In the organization of services like hotel as the factors that can be important to improving quality ofrnservices, one is internal marketing. An Internal marketing activities in the development of an importantrnorganization is creating customer oriented employees. The main aim of internal marketing is having thernknowledge of the internal and external customers and removing the obstacles in the way to value andrnquality of services. The purpose of this research is to investigate the effect of internal marketing onrnemployeeâ€™s customer orientation in star hotels which are found in Addis Ababa. The study is conductedrnwith the objective of answering four basic questions i.e. to investigate the effect of motivation,rnempowerment, communication and training & development on customer orientation. In this research thernresearcher follows a deductive approach. This research is a descriptive and explanatory type of research.rnA quantitative method was used, whereby questionnaire was distributed to the employees of star hotelsrnthat are selected for the study. The effect of internal marketing on customer orientation was analyzedrnusing bivariate correlation and standard multiple regression. This study used IBM SPSS software tornconduct a bivariate correlation and standard multiple regression procedures to answer the basicrnresearch questions. The result indicates that all selected dimensions of internal marketing havernpositive and significant relation with customer orientation. Therefore, the hotels are recommended tornconsider implementing internal marketing principles to increase customer orientation of employeesrnas it is one of the competitive advantages of an organization to remain competitive in such dynamic,rnambiguous and turbulent business environment.