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Top purchase intention priorities of Vietnamese low cost carrier passengers: expectations and satisfaction

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Abstract

This study investigates whether service quality, customer expectation, perceived value, and customer satisfaction have significantly positive impacts on purchase intention in the Vietnam’s low cost carrier (LCC) industry. The mediating role of customer satisfaction is also examined. Some of our findings are consistent with the literature, related to both LCCs and full service industries, to confirm that customer expectations directly affect satisfaction. However, different from the literature related to full service industry, our results conclude no significant influences of perceived value and service quality on customer satisfaction and purchase intention, inferring that budget air’s passengers purchasing is not due to its good service quality or perceived value, but because their expectations are met. Our findings also suggest that customer satisfaction can fully mediate the positive relationship between customer expectation and purchase intention. Purchase intention of air passengers could thus be explained through the pathway in which customer satisfaction plays the role of a mediating variable in the relationship between customer expectation and purchase intention. This study not only enriches the existing literature, but also provides a valuable assistance and guidance to LCCs for their strategic marketing plans and business improvement.

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Acknowledgements

The authors are grateful to the Editor-in-Chief, Marco Vivarelli, and anonymous reviewers for substantive comments that have significantly improved this manuscript. The second author would like to thank Robert B. Miller and Howard E. Thompson for their continuous guidance and encouragement. This research has been partially supported by grants from Asia University, Hang Seng Management College, Lingnan University, Yuan Ze University, University of Finance and Accountancy, the Research Grants Council of Hong Kong, Ministry of Science and Technology (MOST), Taiwan. The Fundamental Research Funds for the Central Universities, China Postdoctoral Science Foundation (2016M600951), Humanities and Social Sciences Planning Fund of Ministry of Education (15YJA910004), Natural Science Foundation of Zhejiang Province (LY15A010006), Asia University, Hang Seng Management College, Lingnan University, the Research Grants Council of Hong Kong, Ministry of Science and Technology (MOST), Taiwan, and World Track Investment Ltd. The second author would like to thank Robert B. Miller and Howard E. Thompson for their continuous guidance and encouragement. The research is partially supported by Beijing Normal University, Beijing Institute for Scientific and Engineering Computing, National Tsing Hua University, University of Sydney Business School, Erasmus School of Economics, Erasmus University Rotterdam, Complutense University of Madrid, Asia University, Hang Seng Management College, Lingnan University, Fundamental Research Funds for the Central Universities, China Postdoctoral Science Foundation (2017M610058), Natural Science Foundation of China (11626130, 11601227), Australian Research Council, and Natural Science Council, Taiwan, Ministry of Science and Technology (MOST), Taiwan, and Research Grants Council (RGC) of Hong Kong.

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Authors and Affiliations

  1. Department of Business Administration, Asia University, Taichung, Taiwan

    Massoud Moslehpour

  2. Department of Finance and Big Data Research Center, Asia University, Taichung, Taiwan

    Wing-Keung Wong

  3. Department of Economics and Finance, Hang Seng Management College, Hong Kong, China

    Wing-Keung Wong

  4. Department of Economics, Lingnan University, Hong Kong, China

    Wing-Keung Wong

  5. Department of Leisure and Recreation Management, Asia University, Taichung, Taiwan

    Yi Hsin Lin

  6. Department of Management, Yuan Ze University, Taoyuan, Taiwan

    Thi Le Huyen Nguyen

  7. Department of Business Administration, University of Finance and Accountancy, Quang Ngai, Vietnam

    Thi Le Huyen Nguyen

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  1. Massoud Moslehpour
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  2. Wing-Keung Wong
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  3. Yi Hsin Lin
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  4. Thi Le Huyen Nguyen
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Correspondence to Wing-Keung Wong.

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Moslehpour, M., Wong, WK., Lin, Y.H. et al. Top purchase intention priorities of Vietnamese low cost carrier passengers: expectations and satisfaction. Eurasian Bus Rev 8, 371–389 (2018). https://doi.org/10.1007/s40821-017-0093-5

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