Airline Service Quality and Behavioral Intentions – A Case of Pakistan International Airlines (PIA)

Abstract

Service quality is very important concept that airline firms must recognize in order to remain competitive in business and hence grow. This study measures perception on airline service quality based on data collected at Pakistan International Airline (PIA) using SERVQUAL. This study aims to measure the impact of service quality dimensions on perceived service value, customer satisfaction and customer behavioral intentions, which is unique in its context for PIA. Using a 2-step sampling technique and sample size of 342, survey is conducted to test seven hypothesised relationships among the mentioned constructs using Multiple Regression Analysis. The results reveal that the passengers’ perception is inclined towards negative while both perceived service value and customer satisfaction significantly mediates the relationship between airline service quality dimensions and behavioral intentions. Passenger’s perceptions are influenced by the ticket price and direct flight route to the desired destinations. Finally, implications of these results for management policy and practice are highlighted as guidelines.