The probability of customer dissatisfaction is highest when which of the following conditions exists?

The probability of customer dissatisfaction is highest when which of the following conditions exists?

A. Customer expectations are clearly defined.

B. Supplier execution is too low.

C. There is a gap between expected performance and perceived performance.

D. There is a gap between what was indicated and what was accomplished.

View Answer

Answer: C

Explanation:

Customer dissatisfaction often arises when there is a significant disparity between what customers expect and what they perceive they receive. This gap can be explained through the following steps: Customer Expectations: Customers form expectations based on marketing, previous experiences, and word-of-mouth. These expectations shape their perception of what the service or product delivery should be like.

Perceived Performance: This is the customer’s perception of how well the product or service actually meets their expectations. This perception is influenced by the actual performance, communication, and interaction with the company.

Performance Gap: When there is a discrepancy between the expected performance and the perceived performance, it creates a performance gap. This gap is often due to overpromising and underdelivering, miscommunication, or a genuine shortfall in the product or service quality. Impact on Customer Satisfaction: The larger the gap between what customers expect and what they perceive they receive, the higher the probability of dissatisfaction. This is because unmet expectations lead to disappointment, frustration, and a negative overall experience.

Reference: Kotler, P., & Keller, K. L. (2016). Marketing Management. Pearson.

Parasuraman, A., Zeithaml, V. A., & Berry, L. L. (1985). A Conceptual Model of Service Quality and Its Implications for Future Research. Journal of Marketing, 49(4), 41-50.