TABLE OF CONTENTS

DECLARATION ii

APPROVAL iii

DEDICATION iv

ACKNOWLEDGEMENT v

LIST OF TABLES x

ABSTRACT xi

CHAPTER ONE 1

BACKGROUND OF THE STUDY 1

1.0 Introduction 1

1.1 Background to the Study 1

1.2 Statement ofthe Problem 2

1.3 Purpose ofthe Study 3

1.4 Research Objectives 3

1.4 Research Questions 3

1.5 Scope of the Study 4

1.5.1 Geographical Scope 4

1.5.2 Content Scope 4

1.5.3 Time scope 4

1.6 Significance ofthe Study 4

CHAPTER TWO 6

LITERATURE REVIEW 6

2.0 Introduction 6

2.1 The Various forms of Customer Satisfaction 6

2.2 Ways through which customer satisfaction affects development 8

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2.3 Constraints to effective customer satisfaction 11

CHAPTER THREE 14

METHODOLOGY 14

3.0 Introduction 14

3.1 Research design 14

3.2 Area ofthe study 14

3.3 Population of study 14

3.4 Sample size and selection 14

3.5Sampledesign 15

3.6 Sources of data ~ 15

3.6.1 Primary data 15

3.6.2 Secondary data 15

3.7 Data collection methods 16

3.7.1 Questionnaires 16

3.7.2 Interviews 16

3.8 Data collection procedure 16

3.10 Data Validity and Reliability 16

3.11 Data processing, analysis and presentation 16

3.11.1 Data processing 16

3.11.2 Data analysis 17

3.11.3 Data presentation 17

3.12 Limitations of the study 17

CHAPTER FOUR 18

DATA PRESENTATION, ANALYSIS AND INTERPRETATION OF FINDINGS 18

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4.1 Introduction .18

4.2 Demographic Characteristics 18

4.2.1 Response Rate 18

4.1.1 Findings on the demographic information 19

4.1.2 Findings on Marital status of the respondents 19

4.1.3 Findings on Age bracket ofrespondents 19

4.1.4 Findings on level of education 20

4.1.5 Findings on Position held 21

4.1.6 Findings on the Period served in this organization 21

4.2 Descriptive Statistics 22

4.2.1 Forms of Customer Satisfaction Mechanisms Being Used by Serena Hotel 22

4.2.2 The Ways Customer Satisfaction Affects the Development ofthe Hotel Industry 24

4.2.3 Constraints to Effective Customer Satisfaction in Serena Hotel 26

CHAPTER 29

SUMMARY OF THE FINDINGS, CONCLUSIONS AND RECOMMENDATION 29

5.0 Introduction 29

5.1 Summary of the Study 29

5.1.1 Forms ofCustomer Satisfaction Mechanisms Being Used at Serena Hotel 29

4.2.2 The Ways Customer Satisfaction Affects the Development ofthe Hotel Industry 29

5.1.3 Constraints to Effective Customer Satisfaction at Serena Hotel 30

5.3 Conclusion 30

5.4 Recommendation to the Study 31

5.5 Areas for Further Study 32

REFERENCES 33

APPENDICES 35

ABSTRACT The purpose of the study was to assess the impact of customer satisfaction on the development of the hotel industry in Uganda. The objectives of the study were to identify the various forms of Customer satisfaction mechanisms being used in the hotel industry, to evaluate the ways through which Customer satisfaction affects the development of the hotel industry and to examine the constraints to effective Customer satisfaction in the hotel industry. The study was conducted using a Cross-sectional research design; this is because the researcher intends to involve a variety of respondents with knowledgeable information concerning the impact of customer satisfaction on the development of the hotel industry. Quantitative measures was employed through the use of questionnaires to capture numerical data. On the other hand, the researcher will employ the use of qualitative methods to obtain non numeric data since it was more detailed compared to the quantitative methods. From the fmdings, the majority ofthe respondents agreed that there is suggestion Box service as a form of Customer Satisfaction Mechanisms with a mean of 2.78 although some of the respondents had different views as shown by the standard deviation of 1.542. There is customer feedback with a mean of 4.00. However; some of the respondents had different views as shown by the standard deviation value of 1.355. Effective service delivery leads to Customer Satisfaction Mechanisms with a mean of 3.88 and some respondents, however, had different views as shown by the standard deviation of 1.136, Notification services increases customer satsfaction shown by a mean of 122 and standard deviation of 1.433. From the above findings, it was concluded that the effect of customer satisfaction in the hotel industry in Uganda is real as it is in the global hotel industry. As Uganda strives to be an industrialized nation by 2030, growth and development of the hotel industry cannot be underestimated as it is seen to contribute to this realization. The study recommends ffurther studies to be carried out on the determinants of customer satisfaction in hotels