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Implementing multi-attribute utility theory in service recovery: An operational management perspective on online retailing

Author

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  • Song, Yan
  • Xiu, Yifan
  • Zhou, Liping
  • Wang, Jingyuan

Abstract

How corporate decision-makers allocate resources to address the major issues of service recovery is critical. This article, from the perspective of operations management, integrates Multi-Attribute Utility theory into the field of service recovery. Through the use of online review data from smart home products, the PCRA-Multi-Attribute Utility model is proposed. Based on the model, this paper presents a prioritization strategy for service recovery and reveals that the utility of intelligent products is primarily influenced by service attitude. Furthermore, we discovered that manager's response strategies should pay more attention to recovery related to vital attributes. Strategy optimization can be achieved by adjusting the response length of these key attributes.

Suggested Citation

  • Song, Yan & Xiu, Yifan & Zhou, Liping & Wang, Jingyuan, 2024. "Implementing multi-attribute utility theory in service recovery: An operational management perspective on online retailing," Journal of Retailing and Consumer Services, Elsevier, vol. 81(C).
    • Handle: RePEc:eee:joreco:v:81:y:2024:i:c:s0969698924002649
    DOI: 10.1016/j.jretconser.2024.103968
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