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The Relationship Between Initial Quality Perceptions and Maintenance Behavior: The Case of the Automotive Industry

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  • Edward Conlon

    (Department of Management, Mendoza College of Business, University of Notre Dame, Notre Dame, Indiana 46556)

  • Sarv Devaraj

    (Department of Management, Mendoza College of Business, University of Notre Dame, Notre Dame, Indiana 46556)

  • Khalil F. Matta

    (Department of Management, Mendoza College of Business, University of Notre Dame, Notre Dame, Indiana 46556)

Abstract

We examine the relationship between quality, represented by consumer ratings, and quality-related activities by the customer, represented by maintenance activities in the automotive industry. Based on several converging theoretical perspectives, we present and test a model relating vehicle initial quality ratings to consumers' routine maintenance. Three types of data were collected for the study: (1) vehicle service records at a local dealership, (2) primary data from a survey of vehicle owners, and (3) Consumer Reports data on quality ratings and initial purchase prices. The results of a structural equation analysis of the proposed model indicate a significant link between quality and customers' quality behavior. This link has important strategic implications for both automotive manufacturers and distributors, particularly as "leasing" becomes more prevalent in the industry.

Suggested Citation

  • Edward Conlon & Sarv Devaraj & Khalil F. Matta, 2001. "The Relationship Between Initial Quality Perceptions and Maintenance Behavior: The Case of the Automotive Industry," Management Science, INFORMS, vol. 47(9), pages 1191-1202, September.
    • Handle: RePEc:inm:ormnsc:v:47:y:2001:i:9:p:1191-1202
    DOI: 10.1287/mnsc.47.9.1191.9788
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    References listed on IDEAS

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    Cited by:

    1. Kher, Hemant V. & Kydd, Christine T. & O'Brien, Terrence M., 2017. "Evolution of product quality in European, Japanese and US automotive firms: An exploratory longitudinal analysis," Omega, Elsevier, vol. 73(C), pages 29-36.
    2. Darley, William K. & Luethge, Denise J., 2019. "Service value and retention: Does gender matter?," Journal of Retailing and Consumer Services, Elsevier, vol. 48(C), pages 178-185.
    3. Binken, J.L.G. & Stremersch, S., 2008. "The Effect of Superstar Software on Hardware Sales in System Markets," ERIM Report Series Research in Management ERS-2008-025-MKT, Erasmus Research Institute of Management (ERIM), ERIM is the joint research institute of the Rotterdam School of Management, Erasmus University and the Erasmus School of Economics (ESE) at Erasmus University Rotterdam.
    4. Darley, William K. & Luethge, Denise J. & Thatte, Ashish, 2008. "Exploring the relationship of perceived automotive salesperson attributes, customer satisfaction and intentions to automotive service department patronage: The moderating role of customer gender," Journal of Retailing and Consumer Services, Elsevier, vol. 15(6), pages 469-479.

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