Exploring The Role of Store Environment in Creating Customer's Perception, Emotion, Perceived Experiential Value and Behavioral Intentions

The strategy of designing the environment in the store is increasingly used by businesses to create a positive mood for customers when shopping and consuming services, thereby creating favorable in-store behaviors. Based on that fact, the purpose of this study is to examine the role of store environment in creating customer's perception of restaurant service quality, their emotions, their perceived experiential value and behavioral intentions. With the data collected from 447 customers of ethnic restaurants from midscale operating in Hanoi, Vietnam, this research reveals that the restaurant' store environment has an important role in creating customer's perception of customer service quality/food quality as well as positive emotions. These perceptions and emotions then positively influence customer's perceived experiential value and behavioral intentions. From the results, this study confirms positive relationship between store environment and customer perceptions, emotions, perceived experiential value; and their effects on customer behavioral intentions. This study also proposes some managerial implications for managers in restaurant services to enhance customer's experience and intentions.