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Designing service quality to survive: Empirical evidence from Chinese new ventures

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  • Zhao, Y. Lisa
  • Di Benedetto, C. Anthony

Abstract

The sizeable literature on service success suggests that service quality is a major success factor in that it drives customer retention and market share; the service provider's ability to capitalize on scale economies is also an antecedent of success. This literature, however, generally studies established firms and does not consider the special challenges faced by new service startups. In addition, the potentially complex interactions between service quality dimensions and scalability have not been studied. This study proposes a model of survival of new service ventures based on the dimensions of service quality and examines the contingency role of scalability, develops research hypotheses, and empirically tests them using a sample of 479 new service ventures in China. The study provides a rich theoretical understanding of the antecedents to new service venture survival and insight to new service managers who can better allocate their scarce resources to build quality and scalability effectively.

Suggested Citation

  • Zhao, Y. Lisa & Di Benedetto, C. Anthony, 2013. "Designing service quality to survive: Empirical evidence from Chinese new ventures," Journal of Business Research, Elsevier, vol. 66(8), pages 1098-1107.
    • Handle: RePEc:eee:jbrese:v:66:y:2013:i:8:p:1098-1107
    DOI: 10.1016/j.jbusres.2012.03.006
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    Cited by:

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    2. Thaichon, Paramaporn & Lobo, Antonio & Prentice, Catherine & Quach, Thu Nguyen, 2014. "The development of service quality dimensions for internet service providers: Retaining customers of different usage patterns," Journal of Retailing and Consumer Services, Elsevier, vol. 21(6), pages 1047-1058.
    3. Palmié, Maximilian & Parida, Vinit & Mader, Anna & Wincent, Joakim, 2023. "Clarifying the scaling concept: A review, definition, and measure of scaling performance and an elaborate agenda for future research," Journal of Business Research, Elsevier, vol. 158(C).
    4. Prajitmutita, Lyn Manassannan & Perényi, à ron & Prentice, Catherine, 2016. "Quality, Value? – Insights into Medical Tourists’ Attitudes and Behaviors," Journal of Retailing and Consumer Services, Elsevier, vol. 31(C), pages 207-216.
    5. Nor’Aini Yusof & Faiz Abd Rahman & Mohd Fitri Che Jamil & Mohammad Iranmanesh, 2014. "Measuring the Quality of Ecotourism Services," SAGE Open, , vol. 4(2), pages 21582440145, June.
    6. Quach, Thu Nguyen & Thaichon, Paramaporn & Jebarajakirthy, Charles, 2016. "Internet service providers' service quality and its effect on customer loyalty of different usage patterns," Journal of Retailing and Consumer Services, Elsevier, vol. 29(C), pages 104-113.
    7. Linlin Jin & Kristen Madison & Nils D. Kraiczy & Franz W. Kellermanns & T. Russell Crook & Jing Xi, 2017. "Entrepreneurial Team Composition Characteristics and New Venture Performance: A Meta–Analysis," Entrepreneurship Theory and Practice, , vol. 41(5), pages 743-771, September.

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