BANKING SERVICES AND CUSTOMER'S SATISFACTION IN QATAR: A STATISTICAL ANALYSIS*

Khalid Al-Sulaiti Abdullah Al-Khulaifi Fawzi AI-Khatib
College of Business and Economics Qatar University

ABSTRACT
The main objectives of this study are to evaluate bank customer expectations of service quality and to assess whether bank services provided by these institutions are satisfactory to Qatari customers. The study also examines empirically the determinants of the buying behavior of bank customers in Qatar. A questionnaire for such purpose was designed and different statistical methods were applied. The policy implications to be derived from such statistical findings is that bank's management should focus on strength areas to confirm them and weakness areas to overcome them.

* This paper was accepted for publication in 2000. The delay in its publication until this issue was outside the editor’s control.

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SECTION 1
1-1 Introduction In recent years, the banking industry has undergone massive changes in scope and nature of its environment. Technological advances, increased competition, massive increases in income levels, and the expansion in economic activities, as well as the growing diversity of customer needs, have contributed to the increase in the scope of banks services, and to the elevation of the marketing department to the top levels of the organizational structure of the banking firm. In this competitive and ever changing environment, banks can ensure their survival and gain a competitive edge through the emphasis on using service quality as a means of differentiation. Banks want to know how to improve the service encounter. Banks face intense competition, volatile costs of funds, diminished customer loyalty and an expensive high-tech [1], [22]. The challenge for banks is to lower costs, increase efficiency, while improving the quality of their