Title :	Customer satisfaction and retail banking: the case of Nepalese commercial banks
Material Type:	printed text
Authors:	Kushalta Upadhyaya, Author
Publication Date:	2016
Pagination:	84P.
Size:	GRP/Thesis
Accompanying material:	7/B
Languages :	English
Descriptors:	Consumer satisfaction
Class number:	658.812
Abstract:	Bank is a financial institution which deals with the monetary activities by accepting deposits, lending to the various parties against securities and performing agency services. Commercial bank occupies an important place in the development of the economy (Hussain, 2010). Bank provides various services to fulfill the demand of customers like saving accounts, loan facilities and remittance facilities. The banking industry needs to adopt new strategies and technologies to deliver better services to customers and to move ahead of the competition (Ali & Zhou, 2013). Service quality is considered as a competitive factor and an essential key to create the difference among banks (Siddiqi, 2011). Delivering high quality service to the customers is the key for a sustainable competitive advantage. Osman & Sentosa (2014) argued that increasing level of service quality enhances the customer satisfaction. Customer satisfaction has been a subject of great interest to organizations and academicians. In recent years, organizations are obliged to render more services in addition to their offers. The quality of service has become an aspect of customer satisfaction. It has been proven by some studies that service quality is related to customer satisfaction. Chakravarty (2003) found that there is a meaningful negative relation among service quality dimension, responsiveness with customer satisfaction. However, Mahamad&Ramayah (2010) found that there is positive relationship between responsiveness and customer satisfaction.Service quality is particularly essential in the banking services because it provides high level of customer satisfaction (Almossawi, 2001). In addition, service quality has a significant impact on a bank’s success and performance (Mouawad & Kleiner, 1996). Nowadays, service quality has received much attention because of its relationship with costs, financial performance, customer satisfaction, and customer retention. Organizations’ not only needs empirical data to understand the level of customers’ satisfaction but also need to understand how to integrate these service quality concepts into managing the customer’s satisfaction. The main objective of the study is to analyze the relationship between customer’s satisfaction and retail banking of Nepalese commercial banks. The specific objectives are to analyze the relationship between reliability and customer satisfaction of Nepalese commercial banks, to examine the impact of responsiveness on customer satisfaction in Nepalese commercial bank, to examine the relationship between assurance and customer satisfaction, to determine the relationship between empathy and customer satisfaction in Nepalese Commercial Banks and to analyze the impact of tangibles in customer satisfaction in Nepalese commercial banks. This study is primarily based on primary sources of data. The primary sources of data have been used to assess the opinion of respondents with respect to customer satisfaction level regarding the commercial banks. The questionnaire survey has been conducted to know the opinions of customers regarding service quality variables of Nepalese commercial banks.A set of questionnaire was prepared and distributed to the customers of sample Nepalese commercial banks. The questions were designed to get the views, related information from the respondents. Data were collected using well formulated questionnaires. The questionnaires were self-adjusted, validated and pre-tested. The respondents represent customers of 20 commercial banks of Nepal and total of 200 questionnaires were collected. The information related to customer satisfaction and service qualities were administered through questionnaires. The major conclusion of the study is that service quality variables of the commercial banks play a prominent role in determination of customer’s satisfaction. Assurance is the most important influencing factor of customer satisfaction. Service quality factors highly support the commercial banks for the competition. The study reveals that there is a positive relationship between reliability and customer satisfaction. It reveals that higher the reliability, higher would be the customer satisfaction. Similarly, the study shows that customer satisfaction is positively related with responsiveness. It reveals that higher the responsiveness higher would be the customer satisfaction. The beta coefficient for tangibles and expertise are positively related to customer satisfaction. It indicates increase in tangibles and expertise will leads to increase in customer satisfaction. The beta coefficient for reliability and responsiveness are positively related to customer satisfaction. It indicates increase in reliability and responsiveness will leads to increase in customer satisfaction. The beta coefficient for assurance is positive with customer satisfaction. It reveals that higher the assurance higher would be the customer satisfaction where beta coefficient is significant at 1 percent level.

Customer satisfaction and retail banking: the case of Nepalese commercial banks [printed text] / Kushalta Upadhyaya, Author . - 2016 . - 84P. ; GRP/Thesis + 7/B.
Languages : English

Descriptors:	Consumer satisfaction
Class number:	658.812
Abstract:	Bank is a financial institution which deals with the monetary activities by accepting deposits, lending to the various parties against securities and performing agency services. Commercial bank occupies an important place in the development of the economy (Hussain, 2010). Bank provides various services to fulfill the demand of customers like saving accounts, loan facilities and remittance facilities. The banking industry needs to adopt new strategies and technologies to deliver better services to customers and to move ahead of the competition (Ali & Zhou, 2013). Service quality is considered as a competitive factor and an essential key to create the difference among banks (Siddiqi, 2011). Delivering high quality service to the customers is the key for a sustainable competitive advantage. Osman & Sentosa (2014) argued that increasing level of service quality enhances the customer satisfaction. Customer satisfaction has been a subject of great interest to organizations and academicians. In recent years, organizations are obliged to render more services in addition to their offers. The quality of service has become an aspect of customer satisfaction. It has been proven by some studies that service quality is related to customer satisfaction. Chakravarty (2003) found that there is a meaningful negative relation among service quality dimension, responsiveness with customer satisfaction. However, Mahamad&Ramayah (2010) found that there is positive relationship between responsiveness and customer satisfaction.Service quality is particularly essential in the banking services because it provides high level of customer satisfaction (Almossawi, 2001). In addition, service quality has a significant impact on a bank’s success and performance (Mouawad & Kleiner, 1996). Nowadays, service quality has received much attention because of its relationship with costs, financial performance, customer satisfaction, and customer retention. Organizations’ not only needs empirical data to understand the level of customers’ satisfaction but also need to understand how to integrate these service quality concepts into managing the customer’s satisfaction. The main objective of the study is to analyze the relationship between customer’s satisfaction and retail banking of Nepalese commercial banks. The specific objectives are to analyze the relationship between reliability and customer satisfaction of Nepalese commercial banks, to examine the impact of responsiveness on customer satisfaction in Nepalese commercial bank, to examine the relationship between assurance and customer satisfaction, to determine the relationship between empathy and customer satisfaction in Nepalese Commercial Banks and to analyze the impact of tangibles in customer satisfaction in Nepalese commercial banks. This study is primarily based on primary sources of data. The primary sources of data have been used to assess the opinion of respondents with respect to customer satisfaction level regarding the commercial banks. The questionnaire survey has been conducted to know the opinions of customers regarding service quality variables of Nepalese commercial banks.A set of questionnaire was prepared and distributed to the customers of sample Nepalese commercial banks. The questions were designed to get the views, related information from the respondents. Data were collected using well formulated questionnaires. The questionnaires were self-adjusted, validated and pre-tested. The respondents represent customers of 20 commercial banks of Nepal and total of 200 questionnaires were collected. The information related to customer satisfaction and service qualities were administered through questionnaires. The major conclusion of the study is that service quality variables of the commercial banks play a prominent role in determination of customer’s satisfaction. Assurance is the most important influencing factor of customer satisfaction. Service quality factors highly support the commercial banks for the competition. The study reveals that there is a positive relationship between reliability and customer satisfaction. It reveals that higher the reliability, higher would be the customer satisfaction. Similarly, the study shows that customer satisfaction is positively related with responsiveness. It reveals that higher the responsiveness higher would be the customer satisfaction. The beta coefficient for tangibles and expertise are positively related to customer satisfaction. It indicates increase in tangibles and expertise will leads to increase in customer satisfaction. The beta coefficient for reliability and responsiveness are positively related to customer satisfaction. It indicates increase in reliability and responsiveness will leads to increase in customer satisfaction. The beta coefficient for assurance is positive with customer satisfaction. It reveals that higher the assurance higher would be the customer satisfaction where beta coefficient is significant at 1 percent level.