Effect of Service Quality on Customer Satisfaction, the Case of Hibret Bank Four Selected Branches (Bole, Bole Medhanialem, Misrak and Beklobet).
No Thumbnail Available
Date
2021-04
Authors
Journal Title
Journal ISSN
Volume Title
Publisher
A.A.U
Abstract
Following liberation of financial sector Hibret Bank S.C had incorporated as a Share Company on Sept 10, 1998 and Licensing and Supervision of Banking Business Proclamation No. 84/1994. Even if the bank operate more than two decades still there are customer complaint on the service quality delivered by the bank. Therefore, the aim of the study were studying the impact of service quality on customer satisfaction, the case of Hibret bank four selected branches. For this study a questionnaire was designed under five service quality dimension model. A sample consist of 364 were selected based on convenience sampling technique. Primary data were analyzed using SPSS software version 24. The researcher also used correlation and multiple regression for showing the relationship of service quality variables to customer satisfaction. Correlation analysis indicates that, there is positive relationship each service quality variables with customer satisfaction. On the other hand multiple regression shows that there were a strong positive impact on customer satisfaction from the four service quality variables (tangibility, reliability, responsiveness and empathy). While assurance as a negative impact on customer satisfaction. Among the five service quality variable empathy had a very strong correlation with customer satisfaction. In general the finding of the research showed that the performance of service quality of Hibret bank didn’t make satisfy the customers need. So, this lead to low customer satisfaction. based on this the researcher recommended the bank to train the front line employee and prepare complaint handling mechanism as well as modernizing the office structure to make the office impressive to customers.
Description
Keywords
Service Quality, Customer Satisfaction, Tangibility, Reliability