Abstract:
Commercial Bank Ethiopia higher competition between banking sectors enforces these
businesses to increase the level of customer satisfaction. The purpose of this research is
to determine the factors affecting the preferences of customers’ decision bank to issue
credit. Description and explanatory design otherwise quantitative and qualitative
research approach employed. Using the Cochran formula, 384 people has been selected
as samples 190. Primary and seconder source of data used. The data collection tool used
open and close questionnaire filled by customers of Commercial Bank Ethiopia and
interviews were made with the management person. The Pearson correlation used to see
the relationship between the variables and multiple linear regression analysis was also
carried out to determine the effect of the independent variables on dependent variable.
The multiple linear Regression analysis results showed that the seven independent
variables namely service quality, technology and image and strategy had association
significance. The results indicate that financial factor have the highest priority among the
factors affecting the preferences of customers decision bank. In addition, the technology
factors, behavioral and altitude factors, physical factors, quality service and security are
placed after financial facilities, respectively. According to the allowance of the criteria of
customer preferences decision bank to issue credit and major determinant of customer
preference of decision bank in case commercial Bank of Ambo branch.
