Impact of factors of product modification on customer satisfaction Special reference to Apple & Samsung in Northern Region, Sri Lanka

Abstract

The business becomes highly globalized & competitive in nature, & all the firms are trying to tackle different conditions in acquiring & retaining customers. Product modification is one of the tools used by firms to maintain a competitive edge. The purpose of this study is to examine the effect of product modification on customer satisfaction in the mobile phone industry in the Northern region, Sri Lanka by considering Apple & Samsung companies. Size, colour, design, model, & other features are served as the predictor factors in this study. A structured questionnaire with a five-point Likert scale was used to collect the data. 300 customers were selected as samples & descriptive statistics were used to give general observation of the data. To investigate the relationship & effects of the variables Pearson correlation, simple regression, & multiple regression analysis were used. Results of the study showed that there is a very strong significant relationship between product modification & customer satisfaction & indicated that 90% of the level of customer satisfaction is predicted by product modification & the remaining 10% is determined by other factors. Findings of the study also manifested that all independent variables (Size, Colour, Design, Model, Other features) explained the variation in customer satisfaction by approximately 91% & all the independent variables have a significant impact on customer satisfaction. The results also concluded that Samsung effectively implements product modification strategies towards customer satisfaction than Apple in the Sri Lankan context. This study recommends that the mobile phone companies, which are running their businesses in Sri Lanka, should highly focus on the strategies to modify their products.

KEYWORDS:Product Modification, Customer Satisfaction, Mobile Phone Industryl