Efficiency and client satisfaction of Islamic and conventional banks: A bilateral effect

• Authors: Talla Aldeehani
• Languages of publication: EN

Abstracts

EN

In this paper, we investigate the possible bidirectional causal relationship between bank efficiency and client satisfaction in the banking sector of Kuwait. For this purpose, we applied structural equation model (SEM) methodology. Based on a 5-point Likert scale questionnaire, data was gathered from Islamic banks (IBs) clients and conventional banks (CBs) client. We found a significant evidence of a, relatively, higher client satisfaction for IBs. The findings, also, provide evidence of a positive and significant bilateral causal relationship between client satisfaction and bank efficiency. This is a result that confirms an anticipated theoretical proposition related to the ultimate goal of firm value maximization. Discussions, interpretations, implications, and recommendations are provided.

Keywords

EN

Bank efficiency; Islamic banks; customer satisfaction bilateral effects

Discipline

• ECONOMICS: ECONOMICS

• Publisher: Prague Development Center, Czech Republic
• Journal: Business and Economic Horizons
• Year: 2018
• Volume: Volume 14
• Issue: Issue 2
• Pages: 282-299

Dates

published

2018-02-22

Contributors

author

Talla Aldeehani

• Department of Finance & Financial Institutions, College of Business Administration, Kuwait University

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