A Cost Benefit Analysis of Using Internet Self-Service Technology

• Main Authors: Thaddeus Rozak, 熊泰德
• Other Authors: Ming-Hui Huang
• Format: Others
• Language: en_US
• Published: 2011
• Online Access: http://ndltd.ncl.edu.tw/handle/69055347513863219366

碩士 === 國立臺灣大學 === 企業管理碩士專班 === 99 === Abstract A firm implements an Internet Self-Service Technology (ISST) into its service plan because it feels that it can benefit from its operation. There is a large risk on the part of the firm, as ISSTs require a substantial initial investment, but weighing against these costs are the benefits the firm can gain in reduced costs, an expanded customer base and providing a service option its customers want. ISSTs are a new form of Self-Service Technology (SST) and the technology it uses is also relatively new. The concept of being able to buy things online is both an exciting idea for consumers when they think of the benefits they will receive and a scary one for them when they consider the costs and risks. When consumers use an SST or an ISST they are giving up the service they would have received from a CSR and exchanging it for more control and more convenience. But to be able to take advantage of the benefits consumers have to make and investment of time, information, effort and trust in an ISST. The value consumers gain from using an ISST are completely based on their perception of the benefits they receive from using an ISST. While there are some inherent problems with ISSTs such as delays in delivery and increased risk, a firm can help with a customer’s perceptions of its services by trying to maximize customer satisfaction in the design of its ISST. ISSTs are a service platform in the highly competitive arena of the Internet. While they may have different functions, such as customer service or aiding in online transactions, the main goal remains the same in maximizing the benefits for their customers while minimizing their costs. Consumers have easy access to competitor’s prices, and products, while ISSTs offer very similar benefits in exchange. Firms must find a way to balance customer satisfaction and still have viable operating models for their ISSTs.