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An Examination of Service Quality, Transaction Costs and Sales Ethics among Real Estate Advertising Sales Agents

Author

Listed:
  • Shu-Man You

    (Department of Real Estate and Built Environment, National Taipei University, Taiwan; No. 151, University Rd., San Shia District, New Taipei City, 23741 Taiwan)

  • Chun-Chang Lee

    (Department of Real Estate Management, National Pingtung Institute of Commerce, Taiwan; No. 51, Min Sheng E. Rd., Pingtung City, 90004 Taiwan; Phone: +886 8 7238700 Ext. 6203; Fax: +886 8 7222236;)

  • Ming-Hsun Tseng

    (Department of Real Estate and Built Environment, National Taipei University, Taiwan; No. 151, University Rd., San Shia District, New Taipei City, 23741 Taiwan; Phone: +886 2 26748189 Ext. 67403; Fax: +886 2 86715308)

Abstract

This paper combines the transaction cost model, the sales ethics model and the service quality model as the theoretical foundations for evaluating house buyer satisfaction with their real estate advertising sales agents. This study uses a convenience sampling method with the population of sold-out building projects and new home projects in all administrative areas of Kaohsiung. The empirical results show that the reasons for agency problems and transaction costs affect the transaction costs of house buyers and the ethics of advertising sales agents. Furthermore, agents who provide better service are associated with more satisfied house buyers with stronger intentions. Finally, sales ethics have a significant influence on transaction costs as well as customer satisfaction and complaints.

Suggested Citation

  • Shu-Man You & Chun-Chang Lee & Ming-Hsun Tseng, 2012. "An Examination of Service Quality, Transaction Costs and Sales Ethics among Real Estate Advertising Sales Agents," International Real Estate Review, Global Social Science Institute, vol. 15(2), pages 189-214.
    • Handle: RePEc:ire:issued:v:15:n:02:2012:p:189-214
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    References listed on IDEAS

    as
    1. Steven D. Levitt & Chad Syverson, 2008. "Market Distortions When Agents Are Better Informed: The Value of Information in Real Estate Transactions," The Review of Economics and Statistics, MIT Press, vol. 90(4), pages 599-611, November.
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    More about this item

    Keywords

    Service quality; Reasons for agency problems and transaction costs; Transaction costs; Sales ethics;
    All these keywords.

    JEL classification:

    • L85 - Industrial Organization - - Industry Studies: Services - - - Real Estate Services

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