"Marketing channel as the downstream end
of a supply chain plays a crucial role in generating cash
flow and meeting the demands of customers. The extant
body of literature postulates that antecedent-consequence
links that customer perceived value and service quality
foster customer loyalty, leading to long term profitability.
Nowadays, given the proliferation of global hypermarket
organizations and their adapting retail positioning strategy,
it is worthwhile to re-examine the validity of those
postulations. This study conducts an empirical study on the
customer perception of quality of product/service toward a
multinational chained hypermarket store in Taiwan. The
objective is to test the established theory in the domain of
SCM by constructing the hypotheses based on the extant
literature and allowing a structure equation modeling
(SEM) for path analysis. The contingency theory in
organization behavior explains the findings that are
seemingly contradictory to the well-accepted paradigms.
The outcome provides an insight into how hypermarket
retailers should make improvement in customer
satisfaction to reinforce customer loyalty while executing
the ‘low-price, low-service’ marketing strategy. "
2009 IEEE International Conference on Industrial Engineering and Engineering Management