Water utility efficiency and stated choice responses: status quo effects, effects of presentation format and response time
- Authors: Murwirapachena, Genius
- Date: 2019
- Subjects: Water utilities -- Finance , Waterworks -- Finance Waterworks -- Management
- Language: English
- Type: Thesis , Doctoral , PhD
- Identifier: http://hdl.handle.net/10948/41741 , vital:36577
- Description: Water regulators and policymakers around the world are increasingly influencing water systems towards efficiency and sustainable consumption. In pursuit of these, most regulators mainly use traditional economic-analysis methods to benchmark water utilities and elicit water-service preferences. There have been discussions of several other techniques that extend the commonly used traditional economic analysis tools in the literature. Regardless of these discussions, the practical application of new economic analysis tools in the water sector remains relatively low. This study intends to extend the existing literature by providing more robust methods that could be useful to water regulators. The study asks four research questions to shed light on whether more robust methods are the way forward in water regulation. More precisely, the study investigates the consistency of efficiency scores obtained from the data envelopment analysis (DEA), stochastic frontier analysis (SFA) and stochastic non-parametric envelopment of data (StoNED) techniques on a sample of South African water utilities. Additionally, the study examines the impact of status quo bias, presentation format and response time on results from discrete choice experiments conducted using a case of the South African water sector. The study reports four main findings. First, we find that the StoNED method (based on the methods of moments estimator) outperformed both SFA and DEA. However, SFA outperformed StoNED, when the latter was based on the pseudolikelihood estimator. Second, we find that including a partially relevant status quo reduced status quo bias but did not significantly affect empirical estimates. Major differences are noted in the marginal willingness to pay (MWTP) estimates reported for one of the sub-samples. Third, we find that presenting attributes and levels using the visuals format generated more statistically significant coefficients than presenting them as text or text-and-visuals. Generally, we find that the presentation format significantly affects choice. Finally, we find that removing fast or slow responses from the sample did not significantly affect both utility function and MWTP results. Based on these findings, the study makes four main recommendations. Firstly, the study argues that StoNED (method of moments estimator) and SFA are more appropriate for estimating efficiency in heterogenous water sectors. The study makes recommendations for future studies that seek to do a methodological cross-checking of the three efficiency analysis techniques in the water sector. Secondly, the study argues that a text-and-visuals experiment improves choice task clarity and yields more robust estimates. Thus, more research on the effects of presentation formats is required in environmental economics so that guidelines on developing valid presentation formats for choice tasks can be established. Finally, the study argues against the exclusion of fast and slow responses from the dataset; and recommends approaches for future studies that investigate the impact of response time on choice.
- Full Text:
- Date Issued: 2019
- Authors: Murwirapachena, Genius
- Date: 2019
- Subjects: Water utilities -- Finance , Waterworks -- Finance Waterworks -- Management
- Language: English
- Type: Thesis , Doctoral , PhD
- Identifier: http://hdl.handle.net/10948/41741 , vital:36577
- Description: Water regulators and policymakers around the world are increasingly influencing water systems towards efficiency and sustainable consumption. In pursuit of these, most regulators mainly use traditional economic-analysis methods to benchmark water utilities and elicit water-service preferences. There have been discussions of several other techniques that extend the commonly used traditional economic analysis tools in the literature. Regardless of these discussions, the practical application of new economic analysis tools in the water sector remains relatively low. This study intends to extend the existing literature by providing more robust methods that could be useful to water regulators. The study asks four research questions to shed light on whether more robust methods are the way forward in water regulation. More precisely, the study investigates the consistency of efficiency scores obtained from the data envelopment analysis (DEA), stochastic frontier analysis (SFA) and stochastic non-parametric envelopment of data (StoNED) techniques on a sample of South African water utilities. Additionally, the study examines the impact of status quo bias, presentation format and response time on results from discrete choice experiments conducted using a case of the South African water sector. The study reports four main findings. First, we find that the StoNED method (based on the methods of moments estimator) outperformed both SFA and DEA. However, SFA outperformed StoNED, when the latter was based on the pseudolikelihood estimator. Second, we find that including a partially relevant status quo reduced status quo bias but did not significantly affect empirical estimates. Major differences are noted in the marginal willingness to pay (MWTP) estimates reported for one of the sub-samples. Third, we find that presenting attributes and levels using the visuals format generated more statistically significant coefficients than presenting them as text or text-and-visuals. Generally, we find that the presentation format significantly affects choice. Finally, we find that removing fast or slow responses from the sample did not significantly affect both utility function and MWTP results. Based on these findings, the study makes four main recommendations. Firstly, the study argues that StoNED (method of moments estimator) and SFA are more appropriate for estimating efficiency in heterogenous water sectors. The study makes recommendations for future studies that seek to do a methodological cross-checking of the three efficiency analysis techniques in the water sector. Secondly, the study argues that a text-and-visuals experiment improves choice task clarity and yields more robust estimates. Thus, more research on the effects of presentation formats is required in environmental economics so that guidelines on developing valid presentation formats for choice tasks can be established. Finally, the study argues against the exclusion of fast and slow responses from the dataset; and recommends approaches for future studies that investigate the impact of response time on choice.
- Full Text:
- Date Issued: 2019
Perceptions on the use of social media in the banking industry
- Authors: Cupp, Nicole Leshaan
- Date: 2015
- Subjects: Banks and banking -- Customer services , Banks and banking -- Social aspects , Internet marketing -- South Africa
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: http://hdl.handle.net/10948/5489 , vital:20870
- Description: As banks operate in a competitive environment, it is important for managers and marketers to identify how customer satisfaction and customer retention levels can be can be improved through social media aspects. Although models of customer satisfaction and customer retention have been well researched for client products/services, the literature available on social media as a marketing tool is limited in quantity compared to other more established areas of marketing. This research study reviews existing literature on the banking industry in terms of its characteristics and challenges. Literature on customer satisfaction and customer retention as relevant to the banking industry is reviewed, as well as how social media aspects can improve customer satisfaction and customer retention. Thus the primary objective of this study is to identify the social media aspects (benefits, clients’ trust and content) that influence the intervening variable (customer satisfaction) and dependent variable (customer retention) in the banking industry. An empirical investigation was undertaken to establish whether the independent variables; namely benefits, clients’ trust and content as related to social media can possibly influence customer satisfaction and ultimately customer retention in the banking industry. A positivistic research paradigm was followed for this study. Quantitative data was gathered by distributing questionnaires to a sample of bank clients and managers. The sample size consisted of 150 bank clients and 30 bank managers in the Nelson Mandela Metropolitan area in South Africa. The questionnaires were statistically analysed using the computer programmes Microsoft Excel and Statistica Version 12.0. The validity of the study was measured by utilising Exploratory Factor analysis. Cronbach’s Alpha correlation coefficients were calculated to measure the reliability and internal consistency of the measurement instrument of this study. Data was analysed in four phases. Descriptive statistics concerning the respondents and variables were calculated for this study. The validity of the measuring instrument was tested by performing EFA to consider construct validity. Thereafter, the internal reliability of the data was assessed using Cronbach’s Alpha correlation coefficients. Pearson’s product-moment correlation coefficients and multiple regression analyses were calculated. Through multiple regression calculations, the relationships predicted by the four hypotheses were analysed. Finally, t-tests and analysis of variance (ANOVA) tests were conducted. The empirical investigation revealed that significant positive relationships exist between the independent variables benefits, trustworthy content and the intervening variable customer satisfaction, as well as between these two independent variables and the dependent variable customer retention. From the empirical results it was concluded that if banks offer benefits and trustworthy content to their clients through social media channels, clients are likely to be satisfied with and retained by their bank. This study established and confirmed the significant positive relationship that exists between customer satisfaction and customer retention in the banking industry. All bank managers and marketers will benefit from the empirical results as well as the recommendations of this study on how to improve customer satisfaction and customer retention through social media channels which will ultimately improve the performance of banks.
- Full Text:
- Date Issued: 2015
- Authors: Cupp, Nicole Leshaan
- Date: 2015
- Subjects: Banks and banking -- Customer services , Banks and banking -- Social aspects , Internet marketing -- South Africa
- Language: English
- Type: Thesis , Masters , MCom
- Identifier: http://hdl.handle.net/10948/5489 , vital:20870
- Description: As banks operate in a competitive environment, it is important for managers and marketers to identify how customer satisfaction and customer retention levels can be can be improved through social media aspects. Although models of customer satisfaction and customer retention have been well researched for client products/services, the literature available on social media as a marketing tool is limited in quantity compared to other more established areas of marketing. This research study reviews existing literature on the banking industry in terms of its characteristics and challenges. Literature on customer satisfaction and customer retention as relevant to the banking industry is reviewed, as well as how social media aspects can improve customer satisfaction and customer retention. Thus the primary objective of this study is to identify the social media aspects (benefits, clients’ trust and content) that influence the intervening variable (customer satisfaction) and dependent variable (customer retention) in the banking industry. An empirical investigation was undertaken to establish whether the independent variables; namely benefits, clients’ trust and content as related to social media can possibly influence customer satisfaction and ultimately customer retention in the banking industry. A positivistic research paradigm was followed for this study. Quantitative data was gathered by distributing questionnaires to a sample of bank clients and managers. The sample size consisted of 150 bank clients and 30 bank managers in the Nelson Mandela Metropolitan area in South Africa. The questionnaires were statistically analysed using the computer programmes Microsoft Excel and Statistica Version 12.0. The validity of the study was measured by utilising Exploratory Factor analysis. Cronbach’s Alpha correlation coefficients were calculated to measure the reliability and internal consistency of the measurement instrument of this study. Data was analysed in four phases. Descriptive statistics concerning the respondents and variables were calculated for this study. The validity of the measuring instrument was tested by performing EFA to consider construct validity. Thereafter, the internal reliability of the data was assessed using Cronbach’s Alpha correlation coefficients. Pearson’s product-moment correlation coefficients and multiple regression analyses were calculated. Through multiple regression calculations, the relationships predicted by the four hypotheses were analysed. Finally, t-tests and analysis of variance (ANOVA) tests were conducted. The empirical investigation revealed that significant positive relationships exist between the independent variables benefits, trustworthy content and the intervening variable customer satisfaction, as well as between these two independent variables and the dependent variable customer retention. From the empirical results it was concluded that if banks offer benefits and trustworthy content to their clients through social media channels, clients are likely to be satisfied with and retained by their bank. This study established and confirmed the significant positive relationship that exists between customer satisfaction and customer retention in the banking industry. All bank managers and marketers will benefit from the empirical results as well as the recommendations of this study on how to improve customer satisfaction and customer retention through social media channels which will ultimately improve the performance of banks.
- Full Text:
- Date Issued: 2015
- «
- ‹
- 1
- ›
- »