Marketing Research Study On Customers' Response Towards Bank Of America Essay.

Overview of Bank of America and its operations

It is observed that the average age of the household head is 69.04 years with standard deviation of 9.376 years. It is concluded that there is sufficient evidence that the two categorical variables importance of performance of investments and importance of fees or commission charged are not independent from each other. There is sufficient evidence to conclude that the quality of advice is depends on the quality of service. There is sufficient evidence to conclude that the education of the household head is related to the status of household head retirement.

The study of the operations in the Bank is important for the decision making for different bank policies. The Bank of America is the largest bank holding company in the United States by assets, and it is also second largest bank by the market capitalization. Bank of America provides banking service to its individual consumers, small and midsize businesses, and large corporations. The Bank of America provides full range of banking, investment, asset management, and other financial products and services. Bank of America serves in the 150 countries. We have to study the customer responses regarding the Bank of America. We have to study different aspects of the customer review. We have to study the customer responses for the different responses recorded for the questions in the questionnaires. We have to analyse these responses for the understanding of customer review. By observing these review we get idea about the different aspects regarding the bank customers.

The Bank of America has lots of customers including international customers. The Bank of America has its relationships with 99% of the U.S. Fortune 500 companies. The global consumer and Small Business Banking (GC&SBB) is the largest division of the bank. This branch deals with the operations regarding credit card and other financial activities. Bank of America has Global financial operations. Bank has its operations in America, Asia, Europe and Africa. The Bank of America has the strong competitor as the Citigroup, Wells Fargo, and JPMorgan Chase and Company. Also, Bank has strong competition with the local banks in the different areas. There are some marketing issue and the customer review is useful for solving these issues.

For this marketing research study, the hypotheses established for this study are summarised as below:

H1: The two categorical variables importance of performance of investments and importance of fees or commission charged are independent from each other.

Analysis of customer responses

H2: The quality of advice is not depends on the quality of service.

H3: The education of the household head is not related to the status of household head retirement.

For any type of research study, it is important to use the proper research design for getting the unbiased results. After the data collection from the respondents from the targeted population, it is important to analyse the data by using the proper statistical methodology and use the proper research design. Respondents are selected randomly for this research study and responses from the each respondent are collected by using the well prepared questionnaires. All types of errors are minimized or avoided during the process of collection of responses through questionnaires. After the collection of responses from the respondents, the data is organized in the well prepared sheets or excel sheet. Then this data is used for the further statistical analysis by using different statistical tools and techniques. Let us see this data analysis methodology in next topic.

For this research study, it is important to use the different statistical tools and techniques. The use of descriptive statistics and inferential statistics is useful for analysis of the claims or hypotheses established with this research study. For understanding the overall view of the collected responses for different categorical variables, the frequency distribution tables are used for easy understanding of the data for different questions from the questionnaire. These frequency distribution tables give the proper idea of distribution of the responses and overall opinions of the respondents. For checking the hypotheses for independence of the different categorical variables, the chi square tests of independence are used at the 5% level of significance. The statistical analysis is performed by using SPSS.

Most of the respondents say that the performance of the investments with provider is very important or extremely important. But for the importance of fees or commissions charged, the respondents say that it is somewhat important or very important. Most of the respondents say that the depth of products and services to meet the range of your investment needs is very important.  Also, most of respondents say that the ability to resolve the problems is very important and extremely important. But it is observed that the online services offered are not very important or extremely important, most of the respondents say that it is somewhat important. The performance of investments with provider is good or very good most of the times.

Hypotheses related to bank's operations

From the given data for the age of household head, it is observed that the average age of the household head is 69.04 years with standard deviation of 9.376 years. The minimum age of the household head is observed as 34 years and maximum age of the household head is observed as 89 years.

For checking the hypothesis or claim whether the importance of performance of investments with the provider is independent from the importance of fees or commissions charged, it is useful to use the Chi square test for independence of two categorical variables. For this test, the categorical variables are given as performance of investments and importance of fees or commission charged. The null and alternative hypothesis for this test is summarised as below:

Null hypothesis: H₀: The two categorical variables importance of performance of investments and importance of fees or commission charged are independent from each other.

Alternative hypothesis: H_a: The two categorical variables importance of performance of investments and importance of fees or commission charged are not independent from each other.

For this test, the p-value is given as 0.00 which is less than the level of significance or alpha value 0.05, so null hypothesis is rejected at the 5% level of significance. It is concluded that there is sufficient evidence that the two categorical variables importance of performance of investments and importance of fees or commission charged are not independent from each other. Thus these two variables are dependent.

For checking the hypothesis or claim whether the quality of advice is depends on the quality of service or not, it is important to use Chi square test of independence. The null and alternative hypotheses are summarised as below:

Null hypothesis: H₀: The quality of advice is not depends on the quality of service.

Alternative hypothesis: H_a: The quality of advice is depends on the quality of service.

The significance level or alpha value for this test is considered as 5%. The p-value for this test is given as 0.00; this means the null hypothesis is rejected at 5% level of significance. There is sufficient evidence to conclude that the quality of advice is depends on the quality of service.

Is the education is related with the status of household head retirement? For answering this question or checking this claim, it is need to use same chi square test for independence of two categorical variables. The null and alternative hypothesis for this test is given as below:

Null hypothesis: H₀: The education of the household head is not related to the status of household head retirement.

Alternative hypothesis: H_a: The education of the household head is related to the status of household head retirement.

The significance level for this test is assumed as 5%. The p-value for this test is given as 0.003 which is less than the alpha value 0.05. So, there is sufficient evidence to conclude that the education of the household head is related to the status of household head retirement.

Conclusions

• It is observed that the average age of the household head is 69.04 years with standard deviation of 9.376 years.
• It is concluded that there is sufficient evidence that the two categorical variables importance of performance of investments and importance of fees or commission charged are not independent from each other.
• There is sufficient evidence to conclude that the quality of advice is depends on the quality of service.
• There is sufficient evidence to conclude that the education of the household head is related to the status of household head retirement.

It is recommended that to increase the number of young customers in more proportion as the survey responses shows that the number of young customers is less. It is found that the quality of advice is depends on the quality of service. So, it is recommended that the quality of the service in the Bank of America should be improved. If the quality of the service would be improved, the number of customers would be increased also. Also, it is recommended that to use the different results from the survey results for the growth of the Bank. Some of the relationship suggests the necessary actions for improvement of the bank operations.

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