IDENTIFICATION OF SERVICES THAT SUPPORT COMPETITIVE ADVANTAGE FOR SELF-SERVICE LAUNDRY BUSINESS

Abstract

The purpose of the study was to identify the services that support competitive advantage for self-service laundry business. The study sought to find the facilitating and enhancing services that maintain customer retention towards the shop which is a big competitive advantage. The scope of this research was to identify the services that support competitive advantage for self-service laundry business at Nilai Impian, Negeri Sembilan, Malaysia.

A mixed method research design was adopted on the customers of self-service laundry shop at Nilai Impian. The first stage of this study, qualitative study has been used to gain initial information on what are the services that could retain the customers to continuously use the service of the laundry shop. Interview session has been done towards random customers of self-service laundry shop at Nilai Impian with a total of 15 respondents to list out all of the services that customers want or need in the shop.

The study continued with quantitative study to identify which are the facilitating and enhancing services that support competitive advantage, which is customer retention. A set of questionnaires has been distributed to 150 respondents to test all of the services. Furthermore, demographic factor such as age and employment status were also analysed whether it could affect the relationship of the services towards customer retention.

The study recommended for new self-service laundry business at Nilai Impian to gain competitive advantage through services as competing with price in the area is a suicidal move in this business industry. Conclusion has been made that facilitating services support customer retention which further gain competitive advantage in the business. However, it is inconclusive to state that enhancing services support customer retention. Further study needs to be done on this topic in order to integrate the services stated for self-service laundry business that support competitive advantage with thorough costing and business plan.