs of stores (mean = 4.970) as another important attributes. Although sign language of bargaining in shopping tourism is fairly universal, language is a vital factor in communication between the shopper and the shops (Goeldner & Ritchie, 2006, p. 344). Furthermore, the availability of vast variety of products inside a store is also another important factor for the Chinese shoppers (mean = 4.970).


Mainland Chinese visitors considered cleanliness and safety of the places and facilities (mean = 4.946). This is because the said factors are the primary factor that gives the customers the urge whether to visit or enter a store. In connection, the Chinese visitors are also very particular with the direct connection of the store keeper or managers towards them, as a result, the courtesy, politeness and respectfulness of the staffs are also necessary (mean = 4.931).


Transportation is one of the important factors that can directly impact the shopping industry of a given place, thus, the said factor is also being considered by the Chinese visitors in choosing the stores that they will visit. They believe that it will be good if the place is accessible and near the transportation system (mean = 4.823). The said attribute is followed by the long opening hours of the store (mean = 3.808), and the visual appeal of the façade of the store (mean = 4.777). The Chinese visitors also pertains on the different characteristics of the staffs, particularly their reliability and dependability (mean = 4.684). The respondents also believe that it is very important for a store to have different choices of payment method in order to cater to the different demands of the customers (mean = 4.639). The location of the store is also important which pertains on the different external or environmental aspects (4.623).


Due to the fact that there are some Chinese visitors who aim to stay for one day for shopping purpose only, the time they spent in one store is very important. That is the reason why the respondents consider the services being offered in timely manner as another important factor (mean = 4.623). The said factor is connected to the knowledge of the staffs regarding the different products being offered, with a great attention on the details (mean = 4.608).


The three least factors considered by the respondents in stores’ service are visual appeal or appearance of the staff (mean = 4.531); lightning and ambiance (mean = 3.338); and consistency of service by the staff (4.154).


Above all, it can be observed that standard deviation of each attributes is not high. The standard deviation is computed as the average distance from the mean. Thus, it mean that the larger the standard deviation, the more spread out the values are, and more different they are from one another (Salkind, 2006, p. 75). Due to the fact that the standard deviations of the attributes are between 0 – 1.5, the variation of the respondents’ opinions was small.


 


 


 


 


 


 


 


 


 


 


4.1.4     Performance of Hong Kong Shopping Stores

The mean score of the performance statements regarding the experience of the Mainland Chinese visitors in different Shopping store in Hong Kong about the same 16 attributes were also calculated. The survey result and the ranking are presented in table 5.


It can be observed that the means scores for all of the16 attributes ranged from the highest of 4.931 to the lowest of 3.338. The said result showed that the respondents are very satisfied and satisfied with the service of shopping stores in Hong Kong. In addition, like the result of the perceived importance, the standard deviations are not that high.


Table  SEQ Table \* ARABIC 5 Performance Statement of the Shopping Stores in Hong service Quality


 


Service Quality Attributes


Mean Score


Standard Deviation


Rank


Offers many variety of products


4.931


.255


1


Reliability and dependability of staff


4.746


.532


2


Provide services in timely manner


4.684


.798


3


Cleanliness and safety of the places and facilities


4.669


.576


4


Choice of Payment


4.369


1.005


5


Good Location


4.646


.555


6


Consistency of service by the staff


4.592


.593


7


Language ability


4.446


.988


8


Accessibility near the transportation system


4.446


.997


9


Visually appealing external appearances of the stores


4.538


.716


10


Knowledge of products and attentions to the details


4.315


1.194


11


Visually appealing appearance of staff


4.308


.971


12


Courtesy, politeness and respect received by the shopper from the staff


4.169


1.208


13


Authenticity


4


1.093


14


Longer Opening Hours


3.615


1.272


15


Lighting and Ambiance


3.338


1.279


16


 


The mainland respondents or visitors gave the top ratings to: offers variety of products (mean = 4.931), reliability and dependability of staff (mean = 4.746) and provide services in timely manner (mean = 4.684). It means that the mainland Chinese visitors in Hong Kong perceived the city as a place where in they can find different types of products, thus, all of the services and assistance will be given to them in timely manner, because staffs are dependable. The said aspect is considered as the primary aspect of shopping stores, primarily because some of the shoppers have limited time shopping.


Aside from that, the mainland Chinese visitors also give a high score in terms of the cleanliness and safety of the places and facilities (mean = 4.669), with connection to the good location (mean = 4.646); accessibility or being near to the transportation system (mean = 4.446). They also perceived shopping stores as reliable, because they offer choices of payment (mean = 4.369). In terms of the characteristics of the staffs, the Mainland Chinese visitors are very satisfied with the consistency of service by the staff (mean = 4.592), language ability (mean = 4.446), knowledge of products and attentions to the details (mean = 4.315) and visually appealing appearance of the staffs (mean = 4.308).


In contrast, the Mainland Chinese visitors gave the four worst ratings in the courtesy, politeness and respectfulness of the staffs (mean = 4.169), authenticity (mean = 4), longer opening hours (3.615) and lighting and ambiance (mean = 3.338). The first attribute can be because of the different culture between the Mainland Chinese and the Hong Kongers. Thus, it will be important for the different stores to focus on this aspect. Regarding the issue of authenticity, the primary reason that affected the perception of the respondents is the past record of Hong Kong regarding counterfeited products. On the other hand, the longer opening hours is affected by the time to be spent by the visitors. On the other hand, in terms of lighting and ambiance, it can be said that the said factor is not that important for the visitors.


 


 


 


 


 


 


4.1.5     Importance Performance Analysis of Hong Kong Shopping Stores

In order to compare the importance of the Hong Kong shopping stores quality attributes, with the perceived performance by the Mainland Chinese visitors, IPA was applied. The mean scores and standard deviations of the perceived importance of the 16 quality attributes, and the performance of the shopping store in Hong Kong were calculated and showed in table 6. The results were plotted in the IPA grid, which is showed in Figure 4. The grand means for the importance and performance were used for the placement of the axes on the grid (Chu & Choi as cited in Zhang, 2004, p. 88).


Table  SEQ Table \* ARABIC 6 Perceived Importance and Performance of Shopping Store’s Service Quality Attributes


 


Store Quality Attributes


Mean


SD


Mean


SD


A. Authenticity


5


.000


4


1.093


B. Language ability


4.99


.175


4.45


.988


C. Offers many variety of products


4.97


.457


4.93


.255


D. Cleanliness and safety of the places and facilities


4.95


.227


4.67


.576


E. Courtesy, politeness and respect received by the shopper from the staff


4.93


.309


4.17


1.208


F. Accessibility, near the transportation system


4.82


.457


4.45


.997


G.Longer Opening Hours


3.89


1.295


3.62


1.272


H. Visually Appealing External Appearances of the store


4.78


.470


4.31


.971


I. Reliability and dependability of staff


4.68


.598


4.75


.532


J. Choice of Payment Methods


4.64


.659


4.37


1.005


K. Good Location


4.62


.638


4.65


.555


L. Provide services in timely manner


4.62


.819


4.68


.798


M. Knowledge of products and attentions to the details


4.61


.894


4.32


1.194


N. Visually appealing appearance of the staff


4.53


.728


4.54


.716


O. Lighting and ambiance


3.34


1.279


3.34


1.279


P. Consistency of service by the staff


4.15


.927


4.59


.593


Grand Mean


4.59


 


4.37


 


 


 


 


 


 


 


 


 


 


 


 


 


 



 
 

Figure 2 shows that there are 4 attributes identified in the Concentrate Here Quadrant, 9 in Keep u the Good Work, 2 in the Low Priority Quadrant and 1 in the Possible Overkill Quadrant.


4.1.5.1    Concentrate Here Quadrant

The concentrate here quadrant captured four attributes: authenticity, politeness and respect received by the shopper from the staff, visually appealing external appearances of the store, and the knowledge of the staffs towards the products and attentions to the details. This means that the importance and performance ratings both fall short of service quality and standards (Wade & Eagles, 2003). In the case of the 4 attributes: authenticity (mean = 5, 4), accessibility (mean = 4.82, 4.45), visual appeal of the store (mean = 4.78, 4.31) and knowledge of products and attentions to details (4.61, 4.32).


The said result means that the store owners and keepers in Hong Kong must focus on improving their human resource and marketing towards the Mainland Chinese visitors.


4.1.5.2    Keep Up the Good Work Quadrant

Among all the 16 attributes, 9 were identified in the keep up the good work quadrant: language ability, accessibility, choice of payment method, good location, appeal of the staffs, timely offering of service, cleanliness and safety of the places and facilities, and variety of products. The reason why these attributes were captured by the keep up the good work quadrant is due to the fact that its importance and performance ratings both meet or even exceed the service quality standard (Wade & Eagles, 2003).


The said result presents the idea that the shopping stores in Hong Kong excel in the said areas of attributes. There are some attributes which shows that the performance of the Hong Kong shopping stores had exceeded the perceived importance of the Mainland Chinese visitors such as reliability and dependability of the staffs (mean = 4.75, 4.68), provide service in timely manner (mean = 4.68, 4.62) and the physical and visual appeal of the staff (mean = 4.54, 4.53).


As all the mean score ratings of performance were lower than those of the importance ratings, efforts must be made in order to maintain and improve the quality service in the said areas (Wade & Eagles, 2003). Those areas are: choice of payment method (mean = 4.37, 4.64), accessibility (mean = 4.45, 4.82), cleanliness and safety (4.67, 4.95), variety of products (mean = 4.93, 4.97) and language ability (mean 4.45, 4.99).


4.1.5.3    Low Priority Quadrant

There are two attributes that were included in the low priority quadrant: longer opening hours and the lighting and ambiance. It means that the performance scores do not meet the service quality standard; however the respondents do not place a high level of importance on the service (Wade & Eagles, 2003).


It means that shopping stores in Hong Kong is lacking in service or strategy regarding the attributes that are connected to the longer opening hours and lighting and ambiance. Although the performance of shopping stores in these attributes is below average, effort must be concentrated in these areas.


4.1.5.4    Possible Overkill Quadrant

There was only one single attribute, consistency of service by the staff, allocated to the possible overkill quadrant. This means that the performance score meet or exceed service quality standards, however, a low quality of importance is assigned to the said attribute (Wade & Eagles, 2003). Therefore, efforts should be towards maintaining high standard but without over-utilizing resources in the said area (Zhang & Chow, 2004).


 


 


 


 


 


 


 


 


 


 


 


 


5      Chapter Conclusion and Recommendation

 


This study had identified 16 relevant shopping store quality attributes and used IPA in order to compare them with accordance to the perceived importance and performance of the shopping stores in Hong Kong by the Mainland Chinese visitors. The instrument that has been developed in this study can contribute to the existing literature regarding the process of assessing the performance of shopping tourism.


The result of the study reveals that different shopping stores in Hong Kong perform their job well towards their mainland Chinese customers. Thus, they have to maintain their performance regarding their language ability, the personal or physical appearance of the staffs, fast service together with the cleanliness and safety of the place, together with the location where in each stores are positioned. Furthermore, shopping stores in the city are very appealing towards Mainland Chinese visitors because they are offering wide selections or varieties of products, at the same time, give them choices in terms of payment method.  


However, there are different weaknesses that are being perceived by the Mainland Chinese visitors that must be given attention by the shop owners and managers, which are:  human resource management and marketing. Human resource management must focus on training and management of the behavior and approaches of the staffs towards the customers, as well as their knowledge towards the products that they are being offered. On the other hand, in terms of marketing, it will be important for shops to focus on the visual appeal of their stores, at the same time, focus on enhancing their customer relationship by ensuring their customers that they are offering unique and authentic products.


 


 

 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


 


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7      APPENDICES 7.1   APPENDIX 1

 


COMPARISON OF TOTAL INBOUND VISITORS FROM CHINA


AND ALL OTHER COUNTRIES TO HONG KONG


 


Year


Visitors arriving from China


Annual growth


%


Total visitors arriving from all other countries


Annual growth %


Share of


China visitors


%


1984


214,854


-


3,303,719


-


6.1


1985


308,978


43.8


3,656,717


10.0


7.8


1986


363,479


17.6


4,052,641


10.0


7.0


1987


484,592


33.3


4,917,044


17.5


9.0


1988


683,604


41.1


6,167,221


5.4


10.0


1989


730,408


6.8


5,984,501


-3.0


10.9


1990


754,376


3.3


6,580,850


10.0


10.3


1991


835,062


16.0


6,795,413


3.3


10.9


1992


1,149,002


31.3


8,010,524


17.9


12.5


1993


1,732,978


50.8


8,937,500


11.6


17.2


1994


1,943,678


12.2


9,331,156


4.4


17.2


1995


2,243,245


15.4


10,199,994


9.3


18.0


1996


2,311,184


3.0


10,662,580


4.5


17.8


1997


2,297,128


0.6


8,976,249


-15.8


20.4


1998


2,597,442


12.9


7,562,204


-15.8


25.6


1999


3,083,859


18.7


8,244,413


9.0


27.2


2000


3,785,845


22.8


9,273,632


12.5


29.0


2001


4,448,583


17.5


9,276,749


0.0


32.4


2002


6,825,200


53.4


9,741,182


5.0


41.2


2003


8,467,200


24.1


7,069,639


-27.4


54.5


2004


12,245,862


44.6


9,564,768


35.3


56.1


2005


12,541,400


2.4


10,818,017


13.1


53.7


2006


13,590,000


8.4


11,660,000


7.8


53.8


Compound growth/annum


 


20.7%


 


5.9%


 


 


Source     A Statistical Review of Tourism, 1984-2006, Hong Kong Tourism Board


 


 


 


 


 


 


 


 


 


7.2   APPENDIX II

School of Hotel & Tourism Management


The Hong Kong Polytechnic University


2008 Hong Kong Shopping Tourism


 Questionnaire


 


The purpose of this survey is to assess Mainland Chinese tourists’ importance and satisfaction level towards Hong Kong retail shops. It is appreciated if you could spare 10 minutes of your time to participate in it. All provided information is used solely for academic purposes and your individual responses will be kept confidential. 


 


 



Part I – Respondents’ Service Importance and Satisfaction of Hong Kong Retail’s Shop Overall


Please rate the importance of each attribute in your service encounter with retail shops by encircling the appropriate number in the scale provided:


5 – Very Important


4 – Important


3 – Not Sure


2 – Unimportant


1 – Very Unimportant


N/A – Not Applicable


 


 


 


 


 


Service Attributes


Please rate the satisfaction of each attribute in your service encounter with retail shops by encircling  the appropriate number in the scale provided:


5 – Very Satisfied


4 – Satisfied


3 – Not Sure


2 – Dissatisfied


1 – Very Dissatisfied


N/A – Not Applicable


 


 


 


 


 


 


Tangible Qualities of Shops


 


 


 


 


 


 


5


4


3


2


1


N/A


1. Longer Opening Hours


5


4


3


2


1


N/A


 


5


 


4


 


3


 


2


 


1


 


N/A


2. Visually appealing external appearance of the store


 


5


 


4


 


3


 


2


 


1


 


N/A


 


5


 


4


 


3


 


2


 


1


 


N/A


3. Cleanliness and safety of the places and facilities


 


5


 


4


 


3


 


2


 


1


 


N/A


5


4


3


2


1


N/A


4. Lighting and Ambiance


5


4


3


2


1


N/A


 


5


 


4


 


3


 


2


 


1


 


N/A


5. Accessibility (near the transportation system)


 


5


 


4


 


3


 


2


 


1


 


N/A


 


5


 


4


 


3


 


2


 


1


 


N/A


6. Offers many variety of products


 


5


 


4


 


3


 


2


 


1


 


N/A


5


4


3


2


1


N/A


7. Authenticity


5


4


3


2


1


N/A


5


4


3


2


1


N/A


8. Choice of payment methods


5


4


3


2


1


N/A


5


4


3


2


1


N/A


9. Good Location


5


4


3


2


1


N/A


 


 


 


 


 


 


Staff Service Quality


 


 


 


 


 


 


 


5


 


4


 


 


3


 


2


 


1


 


N/A


10. Visually appealing external appearance of the staff (Clean and Neat)


 


5


 


4


 


3


 


2


 


1


 


N/A


5


4


3


2


1


N/A


11. Reliability and dependability of staff


5


4


3


2


1


N/A


5


4


3


2


1


N/A


12. Consistency of service by the staff


5


4


3


2


1


N/A


 


5


 


4


 


3


 


2


 


1


 


N/A


13. Know of products and attentions to the details


 


5


 


4


 


3


 


2


 


1


 


N/A


5


4


3


2


1


N/A


14. Provide service in timely manner


5


4


3


2


1


N/A


 


5


 


4


 


3


 


2


 


1


 


N/A


15. Courtesy, politeness and respect received by the shopper from the staff


 


5


 


4


 


3


 


2


 


1


 


N/A


5


4


3


2


1


N/A


16. Language Ability


5


4


3


2


1


N/A



 


 



Part II– Demographic profile


 


1. Sex


 


¨ Male           ¨ Female


 


2. Age group


 


¨ 25 – Below ¨ 26 – 35


¨ 36 – 45      ¨ 46 – Above


 


3. You’re province/hometown in Mainland China:


____________________________


 


4. Is this your first time visiting Hong Kong?


 


¨ Yes            ¨ No


 


 


5. If answer to item 4 is no, how many times do you usually visit each year?


 


¨ Once          ¨ 2 to 3 times         


¨ 4 to 5 times  ¨ more than 5 times


 


 


 


 


 


 


 


6. What are your reasons in shopping in Hong Kong? (You may tick more than one)


 


¨ Quality      


¨ Low Price


¨ Accessibility        


¨ Others: Please specify: ____________________________


 


 


 


 


 


 


 


 


 


 


7. Which items you usually shop for in Hong Kong? (You may tick more than one)


 


¨ Clothes     


¨ Accessories


¨ Footwear


¨ Electronic Gadgets         


¨ Jewelry


¨ Others: Please specify: ____________________________


 


8. How much do you usually spend in shopping? Please select the appropriate range.


 


¨ Less than RMB 5000


¨ RMB5001 – 10000


¨ RMB10001 – 20000


¨ RMB20001 – 30000


¨ RMB30001 and above



 


Thank You Very Much for Your Time and Have a Nice Day!


Enjoy Shopping!


 


 


 


 


 


 


 




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