Internal Marketing, Internal Service Quality, Empowerment, And Business Performance: An Empirical Study Of Private Higher Education Institutions In Malaysia
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Date
2010-04
Authors
Ng, Peng Long
Journal Title
Journal ISSN
Volume Title
Publisher
Universiti Sains Malaysia
Abstract
This study aims to examine an IM theoretical framework in the Malaysian private higher education industry. The moderating effect of empowerment between the relationship of IM practices and perceived internal service quality is being examined. Survey research using self-administered questionnaires is carried out on 325 private higher education institutions located in Penang, Klang Valley and Johor. The results of this study indicate that IM practices comprise of four components, namely departmental coordination and training, proactive HR approach, leadership capability, and internal communication. From the four components, departmental coordination & training and internal communication are positively correlated with perceived internal service quality. Besides, departmental coordination & training and proactive HR approach are found to be positively correlated with financial and marketing indicators. In addition, perceived internal service quality is found to be mediating the relationship between departmental coordination & training and financial & marketing indicators. Also, empowerment influence is found to be moderating the relationship between proactive HR approach and perceived internal service quality. The findings of the research conclude that IM practices act as an integrating philosophy of management focusing on organizational activities to create and maintain appropriate inter-linkages so as to deliver strong internal service quality. IM practices propose the need to understand and manage all internal relationship, functions and interactions in order to create a right type of internal working environment.
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Keywords
To examine an IM theoretical framework , in the Malaysian private higher education industry