Environental scanning and customer values of selected commercial banks:
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Date
2019-06
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Publisher
Hallmark University Journal of Management & Social Sciences
Abstract
Abstract
Over time, there has been a shift away from using organisational capacity as sole metric of
performance. This is because of its inherent limitations of business performance is broad-based
progress that primarily depends on understanding of customer values, however, further advances
in the direction of customer values have led to the concept of environmental scanning. The
primary objectives of this paper are to examine the relationship between environmental scanning
and customer values, and the influence of environmental scanning on customer values in the
selected Nigerian commercial banks. The study adopted survey research design using crosssectional administration of research instrument among selected banks with total population of
70,380 customers, and sample size of 1,490 customers calculated using Watson (2001) formula
plus 30% of sample size determination as non -response rate orwrongly filled questionnaires. A
structured questionnaire of six point Likert scale was used with response rate of 90.2% (1,344)
Reliability and validation of items/constructs range between 0.75-0.85 as Cronbach-Alpha
coefficient. Data collection was analysed using correlation and regression analysis. Findings
showed that environmental scanning (ES) has a significant and positive relationship with
customer values (CV) (r =.544, p<0.005), and also, environmental scanning has a significant
positive influence on customer values of selected commercial banks in Lagos State Nigeria (B =
.945, t= 23.724, p<0.05).The descriptive analysis indicated that ES as a process and systematic
study of environment to identify needs and values for creating products and services ultimately
desired by the bank customers. The study recommended that commercial banks should
strategically employ technique of ES in an attempt to acquire information about organisations
environment in order to apply the knowledge that would help management in its task of charting
the organisational creating values and their performance, particularly