The effect of price fairness on customer satisfaction in the car buying process .Pride & Peugeot 206 Car Case Study"

Document Type : Research Paper

Authors

1 Associate Professor Faculty of Management University of Tehran, Iran

2 MSc MBA Faculty of Management University of Tehran, Iran

Abstract

One of recent car buyers’ issues is the car price fairness (or unfairness). The car price fairness affects customer satisfaction and buying decision. The aim of the present research is first exploring the concept of "fairness price" as the cause of "customer satisfaction" and its impact on the “satisfaction judgment and second, examining factors affecting the fairness perception, price perceptual and customers’ vulnerability. Research method is correlation. A survey conducted between 208 cars buyers (Pride and Peugeot 206) in car agents. The data collection instrument was a questionnaire and data analysis software was Visual PLS. The results show that from six dimensions considered for fair price, after sales service, offering fair prices, pricing procedures and satisfactory sales service, respectively, have the greater impact on customer satisfaction. Satisfaction on Pride car is more than the Peugeot 206.

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