The impact of market orientation on customer satisfaction and loyalty : an empirical study on Jordanian commercial banks

Other Title(s)

أثر التوجه نحو السوق على رضا العملاء و ولائهم : دراسة تطبيقية على البنوك التجارية الأردنية

Dissertant

al-Duwayk, Muhammad Walid

Thesis advisor

al-Hawwari, Sulayman

Comitee Members

al-Awn, Salim
al-Jawazinah, Bahjat Id
Hawajreh, Kamil

University

Al albayt University

Faculty

Faculty of Finance and Business Administration

Department

Department of Business Administration

University Country

Jordan

Degree

Master

Degree Date

2012

English Abstract

The main purpose of this study is to investigate the impact of market orientation on customer satisfaction leading to their loyalty in Jordanian commercial banks.

Customer orientation, competitor orientation and inter-functional coordination, were the components of market orientation in this study.

The population of this study was defined as all branch managers of Jordanian commercial banks in Amman who were 336 managers till December 2011.

Primary data were collected from 13 banks by disseminating 336 questionnaires to the key respondents who were the branch managers in that 13 bank.

An random sample of customers had answer the questions of satisfaction and loyalty there count were 369 customer.

Multiple regression analysis was used to fulfill the research objective.

The findings indicated that there is a high level of implementation of (1) market orientation and (2) a high level of customer satisfaction, thus loyalty within selected banks.

Multiple regression analysis indicated that there is a statistically significant impact of customer orientation on customer satisfaction but not on their loyalty, and that there is a statistical significant impact of competitor orientation on customer satisfaction and loyalty.

Finally a high significant impact for the inter- functional coordination on both satisfaction and loyalty were found.

According to the findings of this study, a number of recommendations were presented to enhance market orientation to reach customers satisfaction and loyalty in Jordanian commercial banks, Such as : (1) Jordanian commercial banks must be careful about the actions and activities of their current competitors without neglecting the threat of potential competitors and that process (tracking competitors) must be frequent, periodic, effective, efficient and on timely basis through marketing intelligence and many other formal–informal tools, (2)- Jordanian commercial banks should direct more of their capabilities toward benefiting their customers as much as possible, in addition to broaden the area of customer participation to express their needs and wants through several techniques such as : focus groups, efficient websites, activate customer service techniques, encouraging customer to state his- her opinions, suggestions or ideas and many other techniques, (3) It might be helpful to modify the organizational structure of Jordanian commercial banks in order to facilitate inter-functional coordination activities (by enhancing the type and speed of communication), in addition to institute organized databases to perform this task smoothly, in which relevant information is accessible to related parties, (4) Applying the research model within other sectors (different research settings) to investigate the differences and their implications, in addition to evaluate and reinforce the generalizability of the results.

Main Subjects

Economics & Business Administration

Topics

• Banks
• Consumer behaviour
• Jordan
• Banking

No. of Pages

91

Table of Contents

• APA
• MLA
• AMA

Language

English

Data Type

Arab Theses

Record ID

BIM-315845