Tecnologías de Comunicación y la Información (TIC)

The researcher integrates both qualitative and quantitative methods in this present study in order to resolve the research problem. Qualitative study helps the researcher to understand the needs, experiences and reasons for loyal micro-enterprise owners towards their service provider and this will lead in developing new service loyalty model. Quantitative study later will help in confirming and testing the hypotheses and variables that contribute to the service loyalty. Combination of both qualitative and quantitative, the data will yield and more complete analysis and complement each other. This design actually could strengthen the reliability and validity of the research through collaboration and mutual assurance (Green 1994).

1.6.1 Phase 1: Qualitative Study

One of the major parts in this study is to construct a conceptual framework of service loyalty for micro-enterprises. In order to develop a model of service loyalty, a review of extant literature is combined with qualitative research findings. The in-depth interviews are used to provide additional support for the theory that exists relating to various constructs to service loyalty. Another reason is to identify other possible factors that might intervene or moderate influencing micro-enterprise owners’ loyalty to the banks that might not be included in the past studies. The goal of phase 1 study is to develop a model of micro-enterprises’ service loyalty that is consistent with the existing theory and supported by salient and new emerging themes identified through in-depth interviews. An empirical test of this model is conducted in the second phase of the study.

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1.6.2 Phase 2: Quantitative Study – Survey

Another part of this study is to empirically test the model of micro-enterprises’ conceptual framework developed in the first phase of the study. A cross-sectional survey will be employed to collect quantitative data about micro-enterprise owners’ loyalty towards their banks. For this study, specific respondents, who are the bank’s micro-enterprise owners involved in services based industries, were selected. For the reasons of accessibility the convenience sampling from the bank’s customer database, SMECORP (Small and Medium Enterprises Corporation Malaysia) and MATRADE (Malaysian External Trade Development Corporation) is employed. Factor Analysis was used in scale development process while multiple regression analysis was used to establish the significant relationship between the constructs.

In summary, this study used data collected from two main major studies – in-depth interviews and survey. Hence, the overall design features cross section survey and the conclusions are based on information from double sources and methods. Mixed methods with sequential nature of the two stand-alone studies are chosen as this is deemed appropriate to the research problem investigated.

1.6.3 Research Context

Research investigation in this study is based on experiences of individual micro-enterprise owners’ who have been with their favorite banks for more than 5 years. This reason is supported by Zeithaml et. al (1996) which mentioned that “customers who remain with a firm for a period of years because they are pleased with the service, are more likely than short-term customers to buy additional services and more importantly spread favorable word-of-mouth” p.32. Micro-enterprises owners should have only one most favorable bank, and this qualifies them to be the respondent for this study.

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Banks involved in this study were local and foreign conventional and Islamic banks operating in Malaysia, especially within the Klang Valley. For the purposes of this study, target respondent are the micro-enterprise owners’

based on the Malaysian micro-enterprises definition selected from insurance, health and tourism, logistics, professional management, medical, education, , IT related service and advertising sectors, which fall under service based industries.

1.6.4 Sampling

Data for qualitative study 1 were mainly collected in cooperation with a few local and foreign conventional and Islamic banks in Malaysia. These banks wish to remain anonymous as their requirement in giving cooperation in this study. In this study, convenience and snowball sampling (Patton 2002, p.243) was used as a sampling strategy in order to attain the number of informants for face-to-face interviews. This is because customers are contacted conveniently with the help of the banks. In terms of respondent selection in phase 1 of the study, the following criteria were used to define bank customers who could be considered in this study:

 Bank corporate clients.

 Being the bank’s customer for more than 5 years.

 The customer has used several services of the service provider e.g.

loans, credits, deposits or any bank products or services for the purposes of running their businesses.

 The customer has savings or current accounts with the banks.

The sampling frame for quantitative study 2 is based on micro-enterprise companies listed in the directory of SMECORP and MATRADE, Malaysia. Even though the proportion of sample size is very small in relation

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to the actual population, the sample size proposed in this study is deemed sufficient for the study. Roscoe (1975) suggested that the rule of thumb for determining sample size that if the sample size is more than 30 and less than 500, is actually appropriate for most research. Due to time constraint, cost and also very slow response from the respondent within 6 weeks of questionnaires distribution, 356 self-administered completed questionnaires can be considered appropriate. The questionnaires were emailed and also sent directly to their offices (drop-off and collect) for self- administration.