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Value Creation Through Customer Service Experience; a Study Of University of Ghana http://ugspace.ug.edu.gh UNIVERSITY OF GHANA VALUE CREATION THROUGH CUSTOMER SERVICE EXPERIENCE: A STUDY OF SELECTED CHURCHES IN GHANA BY MICHAEL NYAMEKYE THIS THESIS IS SUBMITTED TO THE UNIVERSITY OF GHANA, LEGON IN PARTIAL FULFILLMENT OF THE REQUIREMENT FOR THE AWARD OF PHD MARKETING DEGREE JULY, 2015 University of Ghana http://ugspace.ug.edu.gh DECLARATION I do hereby declare that this work is the result of my own research and has not been presented by anyone for any academic award in this or any other university. All references used in the work have been fully acknowledged. I bear sole responsibility for any shortcomings. …………………………………...... …………………………….. MICHAEL NYAMEKYE DATE (10328194) i University of Ghana http://ugspace.ug.edu.gh CERTIFICATION I hereby certify that this thesis was supervised in accordance with procedures laid down by the University. …………………………………...... …………………………….. DR. ADELAIDE KASTNER DATE (SUPERVISOR) …………………………………...... …………………………….. PROF. BEDMAN NARTEH DATE (CO-SUPERVISOR) ii University of Ghana http://ugspace.ug.edu.gh ABSTRACT The creation of value has long been recognized as a central concept in marketing and has been suggested as the main purpose of organizations, a key to success via differential positioning, and a precursor to customer satisfaction and loyalty. Understanding what value is and how value is created and delivered to customers has become critical especially for service firms where there is less tangibility. The main aim of this study was to assess the value creation process of churches – a social institution – through the service experience created for the patrons of their services i.e. the church members and how personal factors affect the assessment of customer value. This study assumed that churches first create positive service experiences through the deployment of their service mix in order to create the needed value for their customers. However, the assessment of value created out of the service experience is moderated by personal idiosyncrasies of church members. Data was collected from four categories of churches in Ghana through a structured questionnaire. The analysis method included ANOVA, Exploratory Factor Analysis and Structural Equation Modeling to test the hypothesized relationships. The study identified five elements of church service mix whose deployment influence the creation of church service experience. The study found no relationship between church service mix and customer value; but found a positive relationship between church service experience and customer value. It was also found that members’ personal goals negatively influence church service experience and customer value creation relationship; while members’ value for fellowship positively influence church service experience and customer value creation relationship. Thus study has contributed to the understanding of value creation and customer experience within churches, a dominant and non-profit making sector in the Ghanaian economy. The study has also made some major recommendations to guide future research and church management. iii University of Ghana http://ugspace.ug.edu.gh DEDICATION This work is dedicated to my beloved family; Lady Yaa Achia Boadi Nyamekye, Michael Boadi Nyamekye Jnr, Mitchell Boadi Nyamekye, Michelle Boadi Nyamekye and Miguel Boadi Nyamekye iv University of Ghana http://ugspace.ug.edu.gh ACKNOWLEDGEMENTS I would like to express my profound appreciation to the following people who in diverse ways have helped me in the course of this PhD programme. My heartfelt gratitude goes to my supervisors Dr. Adelaide Kastner and Prof. Bedman Narteh; for the patience, the guidance in reading through the manuscript and making the necessary inputs into the work to get me to this level. I am also grateful to all lecturers and staff of the Departments of Marketing and Customer Entrepreneurship for their advice. Big thanks go all the churches and their head pastors for their willingness to be part of the study. Special thanks go all members and pastors of The Maker’s House Chapel International for their encouragement and support. v University of Ghana http://ugspace.ug.edu.gh TABLE OF CONTENT Declaration i Certification ii Abstract iii Dedication iv Acknowledgement v Table of contents vi List of Tables xiii List of figures xv CHAPTER ONE – INTRODUCTION 1.1 Background to the study 1 1.2 Statement of Problem and Research Gap 5 1.3 Research Objectives 9 1.4 Research questions 10 1.5Significance of the study 10 1.6 Organization of the Thesis 11 CHAPTER TWO - CONTEXT OF THE STUDY 2.1 Introduction 16 2.2 The Early Church 18 2.3 Reasons for the Spread of the Church 19 vi University of Ghana http://ugspace.ug.edu.gh 2.4 The Explosion of Christianity in Africa 20 2.5 The Church in Sub-Saharan Africa: Evangelization: 15th And 16th Centuries 23 2.6 A New Period of Evangelization 27 2.7 Christianity, Colonization and Ghana’s Identity 27 2.8 The Dominance of Orthodox Christianity in Ghana 30 2.9 Christianity beyond the Coastal Towns of Ghana 31 2.10 The Church in National Politics 36 2.11 The Role of the Church in the Development of Ghana 38 2.12 Economic and Social Benefits from the Church 41 2.13 Chapter Summary 48 CHAPTER THREE: LITERATURE REVIEW – VALUE CREATION 3.1 Introduction 49 3.2 Value 52 3.3 Aristotle’s View of Value 53 3.4 Value From The Economics Perspective 55 3.5 A Wider Interpretation Of Value 58 3.6 Value Creation 59 vii University of Ghana http://ugspace.ug.edu.gh 3.6.1 How is Value Created? 60 3.7 Customer Value Creation 63 3.8 Customer Value Frameworks 65 3.9 Chapter Summary 72 CHAPTER FOUR: LITERATURE REVIEW - CUSTOMER SERVICE EXPERIENCE 4.1 Introduction 73 4.2 Experience as a General Concept 74 4.3 What Is Customer Experience? 76 4.4 Customer Service Experience 80 4.5 Chapter Summary 87 CHAPTER FIVE: THEORETICAL MODELING 5.1 Introduction 88 5.2 Expectancy Value Theory 90 5.3 Means-Ends Theory 94 5.4 Chapter Summary 98 viii University of Ghana http://ugspace.ug.edu.gh CHAPTER SIX: CONCEPTUAL FRAMEWORK AND HYPOTHESES FORMULATION 6.1 Introduction 99 6.2 Conceptualization and Hypotheses Formulation 102 6.2.1 The Church Service Mix Deployment 103 6.2.2 Church Service Experience 107 6.2.3 Customer Value 110 6.2.4 Moderators 114 6.3 Chapter Summary 116 CHAPTER SEVEN: METHODOLOGY 7.1 Research Methods Overview 117 7.2 Research Paradigm 118 7.3 Ontology 118 7.3.1 Objectivism 119 7.3.2 Subjectivism 120 7.3.3 Ontological Considerations for the Study 120 7.4 Epistemology 121 7.4.1 Positivism 122 7.4.2 Realism 124 7.4.3 Interpretivism 125 ix University of Ghana http://ugspace.ug.edu.gh 7.4.4 Epistemological Considerations for the Study 129 7.5 Research Purpose 131 7.5.1 Stages of Research 131 7.6 Research Approach: Qualitative and Quantitative 133 7.7 Data Collection: Questionnaires 137 7.8 Sampling 139 7.9 Data Analysis 141 7.10 Method of Analysis 142 7.10.1 Exploratory Factor Analysis (EFA) 142 7.10.2 Analysis of Variance (ANOVA) and Chi-Square Tests 143 7.10.3 Structural Equation Modeling (SEM) 144 7.11 Quality Standards for Research: Validity And Reliability 146 7.11.1 Reliability 147 7.11.2 Validity 149 7.12 Measures 149 7.12.1 Main measures 149 7.12.2 Moderators 152 7.13 Chapter Summary 153 CHAPTER EIGHT: DATA ANALYSIS: Data Purification, Confirmatory and Validity Analyses 8.1 Introduction 154 x University of Ghana http://ugspace.ug.edu.gh 8.2 Sample Characteristics 155 8.3 Descriptive Analysis 159 8.4 Exploratory Factor Analysis 162 8.5 Confirmatory Factor Analysis 170 8.6 Reliability and Validity Analysis 176 8.6.1 Reliability of Measures 176 8.6.2 Validity Analysis 177 CHAPTER NINE: STRUCTURAL PATH AND HYPOTHESES TESTING 9.1 Introduction 179 9.2 Demography and Church Service Experience 180 9.3 Demography and Customer Value 182 9.4 Church Service Mix and Church Service Experience Relationships 184 9.5 Church Service Mix and Customer Value Relationships 185 9.6 Church Service Experience and Customer Value Relationships 187 9.7 The Hypothesized Model – Structural Equation Modeling 188 9.7.1 The Structural Model 188 9.7.2 Assessing the Structural Model 189 9.8 Examining the Hypothesized Relationships 190 9.8.1 Baseline Structural Model 191 xi University of Ghana http://ugspace.ug.edu.gh 9.8.2 Moderating Role of Personal Idiosyncrasies 193 9.9 Discussions 197 9.10 Chapter Summary 205 CHAPTER TEN: SUMMARY, CONCLUSIONS AND IMPLICATIONS 10.1 Introduction 206 10.2 Summary 208 10.3 Major Findings 211 10.4 Conclusions 214 10.5 Reflections 218 10.6 Implications of the Study 221 10.6.1 Contribution to Theory 221 10.6.2 Implication for Practice 226 10.6.3 Implication for Future Research 229 Reference 231 Appendix: Church Value Creation Survey Questionnaire 256 xii University of Ghana http://ugspace.ug.edu.gh LIST OF TABLES Table 2.1: The Explosion of Christianity in some African Countries 20 Table 2.2: Some African Countries and Percentage of Christian Population 21 Table 7.1: Differences between Positivism and Interpretivism 128 Table: 8.1: Respondents’ Demography 156 Table 8.2: Descriptive Statistics for Church Service Mix Items 160 Table 8.3: Descriptive Statistics for Church Service Experience 161 Table 8.4: Descriptive Statistics for Customer Value 162 Table 8.5: Internal Consistency and Reliability for Church Service Mix 165 Table 8.6: Internal Consistency and Reliability for Church Service Experience 167 Table 8.7: Internal Consistency and Reliability for Customer Value 169 Table 8.8: Final 13 Items for Church Service Mix 172 Table 8.9: Correlation Table for Church Service
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