Student as Customer Concept: An Approach to Determine Pakistani Students' Preferences as Customers While Studying at Private Universities

Purpose: The promising factor for success in a prevailing knowledge-based economy is the excellence in customer service. Private universities are now becoming customer- and service-oriented organizations due to the competition. Therefore, many educational institutions treat their students as customers and restructure their educational practice based on the concept of market consumption. Therefore, many educational institutions treat their students as customers and restructure their educational practice. The purpose of this study is to determine the students' preferences as customers while studying at private universities and factors that affect their intentions to study at private universities when they adopt the student-as-customer concept. Design/methodology/approach: The research model is analyzed with structural equation modeling. The analysis is done with the application of the measurement model and the structural model. The measurement model is first evaluated by examining scale reliability, convergent validity and discriminant validity, whereas the assessment of the structural model is conducted for determining the predictive power and analyzing the hypothesized relationships between the proposed constructs through path analysis. Findings: In the paper, seven path shows a significant and positive relationship. However, four relationships are positive but insignificant. Originality/value: This study contributes to the literature theoretically as well as methodologically. Moreover, it is among the first research that is being conducted in Karachi. Secondly, this study developed a hybrid model by integrating one theory and a conceptual model to determine the factors affecting students' attitudes toward acceptance of the student-as-customer concept and their intentions. Therefore, this paper is useful in filling the gap in the higher education literature and also provides direction for universities to consider and prepare for the consequences of the concept's adoption associated with the number of students who intend to study at their universities.