chapter 7 identifying the dimensions of...

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CHAPTER 7

IDENTIFYING THE DIMENSIONS OF MOBILE PERCEIVED

SERVICE QUALITY

7.1 Introduction:

The objective of this chapter is to identify and assess the dimensions of

mobile perceived service quality achieved by mobile phone users in Thane district.

The percentage, average, correlation and factor analysis is employed to identify and

interpret the dimensions of mobile service quality. Chapter 5 assessed perception of

mobile phone users in respect of call rate, recharge, financial, functional and social

business activity and movement on the other hand chapter 6 assessed perception of

mobile phone users towards mobile banking services and Hence an attempt is made in

chapter 7 to identify dimension to perceived service quality attended or achieved by

mobile phone users in respect of mobile phone use and mobile banking services. 30

attributes/variables or items are considered quality criteria to measure dimensions.

30 attributes divided into 6 dimensions such as reliability, responsiveness, assurance,

empathy, tangibles, convenience and network quality.

7.2. Meaning and definitions of service quality:

Service quality is an abstract and elusive construct because of three features

unique to services: intangibility, heterogeneity, and inseparability of production and

consumption argued by parasuraman, et.al1. Service quality can be divided into

perceived service quality and objective service quality. Perceived quality is the

consumer’s judgment about an entity’s overall excellence or superiority stated by

Zeithamal2. Whereas objective service quality is a form of attitude, related but not

equivalent to satisfaction and results from a comparison of expectations with

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perception of performance, said the Garvin3. Some of the important contemporary

definitions of service quality are presented in chart 7.1.

Chart 7.1

Selected definitions of service quality

Sr.

No

Broad

Category

Author,

Year

Definitions

1 Functional

quality

Parasuraman,

Zeithaml and

Berry, 1988

Global judgment or attitude, relating to the superiority

and Berry, 1988 of the service

2 Bitner,

Booms and

Tetreauly,

1990

The customer’s overall impression of the relative

Tetreauly, 1990 inferiority/superiority of the organization

and its services.

3 Asubonteng

McCleary

and Swan,

1996

The difference between customer’s expectations for servi

ce performance prior to the service encounter and

their perceptions of the service received.

4 Technical

quality

Hannikainen,

et.al., 2002

It is the capability of a network to provide services

and to fulfill user’s expectations.

5 TRAI* 2002 It is an indicator of performance of a network and of the

degree to which the network conforms to the stipulated no

rms.

Source : Seth Anita, et.al, “Managing the customers perceived service quality for cellular mobile

telephony : An empirical investigation”, Vikalpa, Vol. 33, No.1, January – March, 2008, P.20.

7.3 Measurement of service quality:

According to the Nordic model (1984), a Pioneer work in the area of quality

of services, the quality in traditional people – oriented services is estimated from the

comparison between the expected and perceived service quality. The model

conceptualizes perceived service quality by differentiating between the ‘what’ (what

the consumer receives as a result of his interaction with a service provider – technical

quality) and ‘how’ (how they get the outcome resulting from their interactions with

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the seller – functional quality) components of the buyer – seller interaction. This is

expressed in chart 7.2.

Chart 7.2

The Nordic model of service quality

Perceived service quality

Source : Emmaouil, Stiakakis and Christos, K. Georgiadis, “A model to identify the dimensions

of mobile service quality, Tenth International Conference on mobile business, 2011.

Second important model is the SERVQUAL model4 a widely used

measurement scale for service quality and provided by Parasuraman, Zeithaml and

Berry in 1988. They identify 10 dimensions to measure the service quality such as

tangibles, reliability, responsiveness, communication, credibility, security,

competence, courtesy, knowledge of customer, and access. Similar model was used

by Cammans in 1990.

Brady and Cronin6 developed a hierarchicd multidimensional model, adopting

practical and theory together. It is based on interaction quality physical environmental

quality and outcome quality. Stiakakis and Georgiadis suggested following core

dimensions model for mobile service quality 7.

Chart 7.3

Expected Service Perceived Service

Technical quality Functional quality

Image

Mobile service quality model

Interaction quality

Environment quality

Outcome quality

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Lim8 identified 5 dimensions of consumers perceived quality of mobile

services. They are pricing, plans, network quality, data services, billing system and

customer service. Dabholkar et.al9 and wang et.al.10; proposed factors associated with

service quality are tangible, reliability, assurance, responsiveness, and empathy and

have described on antecedents customer’s perceived service quality and validated and

tested these factors ward and mullee11 used reliability, availability, security,

assurance, simplicity and flexibility as criteria of service quality. They argued that,

from customer’s perspective, it is not appropriate to separate network quality from the

other dimensions of quality.

For service quality in telecommunication including fixed line and cellular

mobile services and mobile banking services, researcher has supported both

SERVQUAL as well as SERVPERF tools. Functional and technical service qualityare

two main dimensions that can be used for measuring mobile banking perceived

service quality. Seth et.at. proposed that QOS in cellular mobile communication can

be broadly categorized into technical and managerial parameters, as depicted in chart

7.4.

Chart 7.4 QOS Model of quality service

In all, 7 main dimensions for ensuring service quality in cellular mobile

telephony were identified, which are summarized in chart 7.4.

Seth at.el12 observed key findings in the area of SERVQUAL as well as

SERVPERF applied in telecommunication directly; which is presented in chart 7.5.

QOS Parameters Cellular Mobile Communication

Technical Quality Parameters (Network Performance)

Managerial Parameters

Functional Quality Parameters

Internal quality Parameters

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Chart 7.5

Select work in service quality measurement in telecommunication Sr. No.

Author, Year Field of study

Key Findings

1 Leisen and Vance, 2001

Fixed line telephone services

SERVQUAL instrument seems to be the best fitting model of service quality in the US and Germany. Service quality is important to overall customer satisfaction with telephone services.

2 Johnson and Sirikit, 2002

Both fixed line and Cellular mobile Services

Service quality assessment using SERVQUAL performedreliably in the Thai telecommunication service settings.

3 Van der Wal, Pampallisand Bond, 2002

Cellular mobile Services

Focused on the customer’s perception of service quality. SERVQUAL instrument is reliable for the Measurement of service quality in the telecommunication industry in South Africa.

4 Wang and Lo, 2002

Cellular mobile Services

Used SEVPERF scale for service quality measurement and found that network quality and empathy are the most important drivers of overall service quality in China’s mobile phone market.

5 Ranaweera and Neely, 2003

Fixed line Telephone services

Used SEVPERF with some modifications for service quality measurement Study revealed that price perceptions and indifference moderated the relationship between service quality and customer retention.

Source: Seth el at; “Managing the customer perceived service quality for cellular mobile

telephony : An empirical investigation; Vikalpa, Vol.33, No.1, January – March 2008, P.22.

Thus various study shows different models are employed by different experts

in measuring the service quality for product as well as for mobile service also.

7.4 Employed method for identifying the dimension of mobile service quality:

To identify the mobile service quality dimension, the ‘SERVQUAL’

instrument as means of measuring the service quality perceived by mobile phone

users is selected. This study is limited to mobile phone user respondents belong from

15 talukas of Thane district, collected through questionnaire. Opinions of mobile

phone user respondents on mobile service quality that they perceived are collected

based on ‘yes’ and ‘No’ form and used here for identifying the dimensions of mobile

service quality. Seven dimensions model, introduced by Seth, Momaya and Gupta13 is

selected and employed in this study; with all 30 attributes provided by them for their

study purpose. Selected 7 dimensions are as under:

1. Reliability

2. Responsiveness

3. Assurance

4. Empathy

5. Tangibles

6. Convenience and

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7. Network

Ist 6 dimensions are known as functional qualities whereas 7th one is called

technical quality of mobile telecommunication achieved by mobile phone users

(consumers). The questionnaire covers thirty (30) attributes or items (variable) in

total. These item/variables were coded as shown in Table 7.1 in order to generate

a better understanding for empirical analysis.

Table 7.1 Study variables and code

Code Dimension Variables/Attributes

A1 Reliability Performs the service right the first time A2 Reliability Provides the services at the promised time A3 Reliability Well informed about progress of complaint A4 Reliability Billing system accurate and error free A5 Reliability Timeliness of bills A6 Responsiveness Contact gives you prompt service

A7 Responsiveness Your complaints/queries are taken seriously

A8 Responsiveness Your complaints are resolved quickly

A9 Responsiveness They are always willing to help you

A10 Assurance Contact person are friendly and polite while handling your complaints/quires

A11 Assurance They have the adequate knowledge of tariffs and plans of service providers

A12 Assurance The behavior of contact instills confidence in you

A13 Assurance You feel safe in your transaction with your service provider

A14 Empathy For lodging the complaints, service provider is easily accessible

A15 Empathy They have your best interests at heart

A16 Empathy Gives you individual attention

A17 Empathy Understands your specific needs

A18 Empathy Retailer network of your service provider is easily located

A19 Tangible Service providers physical facilities are visually appealing

A20 Tangible Contact appear neat and clear

A21 Tangible Materials associated with the service (such as pamphlets, spare parts etc ) are visually appearing

A22 Convenience Convenient business hours

A23 Convenience Ease of lodging the complaints/queries

A24 Convenience Your service provider provides flexibility in the payment of bills

A25 Convenience Application formalities are simple

A26 Network Quality Your service provider provides sufficient geographical coverage (on highways, inside the buildings and basement etc)

A27 Network Quality Your experience minimum premature termination of calls during conversation

A28 Network Quality You get cleared undisturbed voice

A29 Network Quality Your call gets connected to the called person during first attempt most of the times

A30 Network Quality You are able to make calls at peak hours

Note : 1 A stands for Attributes/Variables

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To eliminate the problems of confusion and the length of the questions in this

respect, only perceptions data is collected assuming mobile phone users have

achieved ‘high’ service quality from using mobile. The researcher distributed 1050

questionnaires and 792 were collected. After verifying data and checking with

questionnaire were left incomplete, 292 responses were deleted. The analysis was

carried out on 500 responses. Final model for measuring and identifying the

dimensions of mobile service quality is as under chart 7.6.

Chart 7.6

Select model for identifying the dimension

Thus in all, seven dimensions for measuring service quality in mobile plan

communication and mobile banking service communication were selected. Further

thirty items/variables/attributes of SERVQAL instrument is selected for measuring

perceived service quality based mobile phone users perceptions. Each of these items

attributes was evaluated on a ‘yes’ or ‘No’ form.

7 Dimensions

1. Reliability

2. Responsiveness

3. Assurance

4. Empathy

5. Tangibles

6. Convenience

7. Network

Mobile Perceived M

obile Service Quality

5. Attributes/Variables








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7.5 Mobile phone users perception on dimensions of mobile quality services:

This section divided into 7 subsections in order to assess and know the

perception of mobile phone users towards dimensions of mobile service quality based

on 30 attributes/variables divided into 7 dimensions namely reliability, responsiveness

, assurance, empathy, tangible, convenience and network ; as under :

7.5.1 Mobile phone users perception on reliability dimension of service quality,

7.5.2 Mobile phone users perception on responsiveness dimension of service

quality,

7.5.3 Mobile phone users perception on assurance dimension service quality,

7.5.4 Mobile phone users perception on empathy dimension service quality,

7.5.5 Mobile phone users perception on tangible dimension service quality,

7.5.6 Mobile phone users perception on convenience dimension service quality and

7.5.7 Mobile phone users perception on network dimension service quality.

To confirm and identify the dimensions of mobile service quality, frequency

distribution, factor analysis and correlation matrix analysis is used. 30

attributes/quality criteria/variables/items are selected and divided into 7 dimensions.

Attributes are coded and referred here as ‘A’ i.e. A1 to A5 is called reliability, A6 –

A9 responsiveness, A10 – A13 assurance, A14 – A 18 empathy, A19 – A21 tangible,

A22 – A 25 convenience and A26 – A30 network respectively.

7.5.1 Mobile phone users perception on reliability dimension of service quality :

Reliability means ability to perform the promised service dependably and

accurately. Out of 30, 5 attributes (A1 – A5) are concerned with reliability dimension.

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Table 7.2 presents perception of mobile phone users in respect of quality service

perceived on reliability dimension.

Table 7.2

Mobile phone users perceived service quality on reliability dimension

Code No. Quality Attributes/variables

Yes responses No. of

Respondents Percentage

A1 Performs the service right the first time 221 44.2

A2 Provides the services at the promised time 229 45.8

A3 Well informed about progress of complaint 197 39.4

A4 Billing system accurate and error free 170 34.0

A5 Timeliness of bills 318 63.6

Reliability dimension (Average) 227 45.4

Table 7.2 shows that 44.2 percent (221), 45.8 percent (229), 39.4 percent (197),

34 percent (170) and 63.6 percent (318) respondents out of 500, agreed that they

achieved perceived service quality in respect of statement A1, A2, A3, A4 and A5

respectively; indicating on an average 45.4 percent (227) respondents achieved

perceived service quality on use of mobile phone. It means 45.4 percent mobile users

of study area achieved perceived service quality on reliability dimension.

7.5.2 Mobile phone users perception on responsiveness dimension of service

quality services:

Responsiveness accounts for a prompt response to the mobile phone users needs. The

frontline organizations are expected to anticipate the needs of the users and

proactively respond to these needs. Mobile phone users are keen to get a prompt

response from the service providers and banking regarding their complaints and

enquiries. In this context 4 items/attributes (A6 – A9) were provided to respondents

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which are representing the responsiveness dimensions. The result is presented in

Table 7.3.

Table 7.3

Mobile phone users perceived service quality on responsiveness dimension




A6 Contact gives you prompt service 298 59.6

A7 Your complaints/queries are taken seriously 201 40.2

A8 Your complaints are resolved quickly 184 36.8

A9 They are always willing to help you 318 63.6

A 6 - 9 Responsiveness dimension (Average) 250 50.00

Table 7.3 shows that out of 500 respondents, 59.6 percent (298), 40.2 percent

(201), 36.8 percent (184) and 63.6 percent (318) agreed that they had achieved

perceived service quality in respect of statement A6, A7, A8 and A9 respectively;

highest and lowest on statement A9 and A8. Overall result shows that 50 percent

respondents achieved perceived service quality on mobile phone use. This means that

50 percent mobile phone user of study area achieved perceived service quality on

responsiveness dimension.

7.5.3 Mobile phone users perception on assurance dimension service quality:

Assurance focuses on the expertise of the employee about the multifunctional

about the service offering, courtesy and their ability to install faith and dependence in

the service provider’s competence. The organization’s staff should have the

competence to inspire trust and confidence among the customer’s about the ability of

cell phone service providers in anticipating and meeting customers needs. In this

context to identify to what extent perceived service quality in a assurance dimension

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is achieved by mobile phone users by way of attributes/variables/statements were

provided to respondents and their opinions were seeked. The survey result is

presented in Table 7.4.

Table 7.4

Mobile phone users perceived service quality on assurance dimension

Code No. Quality Attributes/variables Yes responses

No. of Respondents Percentage

A10 Contact person are friendly and polite while handling your complaints/quires 439 87.8

A11 They have the adequate knowledge of tariffs and plans of service providers 373 74.6

A12 The behavior of contact instills confidence in you 286 57.2

A13 You feel safe in your transaction with your service provider 330 66

A 10 - 13 Average dimension (Average) 357 71.40

It can be seen from Table 7.4 that on an average 71.4 percent (357) respondent

out of 500 state that they had achieved perceived service quality on mobile phone

usage in respect of assurance dimension. On the other hand, 87.8 percent (439), 74.6

percent (373), 57.2 percent (286) and 66 percent (330) respondents agreed that they

had achieved perceived service quality. Thus Table indicate that 71.4 percent mobile

phone users of study area achieved perceived service quality on assurance dimension.

7.5.4 Mobile phone users perception on empathy dimension service quality:

Empathy necessitates placing customers over and above everything else

during the course of staff interaction. Caring and personalized approach in dealing

with customers provide them a pleasant experience and helps builds long term

relationship with cell phone service providers as well as mobile banking service

providers. Five attributes/statements (A14 – A18) are concerned with empathy

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dimension. Higher the score higher the perceived service quality. The perception

expressed by mobile phone users towards perceived service quality on empathy is

presented in Table 7.5.

Table 7.5

Mobile phone users perceived service quality on empathy dimension


No. of Respondents

Percentage

A14 For lodging the complaints, service provider is easily accessible 250 50.00

A15 They have your best interests at heart 163 32.60 A16 Gives you individual attention 246 49.20 A17 Understands your specific needs 285 57.00

A18 Retailer network of your service provider is easily located 332 66.40

A 14 - 18 Empathy (Average) 255 51.00

Table 7.5 shows that quality service perceived by mobile phone user

respondents on statements A14, A15, A16, A17 and A 18 are 50 percent, 32.6

percent, 49.2 percent, 57 percent and 66.4 percent respectively. On an average 51

percent respondents agreed that they had achieved perceived service quality from

empathy dimension. Thus result shows that 51 percent perceived service quality

achieved by mobile phone user respondents from empathy dimension.

7.5.5 Mobile phone users perception on tangible dimension service quality :

The tangible dimension refers to the quality of physical in structure, the

equipment available to make the service a delightful experience, the outward show of

people providing the service. Mobile customer expect that the outlet’s interior décor

and delight would be appealing. Mobile phone users want that information material

provided is well composed, and attractive and service provided should be neat, clean

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and well dressed and give pleasing look14. In this context, researcher made 3

attributes/statement/variables (A19 – A21) which are represents tangible dimension.

The responses result is presented in Table 7.6.

Table 7.6

Mobile phone users perceived service quality on tangible dimension


No. of Respondents

Percentage

A19 Service providers physical facilities are visually appealing

287 57.4

A20 Contact appear neat and clear 359 71.8

A21 Materials associated with the service (such as pamphlets, spare parts etc) are visually appearing

281 56.2

A19 – 21 Tangible dimension (Average) 309 61.8

It can be seen from Table 7.6 that 61.8 percent (309), respondents agreed that

they had achieved perceived service quality on tangible dimension. Within it, 57.4

percent (287), 71.8 percent (359), 56.2 percent (281) respondents agreed that they had

achieved perceived service quality on statement A19, A20 and A21 respectively.

Overall result shows that 61.8 percent mobile phone users of study area perceived

service quality on tangible dimension.

7.5.6 Mobile phone users perception on convenience dimension service quality :

Convenience involves ease of access to the customers. In today’s busy working

schedule, customers do not want waste unnecessary time in reaching out to the service

provider. Customers decide their priority to convenient hours of operation and

convenient locations of cell phone provider’s outlets. Convenient dimensions

represents by 4 attributes/statements /variables (A22 – A25). Table 7.7 shows

convenient dimension’s perceived service quality.

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Table 7.7

Mobile phone users perceived service quality on convenient dimension


No. of Respondents

Percentage

A22 Convenient business hours 258 51.6 A23 Ease of lodging the complaints/queries 226 45.2

A24 Your service provider provides flexibility in the payment of bills 208 41.6

A25 Application formalities are simple 314 62.8 A 22-25 Convenience dimension (Average) 252 50.4

Table 7.7 shows that 51.6 percent (258), 45.2 percent (226), 41.6 percent

(208), 62.8 percent (314), respondents out of 500, agreed that yes they had achieved

perceived service quality in terms of convenience dimension. It means perceived

service quality is achieved by 50.4 percent mobile phone user respondents. It can be

inferred that mobile phone user perceived service quality on convenient dimension is

50.4 percent.

7.5.7 Mobile phone users perception on network dimension service quality:

Network quality dimension has emerged as critical dimension that firms

customer’s perception of service quality of mobile phone service provider. Chi et.al

(2006) identified that is voice quality and least drop calls are critical in evaluation

service quality. Network coverage all – time availability, and no drop calls are

important aspects that affects customer’s perception of mobile phone service quality.

Network service quality is identified/measured on the basis of A26 – 30

attributes/variables. In this regard, result shows that 51.2 percent mobile phone user

achieved perceived service quality on network dimension; maximum and lowest being

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66.8 percent and 41.6 percent from statement A29 and A 26 respectively. This is

given in Table 7.8.

Table 7.8

Mobile phone users perceived service quality on network dimension




A26 Your service provider provides sufficient geographical coverage (on highways, inside the buildings and basement etc)

208 41.6

A27 Your experience minimum premature termination of calls during conversation 250 50.0

A28 You get clear and undisturbed voice 254 50.8

A29 Your call gets connected to the called person during first attempt most of the times 334 66.8

A30 You are able to make calls at peak hours 235 47.0

Network dimension (Average) 256 51.2

Table 7.8 shows that, 41.6 percent (208), 50 percent (250), 50.8 percent (254),

66.8 percent (334) and 47 percent (235) respondents out of 500, agreed that they had

achieved perceived service quality on statements/ attributes A26, A 27, A 28 and A29

and A30 respectively. This indicates that on an average 51.2 percent (256) mobile

phone user respondents achieved perceived service quality on network dimension.

7.6 Identifying the dimensions of mobile perceived service quality:

Section 7.4 shows service quality perception of mobile phone users on 7

dimensions in terms of 30 attributes or variables or items. Now researcher want to

confirm or make sure that these are mobile phone dimensions of perceived service

quality. In other words, the aim of this section is to identify the dimensions of mobile

service quality. This is done with the help of correlation and factor analysis.

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7.6.1 Mean and standard deviation analysis:

The study commuted the results of descriptive statistics based on arithmetic

mean and standard deviation of different dimensions of perceived service quality of

mobile phone users in the instruments or item, which is presented in Table 7.9.

Table 7.9 Mean and standard deviation of seven dimensions

Dimensions No. of attributes/

variables/quality

criteria

Mean Standard

deviation

1. Reliability 5 2.27 1.37

2. Responsiveness 4 2.00 1.34

3. Assurance 4 2.86 1.10

4. Empathy 5 2.55 1.42

5. Tangibles 3 1.85 1.01

6. Convenience 4 2.01 1.22

7. Network 5 2.56 1.39

Extraction method: Principal component analysis.

The Table 7.9 shows that,

1. Total 30 attributes/variables explain perceived service quality obtained or achieved

by mobile phone users on mobile phone use, which is divided into 7 dimensions.

Reliability dimensions consists of 5 attributes, responsiveness dimension included 4

attributes, whereas assurance consists of 4 attributes/variables. Empathy and

Tangibility dimension includes 5 and 3 variables/ attributes as against convenience

and network covers 4 and 5 attributes/variables.

2. The mean of reliability, responsiveness, assurance and empathy dimension is 2.27,

2, 2.86 and 2.55 whereas mean of Tangibility, convenience and network dimensions

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are 1.85, 2.01 and 2.56 respectively. The highest and lowest means is observed

between Assurance (2.86) and Tangibility (1.85) respectively.

3. Standard deviation of reliability, responsiveness, assurance and empathy is 1.37,

1.34, 1.10 and 1.42 as against standard deviation of Tangibility, Convenience and

Network. 1.01, 1.22 and 1.39 respectively. The highest and lowest standard deviation

is seen between Empathy (1.42) and Tangibility (1.01) respectively.

7.6.2 Identifying the dimensions of mobile perceived service quality based on

correlation analysis:

Table 7.10 explains the correlation between dimension to dimension. It is

important to be stressed that the 30 quality criteria were properly grouped into the 7

sub – dimensions.

Table 7.10 Pearson Correlation matrix

Sr. No Dimensions

Reliability

Responsiveness

Assurance

Empathy

Tangibles

Convenience

Network

1 Reliability 1 0.507 0.242** 0.432** 0.183** 0.345** 0.306**

2 Responsiveness 0.507** 1 0.406** 0.406** 0.226** 0.410** 0.294**

3 Assurance 0.242** 0.406** 1 0.258** 0.302** 0.223** 0.213**

4 Empathy 0.432** 0.480** 0.480** 1 0.315** 0.470** 0.343**

5 Tangibles 0.183** 0.226** 0.226** 0.315** 1 0.296** 0.147**

6 Convenience 0.345** 0.410** 0.410** 0.470** 0.296** 1 0.250**

7 Network 0.306** 0.294** 0.294** 0.343** 0.147** 0.250** 1

** correlation is significant of the 0.01 (2tailed) N = 500

All the dimensions are positively and significantly correlated. Here the

relationship among dimensions is significant at 0.01 level (2 tailed).

7.6.3 Identifying dimensions of mobile perceived service quality based on factor

analysis:

First – stage data for the seven – dimension is considered. Factor loading of 30

attributes/variables/items on dimensions is taken into consideration to identify the

dimensions of mobile perceived service quality; loading factor converted into scale.

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This is done by multiplying factor loading by 100. The result of factor loading

converted into scale is presented in Table 7.11; along with component matrix, factor

loading and number of quality criteria.

Table 7.11 Identifying the dimensions of mobile service quality

Sr. No

Dimension Component Matrix

Attributes/ Variables/Items/quality

criteria

Factor loading of items on

dimensions to which they

belong

Scale No. of quality criteria

1 Reliability 0.688 A1 0.767 77

5 A2 0.729 73 A3 0.699 70 A4 0.393 39 A5 0.124 12

2 Responsiveness 0.764 A6 0.495 50

4 A7 0.830 83 A8 0.813 81 A9 0.513 51 3 Assurance 0.560 A10 0.691 70

4 A11 0.657 66 A12 0.543 54 A13 0.649 65 4 Empathy 0.755 A14 0.612 61

5 A15 0.680 68 A16 0.739 74 A17 0.607 61 A18 0.170 17 5 Tangible 0.506 A19 0.723 72

3 A20 0.664 66 A21 0.717 72 6 Convenience 0.676 A22 0.674 68

4 A23 0.705 71 A24 0.635 64 A25 0.453 45

7 Network Quality 0.542 A26 0.679 68

5 A27 0.239 24 A28 0.620 62 A29 0.530 53 A30 0.675 66

Extracted method: Principle component analysis.

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Result in Table 7.11 shows that seven factors with eighteen values between

2.55 maximum and 0.43 minimum is commuted for reliability and network quality

dimension, whereas composite correlation ranges between 0.506 to 0.755 minimum

and maximum for tangibility and empathy dimension. The seven factor model

explained 93 percent of total variance representing a significant value. The result

further indicates that most of the items were properly loaded to their corresponding

dimensions. However five items or quality criteria’s namely A4, A5, A18, A25, A28

out of 30, valued below 50 percent respectively. 25 items valued above 50 percent and

ranges between 50 to 77 percent respectively.

The findings shows that mobile phone user’s mind regarding these 7

dimensions is not same but it is differentiate. While all dimensions are clearly

explained mobile phone users perceived service quality and they have positive impact

on service quality.

The all dimensions are related to mobile service quality and they are directly

and actively participated in achieving perceived service quality. It indicates that all

the 7 dimensions have positive relationship with perceived service quality as these

dimensions accounted for 93 percent of variance with component correlation (matrix)

for reliability 0.688, for responsiveness 0.764, for assurance 0.560, for empathy

0.755, for tangibles 0.506, for convenience 0.676 and for network 0.542 respectively.

Thus it can be inferred from Table 7.10 and Table 7.11 that 7 principal

components (Factors) were extracted by using core dimensions (reliability,

responsiveness, assurance, empathy, tangibles, convenience and network) and sub –

dimensions (30 attribute/variables/items/quality criteria i.e. A1 – A30) of mobile

phone perceived service quality and confirmatory principal component analysis.

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These components explain 93 percent of the total variance. Hence it is prove that

reliability, responsiveness, assurance, empathy, tangibility, convenience and network

are the dimensions of perceived service quality to use mobile phone and mobile

banking services and all the dimensions have positive relationship with mobile phone

users perceived service quality.

7.7 Testing of hypothesis:

The study assesses (i) business activity and movement of mobile phone users

in Thane district (ii) perception of mobile phone users on mobile banking business

activities and movement in Thane district, and (iii) identify the relationship between

dimensions and mobile perceived service quality. In this context the following

tentative hypotheses are taken up for testing with the help of empirical data collected.

For fixing the level percentage is considered and divided into 5 levels namely low (0

– 20 percent), average (21 – 40 percent), moderate (41 – 60 percent), high (61 – 80

percent) and very high (81 – 100 percent) respectively.

Hypothesis – 1

Financial objective oriented business activity and movement calls are

higher than that of social objective oriented.

Table 5.6 reveals that 68 percent and 24.20 percent calls are financial and

social objective oriented. Financial objective oriented business activity and movement

calls are higher than that of social oriented. Therefore hypothesis stands accepted.

Hypothesis – 2

Functional business activity and movement of mobile phone users in

respect of use of mobile phone are ‘high’.

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From Table 5.16, it is seen that 66 percent mobile phone user respondents on an

average performed/used various mobile functions. This indicates 66 percent

functional business activity and movement are used or performed by mobile phone

users.

Hence it is accepted that functional business activity and movement of mobile

phone users in respect of use of mobile phone are ‘high’. (i.e. 66 percent). It indicates

that the hypothesis is stands accepted.

Hypothesis - 3

Extent of mobile financial activity and movement is ‘lower’ than that of

its awareness. In other words as compared to awareness of mobile phone users

on mobile activity and movement, its use is ‘low’.

Table 5.17 indicates that 53.6 percent mobile phone user respondents on an

average aware mobile business activity and movement, whereas Table 5.18 shows

that only 12.5 percent respondents used or performed mobile activity and movement;

indicating majority respondents (87.50 percent) are not using mobile yet for financial

or commercial transactions that is business activity an extend movement purpose.

Comparing awareness and actual use of mobile business activities and movement, it

can be stated that use of mobile financial activity and movement is ‘lower’ (12.5

percent) than that of its awareness (53.50 percent). In other words as compared to

awareness of mobile phone user respondents on mobile financial activity and

movement, its use is ‘low’, the awareness on mobile financial activity and movement

is ‘moderate’ (53.50 percent) whereas its performance or use in this respect is ‘low’

(12.50 percent). The hypothesis, thus stands accepted.

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Hypothesis - 4

Awareness of mobile phone users on sms business activity and movement

is ‘high’ but use of social business activity and movement (sms) of mobile phone

users is ‘moderate’ (i.e. lower than that of awareness)

Table 5.19 shows that on an average 71.4 percent mobile phone user respondents

aware sms activity and movement, indicates the awareness is ‘high’ (71.4 percent) as

against this Table 5.27 shows that on an average, overall sms business activity and

movement on religion is to the extent of 51.6 percent. It means awareness on sms

activity movement among mobile phone user respondents is high (71.4 percent) as

against this use of sms on religion is ‘moderate’ (51.6 percent). Hence it is stated that

awareness of mobile phone users on sms business activity and movement is ‘high’

(71.4 percent), but use of sms towards social business activity and movement of

mobile phone users is moderate (51.6percent) or lower than that of awareness.

Hypothesis – 5

Awareness as well as use level of mobile banking services is ‘moderate’

among mobile phone users.

Table 6.4 shows that awareness of mobile phone users on mobile banking

services is to the extent of 35 percent. In other words only 35 percent mobile phone

user respondents aware about mobile banking services/business activity and

movement. It means awareness level is ‘average’ and not moderate level. Further

Table shows that, 12.3 percent respondents had used mobile banking services. It

means mobile banking service use level is ‘low’ (between 20 percent) and not

moderate. It means awareness level of mobile phone users on mobile banking

services/activity is ‘average’ (below 20 – 40) and not at moderate level. Secondly use

265

of mobile banking services/business activity is only 12.3 percent of awareness. It is

below 20 percent hence it is ‘low’ level and not moderate level. Hence this hypothesis

is rejected.

Hypothesis – 6

Willingness of mobile phone users on mobile banking for selling and

purchasing of financial instrument is ‘moderate’.

Table 6.10 reveals that 24.6 percent respondents are willing to use mobile

banking for selling and purchasing financial instruments and majority (47 percent are

not willing to act on this activity. This indicates that willingness perception of mobile

phone user respondents in study area on mobile banking for selling and purchasing of

financial instruments is ‘average’ as it is between 21 – 40 range. It means it is not

‘moderate’ (between 41 – 60). Hence hypothesis stands rejected.

Hypothesis - 7

Willingness perception of mobile phone users on utility of mobile banking

services is ‘average’ level.

Table 6.16 reveals that willingness expressed by mobile phone user

respondents on utility is to the extent of 26.0 percent, indicates majority respondents

(74 percent) are not willing to use mobile banking services. It means willingness of

mobile phone users on utility perception of mobile banking services is ‘average’, as it

ranges between 20 – 40 percent. This shows that this hypothesis thus stands accepted.

Hypothesis 8 :

Perceived utility or movement of mobile banking services among mobile

phone users is ‘low’.

266

Table 6.17 shows that 18 percent respondents agreed on they have received or

used mobile banking services on 10 selected services and majority (72.6 percent) are

not received/used mobile banking services. It means only 18 percent mobile phone

user respondents in the study area perceived utility or movement on mobile banking

services. This indicates that utility movement of mobile phone user respondents is

‘low’ on mobile banking services as it ranges between 0-20 percent level. Hence it is

proved that perceived utility or movement of mobile banking services among mobile

phone user is ‘low’. (below 20 percent). It indicates that this hypothesis is accepted.

Hypothesis 9:

Demographic variables/factors has positive relationship in respect of

using mobile banking services among the mobile phone user i.e demographic

influence on the usage of mobile banking services i.e. demographic influence on

the usage of mobile banking services. In other words gender, age, education,

income, marital status and profession determines usage of mobile banking

services (i.e. adoption or non – adoption behaviour) sub – hypothesis are

formulated as under:

Hypothesis 9 (a): Gender has positive realtionship (association) in respect of mobile

banking services among the mobile phone user i.e. gender influences on the usage of

mobile banking services.

Hypothesis 9 (b) : Age has positive relationship in respect of using mobile banking

services among the mobile phone user i.e. age influences on the usage of mobile

banking services.

267

Hypothesis 9 (c) : Education has positive relationship in respect of using mobile

banking services among the mobile phone user i.e. education influences on the usage

of mobile banking services.

Hypothesis 9 (d) : Income has positive relationship in respect of using mobile

banking services among the mobile phone user i.e. income influences on usage of


Hypothesis 9 (e) : Marital status has positive relationship in respect of using banking

services among the mobile phone user i.e. marital status influences on usage of


Hypothesis 9 (f) : Occupation has positive relationship in respect of using mobile

banking services among the mobile phone user i.e. occupation influences on the usage

of mobile banking services.

Hypothesis 9(a) :

Table 6.19 shows that, 60.4 percent mobile phone user respondents agreed that

gender influences the mobile banking services usage whereas 39.6 percent

respondents do not agreed that the gender influences the use of mobile banking

services. It means 60.4 percent respondents agreed that gender of the mobile phone

user determines usages of mobile banking services. As more than 60 percent

respondents agreed on there is a relationship between usage of mobile banking

services and gender of the mobile phone user, it is stated that there is positive

relationship between use of mobile banking services and gender. Hence it is accepted

that gender influences the usage of mobile banking services. It influences at ‘high’

level.

268

Hypothesis 9(b):

Table 6.19 reveals that 74.5 percent respondents and 25.5percent respondents

out of 500 agreed and disagreed that age influences the usage of mobile banking

services. It means that 74.5 percent (majority) mobile phone user respondents in study

area agreed that age of the phone users determine the usage of mobile banking

services. As more than 74 percent (majority respondents) agreed that usage mobile

banking services and age of the mobile phone user has a relationship, the study

accepted that there is a positive relationship or association between age of the mobile

phone user and usage of mobile banking services. In influence at ‘high’ level, that is

why hypothesis stands accepted.

Hypothesis 9(c):

Regarding relationship between education level of the mobile phone users and

usage of mobile banking services, it is seen from Table 6.19 that 75.6 percent

respondents agreed and 24.4 percent disagreed; indicating that majority respondents

agreed that ‘yes’ education determines use of mobile banking services and its

adoption and non – adoption. As more than 75 percent respondents agreed that there

is influence of education on the use of mobile banking services., this study accepted

that education level has positive relationship or association with use of mobile

banking services or education influences the usage of mobile banking services. Hence

this sub – hypothesis also accepted as education influences at ‘high’ level.

Hypothesis 9(d):

Income has been pointed to have significant impact on the adoption or usage

of mobile banking services. A higher level of income could lead to a greater use of

mobile banking services, like education, simultaneously, greater time- saving

motivations to use mobile banking services, as well as upturn opportunities for

269

accessing updated devices; In this context it is seen from Table 6.19 that 67.6 percent

agreed and 32.4 percent disagreed that income of the mobile phone users influences

the usage of mobile banking services. It means majority respondents (67.6 percent)

agreed that income determines mobile banking services usage (or adoption and non -

adoption). As majority (67.6 percent) agreed on there is a relationship between usage

of mobile banking services and of the mobile phone use, it is accepted in this study

that usage of mobile banking services and income level has positive relationship or

income of the mobile users influences the usage of mobile banking services. It

influences at ‘high’ level. It shows that this sub – hypothesis thus stands accepted.

Hypothesis 9(e):

It can be seen from Table 6.19 that 37.2 percent agreed and 62.8 percent

disagreed respondents out of 500 that there exist relationship between use of mobile

banking services and marital status of mobile phone users. Majority respondents (62.8

percent) are not agree that marital status determines the usage of mobile banking

services, indicate marital status of mobile phone users influences the usage of mobile

banking services at average level.

Hypothesis 9(f):

Table 6.19 indicates that, 73 percent respondents agreed that occupation has

relationship between usages of mobile banking services. Whereas 27 percent

respondents state that there is no relationship between occupational uses of mobile

banking services. It means majority respondents (73 percent) agreed that occupation

determines the use of mobile banking services and as 73 percent determines

respondents out of 500, agreed that there is relationship between usage of mobile

banking services and occupation of mobile phone users, this study accept that there

exist positive relationship or association between use of mobile banking services and

270

occupation of mobile phone users or occupational influence on the usage of mobile

banking services at ‘high’ level.

Hypothesis 9:

Overall result presented in Table 6.19 shows that 64.8 percent respondents out

of 500 agreed that there is a relationship between demographic variables and use of

mobile banking services. This indicates that majority respondents (64.8 percent)

agreed that demographic variables/factors determines the use of mobile banking

services (adoption or non - adoption). As more than 64 percent mobile phone user

respondents state ‘yes’ there is a relationship with use of mobile banking services.

This study accept that there exist positive relationship between demographic

variables/factors and use of mobile banking services in study area and demographic

variables/factors influences the use of mobile banking services at ‘high’ level.

Hypothesis – 10:

Selected dimensions have positive and significant relationship with mobile

perceived service quality or dimensions influence the mobile perceived service

quality.

Table 7.10 reveals that all dimensions are positively and significantly

correlated with mobile perceived service quality at 0.01 significant level (2tailed).

Selected 7 dimensions have positive relationship with perceived service quality as

these dimensions accounted for 93 percent of variance with component correlation for

reliability 0.688, for responsiveness 0.764, for assurance 0.560, for empathy 0.755,

for tangibles 0.506, for convenience 0.676 and for network 0.542 respectively (Table

7.11). Further out of 30 value criteria or attributes only 5 valued below 50 percent as

against 50 items valued above 25 and ranges between 50 – 77 percent. Hence it is

accepted that selected dimensions have positive and significant relationship with

mobile perceived service quality. The hypothesis stands accepted.

271

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service quality and its implications for future research”, Journal of Marketing,

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3. Garvin, Darvid A; “Quality on the line”, Harvard Business Review, Vol. 61,

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272

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13. Ibid;

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