Application Service Provider (ASP) in China: An Empirical Study of System and Service Satisfaction

ASP outsourcing is one promising business activity and efforts have been done to investigate the critical factors which improve clients´ satisfaction level in developed countries. However, no efforts have been made to investigate the contributing role of functional capability of ASP to the increase of clients´ satisfaction in China, one of the biggest SMEs market to develop ASP business. The results indicate that functional capability of ASP has negative effects on clients´ satisfaction. This result is different from existing findings in a U.S. based study. Meanwhile, the ASP-client coordination is examined to have positive influence on the improvement of clients´ satisfaction.