The Impact of Reverse Supply Chain (RSC) on Customer Satisfaction A Study of Its Effectiveness

CHAPTER ONE: INTRODUCTION TO STUDY

According to Larsen et al. (2022), for the last 20 years, the use and significance of reverse

supply chains (RSCs), as well as scholarly interest and understanding of the topic, has increased

due to many factors, including the need for sustainability within the supply chain ecosystem. RSC

is the procedure of planning, executing, and overseeing the well-organized, cost-effective flow of

raw materials or goods, processing inventory, completed goods, and associated information with

their destination to the fact of manufacture for the intention of appropriate disposal (Ellahi et al.,

2022; Govindan et al., 2019; Russo et al., 2019; Smith, 2005). According to Larsen et al. (2022),

the rise of the RSC includes the desire to limit climate change, consumer segments willing to pay

premiums for sustainability in manufacturing, increasing raw material prices, making reuse

attractive, and RSC supports competitive advantages.

According to Russo et al. (2019), RSC remains an increasing challenge for companies

because it represents both a cost driver and an opportunity to improve customer service. Also,

perceived corporate social responsibility (CSR), linked to the RSC, directly and positively

influences service quality, customer satisfaction, and repurchase intention. Service satisfaction

and quality moderate how perceived CSR affects the RSC and repurchase intention (Bello et al.,

2020; Wang et al., 2017) proposed several models for how managers can better manage product

returns to increase satisfaction, including customer service across the supply chain. Russo et al.

wrote that the researcher could employ qualitative comparative analysis (QCA) methodology to

examine whether firms can achieve prominent levels of customer satisfaction by using different

configurations of specific reverse flow and operational antecedents. Huscroft et al. (2013)

concluded that it is of utmost importance for academic RSC research to examine ways to establish

the RSC as a profit center.

This qualitative semi-structured interview study provides historical and current research

on RSC and customer satisfaction. It also includes a review of research conducted by others for

their understanding of RSC’s relationship with customer satisfaction. A semi-structured interview

is a qualitative research design in which a researcher describes the lived experiences of

individuals about a phenomenon described by participants (Sadek et al., 2023). Qualitative semi-

structured interview research seeks to explain and understand how humans view the world and

convey deep insight into everyday life experiences (Sadek et al., 2023; Shoozan & Mohamad,

2024). In this qualitative study, this researcher also interviewed subject matter experts (SMEs),

meeting the study requirements and sample size on RSC. Also, the subject matter experts are

referred to as research participants.

In Chapter One, the significance of RSC and its relationship with customer satisfaction is

discussed within the background of the study, problem statement, significance and nature of the

study, conceptual framework, hypothesis, definitions, assumptions, scope, limitations, and

delimitations. This information will offer the reader a clear understanding of the basis for the

study and prepare them for the literature review, research methods, results, findings, and

recommendation chapters.

Background of Study

RSC refers to the movement of goods and services from the customer to the producer; it

has become popular and has been deemed a necessary business process since the 1990s (Chan &

Jain, 2012; Larsen et al., 2022). According to Larsen and Jacobsen (2018), an RSC function is

defined by three constituent elements: a process (e.g., repair or remanufacturing), an item (e.g., a

complete end-product, a component, or a material), and a financial contributing purpose (e.g.,

increased revenue or reduced operating costs). The RSC process can be organized into five

critical steps: product acquisition, reverse logistics, inspection and disposition, reconditioning,

and distribution and sales (Prahinski et al., 2016). Before the 1990s, RSC was ignored, and the

focus was on the forward supply chain because companies needed to think RSC was necessary or

that it influenced their strategic or marketing plan (Ellahi et al., 2022; Smith, 2005). Instead,

companies viewed RSC as a necessary business process from a profitability perspective (Huscroft

et al., 2013; Piyachat, 2017) or as an environmental and sustainability issue (Carter & Ellram,

1998; Chan & Jain, 2012; Yerramalli & Burra, 2014; Zhang et al., 2023). In 2003, product returns

represented a financial burden of over $100 billion annually on U.S. retailers, escalating to more

than $761 billion by 2021. The return costs increase signifies that, on average, 16.6% of U.S.

retail sales were attributed to the costs associated with product returns (Morton, 2003; National et

al., 2022). The number of returns varies by industry but ranges from 5-50% of store sales (Lin et

al., 2020; Prahinski & Kocabasoglu, 2006). Customers value being able to return products and

rely on returns as part of their product search process (Samorani et al., 2019).

From the supply chain perspective, the need for more knowledge regarding RSC and

customer service causes gaps in customer satisfaction for businesses within the United States

(Russo et al., 2019). Research on the long-term implications of RSC and its effect on customer

satisfaction has been limited (Sajjanit & Rompho, 2019; MahmoumGonbadi et al., 2021; Russo et

al., 2019). When customers return a product, it signals dissatisfaction; firms must provide a

satisfactory return process because they are given a second chance to make the customer happy,

and a low-quality return process will be deemed a double fault by the customer (Sajjanit &

Rompho, 2019; Yerramalli & Burra, 2014). Restrictive RSC hurts customer satisfaction and leads

businesses to lose customers (Griffis et al., 2012; Tandon, 2021).

Customers return products for several reasons, including defects, need for repair, low

quality, wrong item shipped, wrong size, wrong type, wrong color, or dissatisfaction with the

product (Abdallah & El-Beheiry, 2022; Lin et al., 2020). Other factors that affect customer

returns include price, promotion, packaging, and delivery (Lin et al., 2020). Due to the inability to

physically view products sold online, online returns are higher than brick-and-mortar store returns

(Robertson et al., 2020; Lin et al., 2020). Traditional online stores have a rate of return of 43%

(Jackson & Xu, 2022).

RSC can be expensive for businesses because they face mandated environmental

regulations from the government, increasing costs associated with product disposal and coping

with customer returns (Prahinski & Kocabasoglu, 2006; Robertson et al., 2020). When returned

goods are replaced, sometimes instantly, this affects the fulfillment of current demand, leading to

production delays and disruption of shortage and surplus of goods (Abdallah & El-Beheiry,

2022). Although most returns are due to a service failure on the part of the company, there also

exists a fraudulent side to returns, including stealing and then returning products for refunds, as

well as planned returners who intentionally buy or order more than they intend to keep, abusing

the return rights or policy of the company (Lin et al., 2020; Rintamäki et al., 2021). In order to

reduce the cost of the RSC process, companies are employing different tactics, including allowing

customers to keep or donate the products instead of returning them to the company (Kapner &

Ziobro, 2021), accepting returns from rival businesses (Robertson et al., 2020), charging a return

or restocking fee as well as packing and shipping costs to the customer (Yang et al., 2022), and

effectively utilizing information technology as a cost-saving measure in RSC (Ellahi et al., 2022).

Businesses have also introduced the try-before-you-buy model, which allows customers to

try products at home and then return those they deem unwanted due to many factors, including

size, color, design, or other issues (Jackson & Xu, 2022). Other businesses realize that the store

employee in charge of product returns is training employees to be customer-oriented, including

customer recommendations. A well-trained and customer-oriented store employee can make a

customer return process seamless, leading to a satisfied customer (Autry et al., 2007). Businesses

are making decisions in the product development and design stages with the implications of RSC

as a core concern to reduce customer returns, especially unplanned ones (Burke et al., 2023;

Smith, 2005).

Businesses use artificial intelligence (AI) to help them make better decisions regarding

returns, reduce customer returns, and improve customer service. Businesses have created

algorithms that track customers and the number of returns per period, assigning risk scores to

customers with high returns. Online companies like Warby Parker have created real-world

showrooms for customers to view products before purchasing. Digital enterprises are leveraging a

range of AI-supported technologies to minimize product returns; these include virtual try-on

solutions that enable shoppers to find the best fit among various apparel options, interactive

chatbots for customer engagement and support, and intelligent recommendation systems that

suggest products based on consumers’ past purchases and browsing patterns (Yang et al., 2022).

One of the dynamic capabilities of an RSC is that when it is well-crafted and organized, it can be

beneficial to the company, resulting in more delighted customers, increased revenues, and

increased supply chain visibility, as well as returning customers (Ellahi et al., 2022; Griffis et al.,

2012; Tandon, 2021).

Prior research addressed RSC and customer satisfaction from the customer and the

company’s perspective (Ellahi et al., 2022; Russo et al., 2019). Examining the experiences of

SMEs, including retail managers, regarding how RSC affects customer service, critical essential

categorical variables, or factors of the RSC process that influence customer satisfaction, and the

moderating factors that may affect the relationship between RSC and customer satisfaction

learned would be beneficial to all businesses seeking to create an effective and efficient customer-

centric RSC process.

Statement of the Problem

The general problem of this qualitative semi-structured interview study was to address the

effect of RSC on customer satisfaction. Before the 1990s, businesses concentrated on the forward

supply chain process (Larsen et al., 2022), which involves moving products from the

manufacturer to the customers (Smith, 2005). Larsen et al. (2022) asserted that businesses ignored

the need to create an effective process of handling returned goods by customers and how the

return process affected customers’ attitudes toward the company.

Prior research has not effectively addressed how reverse supply chain processes and

customer satisfaction are related (Rintamäki et al., 2021). According to Rintamäki et al. (2021),

previous literature has not considered the returning experience as a separate construct, as an

antecedent to firm metrics such as overall satisfaction and loyalty. Sajjanit and Rompho (2019)

stated that research on RSC processes fails to clearly understand the role of customer satisfaction

in an RSC process. Rao et al. (2018) asserted that most firms experience returns, but few

understand the uniqueness and value of adequate returns management to enhance customer

satisfaction by evaluating returns. In their research, Russo et al. (2019) further discussed gaps in

previous research by stating that few studies have investigated how combinations of conditions

related to the RSC process may affect customer satisfaction.

This research focused on the experiences of SMEs, including retail store managers and

middle managers, who meet the following requirements: (a) have at least three years of

experience in the retail business environment; (b) understand RSC processes, as well as customer

relationship management (CRM); (c) are currently working in a retail environment; and (d) have

created or implemented an RSC process in a retail environment.

This qualitative semi-structured interview study sought to discover how an RSC process

leads to higher customer satisfaction for businesses in the United States. This researcher selected

the qualitative semi-structured interview design method to understand the selected SMEs’ direct

experience working in a retail environment through phrasing the inquiry (Sadek et al., 2023;

Saldaña & Omasta, 2016).

Specific Problem Statement

It is unknown how an RSC can lead to higher customer satisfaction for retail businesses in

the United States.

Purpose of the Study

The purpose of this qualitative semi-structured interview study was to understand, through

the perceptions and experiences of SMEs who work in the retail environment, the effect of RSC

on customer satisfaction and vital categorical variables or conditions related to the RSC process

that may affect customer satisfaction. Subject matter experts in this research included retail store

managers and middle managers, who meet the following requirements: (a) have at least three

years of experience in the retail business environment; (b) understand RSC processes, as well as

CRM; (c) are currently working in a retail environment; and (d) have created or implemented an

RSC process in a retail environment. The results from this qualitative semi-structured interview

study may provide insight and understanding into how RSC processes can affect customer

satisfaction for businesses in the United States based on the experiences of the SMEs. This

researcher strove to gather information by conducting three sets of interviews with six to eight

SMEs per set of interviews (Okechukwu et al., 2024), all working in the United States. SMEs

were contacted through Linked In and supply chain professional organizations such as the

Association for Supply Chain Management and the Council of Supply Chain Management

Professionals.

Significance of the Study

Ellahi et al. (2022) posited that supply chain integration and coordination positively

influence firm performance determinants such as reverse logistics cost savings and customer

satisfaction. Weak RSC capabilities would result in poor handling and recycling of used products,

which have a more significant environmental impact (Ellahi et al., 2022). RSC procedures like

recycling or landfills are connected to and affect the environment, leading corporations and

businesses to investigate mitigation strategies to circumvent imminent disasters (Ghadge et al.,

2020). When well-crafted, RSC can help address climate change issues, improve a company’s

profitability, and increase customer satisfaction in an environment of fierce competition (Carter &

Ellram, 1998; Chan & Jain, 2012; Huscroft et al., 2013; Piyachat, 2017; Yerramalli & Burra,

2014; Zhang et al., 2023). RSC has become critical in supply chain management because of rising

consumer demands and increased company burdens (Ellahi et al., 2022).

It is essential to understand the effect of RSC on customer satisfaction by understanding

SMEs’ lived experiences to provide answers to questions associated with RSC and customer

satisfaction. This research regarding RSC and its effect on customer satisfaction strove to fill the

literature gap by addressing RSC’s effect on customer satisfaction from retail store managers and

middle managers in businesses that implement the RSC policies enacted by corporations. The

RSC and its effect on customer satisfaction findings should help businesses create customer-

friendly RSC processes that lead to long-term success as it increases customer satisfaction (Rao et

al., 2018; Russo et al., 2019).

Understanding how RSC affects customer satisfaction, as well as the conditions related to

the RSC process that affect customer satisfaction, was critical for businesses as customer returns

increase yearly and become a higher percentage of total sales (Jackson & Xu, 2022; Morton,

2003; National Retail Federation, 2022). Also, the findings may fill the gap regarding how

combinations of different conditions related to returns management may affect customer

satisfaction and contribute to the relationship between RSC and customer relationships (Ellahi et

al., 2022; Russo et al., 2019). The research strove to increase the knowledge of the significance of

having an effective RSC for a corporation or business because it creates a sustainable

environment. Some processes include recycling, reusing, remanufacturing, repurposing

components, and saving on costs.

Nature of Study

This research applied the qualitative semi-structured interview method and design to study

the essence of the experiences of several individuals who have experienced the RSC process and

explain and identify the conditions related to the RSC process that affect customer satisfaction

(Mishra & Dey, 2022). According to Mishra and Dey (2022), qualitative methodology is designed

to search for an understanding of themes, patterns, or simple explanations through the lived

experience of the study SMEs, as well as a present explanation based on an insider’s perspective.

Mishra and Dey, 2022 Sadek et al. (2023), and Shoozan and Mohamad (2024) offered that an

excellent qualitative method must contain several qualitative data collection techniques, show a

rigorous approach to data collection, and include clear, engaging writing informed by an

understanding of existing research traditions the researcher identifies. Unlike a well-defined

quantitative method, qualitative methods are flexible and at the researcher’s discretion. According

to Creswell and Creswell (2022), other differences between quantitative and qualitative designs

are that qualitative designs are based on assumptions that are vastly different from quantitative

designs; data from qualitative designs are descriptive and focus on SMEs’ perceptions and

experiences in addition to focusing on the process that is occurring as well as the outcome. Unlike

quantitative designs, qualitative designs capture the subtleties and complexities of individual

human behavior. Qualitative methods commonly used in the real world include grounded theory,

ethnographic, case studies, narrative, and phenomenology studies.

This researcher applied a qualitative semi-structured interview study design. Qualitative

semi-structured interview research seeks to reveal and convey deep insight and understanding of

the concealed meanings of everyday life experiences of how humans see themselves and the

world around them (Sadek et al., 2023; Saldaña & Omasta, 2016; Shoozan & Mohamad, 2024).

This researcher conducted semi-structured one-on-one interviews with SMEs (Sadek et al., 2023).

This researcher aimed to explore the effect of RSC processes on customer service from the

perspective of SMEs. However, prior researchers have used quantitative methods, including

surveys, to analyze customers’ perceptions of the company’s return management process (Ellahi

et al., 2022; Rintamäki et al., 2021; Sajjanit & Rompho, 2019). This researcher strove to obtain

the perspective of these SMEs, including middle management (store or branch managers). This

researcher chose to interview SMEs because they are not initiators of the return policies at their

companies but implementers of the RSC policy and processes.

A qualitative semi-structured interview study was deemed appropriate because it offered

this researcher more insight into how SMEs feel about their RSC process and whether it affects

customer satisfaction in their workplace (Saldaña & Omasta, 2016; Shoozan & Mohamad, 2024).

Their anonymity was hoped to provide a more in-depth view of the process than a survey. The

research design involved collecting in-depth and detailed information about the SMEs’

experiences through interviews (Creswell & Creswell, 2022; Shoozan & Mohamad, 2024). This

researcher also had the option to follow up on exciting responses or ask additional questions to

clarify any confusion. In a semi-structured interview, the interviewer uses an interview checklist,

default wording, and order for the questions. However, the interview can be modified based on

how the interview flows, with random questions asked as a follow-up if needed (Saldaña &

Omasta, 2016; Shoozan & Mohamad, 2024). Narrative research would be ineffective as it

provides the SMEs’ stories and combines the views from their lives and those of the researchers.

Grounded theory is a design of inquiry where a researcher derives a general but abstract theory of

a process grounded in SMEs’ views (Creswell & Creswell, 2022; Shoozan & Mohamad, 2024).

Grounded theory was deemed impractical for this research because RSC is not an abstract theory

of process but a fundamental process of the backward flow of products from the customer to the

supplier (Sajjanit & Rompho, 2019). Ethnography describes and interprets a social group’s

culture and social structure and has its roots in anthropology (Shoozan & Mohamad, 2024). This

research did not address culture or social groups but intended to understand further RSC, a

business and management concept. A case study would not have been appropriate for this

research because it focuses on a case (an individual, a group, a setting, or an organization;

Creswell & Creswell, 2018; Shoozan & Mohamad, 2024). This qualitative semi-structured

interview study focused on RSC in businesses, and this researcher interviewed three groups of

individuals who work in retail, gathering their perceptions of RSC and customer satisfaction.

Research Questions

Research questions narrow the purpose statement to predictions about what might be

learned or questions answered in the study (Dodgson, 2020). The research questions were as

follows:

• RSQ1. What is the relationship between reverse supply chain and customer

satisfaction? This research question sought to explore the central concept of the study,

which is to understand better the RSC process and how this can affect retail

organizational customer satisfaction. Three sub-questions are provided, which align

with the central question and are related to the subthemes about RSC and customer

satisfaction.

• RSQ2. What configurations of distinct conditions in the RSC process lead to customer

satisfaction? This research question sought to understand the critical factors needed in

the reverse supply chain process to affect customer satisfaction (Russo et al., 2019).

• RSQ3. What are the best practices and strategies businesses can undertake to improve

customer satisfaction in the RSC process? Businesses have adopted several strategies

to improve customer satisfaction as well as streamline RSC, including having a clearly

defined return policy (Rintamäki et al., 2021), allowing returns from other companies

(Robertson et al., 2020), placing huge penalties for returns (Li et al., 2023),

implementing the try-before-you-buy model (Jackson & Xu, 2022), or allowing

customers to keep the product and receive a refund (Kapner & Ziobro, 2021). This

question sought to understand the best strategy to implement if a business seeks to

create a customer-centric RSC process.

• RSQ4. How do customer expectations and perceptions influence their satisfaction with

a company’s RSC process? This research question is a sub-question to the central

question. It sought to understand customer expectations and perceptions of the

company and its return process when they return a product and how they affect their

satisfaction with the company’s RSC process.

The return experience is a component of customers’ overall experience in a business, and

customers value being able to return products (Rintamäki et al., 2021; Samorani et al., 2019).

Businesses have invested in training customer service representatives who oversee customer

returns because a seamless return process, fairness of the return policy, and speed of the return

have a positive effect on how customers view the company as well as a future purchase (Autry et

al., 2007; Ertekin, 2018).

An interview guide, as outlined in Burton’s (2014) framework, was meticulously crafted

to steer the interview process effectively. The interview guide in Appendix F commenced with

four broad questions related to the research inquiries. As the discussions progressed, additional

questions were honed and customized based on the moderator’s careful examination and analysis

of the SMEs’ responses. The moderator’s approach systematically analyzes the SMEs’ input to

extract pertinent data aligned with the research questions. These responses serve as building

blocks, enabling the moderator to understand the research inquiries comprehensively. This

newfound comprehension is leveraged to fine-tune and direct subsequent inquiries during the

interview process.

Theories/Frames That Guided the Study

Two conceptual frameworks guide that qualitative semi-structured interview study. They

are Qualitative Comparative Analysis (QCA) and Service Quality Model (SERVQUAL). Hanish

et al. (2023) described a conceptual framework as one that explains in narrative form the main

topics to be studied, critical factors, constructs, and categorical variables, as well as the presumed

relationships among them.

Qualitative Comparative Analysis (QCA) Framework

The Qualitative Comparative Analysis (QCA) framework is a research methodology used

to examine the effects of various causal attributes or conditions on an outcome of interest by

identifying different configurations that can lead to the same outcome (Fiss, 2011). QCA is

particularly effective in studies with small sample sizes and allows researchers to explore

complex causal relationships that may be positive, negative, nonexistent, or asymmetric (Nande et

al., 2022). The framework uses Boolean algebra and set-theoretical approaches to facilitate

systematic cross-case comparisons, which can be applied to various data types, including those

gathered from semi-structured interviews (Kopper et al., 2020; Nande et al., 2022). QCA enables

researchers to uncover multiple sufficient configurations of conditions that lead to a particular

outcome, offering a nuanced understanding of how varied factors interact to produce the observed

effects (Fiss, 2011).

The QCA framework was chosen for this research on the effects of reverse supply chains

(RSC) on customer satisfaction because it allows for exploring complex interactions between

multiple variables, which is essential in understanding how different configurations of reverse

logistics processes can impact customer satisfaction (Russo et al., 2019). Unlike traditional

methods, QCA provides a more flexible approach to identifying various pathways that lead to the

same outcome, accommodating the complexity and variability inherent in RSC. Complexity and

variability inherent in RSC are instrumental when exploring customer satisfaction, as different

RSC practices may interact in diverse ways to influence customer experiences (Russo et al.,

2019). By employing QCA, researchers can identify specific combinations of RSC attributes that

contribute to prominent levels of customer satisfaction, offering valuable insights into effective

reverse logistics practices (Mattke et al., 2021; Russo et al., 2019).

QCA is the best framework for this research because it offers a robust method for

analyzing complex causal relationships in reverse supply chains, where traditional regression

analysis might fall short (Russo et al., 2019). The ability of QCA to handle small sample sizes

makes it ideal for qualitative studies, such as those using semi-structured interviews, where

detailed insights are drawn from a limited number of cases (Mattke et al., 2021). QCA’s set-

theoretical approach allows researchers to examine how different RSC processes lead to customer

satisfaction, providing a comprehensive view of the factors that drive positive outcomes (Barzotto

& De Propris, 2021; Sutcliffe et al., 2022). Additionally, QCA's flexibility in capturing multiple

pathways to an outcome aligns well with the dynamic nature of RSC, where different strategies

and practices can lead to varying levels of customer satisfaction (Kopper et al., 2020; Nande et al.,

2022).

Critiques of the QCA Framework

Despite its advantages, the QCA framework has several critiques. One common criticism

is that QCA can be complex and challenging, requiring a deep understanding of set-theoretical

concepts and Boolean algebra. The methodology can also be sensitive to the selection of

conditions and data calibration, potentially leading to different results based on how variables are

defined and measured (Russo et al., 2019). Additionally, QCA may oversimplify complex

relationships by focusing on specific configurations, potentially overlooking nuanced interactions

that might not fit neatly into predefined sets. Critics also point out that QCA can struggle with

cases that do not fit into clear-cut configurations, and the method's reliance on dichotomous or

categorical data can limit its applicability in situations where continuous variables are more

appropriate (Russo et al., 2019). Despite these challenges, QCA remains a valuable tool for

exploring complex causal relationships, particularly in qualitative research settings.

Service Quality Model (SERVQUAL) Framework

The SERVQUAL framework, developed by Parasuraman, Zeithaml, and Berry in the late

1980s, is a widely recognized model for evaluating and measuring service quality within

organizations. It is based on the idea that service quality is determined by the gap between

customer expectations and their actual experiences (Muslimin et al., 2022). SERVQUAL

comprises five key dimensions: tangibles, reliability, responsiveness, assurance, and empathy

(Kim & Han, 2023). Tangibles assess the physical aspects of the service, such as facilities and

equipment, ensuring they meet or exceed customer expectations. At the same time, reliability

evaluates the service provider's ability to consistently deliver accurate and promised services

(Ezeh et al., 2022). Responsiveness measures the promptness of addressing customer needs and

requests, and assurance focuses on service personnel's competence, courtesy, and credibility

(Muslimin et al., 2022). Finally, empathy gauges the provider's ability to understand and care for

individual customer needs (Muslimin et al., 2022). By analyzing customer feedback and

comparing expectations to perceptions across these dimensions, organizations can identify areas

for improvement and enhance overall service quality (Ezeh et al., 2022).

The SERVQUAL framework was chosen to study the effects of the reverse supply chain

on customer satisfaction because it offers a structured approach to assessing service quality across

these essential dimensions, directly impacting customer perceptions. Reverse supply chains,

involving returns, recycling, and remanufacturing, are highly service-oriented and involve

significant customer interaction (Russo et al., 2019). The SERVQUAL dimensions provide a

comprehensive lens to evaluate how effectively these processes are managed and their influence

on customer satisfaction (Kim & Han, 2023). By identifying gaps between customer expectations

and perceptions, businesses can pinpoint weaknesses in their reverse logistics operations and

develop targeted strategies to enhance service quality and customer satisfaction (Ezeh et al.,

2022).

The SERVQUAL framework is considered the best choice for this research because it

systematically evaluates service quality dimensions particularly relevant in reverse logistics,

where customer interactions are frequent. Service processes can significantly impact customer

satisfaction (Ezeh et al., 2022). Its comprehensive nature helps organizations address multiple

aspects of service quality, ensuring that all facets of the reverse supply chain are optimized to

meet or exceed customer expectations (Kim & Han, 2023). Additionally, the framework's

emphasis on identifying specific areas for improvement makes it a valuable tool for developing

strategies to enhance the customer experience in reverse supply chains (Kim & Han, 2023).

Critiques of the SERVQUAL Framework

Despite its popularity, the SERVQUAL framework has faced several critiques. One

common criticism is that it assumes a linear and universal relationship between service quality

dimensions and customer satisfaction, which may not capture the complexity of specific

industries or cultural contexts (Kim & Han, 2023). The model's focus on measuring gaps between

expectations and perceptions has been questioned for its reliance on subjective assessments,

which can lead to variability and bias in results (Ezeh et al., 2022). Critics also argue that

SERVQUAL may need to adequately address the dynamic nature of customer expectations over

time or account for all factors influencing service quality, such as technological or regulatory

changes. Furthermore, the rigidity of its dimensions can limit its applicability in rapidly evolving

industries or in cases where new service quality aspects emerge (Ezeh et al., 2022). Despite these

critiques, SERVQUAL remains a widely used and influential framework for assessing service

quality.

Definitions of Critical Terms

The following terms are defined to clarify their meaning and use in the study:

• Categorical Variables: Categorical variables are also referenced as qualitative

variables, defined by verbal groupings but not numbers (Bolland et al., 202).

• Customer-centric: Refers to actions, policies, processes, and procedures created,

organized, or provided by a business, with the customers’ safety, health, happiness,

and interest at the cornerstone of that company or business (Daft et al., 2021).

• NVivo Windows software: This widely used qualitative data analysis tool is available

for Windows and Mac OS and is known for its comprehensive features such as data

import, coding, querying, visualization, and collaboration. Researchers utilize NVivo

to organize, analyze, and gain insights from distinct types of qualitative data, making it

a valuable tool for qualitative research and data management (Sargison et al., 2024).

• Reverse logistics: Used interchangeably with RSC management. It retrieves the

product from the end consumer to capture value through recycling, reusing, or proper

disposal (Carter & Ellram, 1998; Prahinski & Kocabasoglu, 2006).

• Reverse Supply Chain: RSC refers to the intricate process by which a product or

service transitions back from a customer or another entity to its original vendor,

supplier, or retailer. This comprehensive process encompasses various activities such

as retrieval, disposal, recycling, repurposing, reselling, cleaning, sorting, repackaging,

and restoration of the product or service (Carter & Ellram, 1998; Yerramalli & Burra,

2014; Zhang et al., 2023).

• Reverse logistics: Used interchangeably with RSC management. It is the process of

retrieving the product from the end consumer to capture value through recycling,

reusing, or proper disposal (Carter & Ellram, 1998; Prahinski & Kocabasoglu, 2006).

• Reverse Supply Chain: RSC refers to the intricate process by which a product or

service transitions from a customer or another entity back to its original vendor,

supplier, or retailer. This comprehensive process encompasses various activities such

as retrieval, disposal, recycling, repurposing, reselling, cleaning, sorting, repackaging,

and restoration of the product or service (Carter & Ellram, 1998; Yerramalli & Burra,

2014; Zhang et al., 2023).

Assumptions

This qualitative semi-structured interview study was designed to elicit information from

SMEs about their perspectives, experiences, and challenges related to RSC and customer

satisfaction by collecting data through interviews (Creswell & Creswell, 2018). This researcher

conducted three interviews with six SMEs per set of interviews, all working in the United States.

It was assumed that they would answer the questions truthfully (Burton, 2014). SMEs with at

least three years of experience were asked to participate through Linked In. Supply chain

professional organizations to review included the Association for Supply Chain Management.

This researcher provided the interviewee with an opportunity for follow-up interviews should the

need arise.

Scope, Limitations, and Delimitations

Limitations are based on the qualitative semi-structured interview research design

involving interviewing SMEs. One limitation is the number of SMEs interviewed for the research

(Cheng et al., 2024). Interviews provide indirect information conveyed through the lens of the

interviewees, and only some interviewees are perceptive or articulate. The presence of the

researcher could lead to biased responses (Cheng et al., 2024; Creswell & Creswell, 2022).

The study’s delimitation boundary narrows it to interviewing only SMEs in the retail

industry with at least three years of experience and currently working in the retail environment.

Through interviews, this researcher sought to understand the essence of six SMEs' experience per

group interviewed three separate times. This researcher’s work provided recommendations

regarding RSC and customer satisfaction but was only based on U.S.-based participants with

experiences focused on U.S.-based businesses.

Original Contribution to Knowledge in the Field

This research makes three significant contributions to the existing body of knowledge,

enhancing our understanding of the reverse supply chain (RSC) and its impact on customer

satisfaction. It offers new insights that are particularly valuable to supply chain managers and

businesses by focusing on the practical aspects of RSC management. Unlike Russo et al. (2019),

who utilized Qualitative Comparative Analysis (QCA) and surveys to explore reverse supply

chains, this study builds upon their work by prioritizing interviews with experts in supply chain

management. This methodological shift towards expert interviews allows for a deeper exploration

of RSC practices and their direct correlation with customer satisfaction, providing a richer, more

nuanced understanding of the dynamics at play.

The first significant contribution to the body of knowledge is the identification of core

configurations of RSC variables that directly influence customer satisfaction, as derived from the

lived experiences of supply chain management professionals. This contribution is significant

because it extends beyond theoretical models to offer practical insights into the specific RSC

practices that can be tailored to enhance customer satisfaction. This research uncovers the critical

components of effective RSC management from a practitioner's perspective by focusing on the

configurations of variables related to the RSC process, as identified through interviews with

supply chain professionals. The emphasis on effective communication, streamlined processes, and

the balance between flexibility and metrics provides a comprehensive understanding of how RSC

practices can be optimized.

This research shows the core configurations of variables related to the RSC process that

can lead to customer satisfaction from the lived experiences of supply chain management.

Understanding these subtleties can help businesses customize their reverse supply chain strategies

to boost customer satisfaction. Based on the literature review, configurations of variables related

to the RSC process were conducted using interviews. From the interviews, participants stated that

effective communication with customers and streamlined processes are essential to any reverse

supply chain setup. They are crucial in ensuring customer satisfaction. However, there is a

delicate balance between flexibility and the use of metrics to monitor returns. Some setups

demonstrate that responsiveness and flexibility can be more critical than strictly adhering to

performance metrics. In various configurations, the presence or absence of sustainable practices is

another key factor. It can be decisive in some contexts but less important in others.

Interestingly, commitment to resources and customer feedback is only sometimes present.

While necessary, this implies they may not be as pivotal as other factors in specific scenarios.

Consistent elements like transparent communication, easy-to-navigate processes, prompt

responses, and transparency are always critical. However, the significance of other variables, such

as flexibility, sustainability, and return tracking metrics, varies depending on the setup.

Second, this research goes beyond the studies mentioned in the literature review. It

establishes a fundamental link between the RSC and customer satisfaction and recommends best

practices and strategies that businesses can implement to improve customer satisfaction in the

RSC process. The study reveals that maintaining the accuracy of customer returns,

communicating effectively with customers, offering feedback, providing efficient customer

support during purchases and returns, educating customers about the entire return process before

they return the product, offering quick responses, and training employees to deliver excellent

customer service when dealing with product returns are critical factors in improving customer

service. Implementing these practices and strategies enhances customer trust by making the return

process hassle-free. Offering quality customer service, including feedback and support throughout

the return process, demonstrates a commitment to customer care, encouraging loyalty. Prioritizing

these strategies in the reverse supply chain is crucial for building long-term customer

relationships and fostering a sustainable, customer-centric business model.

Third, this research further explains how customer expectations and perceptions influence

their satisfaction with a company's RSC process. Customers come to the stores or shop online and

have their expectations of the return process, which can affect how much they spend or if they

will shop in each store. Meeting or exceeding the customers' expectations or perceptions is critical

to long-term customer-business relationships and increases sales and revenue for the company.

This research identifies six critical expectations of customers, including the condition of

replacement or return item, the consistency of the return policy and process, the company's

flexibility in handling and accepting returns, the various return options available to the customers,

which can be online, in-store or a combination of both. Other expectations and perceptions

include a streamlined return and user-friendly process. Customer expectations and perceptions

significantly influence satisfaction and loyalty within the reverse supply chain, as efficient

returns, recycling, and disposal processes can enhance the overall brand experience. How a

company handles reverse supply chain management can significantly affect its brand reputation.

By implementing effective and customer-focused strategies, a company can cultivate a favorable

image of its brand.

Furthermore, meeting customer demands can lead to efficient operations, minimizing

waste and expenses. When a company's RSC aligns with customers' sustainability values, it can

positively impact their purchasing decisions and reflect well on the company. Therefore,

prioritizing customer expectations and perceptions in the RSC process is pivotal in attaining

customer satisfaction, operational efficiency, and environmental sustainability.

In conclusion, this study explores the relationship between RSC and customer satisfaction

by using semi-structured interviews to gather the experiences of supply chain professionals. The

study finds that effective customer communication and streamlined processes are essential to

reverse supply chain setup. Additionally, there is a delicate balance between flexibility and the

use of metrics to monitor returns. The study recommends best practices and strategies businesses

can implement to improve customer satisfaction in the RSC process. Prioritizing these strategies

is crucial for building long-term customer relationships and fostering a sustainable, customer-

centric business model. Lastly, the study identifies critical expectations and perceptions of

customers, including the condition of replacement or return items and the consistency of the

return policy and process, which are crucial to meet or exceed long-term customer-business

relationships.

Chapter Summary

Chapter One of this research provides an overview of the study’s intent to explain the

growth and significance of RSC to businesses. RSC plays a critical role in sustainability and

climate change as a cost driver, a profit center, and an effective tool to improve customer

satisfaction. This qualitative semi-structured interview study explored the lived experience of

SMEs in the retail industry to understand the effect of RSC on customer satisfaction. Other areas

of investigation included the factors and conditions in RSC that lead to prominent levels of

customer satisfaction, best practices and strategies businesses can undertake to improve customer

satisfaction in the RSC process, and how customers’ expectations and perceptions influence their

satisfaction with a company’s RSC process. This qualitative semi-structured interview could be

used by businesses seeking to create customer-focused RSC processes to create a competitive

advantage over their rivals while staying profitable and increasing their customer base.

Organization of the Remainder of the Study

This qualitative semi-structured interview research comprises six chapters. Chapter One

includes the background, problem statement, purpose of the study, significance of the research,

nature of the study, research questions, and conceptual framework. Chapter Two presents a

literature review before and after 2019. Chapter Three outlines the research methods used in this

research. Chapter Four will present collected and analyzed data. Chapter Five will offer the

research analysis, and Chapter Six will present findings and recommendations for practical

application and future research.

INTENTIONALLY LEFT BLANK

CHAPTER TWO: LITERATURE REVIEW

Method for Reviewing the Literature

The literature review process involved several detailed steps. Initially, questions related to

the thesis topic were formulated and systematically organized into categories for a comprehensive

review process to check the availability of academic information. Following this process, a search

for pertinent literature was conducted across various academic databases requiring a subscription

as well as freely available online resources. The databases used, along with their providers,

included the ACM Digital Library, EBSCOhost Databases and Services (encompassing Academic

Search Premier and Business Source Premier), ProQuest One Academic (covering ABI/INFORM

Global, Advanced Technologies & Aerospace Collection, ProQuest Dissertations & Theses

Global), and the Puente Library Online Catalog. Google Scholar was also employed to find peer-

reviewed articles. Using these databases ensured the credibility of the data obtained. This

researcher will work through a strict and detailed evaluation process, emblematic of academic

rigor (Al-Shamayleh et al., 2024). Historical information gathered from the Internet, such as

government documents, was further verified through academic database searches.

This researcher categorized 177 documents into primary and secondary sources in the

literature review. Primary sources consist of original documents and firsthand accounts relevant to

businesses or organizations, whereas secondary sources should include analyses or summaries of

primary data. These materials included a variety of formats, including diaries, letters,

photographs, blogs, articles from magazines, press releases, critiques, and yearly summaries

(Saldaña & Omasta, 2016). The documents were sorted based on RSC, product life cycle,

customer satisfaction, return policy, AI, and technology. After organizing and reviewing these

categories, essential documents were recorded in a spreadsheet for in-depth analysis. Of the 177

documents to be reviewed, no more than 27 percent were published outside the previous five

years. The number of documents classified as primary and secondary sources is presented and

listed in Table 1. Chapter 2 of the dissertation referenced 52 documents, with 30 from the last five

years and 22 from earlier, as illustrated in Table 1.

Table 1

Dissertation Literature Tree

Total

references

in the

dissertation

References

within the

last 5

years

References

outside the

last 5

years

Number

documents

designated

as primary

Number

documents

designated

secondary

Chapter 2

- total

references

Chapter

within

the last

5 years

Chapter

outside

the last

5 years

177

129

165

Method for Analyzing the Literature

This literature review aimed to identify, evaluate, and synthesize existing research on a

particular topic and explore how reversing the supply chain process can lead to higher customer

satisfaction for businesses in the United States through a qualitative semi-structured interview

study. The literature review helped this researcher develop a deeper understanding of the research

problem, identify gaps in the literature, and provide a foundation for further research (Alkaraki et

al., 2024). According to Redine (2023), a literature review critically analyzes research in a

particular field. It provides a comprehensive overview of the current state of knowledge and

identifies areas where further research is needed. The salient research topic of this literature

review was RSC.

RSC, also known as returns, return management, and reverse logistics—is a massive

problem in any business (Russo et al., 2019). Although companies may believe it is an

unavoidable expense, it can also be profitable and, if managed, a valuable tool to increase

customer engagement, loyalty, and satisfaction, leading to sales growth and profitability (Ellahi et

al., 2022). RSC is integral to the product life cycle (Smith, 2005; Robertson et al., 2020; Russo et

al., 2019). A study by Lin et al. (2020) focused on the effects of RSC on the supply chain,

concluding that reverse and forward supply chains were related and part of the product life cycle.

An effective reverse supply process can help a company find problem areas and patterns of

defects, thereby helping to minimize the number of returns a company receives (Smith, 2005).

Even a conservative estimate shows that RSC is a massive portion of U.S. logistics costs within a

business (Rintamäki et al., 2019). According to Rogers and Tibben-Lembke (2001), more

research is needed regarding the size, scope, and amount of money spent on RSC activities. Ellahi

et al. (2022) suggested that RSC is gaining traction in various industries due to its ability to

reduce costs, enhance competitive advantage, and improve customer satisfaction. This literature

review offers the various definitions of the RSC and explains the meaning of customer

satisfaction, which is a critical categorical variable in this research; explores the various historical

and current research on the effect of the RSC on customer satisfaction from researchers; and

identifies gaps in the literature. The chapter concludes with a summary and conclusion of the

literature review.

Historical Definitions of RSC

Over the past 20 years, there has been an uptick in RSC research, with researchers

realizing its importance to the supply chain process and business profitability (Lin et al., 2020).

Table 2 provides an overview of 12 authors’ definitions of RSC.

Table 2

Select Researchers and their Definitions of the RSC Process

Authors

Definitions

Lambert et al. (1981)

An RSC is going the wrong way on a one-way street because most

product shipments flow in one direction.

Stock (1998)

The RSC is the role of logistics in product returns, source reduction,

recycling, materials substitution, reuse of materials, waste disposal,

and refurbishing, repair, and remanufacturing.

Pohlen & Farris (1992)

The RSC process or reverse distribution is the movement of goods

from a consumer to a producer in a distribution channel.

Carter & Ellram (1998)

An RSC is a process whereby companies can become more

environmentally efficient through recycling, reusing, and reducing

the number of materials used.

Rogers et al. (1999)

The RSC is the process of planning, implementing, and controlling

the efficient, cost-effective flow of raw materials, in-process

inventory, finished goods, and related information from the point of

consumption to the point of origin for the goal of recapturing,

creating value, or proper disposal.

Prahinski & Kocabasoglu

(2006)

The RSC process can be organized sequentially into five critical

steps: product acquisition, reverse logistics, inspection and

disposition, reconditioning, and distribution and sales.

Chopra et al. (2021).

The RSC process is the flow of products in the opposite direction.

Chan & Jain (2012)

RSC process: The movement of products or services from their final

destination aiming at the recapturing value to their origin or a third

party due to issues including production defectives, product recalls,

commercial returns, and wrong deliveries (distribution related).

Rogers et al. (2012)

The RSC process will be a reverse flow of products and materials

flow backward through the system. The goods may be of decent

quality that is no longer wanted or obsolete, damaged, or they are

being repositioned or headed for remanufacturing as shown below

(Figure 1)

Yerramalli & Burra

(2014)

The RSC is concomitant with the movement of recycling, material

substitution, reuse,

disposal, refurbishment, repair, and remanufacturing; hence, it is the

physical flow of products, components, and materials from end users

to re-users.

Abdulkader et al. (2015)

An RSC is the opposite of a supply chain (SC), which occurs when

customers return products purchased from companies. Companies

can resell, remanufacture, repair, or recycle the product.

Panigrahi et al. (2018)

An RSC and similar initiatives can help retail stores be competitive

and cost-effective compared to their rivals.

Returned goods usually go to centralized return centers (CRCs) or distribution centers

(DCs). According to Rogers et al. (2012), unsold new merchandise at the DC may be sent back to

the manufacturer’s DC for credit. According to Abdallah and El-Beheiry (2022), the reverse flow

starts when products are sold to customers. When customers return items to retailers, retailers

immediately begin inspecting the products. Those in good condition are resold, whereas defective

products are returned to the DCs or manufacturers for repairs or recycling. Haumann et al. (2014)

noted that the reverse flow includes repairing, reworking, or remanufacturing as needed. The new

merchandise will be sold off to an overstock broker who specializes in new products, and the

items no longer in new condition will be sold to a salvage broker who is more experienced and

specializes in such goods (Rogers et al., 2012).

Figure 1

Reverse Logistic Network Structure

Note: The figure shows a generic logistic network structure. Bold arrows show the forward supply

chain as goods move from the factory to the customer. The dotted arrows show the RSC process

where goods move from the customer to the company through different channels, including

returns center, DC, or salvage broker. Adapted from “Modeling and Analysis of Reverse

Logistics,” by D. S. Rogers, B. Melamed, & R. S. Lembke, 2012, Journal of Business Logistics,

authors.

Overview of Customer Satisfaction in Supply Chain Management

For a business to grow and succeed in the long term, it must have processes, procedures,

policies, and actions that promote customer satisfaction. According to Torres and Kline (2013),

customer satisfaction is the individual’s perception of the product or service’s performance in

relation to his or her expectations. P. Kumar et al. (2021) explained that customer satisfaction

implies that the customers are happy with the company’s quality of services.

Customer satisfaction is an essential part of business and supply chain management.

According to Russo et al. (2019), when analyzing from a logistics perspective, customer

satisfaction is the product of affective and cognitive evaluation based on a customer’s experience

with the logistics service they receive. When the service received is positive, it can build a long

relationship between the company and the customer. Scholars have explored why, how, and when

the relationship between customer service and customer satisfaction holds and returns to

positively affecting performance.

Torres and Kline (2013) further explained that satisfying customers leads to better

business results, such as increased repeat patronage, more word-of-mouth communications, and

higher profitability. According to Talapatra et al. (2022), customer satisfaction can lead to long

relationships with a business as the customer trusts the company to act in the customer’s best

interest. Customer satisfaction is linked to customer loyalty. A customer’s level of satisfaction

influences the level of loyalty because delighted customers are more likely to be loyal than

customers who said they were satisfied, which positively affects customer outcomes as well as

company profitability (A. Kumar et al., 2001; Haumann et al., 2014; Talapatra et al., 2022).

Customer loyalty is both an attitude and a behavior. According to Özkan et al. (2020), attitudinal

loyalty is what the customers feel, which, if positive, means continuously repurchasing goods

from the company. Behavioral loyalty is what the customers do, including continuously doing

business with the company and recommending it to others. The opposite of customer satisfaction

is customer attrition, which happens when customers leave a company for another one because

their needs are unmet, or they are not treated fairly. Behavioral loyalty can be improved when a

company improves its image by being sustainable, improving the quality of its products and

services, and providing value to its customers.

For a company to become and remain profitable and grow, it needs to retain its customers

while creating a loyal base, making customer satisfaction extremely critical (Talapatra et al.,

2022). Any business should see customer satisfaction as the customer’s fulfillment response,

which involves providing a product or service that leaves customers with an unforgettable

experience, also known as effective customer service (Ellahi et al., 2022; Gonçalves & Sampaio,

2012; Talapatra et al., 2022). Effective customer service means that the whole experience needs to

be pleasant, from when the customer walks into the store, which includes store layout and

cleanliness, to the ease of finding or returning items to check out. For online stores, this includes

the ease of navigating the website, finding items, checking out, and timeliness of the arrival of the

product, as well as returning items as needed (Lin et al., 2020). Customer satisfaction is an

essential part of any business. To succeed, RSC processes must be implemented to enhance the

customer experience and keep loyal customers returning.

Historical Research on RSC and Customer Satisfaction Before 2019

For several decades, the RSC was not critically researched as companies focused more on

the forward supply chain, including the inbound movement of goods and materials, controlling

their suppliers, and creating a lean supply process (Durugbo & Al-Balushi, 2022; Prahinski &

Kocabasoglu, 2006). Government policies and customer demands changed how companies

addressed or spent resources on the RSC. This literature review section analyzes past research on

reverse supply before 2019.

Minahan (1998) and Zhao et al. (2021) stated that strict product disposal rules and

customer demand for better products have caused manufacturers to notice RSC processes more.

As of 1998, Minahan wrote that the RSC constitutes about 4% of a firm’s total logistic costs.

Transportation buyers who efficiently managed the RSC process could reduce up to 10% of their

firms’ yearly logistic bills. When appropriately managed, the RSC process could achieve three

goals simultaneously: first, be a cost-driving area for improving profitability; second, increase

customer satisfaction; and third, improve the environment surrounding manufacturing and

disposal. Larsen et al. (2021) highlighted that a 20% rise in the selling price of refurbished

products could boost RSC profitability by 17%. Conversely, a 20% increase in reverse logistics

expenses affects the RSC’s profitability marginally, altering it by less than 0.5%.

Earlier data by Minahan (1998) provides examples of companies enhancing their return

process when they realize that managing their returns, repairs, and recycling operations is critical

to long-term success. Minahan suggested that companies developing a strategic plan for reverse

logistics can achieve a competitive edge, reduce costs, and notably enhance customer satisfaction,

positioning them favorably against competitors. According to Rintamäki et al. (2021), effective

management and processing of customer returns and a positive perception of the return process

led to customer satisfaction.

Researchers have worked to show a relationship between an effective RSC and customer

satisfaction. According to Daugherty et al. (2002), customer satisfaction can increase when a

company has an effective way of handling customer returns, which has a direct impact on

corporations’ and businesses’ profitability in the long term. Although cost is also a concern,

according to Daugherty et al. (2002), the RSC process may improve customer service in

businesses that cannot use RSC process techniques. Mollenkopf and Closs (2005) asserted that

goodwill is earned when a company adheres to an RSC, showing it is socially and

environmentally responsible. Customers see these actions and identify with companies that have

straightforward repair and recycling plans for returned goods.

Smith (2005) reviewed the applied literature on RSC processes and their effect on

customer relationship management and satisfaction, developing a basic model and empirical

verification of the effects. Smith (2005) analyzed the return policies of various companies,

including retail and departmental stores, onsite and online, and found differences in their policies

(See Table 2). The companies included office supply companies (Staples, Office Depot, Office

Max) and electronics goods stores (Best Buy, Circuit City, and Comp USA).

Table 3

Different Return Policies for Select Companies

Company Return Policy

Office supply stores Office supplies and unopened software could be returned at any time

with a full refund. If opened, the software could only be exchanged for

the same title, and the technology could only be returned within 14 days

(computers, monitors, cameras, among others).

Electronic goods stores Refunds for technology products like computers, monitors, and printers

assumed the customer bought it within 14 days. A restocking fee was

charged on returns for opened goods like notebooks, cameras, and

camcorders unless defective. For other products, customers had 30 days

from the date of purchase to return the products like software and video

games, but they must be unopened.

Note. Electronic stores have a stricter return policy than Office Supply stores on comparable items

because they deal with many more software items. Adapted from “Reverse Logistics Programs:

Gauging their Effects on CRM and Online Behavior,” by A. D. Smith, 2005, VINE, 35(3), p.172

The RSC process is a method of distinguishing one company from another. Smith (2005)

sampled 102 customers from various service sectors in Pittsburgh, Pennsylvania, to determine

their level of satisfaction with purchasing and return procedures online using a Likert-type and

binary-discrete scale. The research found that customers believed better customer service, user-

friendly technology, and more straightforward returns processing would improve their customer

satisfaction (experience). The researcher found a positive relationship between a seamless return

process, customer satisfaction, and a willingness to shop at the store. Respondents stated that their

purchasing decisions were hinged on the ease of returning items (RSC process). Unlike other

researchers, Smith (2005) explained the significance of RSC to a business, including finding

problem areas and patterns of defects in its products, which can be important in the long term as

the business fixes these shortcomings through recycling, repair, or remanufacturing.

According to Smith (2005), the time for a company to consider the RSC implication of

their products is during the development phase. He continued to note that the development phase

also reduces the number of non-defective defective products (when a consumer returns a product

and claims it is defective when they do not want it anymore). The development phase would

eliminate such returns by making it easy for the customer to learn how to use the product. Smith

analyzed various retail stores from different sectors to effectively gauge the diversity of the return

process. He believed that the RSC process was a critical way for companies to have a competitive

advantage over their rivals. Nevertheless, businesses may need to be wary of the number of

returns from customers.

Rogers et al. (2012) asserted that companies have realized that limiting returns and

instituted gatekeeping are the easiest ways to deal with returned products. Gatekeeping is a policy

of limiting the number of items customers can return, including the need to show receipts,

limiting the period to return an item, and charging restocking fees, especially for products that

depreciate quickly (i.e., electronics). However, such policies tend to backfire because they

frustrate customers, reduce purchases from customers who may need to be more mindful of the

return policies, and negatively affect customer satisfaction. Businesses and researchers have

developed models to measure the trade-off between lower-cost attendants to reduce customer

service that may upset consumers versus having a liberal return policy that allows consumers to

return almost any product. Rogers et al. highlighted the struggles businesses face because returns

are expensive, emphasizing the importance of creating a plan that allows for a seamless return

method as well as trying to reduce theft of items or returns for no reason, which may not be

beneficial for the company but could affect customer satisfaction in the era of social media.

Critique of Smith (2005)

Smith (2005) rightly identified the development phase of a product as an excellent time to

think of the RSC implication of a product but incorrectly suggested that the ease of using a

product significantly affects customer returns. Smith (2020) assumed that non-defective defective

products returned by customers could be eliminated by making it easier for customers to use a

product. By assuming that simply making a product user-friendly would eliminate product

returns, Smith (2020) hinged customer returns on only one solution, thereby oversimplifying a

complex issue. According to Lin et al. (2020), customers return products for a wide range of

reasons, including but not limited to defects, quality, wrong product description, decay, wrong

product, damage, and misinterpretation of the product value. Smith also stressed that customers

are okay with returning a product from a brick-and-mortar store. This assertion was not supported

by data or research, and although online returns are higher than those of brick-and-mortar stores,

most of the issues surrounding returns for methods are similar (Lin et al., 2020).

Morton (2003) also supported the significance of a well-planned RSC process in its

research of a select number of companies, including an ink company called LaserNetworks, a

supplier of toner cartridges and printing and imaging equipment based outside Toronto. The

company believes an effective RSC is tied to good customer service. According to Morton

(2003), the RSC process includes pre-printed return shipping labels in the original package and

offering a pickup service. Pre-printed labels are convenient for customers because they can easily

return defective or incorrectly shipped items. Another way to make RSC efficient is by quickly

providing customers with a remanufactured product that is evaluated as equivalent to or better

than a new one. The critical selling point is that RSC includes lower costs and a positive

environmental aspect.

According to Morton (2003), LaserNetworks has an extremely high return rate, over 75%,

which it attributes to its effective returns programs, increasing customer satisfaction. Morton

(2003) research does show why having a well-laid RSC process is critical to being profitable but

does not provide the financial cost of the returns, remanufacturing the ink cartridges, or the cost to

the company for cartridges that ultimately end up in the landfill because they are damaged beyond

repair and may lead to customer dissatisfaction because the use of landfills is not considered

environmentally friendly.

Critique of Morton (2003)

Morton (2003) provided an in-depth explanation of how to manage a return process that is

efficient and profitable using case studies, including Home Shopping Network (HSN) and

LaserNetworks, and their use of efficient software and systems that allow for the real-time

handling of customer returns. LaserNetworks uses an RSC to respond to customer needs by

quickly providing customers who returned damaged or unusable cartridges with a remanufactured

product. One area required for the research is the time it takes for remanufactured cartridges to

arrive at customers’ locations and the warranties tied to remanufactured products. Although these

remanufactured goods may be of similar quality as a new cartridge or product, customer

satisfaction could be affected if the remanufactured product is less than or equal in quality and

warranty (Rogers et al., 2012). Repairing and remanufacturing cartridges is good for the

environment and an excellent way to reduce RSC process costs. However, the time it takes to

receive the remanufactured product may also affect the customer’s satisfaction or loyalty to the

company.

Another way to address the relationship between the RSC process and customer

satisfaction is the service supply chain. According to Yuen and Thai (2017), service supply chains

are characterized by the customer-supplier duality in which a supplier is also the service recipient

at the opposite end of the supply chain. In the forward process, the supplier transfers goods to the

customer, and the case is reversed in the RSC process (Kumar et al., 2016). RSC involves

customers as they detect product defects, damaged goods, and unwanted goods. The customer can

decide to end a service provider relationship for another reason. Kumar et al. (2016) asserted that

the more complex it will be to bring customer items back to their original status (if required by

the customer), the more likely it becomes to lose the customer permanently, concurrent with low

customer satisfaction. This research yielded similar findings regarding the RSC, which views the

speed and efficiency of returns as essential to improving customer service.

Critique of Kumar et al. (2016)

One gap in Kumar et al.’s (2016) research is the need for the return the customer receives

from the company. Although the ease and timeliness of the return of a product are crucial for

increased customer satisfaction and the likelihood of the customer shopping with the company

again, which could lead to increased profits, what the customer gets back in return should have

been discussed. Kumar et al. (2016) listed questions that needed to be answered, such as: Does the

customer get 100% of what they spent in the manner the item was purchased? Is it a gift card,

store credit, or debit card return, which may take 3-5 business days? Is it defined as an exchange

in the form of a remanufactured product, as explained by Morton (2003)? The timeliness of the

payment is also a critical factor in customer satisfaction.

Critique of Rogers et al. (2021)

Rogers et al.’s (2012) research should have discussed the role social media plays in the

RSC process, especially regarding customer satisfaction, as well as the difference between online

and brick-and-mortar returns. However, the research team did include a fundamental analysis of

whether it was worth paying customer service representatives to look through product returns and

decide which items could be accepted and which could be rejected. Such actions upset customers,

sometimes causing scenes in stores that give the brand a bad name and scare onlookers and future

customers compared to allowing any item to be returned, which would allow customers to shop

without any fear or worry of return policies and may likely boost company profitability long term,

even if it increases the number of returns from its customers (Mollenkopf et al., 2011).

Researchers have reported a difference in the RSC process between brick-and-mortar stores and

the volume of returns compared to online stores. Griffis et al. (2012) conducted research

regarding whether the customer experience with a product return process affects purchasing

patterns following the return, stating that returns are more relevant in online retailing than offline

retailing and online returns are more common than onsite returns primarily due to the lack of the

ability to examine the product. Griffis et al. (2012) used a book business as their case study and

collaborated with an online retailing company related to the educational sector. They identified

617 product returns between December 15, 2009, and January 15, 2010. This number of product

returns was later reduced to 195 and placed in a treatment group. The treatment group consisted

of customers who fulfilled all the required criteria, including those who could be paired with

potential future purchases and had a history of at least a year, and a control group of randomly

selected customers with no return history. The interest in the research included the speed of

refund, order frequency (number of times within a given period that a customer placed an order),

the average number of items per order, item value, total relationship value, purchase history, and

the purchase price of the returned order. Griffis et al. (2012) found that as refund speed increased,

the order frequency increased, and the number of items per order and average item value also

increased. Customers changed their purchase behavior after a good return experience, which

meant long-term profitability and brand loyalty for the company. The research also showed that

existing customers were as likely as new customers to increase or decrease their purchases if the

return process or experience was fast or slow (Griffis et al., 2012). The RSC was shown to affect

customer satisfaction significantly.

Critique of Griffis et al. (2012)

Griffis et al. (2012) asked if customer experience with the product return process affects

purchasing patterns following the return. The researchers assumed this information without

evidence that a liberal return policy without an efficient and capable operational process behind it

is bad for business. The researchers studied customers who returned items at an online store for a

month and then observed their purchase patterns a year after as well as prior and compared it to

customers who still needed to return their purchases in the same period. This action does not

account for other confounding variables that might affect a customer’s purchasing power or habit,

like a lost job, decreased income, health issues, changing habits, and a changing economy. Griffis

et al. (2012) rightly proposed that customers familiar with a company’s return process may have a

higher level of comfort with the retail business, positively affecting its return habits. However,

they did not consider this when dealing with a monopoly. The customer may not like the return

policies but has little or no option because the industry has no alternative for the customer to

switch. The researchers effectively explained the significance of processing returns quickly and

its effect on customer satisfaction.

Current Research on RSC and Customer Satisfaction

Russo et al. (2019) view return as unavoidable but not a financial drain, as previous

research did, due to a change in how companies approach it. Between 2018 and 2022, researchers

(Ellahi et al., 2022; Larsen et al., 2022; Lin et al., 2020; Sajjanit & Rompho, 2019) compared

good RSC processes in businesses to critical outcomes, including customer satisfaction.

According to Russo et al. (2019), a combination of returns satisfaction, product returns practices,

and CoR to manage product returns is critical to a successful RSC process.

According to Euchi et al. (2019), for a company to succeed in the RSC, it needs a

committed and resolute staff who buy into RSC and understand its role in company success. This

need has led to a complete overhaul in how companies plan and execute their return policies.

Piyachat (2017) also stated the connection between the RSC and customer service. The RSC

process should always be viewed as an opportunity to gain a competitive advantage, lower costs,

and improve customer service (Ellahi et al., 2022). Ellahi et al. (2022) research investigated the

impact of supply chain coordination and integration on reverse logistic cost saving and customer

service with the moderating role of information technology in Pakistan’s fast-food business

serving as the case study. Using a survey of 240 participants as its research methodology and

analyzing the results using Statistical Package for the Social Sciences (SPSS), the research by

Ellahi et al. produced several positive and significant outcomes, demonstrating that RSC

coordination capability significantly influences customers.

In his research, Tandon (2021) stated that understanding the predictors of online shopping

in India defines the RSC process as one that signifies all procedures associated with product

returns, repairs, and maintenance, transforming the apprehensions about receiving faulty products

in online shopping. Tandon asserted that the RSC process, social media, and pay-on-delivery are

the three primary constructs of online shopping. Using a Likert scale, adapting a survey of 424

participants, and analyzing the results with SEM (AMOS 20), Tandon (2021) concluded that the

RSC was a significant driver of online shopping. Tandon concluded that an intense focus on the

RSC can help generate confidence and overcome apprehensions regarding online shopping among

Indians. Although the conclusion showed a significant relationship between all three and online

shopping, using one driver at a time instead of all three would have helped to show if one

construct affected Indian online shoppers compared to all three.

Rintamäki et al. (2021) asserted that prior literature has not considered the returning

experience as a separate construct, as an antecedent to firm metrics such as overall satisfaction

and loyalty; however, ample evidence has emerged showing that the leniency of a firm’s return

policies affects consumers’ online returning behaviors and subsequent purchases. Rintamäki et al.

also researched customers’ perceptions of returning items purchased online. In Finland,

Rintamäki et al. (2021) conducted 21 semi-structured interviews and a survey with 384

respondents (customers who bought fashion items online). Evaluating the return process with

three critical customer outcomes, they concluded that returning satisfaction significantly affects

all the customer outcome variables (satisfaction, loyalty to the company, and word of mouth).

These showed how customers perceived the return process significantly affected crucial customer

outcomes. Rintamäki et al. compared planned versus unplanned returns online. They

hypothesized that a planned return is a return that was predestined, like ordering multiple shirts in

distinct colors to keep one, and an unplanned return, like getting the wrong size of a dress. The

researchers evaluated both as moderating variables.

Critique of Rintamäki et al. (2021)

Rintamäki et al. (2021) found that planned returners had higher satisfaction, loyalty, and

positive word-of-mouth ratings than unplanned returners. They suggested emailing or sending a

message to unplanned returners, signaling their significance to the company. Reaching out to

these customers may increase their customer satisfaction. Rintamäki et al. concluded that the

return process was a reflective construct capturing four critical dimensions: costs, convenience,

stress, and guilt. The study did not have a large sample size, which could affect the findings. The

research also concentrated on only one sector, even as they researched the online shopping

environment. The results could have been different if the researchers had randomly selected

participants from different sectors of society, and a diverse environment provides a more reliable

result. The research addressed essential variables that are helpful for businesses in making return

policies, like the role of word of mouth and viewing returns in broad categories as planned and

unplanned returners.

Russo et al. (2019) used the QCA method to evaluate the RSC perceived by business

customers using the healthcare industry (i.e., hearing aids) from Italy. The study selected 500

customers. Customer satisfaction was assessed using a 6-item Likert scale and returns

management satisfaction was assessed using a 4-item Likert scale. Russo et al. (2019) found that

five different combinations (returns satisfaction, product returns practices, product recovery

practices, the CoR to managing product returns, product returns recovery practices, and length of

partnership) lead to higher customer satisfaction. Customers’ satisfaction was high if they were

satisfied with the return process; they were the company’s long-term partners. This study on RSC

and customer satisfaction provided five different combinations of antecedents that lead to

customer satisfaction but failed to examine several types of returns, including recall products or

online customer returns, as against in-store returns. The research was also centered on only one

part of the healthcare industry (i.e., hearing aids). It would have been more significant if it had

been a cross-section of different fields in the healthcare industry, including dental and orthopedic,

or analyzed a different social field, including agriculture, business, or the higher education sector.

Another study on the effect of RSC on customer satisfaction was conducted by Lin et al.

(2020), examining the impact of various product return activities after online shopping in China,

emphasizing logistics service-related and customer intention-related variables for general

products. The researchers applied the structural equation modeling (SEM) approach to investigate

respondents’ opinions using three critical factors for online shopping (quality, price, and

promotion) and four factors for logistics provider services (delivery, motivation, flexibility, and

packaging). Lin et al. concluded that customers are motivated to shop when the return process is

flexible and satisfactory product quality significantly prevents customer returns. However, most

importantly, the company’s reverse supply process significantly affected customer satisfaction

and purchases. Lin et al. (2020) clearly explained in their conclusion that relaxed regulations on

return and convenient return logistics can lead to people abusing the return process for their

personal benefit.

Sajjanit and Rompho (2019) measured customer-oriented product return service (COPRS)

performance. The researchers included metrics for the RSC process because it focused on

customer satisfaction and the return process and employed qualitative consumer interviews as

well as a survey of 969 participants using conceptualize and operationalize the construct of

COPRS performance consisting of the 12 dimensions with 56 items generated and all variables

are measured on a 5-point Likert scale. Sajjanit and Rompho’s (2019) research, which

concentrated on the mobile industry in Thailand, showed that the top five factors with the highest

significant loadings were information availability, empathy, assurance, reliability, and

responsiveness. Timeliness, explanation, convenient process, feedback, employee empowerment,

and compensation were the remaining dimensions. An RSC process that includes feedback,

timeliness, convenience, and responsiveness is bound to increase customer satisfaction, which

increases sales and profitability for the company. The research by Sajjanit and Rompho (2019)

focused on not only the mobile industry but also business to consumers, unlike Russo et al.

(2019), which analyzed a business relationship with its business customers (suppliers). A broader

way to research this further would be to use the same instrument but analyze it from a business-

to-business customer perspective or from the perspective of the managers of the companies, as

well as expand it beyond the mobile business to other areas like healthcare, agriculture, and the

pharmaceutical industry, as well as to concentrate on a first world country to see if the results can

be reciprocated in the U.S. or Europe.

Climate change and environmental concerns from both the government and private

individuals have also caused businesses to take a more in-depth look at the RSC for the

company’s profitability and as a necessity for the planet’s future. Liao (2018) took this approach

when he described the RSC process as an environmental concern from a waste management

viewpoint, which needed to be addressed from a strategic decision-making process to increase

customer satisfaction. The researcher used bulk waste in Taiwan as a case study and designed a

reverse logistic network and a mixed integer nonlinear programming (MINLP) model to solve the

strategic network design of the RSC. The model created provided a more efficient and profitable

product recovery with a modularized remanufacturing process and the opportunity to reduce

emissions, which would be favorable to customers and increase customer satisfaction.

Yadollahinia et al. (2018) also view the RSC as necessary due to six critical factors,

including economic, climate, green image, and environmental protection laws, as well as being

socially responsible for engaging and investing long term. The researchers used a mixed integer

linear programming model while integrating customer relationship management with RSC. The

authors stated that incorporating supply chain management and customer relationship

management enables companies to improve their financial and performance metrics (Yadollahinia

et al., 2018). A linear programming model allows for ways to optimize objective functions. The

researchers set their linear model to maximize four objectives, including the total profit of the

supply chain, maximizing the total profit collected, using products from customers, and increasing

customer satisfaction and relationship management strategies. Another objective of the model is

to locate and open collecting facilities closer to customers with the highest cooperation with the

reverse chain. This research shows that companies can incorporate customer relationship

management concepts into supply chain management, including RSC processes, to be more

customer centric. This action helps the company’s supply chain survive and thrive in the global

competitive business environment.

Online Returns and the Impact of Artificial Intelligence

Kaplan and Haenlein (2019) defined AI as a system’s ability to use internal and external

data effectively, learn from the data, and use those learnings to achieve specific objectives and

goals by adapting flexibly. According to Guha et al. (2021), AI has the potential to wield a

disruptive effect on the retail industry, including increased store sales, increased online sales, and

increased potential in cross-selling, upselling, and, most importantly, supply chain effectiveness

and efficiency, including inventory optimization.

When fully deployed, AI could sharpen personalized recommendations for customers and

provide shoppers with a better onsite and online experience by helping them find products based

on a few prompts or searches and improving the customer service experience. Burton (2022)

asserted that organizations are building AI-enabled platforms to help create more effective

customer service relationships. Guha et al. (2021) noted that retailers have adopted AI

applications, including nudging bots that assist and encourage online shoppers to purchase a

product with recommendations. Another example of AI is using a risk score. Companies like

Amazon have developed a risk score based on customers’ shopping and return history, allowing

the system to accept or refuse a return based on individual patterns (Robertson et al., 2020).

Guangyong et al. (2022) delineated three core reasons consumers return products and how

AI can prevent these returns. The researchers stated that uncertainty about sizes and fittings,

purchase error, and cost are the critical factors that cause customers to return products. The first

reason encompasses the uncertainty of viewing products online, including size and fittings for

clothes or furniture in a room. The researchers provide examples of various AI applications used

by companies that use consumers’ phones to visualize how a product like a chair would fit in a

home or how glasses would fit on a customer’s face. By using virtual fitting technologies, AI can

give a customer the correct fittings, thereby reducing returns of products due to wrong sizes. A

second example, modeled from Guangyong et al. (2022), is the effectiveness of AI in providing

sophisticated and high-quality customer service in identifying product information and enhancing

a customer’s purchasing experience, which reduces buying the wrong product and, hence, returns.

Guangyong et al. (2022) stated that AI, with its data-driven recommendation algorithms, can help

customers find items based on several factors, including cost, by searching the site for the most

price-sensitive customers, thereby reducing buyer remorse due to unaffordable prices. AI can also

accurately recommend vertically differentiated exchanges with a high marginal profit to

customers when they return products, which can be helpful for businesses.

Critique of Artificial Intelligence

Although AI is necessary, including assistance and nudging bots that directly interact with

customers online, privacy risks exist, like listening to customers; a glitch or error in an AI can

negatively affect customers (Guha et al., 2021). According to Kaplan and Haenlein (2019), AI

algorithms and analytical tools could lead to job losses as they replace business, marketing, and

computer analysts. AI has limitations; it may not easily simulate intuition because it does not have

the conscious state to provide exceptional customer service. Kaplan and Haenlein (2019) asserted

that besides a lack of intuitive intelligence, AI also lacks empathy, which is needed in customer

relationship management. Although AI can process customer data, purchasing can be personal to

customers, and understanding their state of mind before purchasing can be complicated for AI

when making recommendations.

Nevertheless, AI can learn over time, self-improve, and improve its ability to predict

accurately based on customer responses (Kaplan & Haenlein, 2019; Simonite, 2017). Using a risk

score can help companies reduce illegitimate returns because AI uses a shopper’s shopping and

return history to accept or cancel returns that may be deemed excessive. With AI, customers may

need to familiarize themselves with augmented reality or other AI technologies. Businesses need

to provide other methods for those customers, like a live customer service experience or an in-

person customer service representative (Burton, 2022).

RSC Processes

Companies oversee RSCs differently depending on the product or services they provide,

the country, state, or local laws where they operate, and the available technology with the goal of

reducing costs. To better understand how the RSC process affects customer satisfaction, one must

explain the standard RSC processes: product returns and recovery practices. According to Russo

et al. (2019), product returns practices involve receiving and processing used or defective

products to salvage them to be resold, if in good use or never opened; remanufacturing if it is

possible; or destroying and disposing of them, as well as procedures to make products that are

rarely returned including ease of use. The goal is to create actions that limit or eliminate returns,

including training. In product recovery practices, the aim is recovering the value of the defective

product by repairing, reconditioning, or recycling, as well as moving the returned product to the

rightful destination, which may be the vendor, salvage, or back to stock. With customers

demanding warranties, repairs, and takebacks, these can challenge businesses and affect customer

satisfaction. Companies also must follow local and international laws regarding the disposal of

products, including e-waste. Minahan (1998) provided examples of RSCs for a select number of

industries where repairs and recycling due to product disposal rules and customer demands for

better service with select contract logistics providers focused on serving post-sales needs of

companies in fields like automobile, medical, and high-tech industries. Minahan (1998) also

offered examples like the “closed loop” solution, where customers alert companies that used

batteries must be picked up. The delivery truck sends those batteries to recycling facilities where

they can be refurbished, broken down into materials, and introduced back into manufacturing.

Such methods can increase customer satisfaction if these alerts are responded to quickly.

The advantages of recycling cannot be overstated and are beneficial in several ways. It

reduces raw material costs for a business because they are reusing the same components, which

helps to dispose of pollutant materials properly and helps increase the company’s reputation

(Abdulkader et al., 2015). As stated, reputation and company image can increase a company’s

market value, customer loyalty, and finances (Abdulkader et al., 2015). Brick-and-mortar stores

sometimes have gatekeepers (customer service representatives who inspect returned items and

decide to accept or reject them by distinguishing legitimate from illegitimate returns). These

gatekeepers decide which items will be returned to DC, restocked (if new or unopened), will be

destroyed, or in poor condition. Their actions can have a positive or negative effect on customer

satisfaction. Online retailers have an even more challenging issue concerning gatekeepers.

According to Griffis et al. (2012), they need the ability to inspect goods once they are received at

the processing facility. Not only do online retailers have a higher return rate than conventional

stores, but the cost of processing returns by item is also mostly higher. For these reasons, they

may be tempted to increase return processing times, affecting customer satisfaction. A positive

return process in the long term affects the customer and the company. Griffis et al. (2012)

encourage implementing a product return review where customers can provide product reviews

and their return experience for others. This assertion was corroborated by Lin et al. (2020), whose

findings showed that relaxed regulations on returns and a convenient return process, as well as a

total return refund policy online, reduced regret from customers and encouraged them to shop

online without inhibition. Nevertheless, the researchers also stated that in a collectivist culture

like China, people may abuse a liberal return policy if the penalty is not big enough, emphasizing

that regulating returns is a fair business policy. Nevertheless, Lin et al. stated that it is better to

clearly explain the intention of any return clauses provided to reduce customer unease.

Regarding product returns practices, Lin et al. (2020) asserted that online businesses need

to closely monitor their platform and generate return reports to help them realize the root cause

behind the product returns. Larsen et al. (2022) researched the impact of the RSC on a firm’s

financial performance, asserting that recovery and resale of end-products, resale of core materials

to recyclers, take back and repair of end products as a service, recovery and resale of components,

as well as resale of core materials to original suppliers, were vital to increase revenue with the

RSC. According to Larsen et al. (2022), Companies with the tools to reuse an in-house-produced

component instead of manufacturing a new one were cost savers, as were those that worked to

salvage reusable components. Direct reuse of components and end-products also yielded cost

savings. Due to environmental laws, companies and small and medium enterprises that collect

hazardous waste from consumers face high collection costs from disposal centers, which could

lead to illegal dumping (Zhang et al., 2023). These companies may also be more guarded in

allowing returns by creating stricter policies regarding the return of these products and charging

customers to accept these items in some cases. Zhang et al. (2023) suggest that hazardous waste

collection platforms (HWCPs) may need to be built to help SMEs. HWCPs would serve as a

bridge in the waste collection process for SMEs by using special vehicles to collect hazardous

waste in the warehouse, classify it, store it, and connect it with disposal centers, thereby reducing

the financial burden on SMEs.

Government Policies and Customer Demands That Changed How Companies Addressed

RSC

Customer demands related to environmental concerns and fair business practices have

caused governments to enact legislation to meet these needs. Tibben-Lembke (2001) wrote that

although companies practiced RSC processes due to government regulations or pressure from

environmental agencies and not for economic gain, it was not due to fear of litigation but public

perception.

Prahinski and Kocabasoglu (2006) stated that government policies make customer

demands encountered in the forward supply chain much more difficult. Governments in the US

and Europe are tightening laws and regulations on the disposition of products with increasing

landfill tipping fees and incinerator tipping fees, which have motivated companies to invest in

recycling and remanufacturing as alternatives for handling returns (Mollenkopf & Closs, 2005;

Prahinski & Kocabasoglu, 2006). Governments encourage remanufacturing systems because

natural resources can be saved for future generations while companies contribute to sustainable

development (Park et al., 2021).

Environmental awareness issues have caused governments to initiate product recovery

systems like extended producer responsibility (EPR). Park et al. (2021) asserted that EPR

manages end-of-use products in manufacturing companies. This regulation mandates companies

to take back end-of-use products in several countries, including Germany, France, Japan, Taiwan,

Australia, Mexico, Brazil, and the Republic of Korea. In China, the government has issued

circular economy and environmental legislation that has affected RSC (Tian & Chen, 2013). Due

to slow implementation by businesses, the Chinese government, like others, initially provided

incentives to encourage RSC for electrical appliances and other products but later shifted to

coercive measures through legislation and enforcement. Additionally, pressure to adopt RSC also

came from customers (Tian & Chen, 2013; Ye et al., 2013).

Limitations and Gaps in Literature

This literature review of fifty-two peer-reviewed articles exposed RSC and customer

satisfaction limitations. The literature review showed prior researchers surveying and

interviewing customers to ask about their return process experience and businesses to discuss

their product return processes (Griffis, 2012; Lin, 2020; Smith, 2005). However, more research

needs to be conducted to obtain middle-level managers’ or employees’ perspectives on RSC and

its effect on customer satisfaction. Ellahi et al. (2022) was an exception because the researchers’

surveyed employees and supervisors, but the results of both groups were not separated. A critical

recommendation missing in the literature was the need to train customer service representatives

who manage returns to be more considerate, humane, and respectful as gatekeepers for the

companies (Russo et al., 2019). The researchers on e-commerce recognized the difficulty of

returning products online due to the consumer’s inability to physically meet the product until it

arrives at the customer’s location (Lin et al., 2020; Rintamäki et al., 2021). The literature only

goes as far as to suggest providing return labels and boxes (Morton, 2003). However, other new

methods such as the home try-on program by Warby Parker, the at-home try-on program by

Azazie, and Amazon Wardrobe (prime try before you buy) allow customers to order items online

and only pay for the products they keep while returning the others quickly, usually within a week

(Jackson & Xu, 2022). Jackson and Xu (2022) called this new e-commerce model the try-before-

you-buy (TBYB) model, asserting that the advantage of this model is convenience and providing

a valuable shopping experience for customers. AI has helped reduce returns using mobile devices

(i.e., smatphones and tablets) and augmented reality (Guangyong et al., 2022). For example,

customers can use their smatphones and tablets to take a picture of a specific piece of furniture

and can use this picture and position it in a designated room to determine if the furniture fits the

room décor (Guangyong et al., 2022; Jackson & Xu, 2022). A return based on a damaged product

on delivery differs from a return due to a recall from the company or based on financial

constraints or buyer’s remorse (Rintamäki et al., 2021). Ellahi et al. (2022) further showed a

relationship between a company’s cost savings and profitability with an adequate return policy. A

return policy can reduce RSC because it helps form a customer’s decision regarding the product

before the final purchase (Rintamäki et al., 2021). Unregulated, inexpensive penalties or unclear

return policies may be abused by customers (Lin et al., 2020).

With the prohibitive cost of returns, retailers like Amazon and Walmart are giving

customers refunds on many low-cost products and allowing them to keep the products (Cerullo,

2021). According to Cerullo (2021), the cost of returns was, on average, 60% of the product’s

original sale price, posing a financial strain for corporations and businesses and making returning

the product a more significant problem compared to simply refunding the customer and

improving customer satisfaction. RSC is expensive for companies, but the literature needed to

identify how businesses and their suppliers can optimize the cost of RSC processes (handling,

coordination, transportation) that arise from product returns (Robertson et al., 2020).

Literature Review Conclusion

This literature review extensively analyzed the correlation between RSC and customer

satisfaction, pre- and post-2019. The articles analyzed in this chapter led to five distinct

conclusions. The reviewed research points to a close relationship between RSC and customer

satisfaction.

According to Ellahi et al. (2022), the RSC aims to recapture the value of a product

returned by customers. Customers return goods because they are defective products, recalled, no

longer needed, or inferior quality, as well as due to buyer’s remorse or other reasons (Mollenkopf

& Closs, 2005; Russo et al., 2019). Companies can work to reduce returns by producing high-

quality, easy-to-use, well-priced products, but returns are inevitable and are part of any business

supply chain process. A customer-centric company should have a well-established RSC process

that is easy to understand and transparent for the company and its customers (Lin et al., 2020).

Returns may be straightforward, but warranty claims can complicate matters for the customer.

However, companies need to have their various centers, including return center and DC, prepared

to manage defective products by reworking, remanufacturing, and reformatting them so they are

returned to the forward flow again (Abdallah & El-Beheiry, 2022; Mollenkopf & Closs, 2005).

The conclusion that RSC is inevitable is vital to this research because it helps illustrate the

significance of this process and the need for businesses to incorporate more effective and efficient

ways of managing returns.

Consumers who are more aware of global climate changes are concerned about a safer

environment and are looking to align with and invest in companies engaged in sustainability

(Russo et al., 2019). Companies need to invest in sustainable ways of managing returned goods,

with studies showing a relationship linking customer satisfaction, customer loyalty, and being a

sustainability-oriented company (Abdallah & El-Beheiry, 2022). The need to be environmentally

friendly has led to high-quality remanufactured goods that are on par with new products, efficient

recycling methods, and efficient disposal of hazardous waste by companies (Minahan, 1998; Qi et

al., 2023; Yerramalli & Burra, 2014). The conclusion that RSC is tied to climate change issues is

a core part of this research.

The RSC remains a critical yet to-be-fully explored supply chain process. When analyzed

and utilized effectively, RSC can be a critical driver in increasing a company’s profitability,

customer satisfaction, and long-term growth, creating a sustainable, friendly company in name

and character (Larsen et al., 2022; Zhang et al., 2023). In scenarios where the product cannot be

refurbished, replaced for resale, or recycled, Yerramalli and Burra (2014) noted that the company

would take the damaged goods and materials to a government-designated landfill, which reduces

environmental degradation. However, the last option, reselling replaced materials, recovers the

value the business could have lost. The refurbishing, recycling, and remanufacturing of damaged

products and materials reduces the volume of waste taken to the landfill (Chan & Jain, 2012). The

conclusion about effectively disposing of returned goods is essential to this research because

environmentally conscious customers desire companies to dispose of goods correctly, increasing

customer satisfaction.

Although it is evident that returns are more prevalent for online retailers than brick-and-

mortar stores, both types of businesses can increase customer loyalty and satisfaction if they have

return policies that are well laid out and allow for seamless returns, quick credit for customers in

the manner they paid, full refunds for goods purchased, ease of returns, communication with the

customer, and trust of the customer (Lin et al., 2020). According to Sajjanit and Rompho (2019),

information availability, empathy, assurance, reliability, and responsiveness are significant factors

affecting returns. Online companies must do more to have customers taste, touch, or feel the

product (Lin et al., 2020). Online companies must also provide an uncomplicated way to return

the product, including providing shipping labels and boxes and pre-labeled and stamped boxes for

returns and quick credit to customers’ accounts as soon as the product is received (Griffis et al.,

2012; Lin et al., 2020). According to Robertson et al. (2020), online retailers should offer hassle-

free returns to ease customer concerns and encourage online shopping.

Additionally, online and brick-and-mortar stores should implement feedback forums for

customers to write about their experiences, and managers should respond to any poor process to

address concerns. Brick-and-mortar stores need to reduce the use of gatekeepers who make the

return process difficult for customers. Research shows that although some organizations may need

gatekeepers, the policies must be clearly stated and explained, and customers must know them

before purchasing the items. Companies need to measure the performance cost of flexible reverse

return processes carefully and, if needed, design one that is efficient and effective, leading to a

good customer service experience while minimizing carbon emissions and ensuring a sustainable

supply chain process. Robertson et al. (2020) concluded that online companies must go beyond to

provide a seamless return process. This action aligns with the research on the RSC process

between online and brick-and-mortar stores and how it impacts customer satisfaction.

AI adoption has the potential to reduce business customer returns. Customers return

products for many reasons (i.e., damaged, wrong size, color, or design, expired), especially in

online stores, and AI algorithms can curb some of the returns. According to Guangyong et al.

(2022), AI can provide excellent recommendations that help customers purchase the right

product, thereby reducing returns. AI can also provide customers with a realistic virtual

appearance of a product in the customers’ homes or how the products would look on them,

thereby eliminating the issue of size, which is common in online sales. However, AI also has

shortcomings, including privacy issues, because it makes decisions based on customer data it has

processed. Like any program, AI may have bugs or issues and provide inaccurate information to

customers, which can affect customers negatively (Guha et al., 2021). Any adoption of such tools

would require testing and supervision for effectiveness. The use of AI in aiding the RSC process

is essential to this research because it is one of the many innovative tools’ companies use to

improve customer service, reduce returns, and improve customer satisfaction. In today’s

globalized world, companies need to have a seamless RSC process and an effective forward

supply chain to succeed in the future. This process should prioritize the customer as the most

essential part of the company’s present and future. One way to achieve this goal is by providing

customers with an easy and liberal method for returning products, which can increase the

company’s purchases, sales, revenue, and profitability.

Literature Review Summary

Over the past few decades (2000-2020), businesses have realized the significance of RSC

due to government regulations, customer demand, and financial reasons. However, RSC should

have been addressed and considered a financial cost to the company. Companies are creating

effective and efficient RSC processes to minimize these costs and maximize long-term profit

(Ellahi et al., 2022; Griffis et al., 2012; Larsen et al., 2022; Lin et al., 2020; Minahan, 1998).

According to Ellahi et al. (2022), the RSC process has a financial cost to the company. Businesses

are creating effective and efficient RSC processes to minimize these costs and maximize any

profit for the company in the long term. According to Mollenkopf and Closs (2005), landfill

tipping fees have increased to $33.70 per ton, and incinerator tipping fees have risen to an average

of $59.07 per ton. Prahinski and Kocabasoglu (2006) wrote that the cost of handling, transporting,

and determining the disposition of returned products was $35 billion annually in the U.S.,

whereas remanufacturing in the U.S. was $50 billion yearly. Robertson et al. (2020) reported that

in 2018, 10% of total U.S. retail sales of $3.6 trillion ($369 billion) were returned to retailers.

With this enormous cost, businesses proactively work on various RSC processes to manage

increasing customer returns. Recycling returned products is one way to save money (Ellahi et al.,

2022). Crafting a clearly understood return policy is another effective way to manage returns

(Rintamäki et al., 2021). Ellahi et al. (2022) encourages using IT to help process returns

seamlessly. Businesses are using technology to help create an effective RSC process, including

using AI, chatbots, and technology-facilitated in-store assistance to customers, reducing the need

to return a product (Robertson et al., 2020). RSC process also faces issues with customers’

excessive or sometimes needless returns (Lin et al., 2020), and businesses are creating tools to

distinguish between legitimate and illegitimate returns. However, in some instances, they accept

returns even from rival stores (Robertson et al., 2020). The RSC process could be crucial to

customer satisfaction (Ellahi, 2022; Sajjanit & Rompho, 2019; Smith, 2005).

According to Jackson and Xu (2022), online retailers have higher returns than brick-and-

mortar stores due to the physical inability to see the products and the disadvantage of seeing the

returned item once it was already at the return center. Retailers need diverse ways to approach

returns to keep loyal customers happy and reduce illegitimate returns (Griffis et al., 2012; Lin et

al., 2020). Rahman and Subramanian (2012) stated that firms could be enabled to achieve a

competitive advantage through improved operational performance when reverse logistics

practices are managed effectively. Companies need adequate information technology to have an

adequate return process because it affects the return process and customer satisfaction (Ellahi et

al., 2022).

An RSC is an essential part of the fight against climate change, environmental protection,

and sustainable development because products returned for various reasons can be reused,

recycled, redeveloped, repurposed, and remanufactured for use by the customer, thereby reducing

the use of landfills or illegal dumping of waste (Ellahi et al., 2022; Russo et al., 2019; Zhang et

al., 2023). Customers will remain loyal to businesses that they perceive value them and what they

consider necessary, including a company with quality products and service that efficiently

resolves customer complaints and provides a seamless return and credit process within a

reasonable time (Cerullo, 2021). Businesses are creating new models in handling returns,

including accepting other retailers’ returns, allowing customers to try products before they buy

them for up to a week, or allowing customers to keep their returns while refunding them to keep

their customers happy (Cerullo, 2021; Jackson & Xu, 2022; Robertson et al., 2020). Nevertheless,

having the right employees in charge of the return process is vital. According to Robertson et al.

(2020), businesses may need to train their customers on return policies and procedures and

provide more effective ways to reduce returns, like using AI and augmented reality, among other

tools.

The next chapter discusses the research method used in this dissertation, which utilized a

qualitative approach (including selecting participants and designing a set of interview questions).

An RSC is vital in addressing climate change, environmental protection, and sustainable

development, as it enables products returned for several reasons to be reused, recycled, or

repurposed, thereby reducing landfill use (Russo et al., 2019; Zhang et al., 2023). Businesses are

developing innovative return models, such as accepting other retailers' returns and allowing

customers to try products before buying, to enhance customer satisfaction and loyalty (Jackson &

Xu, 2022).

INTENTIONALLY LEFT BLANK

CHAPTER THREE: RESEARCH METHODS

This study utilized a qualitative approach, which was applied to describe the everyday

experience of SMEs with three years of retail experience. This study explored their lived

experiences through interviews and coding to find common themes, develop textual and structural

descriptions, and present the understanding of the essence of their experience in written form (El

Sherif et al., 2024; Saldaña & Omasta, 2016). A qualitative semi-structured interview study model

allowed this researcher to find commonalities in the subjective experiences of different SMEs by

interviewing them (Creswell & Creswell, 2022; Sadek et al., 2023; Shoozan & Mohamad, 2024).

Interviews provide a microcosm of the interviewees’ consciousness, promoting an understanding

of the phenomenon being researched; they are an essential tool for humans to symbolize their

experiences through language, recount narratives of experience, and provide a realistic record of

the phenomenon being researched (Sadek et al., 2023; Saldaña & Omasta, 2016; Seidman, 2019).

The researcher applied an open-ended form of data in which the participants were allowed to

share their ideas. The semi-structured interviews were intended to elicit views and opinions; more

enriching data would be collected and organized into codes and themes that cut across all data

sources (Sadek et al., 2023; Shoozan & Mohamad, 2024). The sample size for any study depends

on the design being used. For this study, this researcher conducted three sets of interviews with

six SMEs, all working in the United States (Seidman, 2019). Creswell and Creswell (2022)

suggested having three to ten participants for a qualitative semi-structured interview study.

Participant Selection Method

This researcher chose the purposive sampling method for participant selection because it

allows for the deliberate selection of participants with specific characteristics or qualities

necessary for the research (Abedi et al., 2024). This research team stated that purposive sampling

is considered the best method for this qualitative semi-structured interview study because it

enabled this researcher to gather in-depth and relevant data from participants who were well-

versed in the subject matter. This method ensured that the sample included individuals who could

effectively contribute significant and pertinent information to answer the research questions

(Abedi et al., 2024). By focusing on participants with specific expertise, this researcher obtained

rich, detailed, and contextually relevant data that enhanced the understanding of the phenomena

being studied. Three other sampling methods were reviewed but not used.

The three other sampling methods that were not used in this qualitative semi-structured

interview study are simple random sampling, stratified sampling, and convenience sampling. Qiu

et al. (2024) offered that simple random sampling is where every member of the population has an

equal chance of being selected. According to Qui et al. (2024), this action could be achieved

through random selection, such as using a random number generator. This method was not used

because it does not ensure that the selected participants have the specific experience or expertise

required for the study. This qualitative semi-structured interview study required participants with

specific knowledge of supply chain management, which random sampling could not guarantee

(Qiu et al., 2024). Next is the stratified sampling method. The stratified sampling method involves

dividing the population into distinct subgroups (strata) based on specific characteristics and

randomly selecting participants from each subgroup (Nyimbili & Nyimbili, 2024). This method

was not used; while it ensures representation from each subgroup, there were better choices than

this because it might not focus on the expertise needed (Nyimbili & Nyimbili, 2024). The

research required participants with extensive experience in a specific area, making purposive

sampling more appropriate to ensure relevant insights (Abedi et al., 2024).

The last method reviewed was convenience sampling. This method was not used because

it is a non-probability sampling method where participants are selected based on their availability

and willingness to take part in the study (Junkins et al., 2024). This method was not ideal because

it might lead to biased results and not ensure that participants have the necessary qualifications or

experience (Junkins et al., 2024). The qualitative semi-structured interview study was designed to

obtain high-quality data experts, which convenience sampling could not reliably provide.

Participant Selection

In this study, the participants were selected based on their professional experience and

involvement in supply chain management within the United States. Specifically, the researcher

targeted SMEs (Subject Matter Experts) with at least three years of experience in the retail supply

chain industry, ensuring that the participants could provide valuable insights into the research

topic.

This researcher selected participants with at least three years of experience in the supply

chain management industry who work in the United States. SMEs were contacted through Linked

In, specifically well-known and respected supply chain professional organizations such as the

Association for Supply Chain Management, The Council of Supply Chain Management

Professionals, the Institute of Supply Management, Integrated Institute of Supply Chain

Management, Manufacturing, Supply Chain, Logistic and Transportation, Retail Management

Executive Group, and Reverse Logistics Association. Each participant received the Invitation to

Participate in the Interview Letter (by email; See Appendix B). These SMEs had to be able to

provide themes to develop and review the phenomenon and provide an in-depth understanding of

the research questions (Saldaña & Omasta, 2016). Also, the SMEs had to provide historical

information and on-the-job experience (Saldaña & Omasta, 2016).

Further, firsthand knowledge of the process and procedures involved in RSC could be

given, making the information invaluable for this qualitative semi-structured interview study

(Saldaña & Omasta, 2016). The interview method was deemed effective for this research because

it allowed this researcher to communicate with participants with experience across the United

States using web-based platforms (Creswell & Creswell, 2022). All participants were informed

that their participation was voluntary (See Appendix C).

Research Method and Design Appropriateness

Qualitative semi-structured interview research design focuses on understanding how

people view themselves and the world around them and allows for narrating the participants’

lived experiences (Creswell & Creswell, 2022; Robson & McCartan, 2016). This research sought

to understand the connection between RSC and customer satisfaction and the lived experiences of

SMEs in the supply chain industry. This researcher used qualitative semi-structured interview

research to explore experiences from a semi-structured interview research standpoint within real-

life contexts (Creswell & Creswell, 2022).

1. Employing semi-structured open-ended questions should encourage detailed responses

(O’Brien et al., 2019).

2. Evaluating the data separately before combining it to achieve a more comprehensive

perspective (Daniel, 2019; Kaihlanen et al., 2019).

3. Highlight how the application of semi-structured interviews provides richer insights

into group characteristics compared to other research designs; this design allows for

flexibility and adaptation of the interview (Saldaña & Omasta, 2016).

4. Enabling the capability to include participants across the globe and aiding in assessing

the limits of the participants (Creswell & Creswell, 2022). Non-verbal cues may

provide messages that help understand the verbal response and potentially provide rich

and highly influential material that addresses the research questions.

5. This researcher conducted semi-structured interviews employing the QCA

methodology to examine the relationship between RSC and customer satisfaction

using semi-structured interviews, as suggested by Russo et al. (2019). Using

observation as a research method was ineffective because doing so would have going

out into the field, taking notes, and recording the results (Oduor et al., 2020).

6. Another methodology used to analyze the relationship between RSC and customer

satisfaction was SERVQUAL model. Using the semi-structured interviews, the

researcher was able to use the SERVQUAL to explore how service quality

dimensions, such as reliability, responsiveness, assurance, empathy, and tangibles,

influence customer satisfaction within the RSC (Muslimin et al., 2022). By using

open-ended questions, these interviews allowed participants to share detailed insights

and firsthand experiences about specific areas where service improvements are needed

(Kalantarzadeh, 2024). This researcher was able probe deeper into customer

expectations and perceptions, identifying gaps and opportunities for enhancing service

quality (Ezeh et al., 2022). This qualitative approach provided rich data that can

inform strategic improvements to align the RSC process more closely with customer

needs and satisfaction goals (Kalantarzadeh, 2024).

This qualitative semi-structured interview research provided other data beyond the

literature review to offer a broader understanding of the effect of the RSC on customer

satisfaction (Creswell & Creswell, 2022). Guide and Van Wassenhove (2002) defined the RSC

chain as the systematic movement of products from the final consumer back to the original seller

or manufacturer to recover value or ensure appropriate disposal. Hence, converting the RSC into

advantageous prospects can be achieved by converting a company’s return policies and

procedures into a comprehensive and customer-centered strategy (Kalaria, 2021). It is imperative

to ascertain whether a gap exists between the RSC and customer interactions, given that various

companies may experience varying degrees of success and difficulties in overseeing their product

returns (Raj et al., 2022). The need to ascertain whether a gap exists between the Reverse Supply

Chain (RSC) and customer interactions is a critical factor in the researcher using the SERVQUAL

model as its framework. The SERVQUAL model is designed to measure service quality by

assessing the gap between customer expectations and their perceptions of the service received.

According to Abdolazimi et al. (2022), the data indicates that the RSC can influence customer

satisfaction and loyalty, affecting a company’s profitability and long-term viability. According to

Abdolazimi et al., (2022), the design of an RSC network must be grounded in the identification of

essential components, such as the number, location, and functionalities of collection, recovery,

and disposal hubs; the stock levels at each location; and the flow of materials between all facility

pairs. Cybersecurity plays a critical role in RSC due to the constant technological changes. The

overall concern with organizations is understanding the evolving technology, what the

organization wants to achieve, the cost of the technology, and the effect on customer satisfaction

(Wagner & Postel, 2022).

The influence of cybersecurity on the RSC and customer service is multifaceted,

contingent upon factors like the type and gravity of the cyberattack, the product or service’s

characteristics and value, and the organization’s level of readiness and response. Potential

ramifications encompass delays and interruptions, breaches of data and privacy, financial setbacks

and legal obligations, environmental consequences, and social accountability (Hayes, 2022; U.S.

Customs and Border Patrol, 2023).

Because the semi-structured interview design model depends on participants’ subjective

narratives and individual interpretations of their experiences, difficulties may arise in determining

the validity and reliability of the data (Alhazmi & Kaufman, 2022). Per Neubauer et al. (2019),

another concern is the potential difficulty in recruiting suitable participants for the research

because they must undergo rigorous screening or selection processes to ensure they possess the

necessary background knowledge to grasp the phenomena under investigation. Suspending

personal experiences in the model can sometimes pose difficulties because the researcher’s biases

or background may inadvertently affect the outcomes (Creswell & Creswell, 2022). Additionally,

addressing potential personal repercussions if the research leads to a shift in the researcher’s

perspectives represents the final design challenge (Saldaña & Omasta, 2016).

Population

This research population consists of SME professionals in the supply chain industry with

at least three years of experience and retail management professionals with similar years of

experience (Creswell & Creswell, 2022). Participants were identified through the online source

Linked In to locate well-known supply chain professional groups, including the following: The

Association for Supply Chain Management, The Council of Supply Chain Management

Professionals, the Institute of Supply Management, the Integrated Institute of Supply Chain

Management, Manufacturing, Supply Chain, Logistic and Transportation, Retail Management

Executive Group and Reverse Logistics Association. Disqualification questions were used to

select individuals who met the criteria for this research (Saldaña & Omasta, 2016; Seidman,

2019). In this qualitative semi-structured interview study, factors such as job title, rank, or full-

time employment were not considered because these variables can fluctuate annually in response

to organizational needs and funding availability.

Sampling

The sample size depends on the qualitative design used by the researcher (Staller, 2021).

This researcher selected a final sample of six RSC SMEs for the semi-structured interview

research. This number falls within the range recommended for qualitative research (Kindsiko &

Poltimäe, 2019). All the participants selected were based in the United States and had at least

three years of experience in the RSC field, meeting the critical requirements of the study

(Creswell & Creswell, 2022).

Informed Consent

In this qualitative semi-structured interview, individuals who consented to follow-up

interviews participated in the survey. Participants received research information and disclosures

by email before agreeing to participate in the endeavor and following the survey and interview

processes. As asserted by Creswell and Creswell (2022), research participants needed to sign

informed consent forms agreeing to the study’s provisions before they provided any information

or data, and the participants were not pressured into signing the form. The informed consent

document provided details on this researcher’s identity, the backing organization, the study’s

objectives, participation advantages, extent and nature of participant engagement, potential

participant risks, participant privacy, findings overview, guarantees of voluntary withdrawal at

any stage, and contacts for inquiries (Klykken, 2021). This researcher requested that each

participant sign the informed consent form in alignment with the teachings of Saldaña & Omasta

(2016). All the participants received a copy of the interview transcript for review. They were

asked to make needed corrections and add any added additional before the interview data was

used in the analysis phase. Consent was requested again in the final research and dissertation

(Seidman, 2019).

Confidentiality

This researcher strove to uphold the confidentiality and privacy of the participants in

interpreting data (Saldaña & Omasta, 2016). The participants’ privacy in the qualitative semi-

structured interview study was acknowledged by disassociating the names of the participants via

using aliases or pseudonyms for individuals and places (Kang & Hwang, 2023). Also, the

confidentiality of the study data participants’ backgrounds was protected through cloud data

storage, encryption, and password protocols (Manthiramoorthy & Khan, 2024). Semi-structured

interviews were recorded, transcribed, then stored electronically, and backed up to the cloud using

data storage encryption and password-level protection.

Geographic Location and Demographic Questions

Geographic location and demographic information were gathered as part of the qualitative

semi-structured interview study to make sure the participants satisfied this researcher’s

requirements and to offer descriptive information about the sample (See Appendix D). The

demographic information questions aimed to ascertain and validate whether each respondent was

over eighteen, determine their gender, and ascertain whether they were U.S. citizens. This

researcher recruited participants only within the United States using Linked In and supply chain

organizations. The request asked how long each participant has been involved in the retail supply

chain. Semi-structured interviews were conducted using virtual technologies such as Zoom,

Skype, and Microsoft Teams (Creswell & Creswell, 2022).

Demographic Profile Analysis

Participants had to have at least three years of experience in the retail supply chain

industry and work based in the United States. Three years of experience was necessary because

the participants had significant and practical insights and a deeper understanding of the

complexities and critical factors affecting customer satisfaction (Purvis et al., 2022). This

experience enhances the credibility of their responses and ensures more reliable and relevant

research outcomes (Purvis et al., 2022). The retail supply chain industry was necessary because it

was pivotal in efficiently managing product returns, a growing challenge in multichannel retail,

by implementing sustainable RSC practices that align with corporate social responsibility

commitments. This alignment reduces operational costs and enhances sustainability, meeting

consumer demands for environmentally responsible practices. (Frei et al., 2020). Participants

must be at least eighteen years of age, the legal age of adulthood in the United States, wherein one

can vote, join the military, and sign contracts, allowing them to provide independent consent for

research participation (Flowers et al., 2024). This understanding of age emphasizes participants’

responsibility and ability to make informed decisions about the risks, benefits, and implications

involved (Flowers et al., 2024). These demographic profiles were aimed to enrich this

researcher’s understanding of the data gathered from each participant (citation). Specifically, the

demographic data was instrumental in obtaining a clearer picture of the population’s attributes

and deepening insights into the relationship between RSC and customer satisfaction. The initial

demographic data point pertains to age. This age range selection helped to ensure that the study

encompassed a diverse and representative sample of participants.

Comprehending gender-related demographic data was valuable because it unveiled

potential variations in how a phenomenon manifests based on gender, as noted by Kabeer and

Santos (2020). This research group should offer the significance of gender analysis in shedding

light on people's unique requirements, experiences, and preferences concerning various

dimensions of poverty and inequality, including income, education, health, violence, and

empowerment. Such gender-focused insights should contribute to a more targeted and equitable

approach to addressing complex societal challenges.

It was essential to grasp residential demographic information to provide data pertinent to

the qualitative semi-structured interview study (Kim & Sefcik, 2020). Knowing where

participants were located, and their living conditions increased the contextual richness of the

study findings. Results regarding the participants’ geographic location and demographic question

data points are presented in Table 4, chapter 4 and (See Appendix E).

Data Collection

During the data collection process, all participants, regardless of their geographical

location or demographic information, were treated equally, and no information was harmful.

(Creswell & Creswell, 2022). The participants were interviewed using semi-structured interviews

as part of the research. The interviews were conducted using tools (i.e., Zoom, Microsoft Team,

and phone interviews) that were convenient to the participants. The interviews were recorded and

consisted of three semi-structured groups. This researcher collaborated with stakeholders and

community partners from the supply chain management profession to recruit participants. The

interviews lasted 60-90 minutes (Seidman, 2019).

Meeting them face-to-face would have been extremely expensive, if not impossible, but

the use of technology tools like Zoom made the interview process successful. Conducting

interviews to collect data was deemed effective, allowing the participants to provide historical

information without needing observation. Additionally, this approach gave this researcher control

over the line of questioning (Creswell & Creswell, 2022).

Data collected through the interview process were transcribed and shared with the

participants for final approval before being used in the dissertation (Seidman, 2019). To collect

adequate data pertinent to the study, this researcher designed an interview protocol to guide the

interview process (Saldaña & Omasta, 2016). Interview protocols usually contain an opening

script that includes an introduction to the interview and an icebreaker, a review of informed

consent materials, and a list of questions. The questions would begin with a general question

followed by specific questions, and then follow-up questions based on the interview process and

the response of the participant, ending with a concluding script (Saldaña & Omasta, 2016).

This researcher stored the data collected online in a password-protected encrypted data

storage system. Any handwritten notes and participants’ consent forms were scanned and stored

in a similar password-protected encrypted file storage system. The notes and consent forms were

shredded using an industrial cross-shredding machine. At the end of the study, all data collected

was deleted from all electronic media, including cloud systems, emails, and email addresses.

Instrumentation

Instruments are tools and devices used to collect, measure, and analyze data in a study

(Creswell & Creswell, 2022). This researcher used a semi-structured interview (See Appendix F

for the Interview Guide, Interview, and Data Validation Questions). A semi-structured interview

as an instrument was deemed an effective validity tool because interviewing several participants

could help an interviewer connect their experiences and check one statement or comment of a

participant against the others (Creswell & Creswell, 2022; Seidman, 2019). Additionally, a semi-

structured interview allows for open-ended questions that could lead to spontaneous engagement

and provide compelling themes for the study with minimal direction from the interviewer. This

researcher worked to gather data for this qualitative semi-structured interview study by

conducting three sets of interviews with six to eight participants each, ranging between 60-90

minutes for each interview. Conducting three sets of interviews allowed the interviewer and the

interviewees to delve deeper into the participants’ experiences, contextualize them, and reflect on

their significance. A single interview with an unfamiliar person was deemed less likely to provide

enough context about the discussed topic (Seidman, 2019).

The first interviews helped establish the context of the participants’ experience and

eliminate any errors in the instrument. The second interview allowed the participants to recreate

the details of the SME experience within the context in which they occurred. The final set of

interviews created familiarity, a level of trust, and collegiality, encouraging the participants to

reflect on the meaning their experience holds for them. For such an interview process, this

researcher worked to provide openness, enabling the participants to tell their stories and maintain

the integrity of the interview structure as written in the interview protocol. This researcher

planned to complete the interviews within 30 days (Seidman, 2019). The interviews were

recorded on electronic media devices and transcribed for coding. The instrument was designed to

be concise, clear, and simple to understand, and an effort was made to repeat and type the

questions for the participants to view before answering to remove any ambiguity, confusion, or

error in responding (Creswell & Creswell, 2022).

Validity

A pilot interview was conducted to pre-test the interview instrument to ensure

participants’ comprehension of the overall research concept and the alignment, consistency, and

relevance of each question to the study (Hui et al., 2024). This small-scale pilot study helped to

refine the research topic and study methods. The pilot study helped determine the best research

methods, troubleshoot unforeseen issues, and determine whether the research project was feasible

(Bitzenbauer, 2023). Validity can be gained through a pilot test, which includes internal, external,

content, and process validity (Hui et al., 2024; Wang et al., 2023).

Instrument validity was achieved through a pilot study that will test the research

instruments (e.g., questionnaires and interview guides) to measure their intended purpose

accurately. This process should help identify and correct any ambiguities or biases in the

questions, thereby improving the instruments’ validity. External validity should be achieved

through the pilot study, wherein this researcher could assess the generalizability of the findings by

testing the research design and methods in a smaller, controlled setting. Feedback from a pilot

study can indicate whether the study’s outcomes will apply to broader populations or different

contexts (Trafimow, 2023). Content validity can be achieved through the pilot study by ensuring

that the themes, questions, or areas explored are comprehensive and relevant to the study’s

objectives. This preliminary phase allowed this researcher to ascertain whether the data collection

method covered all necessary aspects of the subject matter, therefore ensuring the enhancement of

the content validity of the research (Wang et al., 2023). Last was process validity, which involves

evaluating the research process and ensuring the methods and procedures are appropriate for the

study’s context. This pilot study offered the chance to test these processes in practice and make

any necessary adjustments to ensure the research methodology is practical and valid (Creswell &

Creswell, 2022). The connection between a pilot study and the validity of the main study is

significant because the pilot study contributes directly to enhancing the validity of research in

several ways. When conducted with a select group resembling the target demographic, this test

should serve a dual purpose: to evaluate the interview questions’ ability to elicit consistent and

relevant responses and to assess the instrument’s reliability (Seidman, 2019).

A sample populace was determined to be appropriate for this pilot study (Seidman, 2019).

This researcher used various channels, including Linked In and websites specializing in supply

chain management, to solicit participants who met the study’s criteria. Respondents received

various documents, including informed consent forms, invitations to partake in the interview

process, voluntary agreements for interview participation, initial demographic data forms,

interview protocols, and introductory materials. Subsequently, data accrued from the

interviews was subjected to thematic coding through NVivo software, and analysis was

performed. This researcher worked to effectively refine the methodology based on the analytical

outcomes, leading to a more robust, in-depth, and expansive study.

Reliability

A pilot interview was conducted to pre-test the interview instrument to ensure

participants’ comprehension of the overall research concept and the alignment, consistency, and

relevance of each question to the study (Hui et al., 2024). A cornerstone of this approach was the

standardization of interview procedures. The research utilized a uniform interview protocol,

including identical settings, durations, and structures. This standardization should have minimized

variability, ensuring each participant experienced the same conditions during the data collection

phase (Arslan, 2022). The study emphasized inter-rater reliability to enhance the credibility of

qualitative data analysis.

An integral component of ensuring reliability is the pilot testing of the interview guide.

The feedback from this pilot phase should be invaluable, informing refinements to the interview

questions to eliminate ambiguity and improve clarity, thereby fostering consistency in the data

collected (Arslan, 2022). The research methodology was reviewed for iterative refinement, guided

by feedback from the pilot study. This continuous improvement process involves revisiting and

adjusting the interview protocol, coding framework, and overall methodological approach based

on preliminary findings and participant input. Such adjustments are pivotal for bolstering the

study’s reliability, ensuring that the research methods remain robust and yield consistent findings

across various contexts and populations (Rose & Johnson, 2020).

Lastly, the commitment to documentation and transparency was vital in establishing

reliability. The study provided a comprehensive audit trail by maintaining detailed records of the

research process, including the interview guide’s evolution, the coding schema, and analytical

decisions. This documentation facilitates understanding and replication by other researchers and

is a testament to the study’s methodological rigor, enhancing its credibility and the

trustworthiness of its findings. Through these meticulous and systematic efforts, this study strove

to secure a methodological foundation that supports consistent and replicable research outcomes,

thereby contributing to the reliability and validity of the research (Rose & Johnson, 2020).

Trustworthiness

Trustworthiness in this qualitative research was ensured through a meticulously developed

conceptual framework, the selection of data collection methods well-aligned with the research

questions, and data analysis processes that allow for external auditing. The final report’s

comprehensiveness, accuracy, and professionalism were detailed and reflected the entirety of the

work, further establishing the credibility of the study’s findings (Saldaña & Omasta, 2016).

Trustworthiness is crucial in underscoring the accuracy and dependability of the study’s

outcomes, affirming the significance of the findings in this qualitative research. In research, the

concept of trustworthiness is pivotal, denoting how believable, applicable, reliable, and verifiable

a study’s outcomes are (Enworo, 2023).

In qualitative studies, the researcher ensures the study’s results are seen as trustworthy

through triangulation methods, thereby reinforcing the credibility of the findings (Enworo, 2023).

This researcher aimed to ensure the rigor, dependability, accuracy, and credibility of the data

collected, analyzed, and interpreted by employing diverse procedures and methodologies.

Standard techniques for enhancing trustworthiness in qualitative research include triangulation,

negative case analysis, and member verification (Stahl & King, 2020). This researcher intended to

ensure that the data collected was trustworthy and verified by the participants before analysis.

Research Method Conclusion

This researcher applied qualitative semi-structured interview research methods for design

appropriateness in sampling, type of instrument, data collection, confidentiality, validity,

trustworthiness, and data analysis. When conducting research, this researcher strove to recognize

the significance of considering a range of factors such as the appropriateness of the sample, the

type of instrument used, data collection methods, confidentiality, validity, trustworthiness, and

data analysis (Creswell & Creswell, 2022). Qualitative research was deemed the most appropriate

method for answering research questions based on the research topic of the relationship between

RSC and customer satisfaction. This work involved conducting semi-structured interviews with

six to eight participants in three separate groups. The process allowed the interviewer to provide a

platform for the experienced participants to share their experiences in the supply chain

management industry (Saldaña & Omasta, 2016). This researcher provided confidentiality and

privacy to the participants and ensured that they participated by providing each with a transcript

of the individual interview for their approval to establish the research’s trust, reliability, and

trustworthiness.

Research Method Summary

Chapter Three outlined the research method for this research, which involved conducting

semi-structured interviews with participants with experience in the supply chain management

industry (Creswell & Creswell, 2022). The qualitative semi-structured interview study model

enabled this researcher to find commonalities in the subjective experiences of different

individuals through interviews. The goal of this researcher was to select individuals who have

been working in the supply chain management industry in the United States for at least three

years. These individuals were contacted through professional networking platforms such as

Linked In, as well as through organizations like the Association for Supply Chain Management,

The Council of Supply Chain Management Professionals, Institute of Supply Management;

Integrated Institute of Supply Chain Management, Manufacturing, Supply Chain, Logistic and

Transportation; Retail Management Executive Group; and Reverse Logistics Association. This

research’s qualitative semi-structured interview design focused on understanding how people

view themselves and the world around them. It allowed for a narration of the participants’ lived

experiences (Creswell & Creswell, 2022). By conducting semi-structured interviews, this

researcher had the flexibility to organize questions in any order, use participants' language, and

take as much time as required. This approach also allowed this researcher to encourage specific

types of responses that could potentially enrich the research (Creswell & Creswell, 2022; Saldaña

& Omasta, 2016). To ensure feedback credibility, this researcher used various techniques such as

triangulation, member verification, and maintaining an audit trail (Noble & Heale, 2019).

Additionally, to ensure the accuracy of the data, this researcher conducted three separate

sets of interviews using the triangulation method (Burton, 2014; Noble & Heale, 2019). As stated,

a sample range of six to eight SMEs was selected for the interview process. Sampling for

qualitative research can range from one to hundreds, but a more effective measurement of the

number of participants for interviews depends on the research questions (Saldaña & Omasta,

2016). Large samples in research provide more precision, but recruiting participants is time-

consuming and expensive for a researcher (Creswell & Creswell, 2022). Before conducting the

interviews, participants were provided with informed consent to ensure they understood the

purpose of the research, potential risks, and the sponsor. This researcher maintained the

participants’ confidentiality and privacy by safely removing their names, storing recorded

interviews, and using encrypted cloud data with password-level protection. The interviews were

conducted virtually, using Zoom, Skype, and Microsoft Teams technologies, or via phone calls

based on participants’ convenience. The interviews comprised three sets of semi-structured

interviews to elicit participants’ views, opinions, and lived experiences. This researcher used a

semi-structured interview as the primary tool for collecting data. The transcribed interviews were

shared with participants to gain approval and ensure the validity and reliability of the data.

This researcher compared the responses of all participants to identify connections between

their lived experiences in the supply chain management industry. Once the data was approved, the

transcribed information was uploaded into the NVivo Windows software for coding and analysis.

The results from analyzing this information are presented in Chapter Four.

INTENTIONALLY LEFT BLANK

CHAPTER FOUR: RESEARCH RESULTS

Overview

The purpose of this qualitative semi-structured interview study was to understand, through

the perceptions and experiences of SMEs who work in the retail environment, the effect of RSC

on customer satisfaction and key categorical variables or conditions related to the RSC process

that may affect customer satisfaction. The following research questions guided the study:

• RSQ1. What is the relationship between reverse supply chain and customer

satisfaction?

Three sub-questions were posed that aligned with the central question and were related to the

subthemes about RSC and customer satisfaction.

• RSQ2: What configurations of categorical variables or distinct conditions in the RSC

process lead to customer satisfaction?

• RSQ3: What are the best practices and strategies businesses can undertake to improve

customer satisfaction in the RSC process?

• RSQ4: How do customer expectations and perceptions influence their satisfaction with

a company’s RSC process?

The interview questions for the study were based on these four research questions. The focus of

the research was to explore the RSC process and its impact on customer satisfaction. The central

research question sought to identify the critical factors of the RSC process. The purpose was to

enhance customer satisfaction. Businesses have implemented several strategies, such as

implementing a clear return policy, allowing returns from other companies, imposing penalties for

returns, implementing the TBYB model, or allowing customers to keep and refund the product to

streamline RSC and improve customer satisfaction. One sub-question sought to understand

customer expectations and perceptions of the company’s return process and how it affects their

satisfaction with the RSC process. The goal of the research was to identify the best strategy to

create a customer-centric RSC process. This chapter outlines the outcomes of the data analysis,

which have been organized into various themes based on the qualitative semi-structured

interviews conducted.

Data Analysis

This researcher applied NVivo Windows software, QCA analytics (including Boolean),

and the SERQUAL model to analyze the data collected through semi-structured interviews with

the participants to analyze the data. Coding, an analytic act that was used to assign rich symbolic

means through essence-capturing and evocative attributes to data and serve as a reductionist to a

massive amount of data for easy analysis (El Sherif et al., 2024), was salient for use in this

research (Bossio et al., 2024). To capture the essence of responses related to a particular

phenomenon, this researcher employed a coding approach to simplify the data, following the

methodology outlined by Braun et al. (2019). Akin to Hashim et al. (2024), the thematic analysis

approach was applied to identify and present themes, outlining six critical phases: becoming

familiar with the data, generating initial codes, searching for themes, reviewing the identified

themes, defining the themes, and composing the final analysis. This approach was chosen due to

the qualitative nature of the examined data. Specifically, this researcher utilized the six-phase

thematic analysis technique proposed by Braun et al. (2019).

Initial Data Familiarization

The initial step for this researcher involved identifying codes that could be grouped into

thematic topics (Braun et al., 2019). These codes served as condensed representations of the core

meanings within the data, a concept described by Bulchand-Gidumal et al. (2023). This researcher

engaged in multiple rounds of transcript reviews, supplemented by listening to the recorded Zoom

interview sessions. This iterative process enhanced this researcher’s understanding of

participants’ intentions and statements. The approach aligned with Braun et al. (2019)

recommendation to familiarize oneself with the data and conduct comprehensive comprehension

checks. This thorough and iterative data review and analysis approach was pivotal in extracting

meaningful insights from the research material, ensuring a robust foundation for subsequent

analysis and interpretation.

Creating Initial Codes

This researcher systematically and meaningfully organized the dataset after creating initial

codes. This process involved condensing extensive data into more manageable subsets (Braun et

al. (2019). The open coding approach was employed to generate codes as the data was segmented

to address the research topic (Braun et al., 2019). During this phase, this researcher aimed to

identify frequently recurring words, concepts, or phrases (University of Huddersfield, 2023).

NVivo assisted in code creation from the data (Elliott-Mainwaring, 2021), with this researcher

coding directly from the participant context within NVivo, as Saldaña (2021) advocated.

Furthermore, to analyze the codes and discern patterns, this researcher leveraged the

research questions and issue statements (University of Huddersfield, 2023). The approach of

choice for this researcher was inductive coding, involving identifying, defining, and organizing

codes in the data, leading to the subsequent generation of themes (Elliott-Mainwaring, 2021).

This researcher abstained from using deductive reasoning, a top-down method often associated

with random sampling and commonly found in quantitative research (Borgstede & Scholz, 2021).

Theme Identification Process

This researcher aimed to identify and extract themes from the data once the coding process

was concluded. These themes served as vehicles for capturing patterns and interpretations from

the dataset. Braun et al. (2019) emphasized that identifying patterns remains crucial for providing

meaningful responses to the research questions. In alignment with Brown-Jackson (2017), this

researcher explored the interconnected codes to unveil these thematic insights. Through thematic

analysis, this researcher aimed to distill the essential narrative threads that encapsulate the deeper

meanings and insights within the data, shedding light on the research questions and contributing

to a comprehensive understanding of the research’s subject matter.

Evaluating Identified Themes

The data was segmented, allowing this researcher to delve into each theme and identify

potential connections. This researcher scrutinized the themes to ensure their coherence and

alignment with the research questions and with the discretion to omit any topics that provided

minimal value (Braun et al., 2019). This meticulous theme exploration and evaluation process

was essential for refining the analysis and extracting meaningful insights aligned with the

research’s overarching goals.

Thematic Definition and Characterization

This process empowered this researcher to assign distinct names to each identified theme,

harnessing thematic analysis to uncover and report on emerging patterns and themes (Braun et al.,

2019; Brown-Jackson, 2017). Moreover, Prasoon et al. (2023) proposed that thematic mapping

allows for the graphical representation of diverse data types into cohesive themes, facilitating the

subsequent categorization of the segmented data for analysis. In alignment with Lundmark et al.

(2021), codes that did not align with the established themes were excluded from consideration.

Braun et al. (2019) indicated that the resulting data visualization through thematic analysis

incorporated pertinent details for this researcher to characterize each theme accurately and

enhance the depth of analysis and interpretation.

Summary and Reporting

The final phase of this research entailed summarizing the conclusions drawn from the

identified themes. This researcher meticulously extracted pertinent data aligned with the research

topics and existing literature to provide readers with comprehensive and insightful insights (Braun

et al., 2019). Following Saldaña (2021), visual aids such as charts, graphs, or figures were

prepared to illustrate the evolution of themes from the underlying codes.

Moreover, coding is an analytic act that this researcher applied to assign rich symbolic

means through essence-capturing and evocative attributes to data and serve as a reductionist to a

massive amount of data for easy analysis (El Sherif et al., 2024). Initial coding used NVivo,

allowing data segments to be tagged effectively with description labels representing concepts and

themes (Bossio et al., 2024). The derived codes were captured to show relevant categorical

variables and conditions for QCA analytics, and emerging themes were identified and refined.

QCA is based on the principles of set theory, formal logic, and Boolean; it was highly influential

in performing configuration analysis in this research. The coded data from NVivo were mapped

onto Boolean variables for QCA and then used to construct the truth table. This researcher

integrated fsQCA, a QCA software, to facilitate the analysis and identify configurations

associated with customer satisfaction outcomes.

In this qualitative research, data saturation was a well-established criterion for concluding

data analysis (Saldaña, 2021). This researcher considered multiple criteria when determining the

appropriate endpoint for data examination (Thorne, 2020). First, the analysis was assessed to

provide sufficient information to address each research question. Second, this researcher

evaluated whether any new codes or themes failed to emerge during the analysis phase (Thorne,

2020). The overarching goal was to ascertain whether further data analysis was warranted and

whether any novel codes or themes would surface (Thorne, 2020). By adhering to these rigorous

criteria for data analysis termination, this researcher aimed to achieve a comprehensive and well-

grounded understanding of the subject while ensuring that all relevant questions and potential

themes were thoroughly explored. This researcher expected to obtain a complete and well-

rounded comprehension of the research topic while ensuring that all pertinent questions and

prospective themes were examined adequately by adhering to these stringent criteria for data

analysis termination.

Demographic Characteristics of Study

The demographic characteristics of the study participants, as outlined in Table 4, indicate

a diverse range of geographical locations and ages among individuals with at least three years of

experience in supply chain management within the United States. The sample comprises six

participants, three males and three females, aged between 39 and 67. The geographical

distribution includes participants residing in California (P1, P2, P5), Arizona (P3), Nevada (P4),

and Texas (P6). This diverse demographic spread provides a comprehensive understanding of the

experiences and perspectives of supply chain professionals across different states (Orji & U-

Dominic, 2022). The balanced gender representation and varied age range contribute to a rich and

nuanced analysis of the supply chain management field in the U.S. context (Wong & Ngai, 2022).

Table 4

Geographical Location and Demographic Questions Data

Participant ID Age Gender Residence

P1 41 Male California, USA

P2 48 Female California, USA

P3 67 Male Arizona, USA

P4 56 Male Nevada, USA

P5 39 Female California, USA

P6 46 Female Texas, USA

Note. This data represents the participants interviewed for this research based on having at least

three years of experience in the supply chain management profession and living in the U.S.

Research Methodology Selection Reasoning

This researcher selected the qualitative research method for three reasons. As given by

Tenny et al. (2022), through qualitative research, in-depth and nuanced information capturing

human thoughts and experiences can be collected. Qualitative research allows for tailored insights

relevant to specific industries or contexts. Additionally, it remains flexible, allowing for

adjustments in response to newly emerging questions or trends throughout the study. Next, by

applying qualitative research, this researcher can collect data about individuals’ experiences,

attitudes, and actions (Khoa et al., 2023). According to Khoa et al. (2023), qualitative research

seeks to explain the reasons and processes behind certain phenomena rather than quantifying

them.

Moreover, this type of research can be conducted independently, utilizing solely

qualitative information (Khoa et al., 2023). Last, as stated by Fenandez-Rio et al. (2023),

qualitative research involves posing questions that are open-ended and exploratory, typically

focusing on the “how” and “why” factors that do not lend themselves to numerical analysis. Also,

the structure of qualitative research tends to follow a more complex path, contrasting with the

more straightforward design of quantitative studies. A vital advantage of this approach is its

capacity to uncover and interpret the complexities of human behavior and patterns, which are

challenging to measure quantitatively.

This researcher decided against using quantitative research methods because there was no

intention to explore cause-and-effect dynamics and verify hypotheses (Mohajan, 2020). Mohajan

(2020) also stated that quantitative research could be used to determine a large population’s

opinions, attitudes, and practices. Moreover, this study excluded quantitative research

methodologies, which use statistical analysis on systematically organized data to produce findings

that can be generalized across social phenomena (Chng et al., 2023).

Research Design

The chosen design for this qualitative study to explore the RSC process’s impact on

customer satisfaction was semi-structured interviews. This design was beneficial for several

reasons. One of the main advantages of semi-structured interviews is their ability to keep the

conversation directed yet flexible enough for this researcher to delve into relevant topics that

emerge during the discussion (Adeoye-Olatunde & Olenik, 2021). This approach typically

adheres to a predetermined guide or protocol, centering on a specific subject to establish a basic

framework. Semi-structured interviews also offer the flexibility to pursue emerging topics,

enabling exploration as the dialogue progresses (Magaldi & Berler, 2020).

Moreover, semi-structured interviews enabled this researcher to gather in-depth insights.

The process offers a detailed look into interviewees’ perspectives, experiences, and attitudes

(Saldaña & Omasta, 2016). This design can be essential in assessing customer satisfaction, a

nuanced and subjective area influenced by diverse factors such as efficiency, communication, and

100

reliability within the RSC. Other designs were not considered, such as case studies, ethnographic,

and narrative research.

A case study was not chosen because this researcher needed to comprehensively examine

a particular individual, group, situation, or organization over a specified period (Hendren et al.,

2023). Even though semi-structured interviews can be used for case studies, this design is more

beneficial for exploring, understanding, and explaining complex issues, providing detailed

insights into the dynamics and processes of the subject under study (Işıkoğlu et al., 2023).

Moreover, a case study was not used to illustrate theories, generate hypotheses, or give detailed

accounts of rare or unique instances (Hendren et al., 2023; Işıkoğlu et al., 2023).

Ethnography, a qualitative research method rooted in cultural anthropology but also used

across various social sciences, was not considered because it involves systematically studying

people and cultures from the perspective of the studied subject (Jones-Hooker & Tyndall, 2023).

Also, ethnography was not used because ethnographers immerse themselves in the lives and

communities of those they study, often for extended periods, to observe and participate in daily

activities. This researcher’s aim was not to understand the complex interplay of cultural, social,

and interpersonal factors within a specific context (Jones, 2023).

Last, narrative research was not used because it focuses on people’s stories or narratives to

describe their lives and experiences (Younas et al., 2023). This design is used to understand how

individuals make sense of events and changes through personal stories (Ritter et al., 2023); this

did not align with this researcher’s goal. The current research was centered on the storytelling

process and the stories’ content, looking at how people construct their identities and understand

their worlds through narrative (Ritter et al., 2023; Younas et al., 2023). Therefore, a narrative

approach was not used. By focusing on subjective experiences and perceptions, these interviews

101

offered a nuanced view essential for a comprehensive understanding of customer satisfaction in

the context of the RSC.

Clarifying the Meaning of Qualitative Results

Semi-structured interviews remain an essential research method, and as a method of

inquiry, they allow for recounting narratives of experience and a record of our sense of experience

(Seidman, 2019). Qualitative results from the interviews with supply chain experts offered

detailed, narrative data that provided insights into the relationship between RSC and customer

satisfaction. This data was rich in descriptive content, including verbatim quotes, personal stories,

subjective experiences, opinions, and feelings shared by the participants (Creswell & Creswell,

2022). Unlike numerical quantitative data, qualitative data from semi-structured interviews can

provide an in-depth look at the subject matter and are particularly valuable in understanding

complex human experiences and behaviors.

To interpret qualitative results, this researcher used thematic analysis to identify and

analyze themes, patterns, and categories emerging from the data (Saldaña & Omasta, 2016). This

approach aimed to understand the underlying meanings and insights the participants conveyed. A

thorough examination of interview transcripts was critical to revealing the deeper layers of the

research topic, offering a comprehensive understanding that extended beyond surface-level

observations (Creswell & Creswell, 2022). The qualitative thematic analysis results from the six

supply chain experts were inherently interpretive. They relied on this researcher’s ability to

represent participants’ views while providing accurate analytical depth.

One of the critical benefits of semi-structured interviews is their flexibility in data

collection. This researcher could ask additional questions based on the respondents’ answers,

adapting the direction of the interview as needed. This dynamic approach allowed for exploring

102

unexpected areas and more profound into specific topics, enriching the qualitative data gathered

(Saldaña & Omasta, 2016). Such flexibility is particularly beneficial in uncovering insights that

might not have been anticipated at the outset of the research, making qualitative results from

semi-structured interviews a valuable tool for in-depth exploration and understanding of complex

topics (Saldaña & Omasta, 2016).

103

CHAPTER FIVE: RESEARCH ANALYSIS

Research Analysis Introduction

This researcher applied the QCA and the SERVQUAL model framework to analyze the

research data. For RSQ1, RSQ3, and RSQ4, this researcher used the SERVQUAL model. The

SERVQUAL model effectively analyzes the relationship between RSC and customer satisfaction

by evaluating key service quality dimensions, such as reliability, responsiveness, assurance,

empathy, and tangibles (Kim & Han, 2023). According to Ezeh et al. (2022), SERQUAL helps

businesses identify specific areas for improvement to enhance customer satisfaction (RSQ1) and

assess current practices to determine which strategies have the most significant impact on

satisfaction, thereby facilitating the implementation of practical improvements (RSQ3).

Additionally, Kalantarzadeh (2024) writes that SERVQUAL addresses the gap between customer

expectations and perceptions, providing insights into how well the RSC process meets these

expectations and identifying areas for adjustment to improve overall satisfaction (RSQ4).

This researcher used the QCA framework to analyze RSQ2 because QCA is suitable for

identifying and analyzing complex configurations of conditions within the RSC process that

contribute to customer satisfaction (Russo et al., 2019). It allows researchers to explore how

different combinations of factors, rather than individual variables, interact to produce high levels

of customer satisfaction (Russo et al., 2019). This approach is beneficial for uncovering the

necessary and sufficient conditions for achieving desired outcomes in the RSC process.

Responses to Semi-structured Participant’s Research Question 1

Research question 1 asked, what is the relationship between reverse supply chain and

customer satisfaction? Participants’ responses to the interview questions linked to this research

104

question yielded four consistent themes among all supply chain experts. Table 5 contains the

themes from the participants.

Table 5

Themes Identified from Responses to RQ1

Theme Number Theme

1.1 Indispensability and Fundamental

1.2 Cause and Effect

1.3 Effective Return Management

1.4 Strong relationship and profitability

Four critical themes stood out for RQ: indispensability and fundamentality, cause and

effect, effective return management, and a strong relationship with profitability (Rosenhead et al.,

2019).

Theme 1.1

First, the researcher highlights the indispensability and fundamentality of each element in

the RSC. Each factor, from customer communication to the efficiency of return processes, plays a

crucial role. These components are not just additive but fundamental to the system’s overall

functioning. Their interplay creates a complex network where changes in one element can have

far-reaching effects on the entire system, directly affecting customer satisfaction (Bello et al.,

2020). The participants all believed that the RSC was part of the culture and a core part of any

good business, as it was vital to good customer service and customer satisfaction. Participant 1

added, “What separates a good company from a bad company is having a flexible, clear, and well-

understood return policy.” Participant 2 stated, “The Reverse supply chain process is a

fundamental customer service experience, and businesses realize it is key for long-term

profitability.” Participant 3 stated, “For a company to retain customers and have a long-term

viability, it must have an effective and efficient reverse supply chain process.” Participant 5

105

stated, “A company without a reverse supply chain process cannot succeed in today’s competitive

and highly evolving market.”

Theme 1.2

Second, a clear cause and effect exists between effective RSC process and customer

satisfaction. Theme 1.2 highlights the significant relationship between an effective RSC process

and customer satisfaction, emphasizing that a well-managed RSC—which includes efficient

handling of returns, transparency, quick response times, and flexibility—contributes directly to

increased customer satisfaction (Russo et al., 2019). Participants offered further evidence of this

connection. For example, Participant 6 notes the positive impact of stress-free return policies on

customer satisfaction, whereas Participant 4 identified return policies as a critical factor

influencing customer satisfaction and sales. Participants 2 and 1 discussed how seamless return

processes build trust, encourage repeat business, and influence purchasing decisions based on

return policies. These discussions underscore the RSC’s role in fostering long-term loyalty and

increased sales. The relationship between an effective RSC and customer satisfaction is clear and

significant, with efficient handling of returns, transparency, and customer flexibility. Responses

from participants reinforce the importance of stress-free return policies in enhancing customer

satisfaction and loyalty. Participant 5 stated, “A seamless return process builds trust between

customers and companies and encourages repeat patronage, increasing sales and long-term

loyalty. Companies prioritizing customer-friendly return policies can expect to see customer

satisfaction, loyalty, and sales benefits.”

Theme 1.3

Third, effective return management is a crucial aspect of the RSC that helps to ensure

customer satisfaction and loyalty. It involves a straightforward, user-friendly return process with

106

clear policies and swift resolutions, which builds consumer trust and confidence. This change

encourages repeat purchases and streamlines operational efficiency, as quick and accurate

handling of returns reduces downtime for returned items and enables their rapid reintegration into

the market. Participant 1 stated, “Ensuring products are quickly back on sale, businesses can

reduce waste and boost the value recouped from returns, highlighting the operational benefits of a

well-managed return process.” Effective return management also helps businesses refine their

strategies by analyzing return patterns and customer feedback, providing insights into product

improvements and inventory adjustments. This adaptability boosts customer satisfaction and

fortifies the supply chain’s responsiveness to market demands. Participant 2 stated, “A company’s

commitment to a seamless return experience enhances its brand image, fostering positive word-

of-mouth and cementing customer loyalty.” Participant 4 supported this, stating, “The key focus

on return management positively affects customer perception, sustained profitability, and

competitive advantage, underscoring its significance in business operations and market

positioning.”

Theme 1.4

Fourth, the relationship between the RSC and customer satisfaction is essential to

profitability. This strong relationship indicates that a well-managed RSC is not just a logistical

necessity but a strategic asset. Businesses that recognize and capitalize on this relationship can

turn the RSC into a source of competitive advantage, thereby enhancing profitability. A satisfied

customer is likelier to remain loyal, provide positive feedback, and contribute to a positive brand

image, all essential to long-term profitability. The researcher shared the themes among all

participants. Participant 4 explained the following.

107

“While there remains a concern for fraud within the reverse supply chain process, most

companies have realized that an overwhelming number of customers are honest shoppers

who just want a seamless return process and would continue shopping long-term with a

company that makes the process less complicated.”

Participant 4 stated, “A good company with an effective reverse supply chain process will have a

huge effect on customer satisfaction, which can be seen in increased revenue for the company.”

Participant 3 added, “There is a strong relationship between reverse supply chain and customer

satisfaction, and this approach highlights the necessity of a well-coordinated and strategically

managed reverse supply chain, which is a key driver of customer satisfaction.”

Participants unanimously agreed on this theme, with insights highlighting that despite

concerns over fraud, the benefits of a seamless return process far outweigh the risks (Robertson et

al., 2020). This consensus is because most customers are honest and value ease in the return

process, which encourages long-term loyalty and positively affects revenue. Thus, an effective

RSC is a pivotal driver of customer satisfaction, indicating its strategic importance in business

operations. The RSC’s efficient management is crucial for enhancing customer satisfaction and

profitability. It is a strategic asset that, when optimized, can lead to a competitive advantage by

fostering customer loyalty, positive brand perception, and increased revenue. Participants’

responses underscore the importance of a seamless return process in maintaining long-term

customer relationships and driving revenue growth, highlighting the strategic role of the RSC in

achieving business success.

108

Application of SERVQUAL Dimensions to RSC and Customer Satisfaction

RSQ1

This researcher considered the insights and experiences shared by the participants in the

interviews to analyze the relationship between RSC and customer satisfaction using the

SERVQUAL dimensions. The five SERVQUAL dimensions are tangibles, reliability,

responsiveness, assurance, and empathy. A dimension is a specific aspect or component a

researcher uses to evaluate or describe a complex concept (Sharma et al., 2022). Each dimension

in SERVQUAL represents a distinct area or attribute that contributes to the overall understanding

of customer satisfaction and helps break down the abstract idea of service quality into measurable

and action parts (Muslimin et al., 2022). The SERQUAL dimensions are not in a specific order

and can vary depending on the context or emphasis of a particular analysis (Sharma et al., 2022).

Each SERVQUAL dimension is reflected in the responses, illustrating the factors influencing

customer satisfaction within the RSC process (Muslimin et al., 2022).

SERVQUAL Dimension: Tangibles

In the context of RSC, tangibles refer to the physical aspects of the return process,

including the organization of return facilities and the use of technology to streamline returns

(Muslimin et al., 2022). Participants highlighted the importance of user-friendly environments

and efficient use of technology to enhance the customer experience. Participant 1 emphasized this

by saying, "The role of technology in making the return process quicker and easier. We scan a

customer's Q.R. code, and it logs in and brings up the label, which is a huge piece." Participant 4

mentioned the importance of speed and ease, stating that technology has significantly improved

the return process: "Once that process cuts 5 to 10 minutes of the return process now. And that is

109

a huge piece". According to Ezeh et al. (2022), tangibles are essential to SERVQUAL because

they evaluate how well the company's physical service elements meet customer expectations.

SERVQUAL Dimension: Reliability

Reliability involves consistently and accurately handling returns, ensuring customers

receive the correct refunds or exchanges without complications (Kim & Han, 2023). The

reliability of the reverse supply chain process builds trust and reinforces customer satisfaction.

Participant 3 highlighted the importance of reducing questions and streamlining the return process

to enhance satisfaction: "Customers want to come in and come out and want as limited a number

of questions as possible." Participant 2 shared an example of a positive experience where reliable

service led to satisfaction: "I returned the products without asking questions... and that made them

quite satisfied." According to Kalantarzadeh (2024), reliability assesses the ability of the company

to deliver on its promises consistently and accurately, leading to consumer trust and brand loyalty.

SERVQUAL Dimension: Responsiveness

Responsiveness in the RSC process involves the promptness and willingness of employees

to assist customers during returns (Kim & Han, 2023). Quick response times and efficient service

are crucial for satisfying customer expectations. Participant 2 noted that empowering employees

to make decisions quickly can reduce wait times and enhance the customer experience:

"Empowering teammates and team members to do returns... so they are not waiting". Participant 3

emphasized the importance of minimizing delays: "Fewer questions, shorter lines, just accepting

the return so the customer is in and out as fast as they come in." According to Gunasekar et al.

(2021), this dimension aims to measure the willingness as well as the readiness of company

employees to help customers as well as provide prompt service, especially as regards resolving

issues that arise.

110

SERVQUAL Dimension: Assurance

Assurance relates to employees' knowledge, competence, and courtesy in handling returns

and instilling customer confidence. Assurance is crucial for building trust and satisfaction.

Participant 2 discussed the impact of training on ensuring a smooth return process: "Training

these associates on how to not only do returns but how to relate with our customers and be

friendly at all times." Participant 4 highlighted the importance of transparency and information

sharing: "With customers, the orders appreciate transparency... showing them the policy goes a

long way". These responses align with assurance as a dimension in SERQUAL, which pertains to

employees' knowledge and ability to convey trust to customers and portray credibility in

reassuring customers of their service quality (Kim & Han, 2023).

SERVQUAL Dimension: Empathy

Empathy involves understanding and addressing individual customer needs and providing

personalized service during the return process (Ezeh et al., 2022). Empathy enhances customer

satisfaction by making customers feel valued. Participant 1 emphasized the importance of

personalization: "Ask questions and always ask the most important question: What does the

customer want? Always ask a question: What do you want? What would make you happy?"

Participant 3 shared an example of handling returns with empathy by understanding customer

circumstances: "The best that you can do is just make it quick and easy so that they can leave and

not have to discuss too much about it." Participant 5 said, "Going the extra mile to exceed

customer expectations." Participants' responses were in line with empathy as a dimension in

SERVQUAL. According to Muslimin et al. (2022), personalization, individualized attention, and

showing customers you care and understand their needs are fundamental to customer satisfaction.

111

The interviews suggest a strong relationship between the effectiveness of the reverse

supply chain and customer satisfaction. Key factors influencing this relationship include the speed

and efficiency of the return process, the role of technology in streamlining operations, and the

importance of empowering employees to handle returns competently. Participants noted that the

seamless and customer-friendly RSC process increases customer satisfaction and loyalty. At the

same time, issues such as delays, inadequate service, or lack of transparency can result in

dissatisfaction.

Responses to Semi-structured Participant’s Research Question 2

Research question 2 asked, What configurations of categorical variables or distinct

conditions in the RSC process lead to customer satisfaction? The six participants’ responses led

to nine key themes deemed critical, significant categorical variables in the RSC process that led to

customer satisfaction. Table 6 contains the themes.

Table 6

Themes Identified from Responses to RQ2

Theme Number Themes

2.1 Communication with customers

2.2 Hassle-Free

2.3 Using metrics to track returns.

2.4 Transparency

2.5 Flexibility

2.6 Quick Response Time

2.7 Streamlined Return Process

2.8 Commitment of Resources

2.9 Customer Feedback

2.9.1 Sustainable practices

QCA is often used to examine causality in situations with complex, multiple-determined

outcomes. It allows researchers to draw on combinations of distinct factors or conditions (2.1-

112

2.91 in Table 6 under themes), leading to a dependent outcome (customer satisfaction). Using

crisp-set QCA, this researcher was able to conduct QCA analysis in six steps:

1. The selection of cases (in this research, this was the interviews conducted with six

participants, P1, P2, P3, P4, P5, and P6, all diverse enough to ensure explanatory

strength in the QCA and still having comparability).

2. The researcher selected the conditions and outcomes to invest in answering the

research question (RQ2) and defined the conditions and outcome.

3. I am constructing a truth table.

4. Analyzing configurations; and

5. The interpretation and analysis include detecting the combination leading to customer

satisfaction.

Theme 2.1 defined communication with customers as the frequency and clarity of

interactions. Theme 2.2 defined hassle-free as the ease of the return process for the customer.

Using metrics to track returns (theme 2.3) was defined as the technology businesses use to accept,

process, and track the number or frequency of customer returns. Theme 2.4 defined transparency

as how clearly customers could understand the company’s return process and how well businesses

adhered to their stated return policies. Theme 2.5 defined flexibility as the adaptability and

responsiveness of the company’s return policy to accommodate various consumer needs and

situations. Theme 2.6 defined quick response time as the speed at which the return process took

place for the customer, measured in minutes. Theme 2.7 defined the streamlined return process as

an efficient, user-friendly, and well-organized method of handling returns, including efficient

processing, cost-effectiveness, and environmental consideration. Theme 2.8 defined the

commitment of resources as allocating the necessary tools, assets, and personal and financial

113

resources to effectively manage and execute a return, including recycling, refurbishing, and

disposing of products. Theme 2.9 defined customer feedback as businesses working to understand

the customer experience related to returns to find areas to improve and identify pain points,

product quality, and expectations. Sustainable practices (theme 2.91) encompass effective return

management strategies that also involve considering the environmental impact of returns. These

practices include implementing sustainable practices such as recycling or responsibly disposing of

products, reducing packaging waste, and optimizing logistics to lower carbon footprints.

The Calibration Process

The researcher used NVivo software to code the interviews and identified the themes

(categorical variables/conditions) that stood out from the coding process. The calibration process

guided the interpretation of data, transforming the qualitative data (conditions from the coding

process) into scores between 0 and 1 in QCA. A categorical variable can take on the value of 0

(meaning a condition is wholly absent) or 1 (meaning the condition is fully present; Ragin, 2008).

According to Kopper et al. (2020), the calibration process involves calibrating each condition and

the outcome into a set membership score (e.g., 0 to 1, where 1 indicates full membership in the

set, and 0 indicates no membership). In Table 7, also known as the configuration table, it was

found that effective communication with customers played a significant role in ensuring customer

satisfaction. This finding aligns with the research conducted by Ellahi et al. (2022), which

highlighted the importance of communicating with customers for a successful return process. In

contrast, the participants did not think flexibility was a critical categorical variable for customer

satisfaction.

114

Table 7

Configuration Table

Themes P1 P2 P3 P5 P5 P6

Communication with customers (CWC) 1 1 1 1 1 1

Hassle-Free (HF) 1 1 1 1 1 1

Using metrics to track returns (UM) 1 1 1 0 0 1

Transparency (T) 1 1 1 1 1 1

Flexibility (F) 0 0 0 1 1 1

Quick Response Time (QRT) 1 1 1 1 1 1

Streamlined return process (SRP) 1 1 1 1 1 1

Commitment of Resources (CoR) 1 0 1 1 1 0

Customer Feedback (CF) 1 0 0 1 0 0

Sustainable Practices (SP) 1 0 1 0 1 1

Customer Satisfaction 1 1 1 1 1 1

The fourth step was to assess each condition with other conditions to detect the

combination leading to customer satisfaction. This work involved constructing a table showing

various configurations (i.e., a truth table). According to Kopper et al. (2020), a truth table lists all

possible combinations of conditions and whether each combination leads to the desired outcome.

Each row in the table represents a different combination of conditions and shows whether that

combination is associated with high customer satisfaction. To create a truth table, this researcher

used the software fsQCA 3.0 (See Table 8).

Table 8

Truth Table

CW HF UM T F QRT SRP CoR CF SP CS

P1 1 1 1 1 0 1 1 1 1 1 1

P2 1 1 1 1 0 1 1 0 0 0 1

P3 1 1 1 1 0 1 1 1 0 1 1

P4 1 1 0 1 1 1 1 1 1 0 1

P5 1 1 0 1 1 1 1 1 0 1 1

P6 1 1 1 1 1 1 1 0 0 1 1

Note. The headings from the truth table are acronyms from Table 6.

115

Analysis

The researcher used QCA software fsQCA to create the truth table (Table 8) to examine

combinations of conditions (or categorical variables) that lead to customer satisfaction (C.S.) in

the RSC process. The analysis looks at various configurations (combinations) of 10 conditions:

communication with customers (CWC), hassle-free (H.F.), using metrics to track returns (U.M.),

transparency (T), flexibility (F), quick response time (QRT), streamlined return process (SRP),

commitment of resources (CoR), feedback (F), and sustainable practices (S.P.). This solution

provides an in-depth look at all the potential combinations that lead to customer satisfaction. Each

row represents a unique combination of conditions associated with customer satisfaction. All the

configurations have a consistency of 1, meaning they are all equally consistent in producing high

customer satisfaction. The various configurations are:

Configuration 1

CWC is HF, UM, transparency, absence of flexibility, QRT, streamlined CoR, and SP are

in configuration 1. This configuration suggests that clear communication, HF processes, metrics

(performance measurement), transparency, quick responses, streamlined processes, adequate

resources, and SP contribute to customer satisfaction, even without flexibility.

Configuration 2

CWC is HF., UM., transparency, absence of flexibility, QRT, streamlined, absence of

resources, absence of feedback, and absence of SP are in configuration 2. Lacking resources,

customer feedback, sustainability, communication, and transparency link to customer satisfaction.

This information might indicate scenarios where businesses prioritize efficiency and transparency

over resource allocation, direct customer feedback, or sustainability efforts.

Configuration 3

116

CWC, HF, absence of metrics to track returns, transparency, flexibility, QRT, SRP,

resources, customer feedback, and absence of SP are in configuration 3. This combination differs

from the first by the absence of UM and the presence of flexibility and feedback, suggesting an

alternative pathway to customer satisfaction that emphasizes flexibility and customer feedback

over strict metric use.

Configuration 4

CWC, HF, UM, transparency, flexibility, QRT, SRP, absence of resources, absence of

feedback, and SP are in configuration 4. Like the second configuration, but with flexibility and

sustainability, these factors might compensate for the lack of resources and direct feedback in

ensuring customer satisfaction.

Configuration 5

CWC, HF, absence of UM, transparency, flexibility, QRT, SRP, commitment to resources,

lack of customer feedback, and SP are in configuration 5. This configuration is like the third, but

with sustainability, suggesting that sustainability, alongside flexibility and resource availability,

can drive customer satisfaction even without direct feedback or using metrics.

CWC and HF processes are factors in all configurations, underscoring their importance in

achieving customer satisfaction in the RSC. There is a trade-off between flexibility and the use of

metrics to track returns. Some configurations show that being flexible and responsive can be more

important than strictly adhering to performance metrics. The presence or absence of sustainability

practices plays a significant role in various configurations, indicating that it can be a crucial factor

in some contexts but not as critical in others. Interestingly, commitment to resources and

customer feedback are only sometimes present, suggesting that although necessary, they might

not be as critical as other factors in specific scenarios.

117

Interpretation

The perfect consistency (1) across all solutions indicates a strong relationship between

these configurations and customer satisfaction. The high coverage suggests that these

combinations are relevant to many cases studied. RSC satisfaction is complex. The variety of

combinations leading to customer satisfaction indicates many paths to achieving this outcome. It

depends on a complex interplay of several factors. Communication with customers and having an

HF return process are two conditions that appear consistently across different solutions,

highlighting their crucial role in driving customer satisfaction in RSC processes. The presence or

absence of flexibility and S.P. also plays a significant role, indicating how a company manages its

flexibility in the RSC and how its commitment to sustainability can affect customer satisfaction.

The analysis reveals that customer satisfaction in RSCs is multifaceted and depends on

various combinations of factors. No single factor is solely responsible; instead, the specific

combinations of these factors lead to satisfaction. Clear communication, HF processes,

transparency, and quick responses are consistently important, whereas the significance of other

factors like flexibility, sustainability, and metrics to track returns varies depending on the

configuration. Understanding these nuances can help businesses tailor their RSC strategies to

enhance customer satisfaction.

Responses to Semi-structured Participant’s Research Question 3

The third research question asked, “What are the best practices and strategies businesses

can undertake to improve customer satisfaction in the RSC process?” Table 9 contains the themes

identified concerning this question. These themes are crucial in understanding and enhancing

customer satisfaction in this context.

118

Table 9

Themes Identified from Responses to RQ3

Theme Number Themes

3.1 Accuracy of Returns

3.2 Communication with the customer

3.3 Customer feedback

3.4 Customer support

3.5 Educating customers about the return process.

3.6 Training employees

3.7 Quick response time

Theme 3.1: The Accuracy of Returns

This theme refers to the precision and correctness of handling returned goods. Accurate

processing enables businesses to manage returns to meet customer expectations, such as providing

correct refunds or exchanges. Accuracy in the RSC process minimizes errors, reduces customer

frustration, and builds trust in the company’s return policies and procedures. Participant 3 stated,

“Providing customers with an accurate return is essential for any company, and in my company,

we updated our system to type in a product description even when the product’s label or universal

product code [UPC] was missing. We knew that getting the accurate refund to the customer was

key.”

Participant 2 stated,

“In the past, we would return the current product price to the customer if they did not have a

receipt. These actions caused so much anger to customers since they believed they would get less

in return if the item were on sale when they returned it. So, we began using an honor system

where customers tell us when they purchase it. We checked our system and paid them based on

the price as when they claimed they bought it.”

Participant 2 said the reason for this policy change was customer dissatisfaction and competition.

According to Participant 2,

119

“Most stores like ours were not asking for receipts and giving returns based on when it was

allegedly bought, so we were losing customers to our competitors. We knew some customers

were dishonest, but losing so many customers was not worth losing because of a few dishonest

customers.”

Theme 3.2: Communication with the Customer

Effective communication is critical in managing customer expectations and reducing

uncertainty during the return process. Keeping customers informed about the status of their return,

what to expect next, and resolving any queries promptly can significantly enhance customer

satisfaction. Clear communication can also include providing detailed information about the

return process on the company’s website or through customer service. Participant 5 stated,

“Customers need to know what is going on with their returns, especially if it is online;

constant updates and when they will be refunded are beneficial. They would prefer

immediate acceptance and a refund, but if it is not possible, the longer the delay and the

longer the refund, the more likely the customer will be dissatisfied.”

Participant 6 stated,

“One of the issues we had at our company was the 3-5 business days for returns. Many

customers were upset when it was more than five business days, and they did not get an

email, a phone call, or any information explaining or apologizing for the delay. Sharing

information with customers is crucial for an effective RSC.”

Actively seeking and addressing customer feedback about the RSC process is vital for

continuous improvement. Feedback can provide insights into what the customers value or dislike

about the return process, allowing businesses to make necessary adjustments. Acting on feedback

demonstrates to customers that the company values their input and is committed to meeting their

120

needs. Participant 1 stated, “Effective customer feedback is a crucial quality improvement process

for any company since RSC is essential to the business. This process, which includes surveying

customers who make returns, allows the company to improve its reverse supply chain process.”

Participant 2 agreed with Participant 1, stating,

“Whether online or in a physical store, customers are the best analysts of a reverse supply

chain, and good companies want to know what the customer thinks of the process. In their

company, opportunities for feedback are provided for any customer making a return.”

Participant 4 stated,

"My company improved our reverse supply chain process based on customer feedback, a

key method for improving an RSC process. The customer feedback summary included

fewer questions, shorter lines, accepting the return, and getting us out as fast as possible."

Theme 3.3: Customer Feedback

Actively seeking and addressing customer feedback about the RSC process is vital for

continuous improvement. Feedback can provide insights into what the customers value or dislike

about the return process, allowing businesses to make necessary adjustments. Acting on feedback

demonstrates to customers that the company values their input and is committed to meeting their

needs. Participant 1 stated,

“Effective customer feedback is a crucial quality improvement process for any company

since RSC is essential to the business. This process, which includes surveying customers

who make returns, allows the company to improve its reverse supply chain process.”

Participant 2 agreed with Participant 1, stating,

121

“Whether online or in a physical store, customers are the best analysts of a reverse supply

chain, and good companies want to know what the customer thinks of the process. In their

company, opportunities for feedback are provided for any customer making a return.”

Participant 4 stated,

"My company improved our reverse supply chain process based on customer feedback, a

key method for improving an RSC process. The customer feedback summary included

fewer questions, shorter lines, accepting the return, and getting us out as fast as possible."

Theme 4: Customer Support

Providing robust customer support throughout the return process is essential. This action

includes offering multiple channels for support (phone, email, and chat), being readily available

to answer queries, and providing helpful and empathetic service. Good customer support can

alleviate the potential stress of returns and create a positive impression of the company.

Participant 1 stated,

“Today’s consumers have many options and will go to the company that cares for them.

Being available 24/7 to assist the customer makes companies stand out. Many businesses

are improving technology to meet this need, including online chat and a 24/7 customer

service hotline.”

Participant 1 agreed with the need for 24/7 customer service and stated, “Customers usually call

for two things: to inquire about a product or service or to complain about a product or service.

Companies should improve their service, so they are part of the former and not the latter.”

Participant 4 also addressed customer support and said,

"Since customers return items for many reasons, including product quality, the company

must be available to address their concerns. This may be a safety issue that benefits the

122

company. Failure to respond to customer issues could also directly affect the company’s

bottom line."

Participant 3 stated, “Customers do not want to spend time on returns, and providing customer

support helps to meet this need. It ensures that the customer is satisfied.”

Theme 5: Educating Customers about the Return Process

Ensuring customers understand the return process clearly can lead to fewer frustrations

and misunderstandings. This action might involve the company providing clear instructions on

how to return a product, specifying the conditions required for returns, outlining time frames, and

detailing any costs involved. Educated customers are more likely to have realistic expectations

and a better overall experience, Participant 3 explained.

“Since the RSC process is at the core of any business, businesses need to provide adequate

information about it to their customers through their website, which should be easy to find

and on the customer receipt.”

Participant 2 reiterated, “The company must tell its customers the return policy and how goods

should be managed when returning them to reduce customer backlash.” Participant 2 stated, “A

customer should not be learning about the return process while at the store to return an item. If

this is the case, the company has failed the customer.” Participant 5 stated that:

“The company needs to advertise its return process by marketing new products, services,

and systems. Since RSC is an intricate part of the company culture, using social media,

physical receipts, and bold and clear explanations on the website is key.”

Participant 1 clarified the need to educate customers: “The more information customers have

about the return process, the less likely they will be upset about how it is managed. On the plus

side, they will spend more at the company.”

123

Theme 6: Training Employees

Well-trained employees are crucial in executing an effective RSC process. Employees

should be knowledgeable about the return policies, empathetic to customer concerns, and skilled

in resolving issues efficiently. Training should also focus on enhancing soft skills, such as

communication and problem-solving, essential in customer interactions. Participant 2 stated,

“Companies that want to improve their reverse supply chain process need to start with their

employees, especially those in charge of handling customer returns, and this means adequate and

constant training on handling customer returns.” Participant 3 added, “Companies need to give

more authority to cashiers to offer returns and train them on how to interact with customers to

make the process less stressful for the customer.” Participant 6 explained, “In the past, employees

believed that refusing a return was a good act and saved the company money, but businesses are

training employees to see RSC as part of business culture and key to its success.” Participant 4

explained the need to retrain employees to manage customer returns due to a change in business

operations. According to Participant 4, "An RSC process must include a detailed, rigorous, and

well-implemented program. This program would include supply chain learning, customer service

and communication, quality control, and product inspection." Managers should evaluate

employees who handle customer returns using crucial performance metrics. Developing dynamic

capabilities in returns management positively affects a firm’s RSC process, customer satisfaction,

and market performance (Chen et al., 2019).

Employee performance metrics must be implemented in an RSC process to ensure

efficiency and effectiveness. One key metric is the return processing time, which measures the

speed at which employees can process returns, a factor linked to customer satisfaction and

inventory management efficiency (Chen et al., 2019). Another important metric is the accurate

124

sorting and allocation of returned items because correct sorting is essential for reducing

inefficiencies and costs. The rate of recycled materials is also a significant measure, reflecting the

company’s commitment to environmental sustainability. Customer satisfaction scores play a

pivotal role, especially feedback regarding the returns process, because this aspect of service is

critical in maintaining customer loyalty (Chen et al., 2019). Additionally, cost savings achieved

through effective RSC practices, such as reduced waste disposal costs and revenue generated from

resold items, are critical performance indicators. Last, compliance rates with environmental

regulations and company policies are closely monitored to ensure compliance with legal and

ethical standards.

Theme 7: Quick Response Time

Timeliness is a critical aspect of customer satisfaction in the RSC process. This action

includes acknowledging return requests promptly, processing returns quickly, and issuing refunds

or exchanges without delay. A quick and efficient response demonstrates respect for the

customer’s time and can significantly improve their satisfaction with the return process.

Participant 1 stated, “To improve the RSC process in a business, they need a quicker and easier

way for customers to return their items with fewer questions asked.” Participant 3 responded

briefly, stating, “Speed and ease of the return process.” Participant 2 stated, “The ability to return

the items in as little time as possible, with the easiest process whether online or in the store with

no questions asked.” Participant 2 used a simple example to illustrate the importance of quick

response time:

"If a customer is returning lipstick, they do not want to be asked if it has been used or why

they are returning it; they may be having a bad day, having lost a relative, or having lost a

125

job. Taking the product and returning their money may be the only bright spot of the day,

and the customer would not forget such kind action."

Each theme addresses a specific area in the RSC process that directly affects customer

satisfaction. By focusing on these areas, businesses can create a more favorable return experience

leading to increased customer loyalty, positive word-of-mouth, and an overall enhancement in the

perception of the company’s brand and customer service.

Application of SERVQUAL Dimensions to RSC and Customer Satisfaction (RSQ3)

Applying SERVQUAL dimensions to RSC provides a framework for identifying best

practices and strategies that enhance customer satisfaction. By focusing on critical aspects such as

tangibles, reliability, responsiveness, assurance, and empathy, businesses can improve their return

processes to meet customer expectations effectively. Research Question 3 examines how

businesses leverage these dimensions to optimize RSC practices, ensuring a seamless and

satisfying customer experience.

Tangibles

In the RSC, tangibles refer to the physical and visible aspects of the return process, such

as the condition and organization of return facilities, the ease of navigating return systems, and

the clarity of instructions provided to customers (Kim & Han, 2023). Well-maintained and user-

friendly environments can enhance the customer's experience, reducing frustration and increasing

satisfaction. Ensure that return areas are well-organized and equipped with clear signage and

instructions to facilitate a smooth return process (Muslimin et al., 2022). Implement user-friendly

technologies that simplify the return procedure, such as kiosks or mobile apps for processing

returns (Ellahi et al., 2022). Participant 2 stated, "As long as they were a balance reward member,

we could look up their transactions. They had no ease, no issues, nothing. It was only the people

126

who were being dishonest that had more of an issue". Participant 5 stated, "We used scanners to

assist customers in preventing long lines and quick waits." Participant 6 emphasized the need for

a clear and relaxed atmosphere in the return area. "We always had enough employees to speed up

the process and kept the area very clean so the customer would feel at home, although the goal

was to help them quickly and efficiently and get them going." Participants' responses were in line

with tangibles as a dimension in SERVQUAL as it seeks to evaluate how well a business creates

its physical location or environment to meet customer needs and expectations (Ezeh et al., 2022).

Reliability

Reliability refers to the consistency and accuracy of the RSC process. Customers expect

returns to be handled efficiently and correctly, with promises kept regarding refunds or

exchanges. A reliable system builds trust and reinforces customer satisfaction. The best practices

and strategies include developing robust systems that ensure accurate and timely returns

processing and minimizing errors and discrepancies. Managers should train staff to handle returns

consistently according to company policies, ensuring they meet customer expectations.

Participant 3 stated, "Well, it is the time spent on the return process. Customers want to come in

and out and ask as few questions as possible." According to Muslimin et al. (2022), reliable

service ensures that customers feel confident in the company's ability to handle returns and

disposals efficiently. Meeting or exceeding expectations in reliability can lead to increased

customer loyalty and satisfaction. Reliability in RSC involves consistently performing promised

services such as timely pickups, accurate processing of returns, and dependable recycling or

disposal services (Ellahi et al., 2022).

127

Responsiveness

Responsiveness in the RSC context involves the promptness and willingness of employees

to assist customers throughout the return process. Quick response times and efficient service

contribute significantly to customer satisfaction. Best practices and strategies include empowering

employees to make quick decisions regarding returns, reducing wait times, and enhancing the

customer experience. Implement systems that allow customers to track the status of their returns,

keep them informed, and reduce anxiety. Participant 1 said, "The biggest thing I could say is that

if we consistently ask the people for information...it may cause them to think twice." According to

Participant 2, "Fewer questions, shorter lines, just accepting the return so the customer is in and

out as fast as they come in." According to Gunasekar et al. (2021), high responsiveness can

significantly enhance customer satisfaction by making business processes smoother and more

customer friendly. Prompt and helpful service reassures customers that their needs are prioritized.

Dimension assesses the willingness of the company to assist customers promptly, including quick

responses to inquiries, efficient processing of returns, and proactive communication (Kim & Han,

2023).

Assurance

Assurance relates to employees' knowledge, competence, courtesy, and ability to instill

confidence in customers during the return process. Assurance is crucial for building trust and

enhancing satisfaction. The best practices and strategies include providing comprehensive training

for employees to ensure they are knowledgeable about return policies and can handle customer

queries confidently. Fostering a customer-centric culture where staff are courteous and attentive

to customer needs, enhancing trust and satisfaction. Participant 4 said, "Training these associates

on how to not only do returns but how to relate with our customers and be friendly at all times

128

goes a long way." Muslimin et al. (2022) suggest that knowledgeable and courteous employees

can reassure customers that the company handles their returns and recycling needs professionally

and ethically, leading to greater satisfaction and trust in its sustainability commitment. The

assurance dimension involves the competence and courtesy of employees managing the RSC

process and their ability to instill trust and confidence in customers (Ezeh et al., 2022).

Empathy

Empathy involves understanding and addressing individual customer needs and providing

personalized service during the return process (Kim & Han, 2023). Empathy can significantly

enhance customer satisfaction by making customers feel valued and understood. The best

practices and strategies include encouraging staff to listen actively to customer concerns, offering

personalized solutions, demonstrating empathy and care, and implementing flexible return

policies that accommodate individual customer circumstances, enhancing the overall experience.

Participant 1 said, "Ask questions and always ask the most important question: What does the

customer want? Always ask a question: What do you want? What would make you happy?"

Empathy in RSC means providing personalized attention to customer needs, understanding

specific requirements for returns or recycling, and offering customized solutions (Zariman et al.,

2023). When customers feel that their concerns and needs are understood and addressed, it

enhances their satisfaction. Empathy in the RSC process can lead to positive customer

experiences and foster long-term relationships (Zariman et al., 2023).

Research Question 3 explores the best practices and strategies businesses can implement

to improve customer satisfaction by applying the SERVQUAL dimensions in the RSC process.

By addressing tangibles, companies can create well-organized and user-friendly return facilities,

enhancing the physical aspects of the customer experience. Businesses can consistently and

129

accurately process returns by focusing on reliability, building trust, and reinforcing satisfaction.

Strategies that enhance responsiveness involve empowering employees to make quick decisions

and providing customers with real-time updates on their returns. Assurance is achieved through

comprehensive employee training and fostering a customer-centric culture, while empathy

requires personalized service and flexible return policies that cater to individual customer needs.

Responses to Semi-structured Participant’s Research Question 4

The fourth research question asked: How do customer expectations and perceptions

influence their satisfaction with a company’s RSC process?

Table 10

Themes from Responses to RQ4

Theme Number Themes

4.1 Condition of replacement or refund item

4.2 Consistency

4.3 Flexibility

4.4 Return Options

4.5 Streamlined returned process.

4.6 User-friendly process

Theme 4.1: Condition of Replacement or Refund Item

This theme focuses on the quality and state of the item that the customer receives as a

replacement or the product’s condition that determines the eligibility for a refund. A customer's

initial experience with a product often establishes their expectations; therefore, receiving a

replacement item in poor condition can negatively affect their perception of the company’s

reliability and quality, reducing satisfaction. Similarly, transparent, and fair criteria for the

condition of items eligible for return or refund influence how customers perceive fairness and

transparency in the RSC process. Participant 2 stated,

130

"Exchange is a good indicator because customers buy something they do not like and want to buy

something else. They still have faith in your company and product, so they must not be

disappointed twice as there is only so much leeway, they can offer the company. It is essential to

exceed their expectations."

Participant 1 stated, "At the same time, returns and exchanges are equal; customers who

want to do an exchange must be managed slightly differently since they believe in the company.

Ensuring that the replaced item is of top quality is essential."

Participant 1 added,

"When making a return, customers expect to be treated with respect, not be deemed

suspects, and have an easy and seamless process. Meeting these goals is the minimum

expectation; others include quickly returning their money to their accounts or cards."

The condition of a product plays a pivotal role in determining its return, potential refund, and the

subsequent course of action by the company. Once a customer returns a product, the company

must meticulously assess the item's quality and the reason for its return to make informed

decisions (Russo et al., 2019). Through strategic management of returned items, the company can

recover a substantial portion, if not all, of the item's value. For instance, products in like-new

condition can be resold to new customers, giving them a full refund. Similarly, items in good

condition with damaged packaging can be re-packaged and offered at a discounted price, ensuring

customer satisfaction with a full refund. Companies promptly handle any damaged or defective

items to ensure customer contentment, and they may return these items to the manufacturer for

refurbishment or a refund. Any damaged or defective items are promptly handled to ensure

customer contentment and may be returned to the manufacturer for refurbishment or a refund

(Sivashankari et al., 2024). According to Quetschlich et al. (2021), a good is used in the context

131

of supply chain management to refer to tangible products that are manufactured and distributed to

meet customer demand. According to Quetschlich et al., 2021, the term "item" is used specifically

to refer to distinct units of inventory within the supply chain. This includes raw materials,

intermediate goods, and finished products. The term "product" is used to refer to the final goods

that are assembled or manufactured from myriad items within the supply chain (Li et al., 2023). A

damaged good is an item that has deteriorated in quality or become defective due to suboptimal

production processes or over time, impacting its usability and value within the supply chain

(Osman et al., 2023). A defective item is a product that deviates from the desired quality

standards due to errors in the production process, requiring rework, disposal, or resulting in

decreased value and profitability for the manufacturer. (Sivashankari et al., 2024). Companies

may dispose of items when they cannot be salvaged, and the process can be complex for

hazardous materials. Considering all these factors, businesses may implement return policies

based on various criteria such as time, item type, or return condition (Fulfillment and Distribution,

2022).

Theme 4.2: Consistency

Consistency in the RSC process ensures that companies oversee returns, refunds, and

exchanges with uniformity and predictability. When customers encounter a consistent RSC

process, it sets clear expectations and reduces uncertainty, positively influencing their

satisfaction. Inconsistencies, conversely, can lead to confusion, frustration, and a perception of

unreliability. Participant 4 stated, “One way to keep customers happy is consistency with its

policies and procedures. Setting clear rules and procedures for a return or Exchange makes the

process easy for customers. It leads to customer satisfaction.” Participant 3 stated, “One of the

problems that led to the loss of customers in my area was the inconsistency in policies, as stores

132

in the inner cities had a stricter return process. In contrast, those in more affluent areas were laxer

with their return policies. Participant 3 stated,

"We found out that it was not a company-wide policy for store managers to implement

policies due to the areas in which the store was situated. This led to an exodus of

customers from the inner cities. Still, it also led some of them to drive to these high-end

towns and return the items, thereby failing to achieve the goal of reducing dishonest or

fraudulent returns."

Participant 1 responded similarly to Participant 4, stating,

“Customers buy things online and in stores across the country. They can quickly

determine that a company’s RSC process is inconsistent and choose to do one of two

things: complain and tie up employees for days over the phone or via email and eventually

get their way or leave the company and inform the public about the inconsistency, causing

a public relations issue and loss of consumer confidence. Both are bad for the company in

the short and long term.”

Although consistency is critical, companies face challenges in processing and handling returns

across different geographical locations. According to Lin et al. (2020), individuals tend to follow

the norm in collectivist cultures such as China. However, customers may take advantage of return

policies if the penalty for doing so is insignificant. Communicating the purpose of the return

clauses and ensuring both parties adhere to the agreement can reduce unnecessary returns.

Theme 4.3: Flexibility

This theme concerns how accommodating and adaptable the RSC process is to customers’

varied needs and situations. Flexibility can include extended return windows, accommodating

distinct reasons for returns, or offering different refund methods. A flexible return policy can

133

influence customer satisfaction by meeting or exceeding their expectations and demonstrating

customer-centricity. All participants except Participant 6 saw flexibility as one of the critical

categorical variables affecting customer satisfaction and expectations. Participant 3 stated,

"I had a customer bring an item from a different company to return. My employees

refused to accept it, but luckily, I was there, so I looked at the item. Through our reward

system, I noticed that the customer had shopped frequently at the store. I accepted the

return because it made business sense to be flexible and make this an excellent experience

for him. He was grateful and came in at least three times a week."

Participant 1 also stated, “Customers come in with high expectations that we would be

understanding. Flexibility is essential as it reduces the customer’s anxiety and wait time, making

the return process less stressful and building goodwill with the customer.” Participant 6 thought

differently,

"Rules are made for a reason, and we cannot be consistent and flexible. Once customers

know that we are flexible, they will take advantage of us. I have had cases where they

would take an item from the shelf and turn around to return it, so we are paying them to

return a product that was not sold in the first place."

Participant 2 agreed in part with Participant 6. Participant 2 stated,

"As a customer and a supply chain expert for decades, there are fraudulent practices. Still,

it would be a mistake to lump the good customers with the bad ones. Businesses are not

detectives and cannot compete with other companies if they are strict while others are

more flexible. To survive in the business environment, companies must accept that only

some are honest and have that baked in while providing a flexible return process."

134

Since 2020, businesses have begun to balance flexibility and the cost of continuous

production of products. According to Robertson et al. (2020), many businesses are now more

open to accepting products from other companies as returns, even if the item was not purchased

from them initially. For instance, Kohl’s accepts Amazon returns, Nordstrom accepts returns from

its competitor, Macy’s, and even rental returns from Rent the Runway. This acceptance enhances

customer satisfaction and increases foot traffic in their stores. However, it is essential to note that

not all businesses follow this practice. Nageswaran et al. (2020) asserted that although some

omnichannel companies offer full refunds, others, such as Macy’s, now charge a fee for online

returns. Some firms may offer full refunds for products that customers are more likely to inspect

returns in-store to incentivize them to visit their physical stores. Companies with a significant

store network and better in-store salvage opportunities, such as J.C. Penney, may benefit from

charging a fee for online returns to encourage customers to return in-store. Yang et al. (2022)

noted that purchasing return and exchange freight insurance has become a necessary guarantee for

online customers because returns can be costly. Customers may also incur packaging and

shipping costs associated with a return.

One shortcoming of flexibility is cases where it is outright theft. According to Robertson

et al. (2020), these are scenarios where the customer walks into the store, picks an item, and walks

to the return section of the store to return the item. Flexibility may give way to potential deception

and misrepresentation, but Robertson et al. (2020) asserted that businesses must consider return

policies as a marketing strategy. Businesses should evaluate returns in terms of Type I and II

errors. They should approve some return requests while carefully screening out untruthful claims.

Businesses need to understand that any policy dealing with returns will either favor giving returns

to customers who do not have valid claims (Type I errors) or denying returns to customers who do

135

(Type II errors). Additionally, environmentalists have pointed out that the ease of returning

products can lead to accumulating physical waste from the disposal of returned items (Becher et

al., 2023).

Theme 4.4: Return Options

Offering multiple return options caters to customer preferences and convenience. This

action could include in-store returns, postal returns, home pickup services, or drop-off at

designated locations. Diverse and convenient return options align with customer expectations for

ease and accessibility, directly influencing their satisfaction with the RSC process. Participant 1

stated, “With the changing technological landscape, customers expect that even when they

purchase an item online, they can return it at the store. My company provides customers with this

option, and this has increased customer satisfaction with the return process.” Participant 3 also

stated,

"My store is a brick-and-mortar store. Still, over the last two years, we have begun

processing Amazon returns so Amazon customers do not have to return them online or go

to a USPS or FedEx office; they can come to our store. This is great for us as they buy an

item or two from our stores, increasing our sales."

Participant 4 stated,

"We are in the era of the Amazon effect, where customers get items in a day and can

return goods at hundreds of locations, including Whole Foods, Kohl, and UPSP, and if we

want to compete, we have to offer such diverse options. Our company has begun to

provide several options as customers expect this from companies."

Although convenient for the consumer, return options can have severe logistical and financial

costs for the business.

136

Tandon (2021) asserted that online businesses in India face logistical challenges in

delivering products to 6,000 small cities and 600,000 villages. The RSC process is designed to

manage returns that involve restocking, remanufacturing, recycling, destruction, and repair.

However, the first step in the process is to physically handle the returned products, which allows

the company to develop competencies such as stock selection, transportation, central collection,

data collection, decomposition, renewal, and reproduction. These processes can be quite costly for

any business (Öz & Özyörük, 2023). Providing various return options has also led to increased

costs for businesses. According to Robertson et al. (2020) 2018, out of $3.688 trillion in total

retail sales, 10% were returned to retailers. According to Houston (2022), online returns in the

year 2021 resulted in a cost of $218 billion for retailers. This cost is 20% of the goods sold,

including shipping, labor, and restocking fees. Apart from these costs, retailers risk damaging

their suppliers’ relationship due to excessive returns. Hence, retailers are continually searching for

ways to minimize the cost of returns. To achieve this goal, they may offer free return shipping or

increase the use of in-store returns (Houston, 2022; Yang et al., 2020).

Theme 4.5: Streamlined Return Options (SRP)

An SRP minimizes complexity and makes the process straightforward and efficient. This

return process can involve simplifying the steps needed to initiate a return, reducing paperwork,

or automating parts of the process. A streamlined process meets customer expectations of

efficiency and timesaving, a significant factor in satisfaction. Participant 1 stated,

"Customers expect a straightforward and linear process that is quick, efficient, and

requires as little time or effort as possible. They always ask that they want to spend as

little time as possible and need it to be faster and quicker for them. The more streamlined

a customer's experience and expectations are, the more their satisfaction increases."

137

Participant 3 stated,

"Today’s customers are used to the digital world, where everything can be processed on

the phone. Companies that provide a seamless and straightforward return process with less

hassle will increase sales because customers will shop more freely if they believe they can

return it easily."

Participant 5 stated that.

"Whether training employees to manage customer returns, creating more responsive apps

to take returns from customers, or creating a policy with no questions asked and shorter

lines, customers have come to expect more. Businesses need to keep improving and

working hard to meet these expectations."

Participant 1 sees a correlation between the distance between customer expectations and reality in

the company and customer satisfaction and believes that the key is a streamlined policy return.

According to Participant 1,

“Having a straightforward, transparent, and clear return handling process is essential not

just for the customer but also for the employees and the company. Employees can

correctly inform customers what stage their return is at, thereby reducing customer anger

and confusion. If the customer knows the process and timeline, they will come in with that

expectation and will not be surprised by the process.”

Transparency in the return process and providing customers with complete knowledge of the

return process are critical to ensure a positive customer experience (Ellahi et al., 2022; Lin et al.,

2020; Russo et al., 2019). Businesses must incorporate returns or returns on customer satisfaction

as a crucial element of the post-purchase phase in the customer’s journey to maintain

competitiveness. Collecting feedback via surveys allows businesses to improve their processes,

138

see alternatives for returns due to defective products, and enhance their information search when

the delivered product does not align with customer expectations (Ellahi et al., 2022; Robertson et

al., 2020).

Theme 4.6: User-Friendly Process

This theme emphasizes the importance of the return process being easy to understand and

navigate. A user-friendly RSC process might involve clear instructions, an intuitive online return

interface, and easily accessible customer support. When the return process is user-friendly, it

aligns well with customer expectations of an H.F. experience, thus enhancing their overall

satisfaction. Participant 3 stated,

“Customers need to feel that the company respects them and acts as such. To achieve this,

companies must professionally train their employees who oversee returns, including

providing effective customer service, refraining from questioning customers like suspects

and treating them with dignity.”

Participant 1 also stated,

“How we treat customers when they return or exchange an item will play a massive part in

keeping them long-term. Businesses need to provide fast, efficient, effective, and no-delay

returns, which has become an expectation for customers with several shop options.”

Participant 6 stated,

“Our company has a reward card that contains information about our customers. This card

allows us to provide a quick and efficient RSC process. We know the customers’ names

and call them by their names. We also know their shopping habits and history to process

the return or Exchange quickly and hassle-free.”

Participant 2 stated,

139

"Most customers expect an efficient and stress-free return process. The longer the

customer stays in the store or tries to figure out the return process, the less satisfied they

are with the company. You can draw a straight line across that."

Application of SERVQUAL Dimensions to RSC and Customer Satisfaction (RSQ4)

RSQ4 investigates the best practices and strategies businesses can adopt to enhance customer

satisfaction within the RSC process using SERVQUAL dimensions. Companies can optimize

their return processes by focusing on critical aspects such as tangibles, reliability, responsiveness,

assurance, and empathy, ensuring they meet or exceed customer expectations. These strategies

aim to create a seamless, efficient, customer-centric RSC experience that fosters satisfaction and

loyalty.

Tangibles

Customers expect a straightforward and hassle-free return process. Their perception of the

facility's physical environment, such as cleanliness and orderliness, can significantly impact on

their satisfaction. The participants support this. Participant 2 stated, "As long as they were a

balance reward member, we could look up their transactions. They had no ease, no issues,

nothing." Participant P1 stated, "We just scan a customer's Q.R. code, and it logs in and brings up

the label, which is a huge piece."

Reliability

Customers perceive reliability as a core component of satisfaction. They expect their

returns to be processed correctly without repeated attempts or complications. Participant 3

effectively stated, "Well, it is the time spent on the return process. Customers want to come in and

out and ask as few questions as possible."

140

Responsiveness

Customers expect immediate assistance and quick resolution of their return requests.

Delays or lack of responsiveness can lead to dissatisfaction and a negative perception of the

company. Participant 1 supported responsiveness by stating, "The biggest thing I could say is that

if we consistently ask the people for information...it may cause them to think twice." Participant 2

stated "Fewer questions, shorter lines, just accepting the return so the customer is in and out as

fast as they come in."

Assurance

Customers expect knowledgeable and courteous service from staff. Assurance in handling

returns influences their satisfaction and loyalty to the company. Participant 4 supported this,

stating, "Training these associates on how to not only do returns but how to relate with our

customers and be friendly at all times goes a long way."

Empathy

According to Muslimin et al. (2022), customers expect companies to treat them with

empathy and respect. Personal attention and understanding of their unique situations can

positively influence their satisfaction and loyalty. Participant 1 further agreed with the importance

of empathy by stating, "Ask questions and always ask the most important question: What does the

customer want? Always ask a question: What do you want? What would make you happy?"

RSQ4 examines how customer expectations and perceptions influence their satisfaction

with a company's RSC process through the lens of the SERVQUAL dimensions. Customers

expect a straightforward and hassle-free return process, and their perceptions of the facility's

physical environment are crucial in shaping satisfaction (Ezeh et al., 2022). Reliability is vital, as

customers anticipate that their returns will be handled efficiently and accurately without

141

complications (Muslimin et al.,2022). Responsiveness is another critical factor, with customers

expecting prompt assistance and quick resolution of their return requests. Assurance influences

satisfaction by providing knowledgeable and courteous service (Muslimin et al., 2022). At the

same time, empathy involves treating customers with respect and understanding their unique

situations, which enhances their overall satisfaction and loyalty to the company.

Gaps between Customer Expectations and their Perceptions

The SERVQUAL model, used to evaluate service quality by comparing customer

expectations with their perceptions of the service received, provides a framework for identifying

gaps in the reverse supply chain (RSC) process. Through insights gathered from interviewing six

participants (P1, P2, P3, P4, P5, and P6), this researcher could examine the five SERVQUAL

dimensions—tangibles, reliability, responsiveness, assurance, and empathy by highlighting these

gaps.

Tangibles

Customers expect a well-organized, clean, technologically advanced environment that

facilitates an easy and efficient return process. Participants noted positive perceptions where

technology integrated to streamline the return process. However, they also highlighted areas

where the physical environment is needed to meet customer expectations. Participants highlighted

gaps between customer expectations and the service provided. Participant 1 cited the positive

impact of technology: "We just scan a customer's QR code, and it logs in and brings up the label,"

aligning with customer expectations for a seamless process. Participant 2 indicated issues with

physical organization, suggesting a gap where facilities needed to meet expectations for a

straightforward return process. Participant 5 noted that cluttered or poorly organized return areas

142

can lead to confusion and frustration, widening the gap in customer expectations: "Sometimes

customers get frustrated when they see a mess at the return desk."

Reliability

Customers expect consistent and accurate handling of returns, with no errors or

discrepancies in processing refunds or exchanges. While participants described scenarios where

reliability was maintained, they highlighted instances where customers experienced

inconsistencies. Participants highlighted gaps between customer expectations and the service

provided. Participant 3 emphasized satisfaction with meeting reliability expectations: "Customers

want to come in and come out and want as limited a number of questions as possible." Participant

4 reported dissatisfaction due to inconsistencies in return policies, revealing a gap in reliability.

Participant 5 reported dissatisfaction due to inconsistencies in return policies, revealing a gap in

reliability: "Sometimes we have to deal with different rules for returns, and customers notice

this." Participant 6 mentioned that errors in refund processing led to customer frustration, further

highlighting the reliability gap: "Occasionally, mistakes happen with refunds, and customers get

upset when it is not corrected immediately."

Responsiveness

Customers expect prompt assistance and quick resolution of their return requests,

minimizing wait times and service delays. Although participants noted improvements in

responsiveness, there were still gaps where delays impacted customer perceptions. Participant 2

highlighted the empowerment of employees: "Empowering teammates and team members to do

returns... so they are not waiting," which aligns with customer expectations for responsiveness.

Participant 3 pointed out service delays that created gaps between expectations and perceptions:

"Fewer questions, shorter lines," yet delays persisted. Participant 6 also mentioned long wait

143

times when employees were not adequately trained, creating a gap: "If staff are not trained

properly, the process can drag on, leading to customer frustration."

Assurance

Customers expect knowledgeable and courteous service from staff, instilling confidence in

the return process. Participants noted training and transparency efforts, but gaps were evident

where staff knowledge and courtesy were needed to meet customer expectations consistently.

Participant 4 discussed the positive role of training: "Training these associates on how to not only

do returns but how to relate with our customers," meeting expectations for assurance. Participant

2 highlighted gaps in assurance when staff needed to adhere to policies consistently, leading to

dissatisfaction. Participant 6 observed that lack of courtesy from staff further widened the

assurance gap: "Sometimes customers feel like they are not being treated with respect, and that

damages trust."

Empathy

Customers expect companies to treat them with empathy and respect, giving personalized

attention to their unique situations. While participants highlighted efforts to provide empathetic

service, they also pointed out gaps where empathy was lacking. Participant P1 emphasized

understanding customer needs: "What does the customer want? What would make you happy?"

indicating efforts to meet expectations. Participant 3 described a lack of empathy in certain

situations: "Just make it quick and easy so that they can leave," suggesting a gap in fully

addressing customer concerns. Participant 5 noted that employees sometimes overlook individual

customer issues, widening the empathy gap: "We need to do better at listening to what the

customer is actually saying, rather than just following the script."

144

The analysis of the interviews reveals notable gaps between customer expectations and

perceptions in the RSC process. While efforts to enhance tangibles, reliability, responsiveness,

assurance, and empathy are evident, inconsistencies and delays continue to impact customer

satisfaction (Ezeh et al., 2022). Addressing these gaps by aligning service delivery more closely

with customer expectations is crucial for enhancing overall satisfaction and loyalty (Ezeh et al.,

2022).

Technological Impact

The role of technology in addressing streamlined processes (theme 4.5) and user-friendly

processes (theme 4.6) is significantly important. Companies can offer customers a chance at

feedback on the receipts or online; AI-enabled assistants like Siri and Alexa can not only assist

customers in browsing and shopping online but can help them find post-purchase usage

information, issue complaints, and post reviews (Grewal et al., 2022). Technology has assisted

RSC, including using inventory management tools to track products globally or process returns.

Nevertheless, with the shift to e-commerce, many businesses are using A.I. tools, including online

virtual reality web room, which affects customers’ purchase and retailers’ return decisions. The

use of A.I. virtual fitting technologies, which uses data and algorithms, helps sellers quickly and

accurately profile the consumer’s clothing preference, including style and products that

consumers are interested in, and can make highly effective recommendations, thereby reducing

returns by customers (Yang et al., 2022). Examples of companies that use this in clothing and

furniture include Stitch Fix, Sephora, and Modiface. Artificial chatbots can efficiently scan

databases using sophisticated natural language processing tools, enhancing consumer

engagement, and providing higher quality services and product fit information, increasing

customer satisfaction, and decreasing customer returns. A.I. chatbots have the potential to provide

145

clear, well-defined customer benefits, strengthen the quality of the firm’s customer relationships,

and improve firm market performance. It can fulfill this need by offering speed and convenience

to meet the expectations of connected consumers. Millennial consumers see them as seamless and

innovative digital experiences that save them time and help them in purchasing decisions

(Fotheringham & Wiles, 2023). A.I. recommendation agents can result in about a 14% increase in

profits for an online retailer because they significantly lower product fit uncertainty, recommend

better-matching exchanges, provide more personalized variety, and create a personalized service

experience after sales (Ettl et al., 2020; Yang et al., 2020).

Legal and Regulatory Considerations

Since the 1990s, globalization, increased environmental consciousness, growing concerns

about natural resource depletion, and the expansion of environmental legislation have notably

accelerated the development of RSC (Öz & Özyörük, 2023; Russo et al., 2019). Governments

have played a vital role in this acceleration by enacting legislative measures encouraging

companies to engage more in reuse and recycling activities. These laws and governmental actions

have shown a rising trend over time. Companies' commitment to responsible RSC activities

increasingly influences customer loyalty, often driven by values and principles focused on

environmental stewardship. As companies become more environmentally aware, they

increasingly adopt sustainable RSC practices. Being recognized as a “green” company has

become a significant trend in the logistics field and an essential element of marketing strategies

(Öz & Özyörük, 2023). This trend is evident in the annual reports of many companies, where

reuse and recycling activities are prominently featured and attract attention. Furthermore, RSC is

a crucial factor in shaping a company’s image in customers’ eyes, with more businesses

recognizing its importance in their operations.

146

Environmental regulations vary from region to region. For instance, the European Union

has stringent waste management and recycling regulations, such as the Waste Electrical and

Electronic Equipment (WEEE) Directive (Shittu et al., 2021). In contrast, regulations might be

less stringent in developing countries. Many regions have EPR laws requiring manufacturers to

take responsibility for the disposal of products at the end of their life cycle. According to Tumu et

al. (2023), about 8.7% of municipal solid waste plastic was recycled, and 75.9% landfilled in

2018, and landfills pose an environmental and human health risk. In 2023, landfill disposal of

collected household waste in the U.S. will cost $177, whereas implementing recycling will

increase the handling cost to $218. This process includes managing the collection, recycling, and

disposal processes, directly affecting reverse logistics strategies. E.U. countries have specific

restrictions on importing and exporting waste or used products, which can affect the RSC,

especially for multinational companies dealing with cross-border product returns or recycling.

Certain regions have specific laws related to product packaging, requiring companies to use

recyclable materials or to manage the disposal of packaging materials, affecting reverse logistics

operations.

Companies can navigate these regulations by establishing specialized compliance teams or

seeking external legal expertise to stay updated on relevant laws and ensure compliance. This

action is crucial for multinational corporations operating in multiple legal jurisdictions.

Companies adapt their business models to align with regional regulations. For example, in regions

with strict EPR regulations, companies might integrate recycling and refurbishing practices into

their core business strategies (Tumu et al., 2023). In some EPR systems, e.g., in Germany,

Belgium, France, Spain, and the Netherlands, retailers are responsible for packaging waste

management, e.g., they maintain separate bins for each material (paper, plastics, glass) collection

147

(multi-waste stream recycling). Forming partnerships with local entities can help companies

navigate region-specific regulations more effectively. This action includes collaborating with

local waste management and recycling firms. Advanced technology and robust data management

systems help companies track and manage product returns, waste disposal, and recycling

processes by regional regulations (Shittu et al., 2021; Tumu et al., 2023).

Sustainability and Environmental Impact

Customers are increasingly more willing to shop at or be associated with businesses that

have proven and clearly stated sustainability programs (Münch et al., 2023; Öz & Özyörük,

2023). The reprocessing aspect of RSC includes a variety of methods, such as direct reuse, repair,

refurbishment, remanufacturing, and recycling. These methods are instrumental in extending the

lifecycle of materials, thereby reducing the dependency on added resources, and enhancing

sustainability. Reusing and recycling emerge as the most frequently used methods in material

recovery. Reusing is particularly noted for its benefits in terms of time, cost, and energy

efficiency, making it a highly sustainable option (Mishra et al., 2023; Uemura Reche et al., 2019).

Conversely, recycling focuses on using salvaged resources to produce marketable products. This

action includes the recycling of specific materials like concrete, which is identified as having

higher recyclability compared to other construction materials, thus indicating a potential area of

focus for sustainable practices in the construction sector (Jayasinghe et al., 2019; Mishra et al.,

2023; Uemura Reche et al., 2019).

However, specific challenges are associated with RSC, particularly in down-cycling and

incineration. These down-cycling methods are less effective than other methods because they can

degrade the quality of reprocessed products and escalate energy consumption or greenhouse gas

emissions, posing environmental concerns. Reprocessed products undergo rigorous testing to

148

verify if they meet expected properties and quality criteria according to established standards

before being dispatched to secondary markets to ensure sustainability and reliability (Jayasinghe

et al., 2019; Mishra et al., 2023). This step is crucial in maintaining the safety and reliability of

recycled products.

Finally, the company directs the disposal of residuals to landfills for safe disposal.

Although RSC aims to minimize waste, this step acknowledges that some residuals still require

environmentally sound disposal methods (Münch et al., 2023). This end-to-end approach in RSC

underscores its significant contribution to sustainability by promoting efficient resource use,

reducing environmental impact, and adhering to quality and safety standards, albeit with some

remaining challenges in waste management and environmental protection (Jayasinghe et al.,

2019; Uemura Reche et al., 2019).

Global Versus Local RSC Strategies

Global companies face various challenges while adapting their RSC strategies to local

markets. These challenges include cultural sensitivity, consumer behavior, and logistical hurdles,

and they must tailor their approach to cultures where product returns are less common or

unfavorable (Macchion & Fornasiero, 2021). This tailoring involves altering communication and

marketing strategies to resonate with local consumer behaviors and attitudes toward RSC

activities.

Additionally, navigation through the logistical landscape is critical to local adaptation.

Companies can implement efficient reverse logistics processes in regions with well-developed

logistics infrastructure. However, areas with less developed infrastructure may need innovative

solutions, such as forming partnerships with local entities or employing alternative transportation

methods (Macchion & Fornasiero, 2021). These local partnerships, especially with waste

149

management and recycling firms, provide insights into best practices and help overcome regional

challenges.

Further adaptations involve customizing return policies to align with market conditions,

including modifying the ease of return, the time frame for returns, and preferred refund methods

to cater to local preferences and practices (Macchion & Fornasiero, 2021; Rosca et al., 2019).

Strategies are tailored based on the technological advancement of each market. Companies in

technologically advanced areas can use sophisticated tracking and data analytics for efficient RSC

management, whereas simpler systems might be more appropriate in less developed regions.

Apart from these strategies, the emphasis is on training local employees in RSC relevant to their

specific market, including local regulations, cultural nuances, and logistical particularities (Rosca

et al., 2019). This comprehensive approach to localizing RSC strategies is vital for companies to

ensure operational effectiveness and cultural alignment in diverse global markets.

These themes directly affect how customers perceive and interact with a company’s RSC

process. Aligning the RSC process with customer expectations in these areas can significantly

influence their satisfaction. A positive experience in the RSC process can lead to increased

customer loyalty, positive word-of-mouth referrals, and overall company growth.

Impact of RSC on Brand Image and Loyalty

RSC processes significantly affect customer satisfaction and, by extension, customer

loyalty. When companies implement policies like the TBYB model, they provide customers with

opportunities to try a product and then decide to buy or return it; this builds customer loyalty

(Jackson & Xu, 2022). Effective and efficient A.I. processes to provide online recommendations,

virtual reality, or chatbots for customers are meant to increase customer satisfaction and

150

continuous patronage (Yang et al., 2020). Such processes and policies by companies have a long-

term impact on brand image and customer loyalty.

An effective RSC process can profoundly affect a brand’s image and customer loyalty. It

can lead to long-term benefits such as customer retention and brand reputation. When a company

successfully implements an efficient and responsible RSC process, it sends a powerful message

about its commitment to sustainability and customer service. This action resonates strongly with

consumers and enhances the brand image. An efficient RSC process involves adequate product

returns, recycling, and waste management and can enhance the brand image by positioning the

company as environmentally responsible and customer-centric (Ellahi et al., 2022). Consumers

are increasingly environmentally conscious, and demonstrating a commitment to sustainable

practices through RSC can boost a brand’s appeal. When customers experience a hassle-free and

responsive returns process, their trust in the brand increases, leading to higher customer loyalty.

Customer retention and brand reputation are valuable long-term benefits as satisfied

customers are more likely to become repeat buyers, and their positive experiences can lead to

word-of-mouth referrals, expanding the customer base (Mathiyazhagan et al., 2021; Russo et al.,

2019). Loyal customers make more purchases over time, resulting in a higher lifetime value.

Positive customer experiences with a brand’s RSC can lead to favorable online reviews and social

media endorsements, further enhancing the brand’s reputation. A strong brand reputation built on

effective RSC practices can provide a competitive edge in the market. It can function as a

differentiator in industries where competition is intense, and customers have numerous choices. A

company known for its responsible and customer-friendly reverse logistics is more likely to

attract environmentally conscious consumers and those who value excellent customer service

(Ellahi et al., 2022). Investing in and focusing on a robust RSC process contributes to

151

environmental sustainability and builds a stronger, more positive brand image and customer

loyalty (Münch et al., 2023; Öz & Özyörük, 2023). These efforts lead to long-term benefits such

as increased customer retention, enhanced brand reputation, and a competitive advantage in the

marketplace (Chen et al., 2019).

Comparative Analysis of RSC Across Different Industries

RSC is different across industries and between online and brick-and-mortar stores. In the

retail industry, RSC practices often focus on handling physical product returns from customers.

Retailers typically deal with a high volume of returns due to factors like size mismatches or

product defects. Efficient RSC in retail involves streamlined return policies, effective in-store or

designated return centers, and a focus on refurbishing and reselling returned goods. The challenge

for retailers is managing the logistics of physical returns while minimizing the impact on

inventory and financials. Return policies are different even within retail stores. For example,

Kohl’s has no time frame for returns, and customers are issued store credit if they do not have a

receipt. They also accept other company products.

In contrast, Target and Walmart have a 90-day return period with no returns on electronics

(Espinal, 2023; Robertson et al., 2020). Still others like Costco, Nordstrom, and L.L. Bean have

yet to return time frames except for electronics. On the other end of the spectrum, Apple has a 14-

day return period, Best Buy does not accept opened software and has a 15-day return policy for

most products, and Wish has a 30-day return policy, with the cost of return shipping deducted

from the consumer’s refund (LaPonsie, 2023)

The e-commerce sector, in contrast, faces unique RSC challenges due to the need for

physical stores. E-commerce companies often implement easy-to-use online return procedures

and coordinate with logistics providers for product pickups or drop-offs. The critical focus is

152

reducing the cost and complexity of reverse logistics, given the high volume of returns typical in

online shopping with innovative solutions like CRCs and advanced data analytics for tracking and

managing returns expected. The primary challenge for e-commerce is balancing customer

satisfaction with the costs incurred in handling returns. Due to the pressure to be competitive, e-

commerce companies are more flexible in their return policies. For example, Zappos allows

returns for up to a year if the product is new and the customer has the packaging; Amazon usually

has a 30-day return policy but is increasingly encouraging its customers to use pickup locations

like Kohl instead of shipping (Espinal, 2023; LaPonsie, 2023).

RSC takes a different form in the manufacturing industry, often involving returning used

or end-of-life products for recycling or remanufacturing. Manufacturers may have retracted

programs to reclaim components or materials for future production cycles. The emphasis is on

reducing waste and recovering value from used products. Manufacturers face challenges in

efficiently collecting and processing returned items and integrating recycled materials or

components into production. For example, Randall Manufacturing (2023) implements a 14-day

return policy, except for broken, defective, mismatched, or undelivered products, which are

eligible for full refunds or exchanges only if the consumer notifies the company within 14

calendar days of the order delivery date. Comparing these sectors reveals distinct approaches to

RSC. Comparing these sectors reveals distinct approaches to RSC. Although retailers and e-

commerce businesses focus on customer returns and refunds, manufacturing companies

concentrate on material recovery and recycling. Each sector has developed specialized strategies

to address its unique RSC challenges, such as developing robust logistics networks in e-

commerce and creating efficient recycling processes in manufacturing.

153

Case Studies of Failed RSC Practices

Real-life examples of failed RSC processes in various industries offer valuable business

lessons. For instance, the electronics industry has faced significant challenges in adequately

managing electronic waste (e-waste). Critics and legal challenges have targeted companies for

improperly recycling or disposing of e-waste, leading to environmental and health hazards when

such waste is exported illegally to developing countries. These issues highlight the need for

ethical and environmentally responsible e-waste management. In the automotive sector, massive

recalls due to ineffective RSC processes have led to considerable financial losses and damage to

brand reputation. A prime example is the Takata airbag recall, where logistical inefficiencies in

replacing faulty airbags extended consumer risk and tarnished the brand’s image, underscoring

the necessity of efficient logistics and swift RSC responses (LaForest, 2023).

Retail clothing has also encountered RSC issues, particularly in managing returns and

unsold garments. Reports of destroyed rather than recycled or donated clothing have sparked

public criticism over wasteful practices. This situation demonstrates the importance of sustainable

strategies in handling product returns to avoid unnecessary waste. Additionally, the smartphone

industry, exemplified by the Samsung Galaxy Note 7 battery recall, reveals the complexities of

handling hazardous materials (Liao et al., 2023). The challenge in such cases is to recall the

products and ensure their safe disposal, highlighting the need for robust safety measures and

quality checks throughout the RSC process.

RSC management is widespread not only in electronics but also in other industries, such

as clothing. For example, H&M accumulates and uses old clothes to make a recycled clothing

line. Furthermore, the COVID-19 pandemic resulted in an imbalance between supply and

demand, so manufacturers and retailers faced hurdles in realizing a specific amount of production

154

capacity and market demand, respectively (Tirkolaee et al., 2021). A few businesses have gone

out of business partly due to poorly designed RSC processes; However, its demise was not solely

about refund issues. Toys “R’ Us did have inflexible return policies. Circuit City’s bankruptcy in

2008 was due to many factors, including its customer service and its return policy (Misamore,

2018). Customers often found Circuit City’s return process cumbersome and inflexible compared

to its competitors. This poor customer experience was one of many factors that led to declining

sales (Cohan, 2021). Sports Authority, once a significant player in sporting goods retail, declared

bankruptcy in 2016 and eventually liquidated. Although the company faced numerous challenges,

including substantial debt and competition from online retailers, customer service issues,

including return policies, also played a role in its decline. Customers frequently complained about

the Sports Authority’s restrictive return policy, which needed to be more customer-friendly than

its competitors. These concerns contributed to negative brand perception and pushed customers

towards more accommodating retailers, adding to the company’s financial woes (Sandu, 2023).

These examples convey several critical lessons for effective RSC management. Ethical

and environmental adherence are crucial for maintaining corporate responsibility and public trust.

Efficient logistics and infrastructure are vital for managing returns and recalls promptly, thereby

minimizing risks and costs. Emphasizing sustainability in return and unsold product management

can significantly reduce waste and improve a company’s environmental impact. Moreover,

stringent quality control and safety protocols are essential to prevent dangerous situations and

costly recalls. Finally, keeping a customer-focused approach, especially during recalls and

returns, is fundamental to preserving brand integrity and customer loyalty (Bakhshi & Heydari,

2023). These lessons from real-world RSC failures are essential reminders of the complexity and

significance of managing RSCs effectively.

155

Chapter Summary

This chapter presents the findings of a qualitative semi-structured interview study

designed to explore the relationship between the RSC process and customer satisfaction. The

chapter begins by reiterating the study’s guiding research questions, which probe the nature of the

relationship between RSC practices and customer satisfaction and how customers perceive and

value these practices in different scenarios.

The data collected from interviews with supply chain professionals provide a rich

narrative of the real-world intricacies of RSC. The themes emerging from the data analysis

include the significance of clear communication, the role of efficient returns processes, the impact

of RSC on brand perception, and the strategic importance of integrating customer feedback into

RSC processes. Each theme was examined in depth, supported by direct quotations from

interviewees that bring authenticity and depth to the study’s findings. The chapter then delved

into a discussion that juxtaposed qualitative insights against existing literature, highlighting both

convergences and divergences. This analysis underscores the study’s originality by revealing

nuanced understandings of customer expectations and the practical challenges of implementing

RSC practices that align with those expectations.

Businesses need to incorporate returns or returns on customer satisfaction as a crucial

element of the post-purchase phase in the customer’s journey to maintain competitiveness.

Collecting feedback via surveys allows businesses to improve their processes, seek alternatives

for returns due to defective products, and enhance their information search when the product

delivered does not align with customer expectations (Ellahi et al., 2022; Robertson et al., 2020).

Moreover, such practices can enhance operational efficiency by reducing errors, leading to cost

savings, streamlined processes, and improved resource utilization. Additionally, active customer

156

feedback and continuous improvement efforts enable businesses to stay competitive and

responsive to evolving customer needs. These measures contribute to a competitive advantage,

reduced returns costs, and the establishment of trust, bolstering overall business success and

profitability. It shows that customers have come to expect hassle-free, streamlined, user-friendly,

and multifaceted avenues for product returns. Businesses need to invest in innovative

technologies that allow for quick, easy, and fast returns processing and embed RSC as part of

company culture, training employees to engage with customers when they return items. Hence,

the process is stress-free and a pleasant experience for its customers. The study's findings can

guide businesses in tailoring their RSC strategies to meet customer needs and expectations better.

Furthermore, the chapter critically examined the effectiveness of current RSC practices

and the potential for innovative approaches to enhance customer satisfaction. The insights from

the data reveal that although some firms excel at managing returns and utilizing them as an

opportunity for enhancing customer relationships, others view RSC as a logistical challenge

detached from the customer service strategy. The findings also reflect on the broader implications

of RSC for organizational sustainability and the circular economy. In synthesizing the findings,

the chapter concluded with reflections on the study’s contributions to the field of supply chain

management. Chapter Five provided a comprehensive and detailed exposition of the research

findings, situating them within the broader context of supply chain management and customer

satisfaction literature. It underscores the need for an integrated approach, considering RSC as a

critical component of customer satisfaction and business success. These results lay the

groundwork for practical applications and future scholarly inquiry.

157

CHAPTER SIX: FINDINGS AND RECOMMENDATIONS FOR FUTURE RESEARCH

Summary of Findings and Conclusions

This chapter is the culmination of this research study, synthesizing the insights gleaned

from the qualitative semi-structured interviews to explore the intricate relationship between the

RSC and customer satisfaction. This chapter is structured to present the findings, distill the

essence of the study’s contributions to the existing body of knowledge, acknowledge its inherent

limitations, and put forth well-grounded recommendations for practice and further scholarly

inquiry. It aims to bridge the gap between theoretical paradigms and practical applications,

offering a comprehensive overview of how effective RSC management can enhance customer

satisfaction and, by extension, bolster organizational success.

The introduction begins by restating the study’s primary objective: to delve into the

dynamics of RSC processes and their impact on customer satisfaction. It revisits the research

questions that guided the investigation, namely the relationship between RSC and customer

satisfaction, the specific configurations of RSC practices that contribute to satisfying customer

experiences, best practices, and strategies for optimizing RSC in the context of customer

satisfaction. The introduction also covers the influence of customer expectations and perceptions

on their satisfaction with RSC processes.

Following a detailed overview of the methodological approach, which combines the

structured nature of predetermined questions with the flexibility of open-ended discussions, this

chapter underscores the significance of the study’s findings. These findings provide a nuanced

understanding of RSC’s role in shaping customer satisfaction and highlight the critical factors

businesses must consider streamlining their RSC processes effectively. This introduction sets the

stage for a detailed discussion of the original contributions of this study to the existing literature

158

on RSC and customer satisfaction. It acknowledges the gaps this research fills, particularly in

understanding the multi-dimensional aspects of RSC practices that resonate with customer

expectations and contribute to a positive perception of a company’s brand. By integrating

theoretical insights with empirical evidence, this study offers a unique perspective on how RSC

can be leveraged as a strategic tool to enhance customer satisfaction and drive business success.

Moreover, the introduction outlines the structure of Chapter Five, which includes a critical

examination of the study’s limitations. These limitations are acknowledged not as detractions but

as avenues for future research, providing a clear direction for subsequent studies to build upon the

foundational work presented here. The chapter culminates in a series of actionable

recommendations for practitioners in the field, derived from the study’s findings, alongside

suggestions for future research that could further elucidate the complex interplay between RSC

practices and customer satisfaction. This introduction serves as both a reflection on the journey

undertaken through this study and a forward-looking statement on the implications and future

directions of research in the domain of RSC and customer satisfaction. It encapsulates the study’s

endeavor to contribute meaningful insights to academic discourse and practical application,

bridging the gap between theory and practice in enhancing customer satisfaction through effective

RSC management.

The findings and interpretations derived from this study offer profound insights into the

intricate dynamics between RSC management and customer satisfaction. Through meticulous

analysis of the qualitative data gathered from interviews with supply chain experts, several pivotal

themes emerged, each contributing to the current understanding of how RSC practices influence

customer perceptions and organizational success. This section delves into these findings, offering

interpretations that bridge theoretical knowledge with practical implications. One of the study’s

159

key findings is the indispensable role of RSC in fostering customer satisfaction. The data revealed

that customers increasingly view flexible and efficient RSC processes as a fundamental aspect of

their overall service experience. This insight underscores the shift in consumer expectations,

where the ability to return products quickly and efficiently is an added benefit and a crucial

component of the customer’s decision-making process. This study interprets that businesses

prioritizing optimizing their RSC processes can significantly enhance customer loyalty and

satisfaction, differentiating them in a competitive market.

The study also highlights effective return management as a vital catalyst for customer

satisfaction. Participants pointed out that transparency in the return process and quick and hassle-

free returns directly affect customer perceptions of trust and reliability towards a brand. This

finding suggests that businesses must consider their return policies as a logistical necessity and a

strategic tool for building long-term customer relationships. The interpretation here is clear—

investing in making the return process more customer-friendly can yield substantial dividends in

customer loyalty and brand reputation.

Another significant finding is the strategic value of implementing customer-centric RSC

policies. The study found that businesses that go beyond standard practices by integrating

sustainability into their RSC, adopting advanced technological solutions for better return tracking,

and offering flexible return options tend to enjoy higher levels of customer satisfaction. This

action suggests that RSC should be viewed not merely as a cost center but also as a strategic asset

that can drive competitive advantage. The implication is that businesses that are innovative in

their RSC approach can improve operational efficiency and enhance their brand value in the eyes

of the customer, enlightening them about the potential of RSC in driving customer satisfaction.

160

The research further sheds light on the pivotal role of technology in enhancing RSC

efficiency and, by extension, customer satisfaction. Innovations like AI, blockchain for

transparency in returns tracking, and seamless integration of RSC processes into the customer’s

shopping experience were critical drivers of satisfaction. This finding indicates a growing

intersection between technology and RSC management, where technological advancements can

significantly reduce the friction in return processes, thereby elevating the customer experience

and fostering an optimistic outlook about the future of RSC management.

Interpreting these findings, it becomes evident that RSC management is a multifaceted

domain that extends well beyond logistics and operational efficiency. It encompasses customer

service, strategic policy formulation, sustainability, and technology integration. The practical

implications of these insights are vast; businesses must reevaluate their RSC strategies through a

customer-centric lens, integrating technological innovations and sustainable practices to meet and

exceed customer expectations. Moreover, the findings suggest that businesses should

communicate their RSC policies more transparently, ensuring customers know and can easily

navigate the return process, thereby reassuring the audience about the importance of clear

communication in RSC management.

This study’s findings and interpretations contribute significantly to the current

understanding of RSC's strategic importance in driving customer satisfaction. This research

highlights the complex interplay among efficient return management, customer-centric policies,

sustainability, and technology, enabling businesses to leverage their RSC processes as a

competitive advantage. It underscores the necessity for an integrated approach that considers the

operational aspects of RSC and its impact on customer perceptions and brand loyalty.

161

Recommendations

Businesses should consider a multifaceted approach that encompasses precise policy

formulation, integration of advanced technologies, and comprehensive employee training to

enhance customer satisfaction through improved RSC practices. Firstly, companies should

develop and communicate clear, concise, customer-friendly return policies. These policies should

be easily accessible and understandable to customers, potentially through multiple platforms such

as company websites, product packaging, and in-store displays. Clarifying the return process can

significantly reduce customer anxiety and improve satisfaction levels.

Secondly, technological integration into RSC practices offers a strategic advantage.

Businesses should invest in technology solutions that streamline the return process, such as

automated return portals, AI-driven customer service chatbots, and blockchain technology for

enhanced transparency and tracking. These technologies can facilitate a smoother, more efficient

return process, reducing operational costs and improving the customer experience. Additionally,

leveraging data analytics to understand return patterns and customer behavior can inform targeted

improvements in product quality and the return process.

Employee training is another critical component. Staff at all levels should be well-versed

in the return policies and equipped with the skills to handle returns efficiently and empathically.

Training programs should emphasize the importance of RSC in customer satisfaction and brand

loyalty, empowering employees to make customer-centric decisions during the return process.

Providing exemplary customer service during returns can transform potentially negative

experiences into positive ones, fostering customer loyalty.

Policymakers must create a regulatory environment supporting sustainable and efficient

RSC practices. This change could involve developing guidelines and standards for

162

environmentally friendly return processes, such as encouraging the reuse and recycling of

returned products. Policymakers might also consider incentives for companies that adopt best

practices in RSC management, such as tax breaks or certification programs. Such incentives can

motivate businesses to invest in sustainable RSC practices, contributing to broader environmental

goals while enhancing customer satisfaction.

Strategically managing customer expectations and perceptions is crucial for businesses

aiming to improve their RSC processes. Managing customer expectations involves transparent

communication about return policies and what the customers can expect throughout the return

process. Providing multiple, flexible return options can also enhance customer satisfaction.

Options include in-store returns for online purchases, free return shipping, and no-questions-asked

return policies. Such flexibility caters to diverse customer preferences and situations, reinforcing

a customer-centric approach.

Businesses enhancing customer satisfaction through RSC practices should focus on clear

policy communication, technological advancements, and comprehensive employee training.

Policymakers have a role in encouraging sustainable practices through regulatory support and

incentives. Transparent communication and flexible return options are crucial to managing

customer expectations and perceptions, improving customer satisfaction and loyalty. These

recommendations, if implemented, can significantly affect the efficiency of RSC practices and the

overall customer experience.

Practical Applications of the Research

The researcher provides five practical applications of the research. showed that an

effective RSC process would lead to an increase in customer satisfaction. These applications are

practical because they provide actionable and strategic steps that businesses can implement to

163

optimize their RSC process, directly addressing customer needs and expectations. Each

application focuses on tangible, measurable improvements rooted in real-world insights and

proven strategies that can be executed effectively within a business setting. By applying these

practices, businesses can transform their RSC operations into efficient customer-centric processes

and increase customer loyalty.

The first practical application is enhancing customer experience through clear

communication. This application is significant as it reduces customer anxiety and confusion

during the return process, leading to higher satisfaction and increased trust in the brand

(Rintamäki et al., 2021). According to Lin et al. (2020), businesses must create a straightforward,

easy-to-understand return policy that outlines the steps and conditions of returns and ensures

consistency across all platforms, including online and in-store channels. Displaying return

policies prominently on the company website and store signage is important, as well as using

emails and text notifications to keep customers informed about their return status (Rintamäki et

al., 2021). Retail businesses, e-commerce platforms, and customer service teams can benefit from

this application by creating a seamless and consistent return experience that strengthens customer

loyalty and enhances overall brand reputation (Euchi et al., 2019).

The second practical recommendation is leveraging technology to streamline the return

process. Leveraging technology to streamline the return process is practical because it allows

businesses to automate their operations and make the return process more efficient and user-

friendly (Robertson et al., 2020). According to Guangyong et al. (2022), businesses can integrate

AI-driven chatbots to handle common customer queries and provide instant support during the

return process while using blockchain technology to provide transparent returns tracking,

allowing customers to view the status in real-time. Blockchain also helps secure store transaction

164

details to prevent fraud issues and improve customer trust (Robertson et al., 2020). This

significant approach enhances customer satisfaction by providing a more accurate and transparent

return process, thereby reducing errors, and building consumer trust. Retailers and e-commerce

companies can benefit from this application by implementing automatic AI and blockchain

technologies, leading to cost savings and improved efficiency (Guangyong et al., 2022).

The third practical recommendation is building customer trust through reliability and

consistency. According to Ellahi et al. (2022), building customer trust through reliability and

consistency is practical because it provides a structured approach to managing returns that

enhances customer satisfaction. Businesses can create standardized processes, including

establishing clear procedures for verifying returned items, processing refunds, and issuing

exchanges (Lin et al., 2020). The significance of this application lies in its ability to minimize

errors and inefficiencies, ensuring that customers receive dependable service that meets their

expectations (Li et al., 2023). Manufacturers, fashion and apparel brands, telecommunications,

and electronics companies can benefit from implementing standardized processes, continuous

training, and quality control, improving customer loyalty and a more substantial brand reputation.

The fourth practical recommendation is empowering employees for responsive and

empathetic service. According to Kalantarzadeh (2024), empowering employees with responsive

and empathetic service is practical because it enables frontline staff to address customer needs

efficiently and with understanding, thus improving the overall customer experience. This

approach is significant because it reduces wait times, enhances customer satisfaction, and fosters

loyalty by transforming potentially harmful interactions into positive ones (Russo et al., 2019).

According to Robertson et al. (2020), businesses must equip employees to provide responsive and

empathetic services during the RSC process by empowering them to make simple as well as more

165

complex decisions. Businesses need to train their employees on active listening, showing

empathy, personalizing interactions, and understanding individual customer situations (Ezeh et

al., 2022). Telecommunications, financial services, retailers, and hospitality businesses can

benefit from this application by training and equipping their employees to deliver personalized,

empathetic service, strengthening customer relationships, and improving brand reputation

(Robertson et al., 2020).

The fifth practical recommendation is promoting sustainable and innovative RSC

practices. This approach is significant as it allows businesses to differentiate themselves by

offering flexible return options and showcasing their commitment to sustainability, which, based

on this research findings, resonates with environmentally conscious customers. According to

Zhang et al. (2023), implementing sustainable and innovative RSC practices can improve

customer satisfaction and increase business competitive advantage. Businesses can incorporate

sustainability through developing policies for recycling and reusing returned products to minimize

environmental impact and communicate these initiatives to their customers (Park et al., 2021).

Logistic companies, waste management companies and retailers can benefit from implementing

these practices by reducing waste and improving overall operational efficiency (Öz & Özyörük,

2023).

Recommendations for Future Research

Four future recommendations are offered based on this research. The first

recommendation for future research emphasizes exploring the relationship between RSC

processes and customer satisfaction through a cultural lens. This recommendation acknowledges

the potential for significant insights gained from understanding how cultural differences affect

consumer perceptions and reactions to RSC practices. Given the global expansion of markets and

166

the increasing interconnection of multinational corporations with diverse consumer bases, it

becomes crucial to understand how varying cultural contexts influence the valuation and

interpretation of RSC initiatives. A comprehensive approach incorporating qualitative and

quantitative research methods is suggested to investigate these cultural nuances effectively. This

work could include conducting cross-cultural surveys, interviews, and case studies to discern

differences in expectations and levels of satisfaction with RSC among consumers from diverse

cultural backgrounds. The findings from such research could help companies tailor their RSC

strategies to meet better the cultural values and expectations of a diverse customer base,

improving global customer satisfaction and fostering loyalty.

The second recommendation advocates integrating quantitative research methods to

substantiate insights from QCA of RSC configurations. This approach is underscored by the

recognition that although QCA provides a foundational understanding of the intricate dynamics

between RSC initiatives and customer satisfaction, the subsequent quantitative analysis enables

the empirical examination and validation of these relationships across various industries and

contexts. Statistical techniques such as regression analysis or SEM make it possible to measure

the tangible effects of specific RSC practices on customer satisfaction levels. Such empirical

validation strengthens the theoretical constructs established via QCA and enhances their relevance

and applicability across different scenarios. This dual-methodology approach aims to furnish a

more nuanced and universally applicable comprehension of which RSC management strategies

are most effective in enhancing customer satisfaction.

The third future recommendation entails analyzing the relationship between RSC and

customer satisfaction through the lens of technological advancements using longitudinal research

methodologies. This recommendation would involve studying the intricate relationship between

167

RSC management and customer satisfaction amidst the evolving landscape of technological

innovation, with a specific focus on the implications of AI. The goal is to deploy longitudinal

research methodologies to trace and understand the dynamic interplay between consumer

expectations and technological advancements, thereby shedding light on how these factors

influence RSC’s effectiveness in meeting customer needs. Such an investigation aims to provide

critical insights into emerging trends, shifts in consumer behavior, and the sustainability of RSC

practices. The findings from such a research endeavor are anticipated to offer strategic guidance

for businesses in adapting their RSC strategies to remain aligned with fast-evolving market

demands and technological progress, ensuring that RSC operations are relevant and centered on

enhancing customer satisfaction.

The fourth and final recommendation is to explore the long-term effects of sustainable

RSC practices on brand loyalty, which presents a promising research avenue. With increasing

consumer awareness and demand for sustainable and ethical business practices, it is critical to

examine how RSC contributes to environmental sustainability and, in turn, affects customer

satisfaction and loyalty. This research assessed the impact of sustainable RSC initiatives on

consumer perceptions of brand value and loyalty, offering insights into the potential competitive

advantage of integrating sustainability into RSC strategies. Future research can make considerable

progress in understanding the role of RSC in meeting immediate customer satisfaction goals and

fostering long-term, sustainable relationships with consumers. By addressing key areas such as

effective communication, personalized customer experiences, and timely issue resolution,

researchers can gain insights into the factors that contribute to customer loyalty and retention.

Additionally, studying the impact of emerging technologies such as AI-powered chatbots and

voice assistants on customer service interactions can shed light on their potential to enhance or

168

detract from customer satisfaction and relationship building. By deepening our understanding of

these issues, we can develop strategies to optimize RSC performance and improve customer

experiences over the long term.

Students also viewed