The Impact of Service Quality on Customer Satisfaction in Commercial Bank of Ethiopia, Mekelle Branch

Abstract

This paper examined the effect of service quality on customer satisfaction in Commercial Bank of Ethiopia, Mekelle branch. The five hypotheses were tested by using statistical techniques. The study is explanatory type of research. The sample size is 300 and is chosen on convenient basis. The primary source of data was collected using questionnaire. Data were analyzed by using SPSS version 21. Ordinal regression method was used to model the relationship between the customer satisfaction and service quality dimensions. The explanatory variables include tangibility, reliability, responsiveness, assurance and empathy; and the response variable is customer satisfaction. Customer satisfaction was measured on ordered, categorical, and five-point Likert scale: strongly disagree, disagree, neutral, agree and strongly agree. The model fitting statistics and the reliability of the model assumption: parallel lines tests, overall goodness of fit information were tested. The findings indicated that the explanatory variables were significantly associated with the customer satisfaction. Keywords: Service quality dimensions and Customer satisfaction. DOI: 10.7176/JMCR/72-02 Publication date: October 31 st 2020