Measuring Customer Satisfaction at Burger King and McDonald's - Research Proposal Example

Measuring Customer Satisfaction at Burger King and McDonald’s Name Subject: Instructor: April 8th, 2014. Table of Contents Content………………………………………………………………………………………Page 1. Background and Problem Definition…………………………………………………3 2. Research Design………………………………………………………………………7 3. Data Sources and Collection Method…………………………………………………8 4. Sampling Plan…………………………………………………………………………10 5. Data Collection Forms…………………………………………………………………11 6. Time Schedule…………………………………………………………………………12 7. Budget………………………………………………………………………………….13 8. Appendices……………………………………………………………………………..14 9. Reference List………………………………………………………………………….15 Measuring customer satisfaction at Burger King and McDonalds 1. Background of the Research and Definition of the Problem Fast food industry is one the famous businesses particularly in developed nations, which depicts a system of delivery foods in a quicker way as opposed to any the processes in other restaurants, and it takes minimal time to prepare foods, and delivery to consumers. According to Hanan and Karp (2009) customers are the most critical aspect of any business, and they are individuals with considerable impact and influence on organizations comprising fast food companies. Khan (2012), states that customer satisfaction is the individual or personal feeling about services and foods in the fast food restaurants. Customer satisfaction remains one of the most important and common aspect in the recent competitive and globalized business environment in the entire global markets. It is the behavioral approach of consumers, which can be described as the satisfaction level by consumers after consuming and or purchasing a given service or product from a business. Customer satisfaction level has been playing an integral role to establish organizational objectives and policies as well as organizational strategies to enhance customer satisfaction by offering quality services or products to their customers. Gerson (2010) for instance has indicated that customer satisfaction is viewed as the most essential component of business to focus on in order to increase profit through customer satisfaction, by the virtue of customer satisfaction, employees are also satisfied, and return on investment to shareholders is realized through customer satisfaction. Within the contemporary even-growing globalization of brands and services, service-oriented companies, such as fast food business must focus on customer satisfaction. According to Marketing Charts Staff (2012) among limited-service restaurants, the level of customer satisfaction attained a record score of 80. The index was 75 just two years back. In this category, Papa John’s had the highest score, with 83, an increase of 5% from the previous year. Subway and Little Caesar were next with a score of 82. Pizza Hut registered a decline of 3.7% to 79, whereas Starbucks also declined by 5% to record 76. Customer satisfaction has become a fundamental concern and issue for companies, especially fast food companies, as such, it has been considered to be one of the critical indexes for gauging the organizational performance. For instance Mihelis, Grigoroudis, Siskos, Politis, Malandrakis (2009) have indicated that customer satisfaction is viewed as an integral issue for companies, like fast food companies since product diversification and quality of business is significant in influencing the buying patterns of customers, and hence satisfy them. An illustration they have given is that McDonald’s has differentiated itself due to excellent product consistency and superior customer services while offering high value and low prices to customers. On the flip side, Burger Kings has does not have a concise strategy, such as McDonald’s, nonetheless, Burger King seems to have adopted the strategy of being the second best, as McDonald’s close market follower. Therefore, it can be concluded that the two companies have been keen on customer services by offering quality products in regards to improving customer satisfaction. According to Khan (2012), the failure or success of fast food business relies on a number of key elements; quality of products, price of products, customer services, brand, customer expectations, promotions, location of the business, physical distribution, product taste among other related aspects. This study is anchored on the comparative assessment of customer satisfaction at Burger King and McDonald’s, leading fast food chains in the Australia and global markets. McDonald’s is the largest and world’s leading fast food company across the global markets. Therefore, the researcher would like to state that customer satisfaction has become a critical concern and issue for companies, especially for fast food organizations such as Burger King and McDonalds. Hence, the comparative study of consumer satisfaction at Burger King and McDonalds in Australia would be considered as most effective and time worthy research project. There is self-motivation by the researcher to conduct this kind of research. The choice and selection of the study topic is based on the significance of personal, organizational and academic point of views. Customer satisfaction in fast food businesses is important for the success of companies through enhancing customer and brand loyalty. The author will analyze and explore existing practices and theories regarding customer satisfaction through primary research findings and literature reviews. Hence, the comparative research on customer satisfaction at Burger King and McDonald’s has academic significance. The author will construct valid recommendations regarding the case studies companies based on the identified issues from primary research and literature review. Thus, this study has important from organizational dimension. The study is designated in a manner that will improve understanding and knowledge of business management by exploring customer satisfaction; hence making the study has significance from personal perspective. Aim of the Research The main aim of this study is to analyze customer satisfaction within fast food business by way of a comparative study of Burger King and McDonald’s. Objectives of the Research This research has the following objectives: To analyze and explore existing practices and theories on customer satisfaction within fast food organizations, case of Burger King and McDonald’s through literature reviews; To evaluate and identity key elements influencing customer satisfaction at Burger King and McDonald’s through secondary and primary research findings; To present information and data in a manner that will reflect the overall explanation and description of customer satisfaction at Burger King and McDonald’s and; To draw valid recommendations and conclusions based on the core themes obtained from secondary and primary information and data both in terms of organizational and academic perspective. Research Questions The primary question for the research is what are the common elements that influence customer satisfaction at Burger King and McDonald’s? The other questions for the research include- What are the existing organizational practices for customer satisfaction at Burger King and McDonald’s? How the case studied companies, (Burger King and McDonald’s) have been satisfying customers? What are some of the common elements in the case studied companies (Burger King and McDonald’s) resulting to customer satisfaction? What are customer satisfaction levels towards Burger King and McDonalds? And What are their future organizational policies and plans to enhance the current customer satisfaction at Burger King and McDonald’s? 2. Research Design A Short Outline of the Research There are six chapters in this research, and they are discussed briefly as follows- Chapter 1- Background and Introduction: In this chapter, the author has to explain and discuss some of the major and most common issues of the study project. This chapter explores a number of concerns and issues, for example the background of the research, background of the case studied companies, the objectives and aims of the research, the research questions as well as the limitations of the research project are examined and discussed by the author. Chapter 2- Literature Review: Within this chapter, the author has explained and discussed the existing practices and theories of customer satisfaction, elements affecting customer satisfaction, customer satisfaction aspects at Burger King, customer satisfaction aspects at McDonald’s and the theoretical background of the study. Chapter 3 – Research Methodology: This section of the research has been allocated to cover all important aspects of study methodology, and the major components of this chapter entail, research approaches, research philosophies, advantages and disadvantages of the research methods used, data collection techniques and methods, sample size and sampling strategy, tools and techniques for data analysis, techniques for data presentation, ethical issues considerations and the research methodology limitations among others. Chapter 4: Findings of the Research and Analysis: In this section, the author has presented both the secondary and primary research findings alongside their analysis. The author has presented the findings of research through outcomes of the literature review and its analysis and the results of primary information and data with its analysis. Chapter 5: Discussion: This section, the author has offered critical discussion of the findings of the research; the author has drawn recommendations and conclusion based on the objectives and aims of the research. Chapter 6: Recommendations and Conclusion: This is the last section of the research work. In this section, the author has offered conclusive and constructive and cost effective recommendations, both to organizational and academic perspectives. 3. Data Collection Method and Sources: In research on this nature, it is critical to identify and utilize the most suitable method/s in regards to collecting all relevant information and data from various sources. Saunders et al. (2009), state that there are a number of methods that can be deployed for collecting data and the author has to identity the most suitable ones. The author has utilized two most appropriate research methods, for example questionnaire survey and semi-structured interview with the objective of gathering primary data regarding customer satisfaction at Burger King and McDonald’s. Semi-structured interview is commonly utilized and open model that enables the author to develop two-way, conventional and focused communication approach of gathering data. The author has utilized semi-structured interview with the management staff of Burger King and McDonald’s to gather primary data. The other appropriate and effective research method of gathering data from mass population on a specific subject or issue is questionnaire survey; hence it helps the author to establish specific theory based on general and broad view points of the mass population. The author has also utilized question survey with customers at four distinct restaurants of Burger King and McDonald’s. The author would like to state that some of the likely advantages and disadvantages of the methods used, such as survey and interview as outlined in the table below. Table 1: Methods of data collection and their possible advantages and disadvantages Methods of Data collections Advantages Disadvantages Questionnaire Survey To get general opinion and perceptions on the study subject from mass population, To gather huge data from mass population and It is one of the most effective feasible study methods that assist the author to develop a novel theory/s based on gathered quantitative data. It is hard analyze huge data volume to establish a particular theory/s on the study topic It may lack validity of results In some case, there can be lack of honesty and truthfulness Semi-Structured Interview To analyze and explore key existing practices and theories of the case studied companies To gather most relevant and appropriate data from key employees of case studied companies. To establish two-way communication process, for instance the communication between the interviewee and the interviewer in regards to establishing flexibility in data collection. It requires experience and skills of the interviewer to carry out the interview in an effective way to gather all relevant information and data from the case studied company/s. It is a time consuming research method of gathering data. (Source: Analysis of the author). 4. Sample Size and Sampling Plan Sampling is one the most critical component of data collection from the case studies companies. Kanji (1997) has described sampling as the process of segmenting a group of individuals from a huge population for the purpose of study investigation. They have further stated that sampling can be of two types. The first one is probability sampling and the second is non-probability sampling. In the case of probability sampling, there are equal chances of each sample to be chosen in the course of the survey or interview, and this approach is most effective and common in ensuring that there is minimal error in the process of collecting data from a mass population. In non-probability on the other hand, there are no equal chances of selecting a person or a unit in the process of collecting data from them, and in a number of occasions, the person or the unit is pre-determined for the collection of data. Non-probability remains of the most effective data sampling method of data collection from pre-defined group of individuals regarding a particular issue/s. The author has used simple random sampling in regards to selecting participants at four distinct restaurants of Burger King and McDonald’s (for example two of the restaurants of Burger King and two of the restaurants of McDonald’s). The interview exercise was carried out with two management officers of each of the two restaurants of Burger King and McDonald’s. The survey was conducted among 50 participants of each restaurant of Burger King and McDonald’s. 5. Data Collections Forms The researcher used semi-structured interview, which commonly used and open model, which allows the study to develop a two-way, conversational and focused communication framework of data collection. Hence, the author has utilized semi-structured interview with the personnel management of Burger King and McDonald’s to gather primary data. Questionnaire survey is the other suitable and effective form of data collection used to develop meticulous theory based general and wide views of the mass population. The author has also utilized questionnaire survey with customers at four various restaurants of Burger King and McDonald’s. On that regard therefore, the author has carried out four semi-structured interviews with the personnel management of the Burger King and McDonald’s. The interview contained no more than 20 questions, and the duration for each interview exercise was at least half an hour. The author strived to develop a more communicative and interactive approach in the course of carrying out semi-structured interview. 6. Time Schedule Task Weeks (timing) Priority Meeting the supervisor 1, 4, 14 High Literature review references 1-2 Normal Review of literature 2-6 High Developing the hypothesis 5-6 High Identify research methods 6 Normal Design the research 7 Normal Assess the research design with the statistics department 7 Medium Begin primary data collection 8 Medium Complete data collection 9 Medium Data input 9 Normal Data analysis 10 Normal Write methods 13 Medium Writing the discussion 21 Medium Writing conclusion and recommendations 22 Medium Editing the research report 23 High Binding and submitting the final draft research report 24 High 7. Budget Estimated Budget Units Price Units Total USD Accommodation $400 1 $400 Travel to Restaurants $800 1 $600 Airfare $1000 2 $2000 Technical calls $50 1 $50 Audio recorder $120 1 $120 Printing and copying $20 1 $30 Stationery $40 1 $40 Notebook locks $10 1 $10 Total $3250 8. Appendices: draft questionnaire a. How professional is your organization? b. How convenient is McDonald’s/Burger King to use? c. How well do you feel that Burger King /McDonald’s understand your needs? d. In comparison to Burger King/ McDonald’s, are Burger King./McDonald’s prices, lower, higher or the same? e. In comparison to Burger King/ McDonald’s, are Burger King/McDonald’s quality of product worse, better or similar? f. Overall how Burger King / McDonald’s haves been responsive to your concerns or questions regarding products? g. Do you like Burger King / McDonald’s, dislike it? neither dislike it, nor like it? h. In overall are you satisfied with staff at Burger King / McDonald’s, dissatisfied with them, neither dissatisfied nor satisfied? i. How well did Burger King/ McDonald’s customer care representative solve your issue or answer your question? j. Do you have any concerns, questions, or comments? Web-link to questionnaire https://www.surveymonkey.com/s/J55NM8S References: Kotler, P.(1997). 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Customer Satisfaction, Improving Quality And Access To Services And Supports In Vulnerable Neighborhoods, What The Research Tells Us February 2011, p.5. Hayes, E,(2012).Measuring Customer Satisfaction, Development and Use of Questionnaires, ASQC Quality Press, Milwaukee, Wisconsin. Schlosser, E. (2010). Fast Food Nation. New York, USA: Mifflin Company. Websites: http://www.mcdonalds.com http://www.mcdonalds.com/investor https://www.bk.com/‎ Read More