The Effect of Internal Marketing on Customers’ Perceived Service Quality: The Case of Ethiopian Federal Ministry of Revenue
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Date
2019-02
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Addis Ababa University
Abstract
The idea of satisfied employees for the benefit of satisfied customers is developed through the concept of internal marketing. This research paper was conducted to examine the effect of internal marketing on customers perceived service quality in Ethiopian Federal Ministry of Revenue. The target populations of the study were customers and employees of Ministry of Revenue. The study targets 384 samples of customers based on their convenience and easiness to determine customer service quality they receive from Federal Ministry Revenue. The selected 345 frontline staffs were selected from 4 branches of Addis Ababa randomly to obtain there evaluation of the Federal Ministry of Revenue internal marketing practice. The most commonly used dimensions of internal marketing were identified and used to attest its effect on customers perceived service quality through job satisfaction. The descriptive analysis of the finding dictates that there is lack of adequate employee training & development, employee motivation, internal communication and employee empowerment. From the study finding, the Pearson correlation coefficient of internal marketing variables shows that there is a strong positive correlation between IM variables and job satisfaction and perceived service quality. In addition to correlation analysis, further regression analysis was conducted to examine the effect of internal marketing on customers perceived service quality. The result indicates that the selected dimensions of internal marketing have significant relation with job satisfaction where job satisfaction has significant effect on customers perceived service quality as well. Ethiopian Federal Ministry of Revenue is recommended to fully implement internal marketing practices to increase employees’ job satisfaction and to have a positive effect on its customers perceived service quality.
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Internal Marketing, Training, Motivation