Browsing by Author "Cherenet Ashenafi"

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    The Impact of Advertising on Organizational Performance: the Case of Hibret Bank S.C
    (A.A.U, 2023-07-11) Cherenet Ashenafi; Tewdros wuhib (Assistant Professor)
    This study aimed to assess the impact of different advertising channels on the organizational performance of Hibret Bank S.C. The research design employed was descriptive and explanatory, using a quantitative research approach. Primary data was collected through questionnaires distributed among the employees of five branches of Hibret Bank, and a random sample of 206 questionnaires was collected. A pilot study was conducted to test the reliability and validity of the questionnaires, and Cronbach's alpha was used to measure reliability. The analysis involved descriptive statistics for each type variables. To assess the relationship between independent and dependent variables, Pearson's product-moment correlation coefficient was used. The findings indicated a positive correlation between all four types of advertising and organizational performance, with broadcast advertising showing the strongest correlation. The model fit demonstrated a high level of accuracy in predicting organizational performance, with the independent variables explaining 65.3% of the variability. Based on the regression output, three out of four independent variables (social media, outdoor, and broadcast advertising) had a positive and significant relationship with organizational performance, while print advertising was not significant. The hypothesis test concluded that advertising has a positive and significant effect on the organizational performance of Hibret Bank. This finding underscores the importance of advertising in achieving business success, emphasizing the need for Hibret Bank to allocate a substantial budget to advertising in order to remain competitive. It is recommended that the bank actively utilize social media platforms to attract customers, particularly targeting the younger demographic. Considering that print advertising did not show a significant impact on bank’s organizational performance, it is advised that banks assess and reallocate their advertising budgets towards other forms of advertising.