The Reality of Competitive Superiority in Yemeni Banks: A Comparative Study between Commercial Banks and Islamic Banks

Abstract

This study dealt with identifying the reality of competitive superiority as embodied in (the quality of service, customer retention, creativity and innovation, core capabilities). The research is performed through a comparative study between commercial banks and Islamic banks in Yemen. The researcher used  an analytical descriptive approach and data was collected through a questionnaire form. While (126) questionnaires were distributed, only (119) questionnaires were analyzed; (65) of them belong to the commercial banks and (54) belong to Islamic banks. The research paper concluded that there is no difference in competitive superiority in general in Yemeni banks according to the type of bank (commercial or Islamic). In addition to that, there is no difference in competitive superiority individually as represented in (the quality of service, customer retention, creativity and innovation, capabilities essential) in Yemeni banks according to the type of bank (commercial or Islamic). By the end of the study, the researcher provided some important recommendations which encourage the banks to adopt customer-oriented concepts and strategies in order to know their complaints, listen to them prudently, and find solutions to them. They also inspire the banks to have a continuous evaluation of the level of quality of service provided to customers. Furthermore, the recommendations included other important points such as providing new and innovative services, rewarding creative employees, encouraging new ideas, and finally introducing modern technologies by banks to achieve competitive superiority.