Impact of Covid-19 on Service-Profit Chain: An Exploratory Study on Indian Auto Industry

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Suhas Das, Ajit Upadhyaya, Rajiv Gupta


            There is no dearth of literature exploring impact of COVID-19 on various facets of consumers, businesses and economy at large. This exploratory study attempts to assess - how it may affect consumer’s preference of ‘place of purchase’, thereby impacting Service Profit Chain (S-PC), specific to Indian car industry. Assessments were done at two different time frames i.e. pre & amidst this pandemic for customer satisfaction and consumer’s online purchase intentions i.e. ‘place preference’. We also assessed consumer’s attitude towards vehicle purchase in the second phase of this study. Statistical analysis revealed COVID-19 so far has neither eroded customer satisfaction nor will impact ‘place preference’ and thus S-PC. Also there is heterogeneity in views on advancing or deferring purchases. Researchers and practitioners are however advised to take this study forward as consumer’s behaviours may change based on their resilience and also to other product categories as these findings may differ for high & low consumer involvement products.

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