Determinant of Customer Satisfaction: In the Case of Ethio-Leather industry

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Date

2022-02

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Addis Ababa University

Abstract

Customer satisfaction is one of the major aspects to be considered in every company to be successful and profitable. The general objective of this study is to examine the effect of eight independent variables (performance, aesthetics, conformance, reliability, durability, perceived quality, serviceability, and feature) on customer satisfaction which is considered as the dependent variable in the case of Ethio-Leather industry (ELICO). The main target of this study is the customers of the company ELICO. Questionnaires were distributed to 390 people and received back of 364. Here both primary and secondary data were used to reach the objective. The data collected were analysed using SPSS and presented in different forms such as Descriptive statistics, correlation and regression analysis. The results of the analysis came as the independent variables aesthetics, feature, reliability, durability, serviceability, perceived quality have affect the dependent variable positively and the independent variables performance, conformance and reliability have effect on the dependent variable customer satisfaction but they are insignificant based on the responses. Using the results obtained, the research is recommended that the Garvin’s quality dimensions can help for the company in order to measure the satisfaction and also that companies should study the determinants of customer satisfaction frequently to keep their companies grow and make profits. Key words: Performance, Aesthetics, Feature, Conformance, Reliability, Durability, Perceived quality, Serviceability, Customer satisfaction

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