Figure 1.

Figure 2.

Confirmatory Factor Analysis
Dimensions (Structures) | Mean | Std. Deviation | VIF | t-value | Factor Load |
---|---|---|---|---|---|
Online Transactions | |||||
The online sales system is used effectively by our agency. | 3.774 | 0.962 | 1.150 | 7.367 | 0.611 |
Collection of the product price in online sales is hassle-free. | 3.680 | 1.049 | 1.743 | 50.721 | 0.906 |
The refund of the product price in the cancellation of online sales is hassle-free. | 3.579 | 1.028 | 1.591 | 13.623 | 0.785 |
Reservation Systems | |||||
The use of central reservation system increases competitiveness. | 3.754 | 1.026 | 1.322 | 20.032 | 0.799 |
Global distribution systems (GDS) (Amadeus, Galileo, Sabre etc.) are required for agents. | 3.637 | 1.039 | 1.276 | 14.973 | 0.750 |
The use of GDS in our travel agency is sufficient. | 3.538 | 0.99 | 1.059 | 8.530 | 0.612 |
Service Quality | |||||
It is important to increase the quality of staff. | 4.391 | 0.787 | 2.270 | 32.130 | 0.811 |
It is important to improve sales and after-sales services. | 4.391 | 0.861 | 1.857 | 19.135 | 0.765 |
It is important to ensure stability and continuity. | 4.431 | 0.717 | 1.771 | 18.925 | 0.729 |
It is important that the product or service provided is done on time. | 4.404 | 0.795 | 2.432 | 31.044 | 0.816 |
It is important to improve the quality of products and services. | 4.406 | 0.839 | 2.660 | 28.037 | 0.823 |
It is important to provide products and services that comply with standards. | 4.345 | 0.805 | 1.883 | 16.921 | 0.738 |
It is important to focus on R&D studies. | 4.132 | 0.911 | 1.710 | 18.504 | 0.684 |
Cost | |||||
Reducing costs is important. | 4.213 | 0.98 | 2.287 | 17.836 | 0.845 |
It is important to keep production and inventory costs at the lowest level. | 4.076 | 0.992 | 1.278 | 13.109 | 0.746 |
It is important to create financial opportunities to make new investments. | 4.256 | 0.922 | 2.257 | 30.954 | 0.895 |
Market Share | |||||
It is important that the production time is short compared to the competitors. | 4.360 | 0.832 | 1.732 | 16.533 | 0.746 |
It is important to analyse competitor products. | 4.266 | 0.842 | 1.879 | 20.973 | 0.758 |
It is important to increase product diversity. | 4.327 | 0.85 | 1.953 | 20.021 | 0.769 |
It is important to improve the brand and company image. | 4.510 | 0.797 | 1.816 | 26.714 | 0.786 |
It is important that capacity is flexible in the face of supply and demand flexibility. | 4.175 | 0.85 | 1.648 | 11.238 | 0.673 |
It is important to provide technology transfer. | 4.162 | 0.915 | 1.410 | 13.315 | 0.662 |
Path coefficients and hypotheses
Hypothesis | Path Coefficients | t-value | p-value | Supported | SRMR | NFI |
---|---|---|---|---|---|---|
Online Transactions > Service Quality | 0,278 | 6,048 | 0,000** | Yes | 0.075 | 0.845 |
Online Transactions > Cost | 0,160 | 2,937 | 0,003** | Yes | ||
Online Transactions > Market Share | 0,195 | 3,818 | 0,000** | Yes | ||
Reservation Systems > Service Quality | 0,242 | 4,347 | 0,000* | Yes | ||
Reservation Systems > Cost | 0,157 | 2,426 | 0,015* | Yes | ||
Reservation Systems > Market Share | 0,264 | 4,463 | 0,000** | Yes |
Descriptive Statistics of Participants
Variables | N | % |
---|---|---|
Gender | ,-- | -- |
Female | 265 | 46,8 |
Male | 301 | 53,2 |
Age groups | -- | -- |
30 age and below | 157 | 27,7 |
31–45 age | 339 | 59,9 |
46 age and above | 70 | 12,4 |
Agency Ownership Type | -- | -- |
Family Business | 175 | 30,9 |
Domestic Independent Business | 286 | 50,5 |
Franchise Business | 105 | 18,6 |
Administrative Level | -- | -- |
Top executive | 170 | 30,0 |
Mid-level director | 149 | 26,4 |
Junior administrative officer | 247 | 43,6 |
Educational Status | -- | -- |
High schools and their equivalents | 113 | 20,0 |
Associate degree | 196 | 34,6 |
Undergraduate/degree | 223 | 39,4 |
Postgraduate | 34 | 6,0 |
Agency Type | -- | -- |
Group A | 475 | 83,9 |
Group B | 36 | 6,4 |
Group C | 55 | 9,7 |
Period of service | -- | -- |
less than 4 years | 133 | 23,5 |
5–9 Years | 197 | 34,8 |
10–19 Years | 156 | 27,6 |
More than 20 Years | 80 | 14,1 |
Reliability and Validity
Fornell-Larcker Criterion | Heterotrait-Monotrait Ratio | |||||||||
---|---|---|---|---|---|---|---|---|---|---|
Variables | 1 | 2 | 3 | 4 | 5 | 1 | 2 | 3 | 4 | 5 |
Service Quality (1) | 0.868 | - | ||||||||
Cost (2) | 0.711 | 0.831 | 0.846 | |||||||
Online Transactions (3) | 0.379 | 0.225 | 0.777 | 0.479 | 0.285 | |||||
Market Share (4) | 0.648 | 0.663 | 0.306 | 0.734 | 0.892 | 0.822 | 0.395 | |||
Reservation Systems (5) | 0.358 | 0.223 | 0.417 | 0.345 | 0.725 | 0.519 | 0.335 | 0.730 | 0.513 | - |
Cronbach's Alpha | 0.883 | 0.776 | 0.763 | 0.828 | 0.737 | |||||
Reliability Coefficient (Rho_A) | 0.887 | 0.815 | 0.749 | 0.837 | 0.746 | |||||
Composite Reliability | 0.909 | 0.869 | 0.816 | 0.875 | 0.766 | |||||
AVE | 0.590 | 0.690 | 0.603 | 0.539 | 0.525 |