Customer Satisfaction Theory Applied in the Housing Industry: An Empirical Study of Low-Priced Housing in Beijing

A household satisfaction index (HSI) model based on the American customer satisfaction index (ACSI) model was fit to the housing industry in China and used with the software LISREL to measure the HSI in Beijing. Specifically, the empirical study analyzes the HSI of low-priced housing in Beijing. The results show that the HSI model is valid and the customer satisfaction theory can effectively analyze the housing industry. The results can help illustrate the factors which most affect customer satisfaction, and can be used to not only enhance the quality of homes and promote the housing market, but also to improve the standard of living for lower income people and provide suggestions to policy makers.