EFFECTS OF CUSTOMER RELATIONSHIP MANAGEMANT PRACTICE ON CUSTOMER SATSFACTION: THE CASE OF HARAR BREWERY SHARE COMPANY

Abstract

The study specifically assessed the effect of customer relationship management on the Customer satisfaction (the case of Harar Brewery Share Company. The objectives of the study were to examine the effect of customer relationship management on customer satisfaction (The case of Harar Brewery Share Company) this study was used Conveniences sampling technique, 224 sample size has taken from a total population. The statistical population of this study includes employees and Hotels (Customers) of Harar Brewery Share Company .In order to collect data self administrated questionnaire has been used. The Validity of this questionnaire has examined through KMO-Bartlett coefficients; this value is 0.83 for this questionnaire that confirms its validity. Crnobach’s alpha coefficient has been used to examine and confirm its reliability, that value was 0.90 for questionnaire that confirms its reliability. In order to test Hypotheses and analysis the data ordinal logistic regression model has been used in SPSS statistical software. However, empirical evidence shows to the effect of CRM on customer satisfaction. The study proposes six dimensions of CRM capabilities Customer orientation, customer service quality, potential customer focus, CRM process CRM knowledge management, and CRM based technology. Data used to validate the research mode were collected through closed and open ended questions. Descriptive and infrtail statistics was used to test the research hypotheses. All CRM proposed dimensions showed significant link to customer satisfaction. However, when all effect was considered simultaneously, CRM organization emerged as the only significant predictor of customer satisfaction. According to Pseudo R2 Statistical measures the model shows that 77.2% of variance on effect of customer relation management on customer satisfaction with six independent variables. Therefore the model shows to predict 22.8% other variables to construct future researches.