Factors affecting customers' switching behavior in the Nepalese banking sector | |
| Author | Bhattarai, Krishna |
| Call Number | AIT RSPR no.SM-19-32 |
| Subject(s) | Customer services--Nepal Nepal Banks And Banking Consumer behavior--Nepal |
| Note | A research study submitted in partial fulfillment of the requirements for the degree of Master of Business Administration |
| Publisher | Asian Institute of Technology |
| Abstract | Customer switching is injurious to every bank in this competitive retail banking sector in Nepal. The modifications of the banking sector and advent of domestic and foreign private banks with extensive variety of new banking products is changing Nepalese banking sector. Such heterogeneity can have a positive or negative impact on the switching behavior of banking customers. Seven different variables of customer switching behavior i.e. "Price, Reputation, Service Quality, Customer Commitment, Effective Advertisement by competing banks, Response to service failure and Customer Satisfaction" that affects banking operation in Nepal are investigated in this study. The prime objective of this research is to recognize the factors affecting switching behavior of customers in banking sector in Nepal. Data was collected for this research through a survey of 230 bank account holders in Nepal. To analyze collected data descriptive and inferential statistics is used. Hypothesis was evaluated through multiple regression analysis. Overall findings infer that customers who are satisfied is less likely to switch banks. Contrary to past literature the findings state that price and advertisements from competitors did not affect customer switching behavior in any way. Furthermore, there is adverse relationship between unfavorable bank reputations with the dependent variable. Finally, customer commitment and service quality demonstrated positive relationship with switching behavior of customers. |
| Year | 2019 |
| Type | Research Study Project Report (RSPR) |
| School | School of Management (SOM) |
| Department | Other Field of Studies (No Department) |
| Academic Program/FoS | Master of Business Administration (MBA) (Publication code=SM) |
| Chairperson(s) | Viimolwan Yukongdi; |
| Examination Committee(s) | Badir, Yuosre F. M.;Zimmermann, Willi; |
| Scholarship Donor(s) | Asian Institute of Technology Fellowship; |
| Degree | Research Studies Project Report (M.B.A.) - Asian Institute of Technology, 2019 |