UEH UNIVERSITY COLLEGE OF BUSINESS SCHOOL OF MATHEMATICS - STATISTICS ESSAY PRESENTED FOR TOPIC: THE EFFECT OF PRODUCT QUALITY, SERVICE STATISTICS QUALITY, FOR BUSINESS CONVENIENT ANDAND FACILITY, ECONOMIES STORE ATMOSPHERE ON THE REPURCHASING INTENTION OF STUDENTS IN HCM CITY: THE CASE STUDY OF CONG CAFÉ. TRAN MAI DONG GROUP 4 ABSTRACT Due to the growing popularity of coffee and coffee shops in Vietnam nowadays, there has been an influx of cafes serving a variety of customers. With the expanding popularity of cafes offering a range of roles in Vietnam's main cities, students in Ho Chi Minh City are significantly influenced when deciding where to go for coffee by product quality, service quality, convenient facility, and store atmosphere. Moreover, according to The Stimulus Organism Response model (SOR Model), and The Theory Of Planned Behavior (TPB), the effect of these four main factors of products and services on customer intention to repurchase is positive.
Inheriting previous studies, this research aims to investigate the impact of product quality, service quality, convenient facility, and store atmosphere to create functional value and emotional value leading to the repurchasing intention in the case of coffee shops among students in Ho Chi Minh City. The study employs a quantitative research method, using a survey questionnaire to collect data from 200 students who are currently studying at universities in Ho Chi Minh city. The data is analyzed to examine the relationships between product quality, service quality, convenient facility, and store atmosphere expressed through functional value and emotional value to the repurchasing intention. These findings contribute to the understanding of how product quality, service quality, convenient facility, and store atmosphere create functional value and emotional value that influence the decision-making repurchasing process of students in Ho Chi Minh City when selecting the coffee shop.
Besides, this research provides insights and recommendations for coffee shop owners to enhance their strategies to increase students' repurchase intention. KEYWORDS: product quality, service quality, convenient facility, store atmosphere, coffee shop, repurchasing intention, Ho Chi Minh city. 1 Table of Contents ABSTRACT 1 LIST OF ABBREVIATIONS 3 CHAPTER 1: INTRODUCTION 4 1.1 Reason for the research.3 Subject and scope of the research.6 CHAPTER 2: THEORETICAL BACKGROUND AND HYPOTHESES 8 2.1 Basic concept of the study.5 Functional value and emotional value.2 Theoretical background of the research model.1 The Stimulus Organism Response model (SOR Model).14 2 Too long to read on your phone? Save to read later on your computer 2.2 The theory of planned behavior.3 Overview of research papers related to the research.17 Save to a Studylist 2.1 Examining the Role of Emotional and Functional Values in Festival Evaluation (Lee, J.2 An empirical study to diagnose the outcomes of customers’ experiences in trendy coffee shops (Nadiri, H.3 The effects of retail store characteristics on in-store leisure shopping experience (Triantafillidou, A.4 Factors affecting repurchase intentions in retail shopping: An empirical study (Chatzoglou,P.4 Hypothesis and proposal research model.2 Proposal research model.29 CHAPTER 3: RESEARCH METHOD 30 3.2 Data analysis method.1 Sampling size method.36 CHAPTER 4: DATA ANALYSIS RESULTS 41 4. Description of the study sample.
Scale evaluation results. Check the measurement model. Structural Model Check.45 CHAPTER 5: CONCLUSION AND RECOMMENDATIONS 51 5. Meaning of the study.2 Conclusion and implications.
54 REFERENCES 56 APPENDIX 62 Appendix 1: The questions of quantitative research.62 APPENDIX 2: Description statistics.66 APPENDIX 3: Result of checking the measurement model.67 APPENDIX 4: Result of checking Structural Model.72 4 LIST OF Table 3.1: Nominal and interval scales.1: Study sample characteristics…….1a: Cronbach Alpha, CR và AVE reliability analysis 45 Table 4.1 b: Result of factor loading factor in the first time.1c: Result of factor loading factor in the second time.1d: Correlation between research concept structure (Fornell-Larcker).2b: Structure model quality.2c: Result of effect size test f².2d: Result coefficient (Q²) in the model.2e: Multivariable regression results – Bootstrap 5000 samples.53 5 LIST OF ABBREVIATIONS Abbreviations Definition CF Convenient facility CS Customer satisfaction EV Emotional value FV Functional value PQ Product quality SA Store Atmosphere SQ Service quality RI Repurchase intention CHAPTER 1: INTRODUCTION 1.1 Reason for the research Product quality, service quality, convenient facility, and store atmosphere are the top four basic factors when people consider the use of a product and service, especially products in the food and beverage industry. These main factors affect the two core values are functional value and emotional value which give a strong influence on customer 6 satisfaction and then on the repurchasing intention. With the growing popularity of cafes serving a variety of functions in Vietnam's major cities, students in Ho Chi Minh City are heavily impacted by product quality, service quality, convenient facilities, and store atmosphere when picking where to go for coffee. Vietnam is a country with a coffee culture deeply imprinted in society and reflected in the regular coffee consumption habits of Vietnamese people.
Because of the increasing demand for coffee and going to coffee shops, there have been many cafes with various purposes for various customers. Young Vietnamese people go to coffee not only to enjoy the coffee, but they also go to coffee shops for many different purposes such as group study, self-study, photography, work, reading, relaxation, dating, etc. With different intentions, customers have different requirements for the form of coffee shop business. Obviously, coffee shop owners also began to change and integrate multiple uses to adapt to changing consumer needs.
Furthermore, social media has become the most effective channel for marketing and promoting coffee shops and their products, and the two core values functional value and emotional value (which are expressed through product quality, service quality, convenient facility, and store atmosphere) play a significant role in affecting students' customer satisfaction and repurchase intentions to go to cafes. We selected a typical coffee chain brand that is famous nationwide and present in major cities, Cong coffee, to conduct analysis and research on the influence of product quality, service quality, convenient facility, and store atmosphere on customer satisfaction and then to the Repurchasing Intention of students in Ho Chi Minh city. Despite the growing importance and outstanding growth of coffee shops in Vietnam, research on the topic is still limited. This study seeks to fill that gap by exploring the influence of product quality, service quality, convenient facility, and store atmosphere on Repurchasing Intention of students at Ho Chi Minh City: The case of Cong cafe.2 Research objectives The purpose of this research is to examine the effect of perceived values on customer satisfaction and finally to the repurchase intention of students in Ho Chi Minh City in the case of Cong cafe.
To achieve this, this study will: Evaluate the factors that influence the influence of product quality, service quality, convenient facility, and store atmosphere on customers' value and experiences, as well as their impact on customer satisfaction and post-purchase intents of students in Ho Chi Minh City at Cong café. Examines customer value and customer experiences on students in Ho Chi Minh who visited Cong café. Provide insights for Cong café on how to leverage the benefits of product quality, service quality, convenient facility, and store atmosphere, based on the findings from the quantitative analysis.3 Subject and scope of the research 1.1 Research subject The research subject is divided into two parts: analysis and survey. The subject of the analysis will be the impact of coffee shop quality related dimensions on customer value, the impact of customers' perceived values on customer satisfaction, and post purchase intentions.
The survey subject involves online consumers who usually go to coffee shops or love going to coffee shops in Ho Chi Minh City. The study will gather data from these individuals to better understand the impact of coffee shop quality related dimensions and perceived values on their online customer satisfaction and then on the repurchasing behavior.2 Research scope This study will be conducted in Ho Chi Minh City, one of the largest cities in Vietnam and consistently ranking high in the E-commerce index since 2017 (VECOM, 2021), the widespread access to the internet and social networking sites make it easy for consumers to find and compare quality dimensions on online platforms and also reach the functional value and emotional value of the fields they are interested in, especially here in cafes. We chose Cong cafes because they provide essential products and services widely used, especially by university students. The survey targets individuals who regularly go to cafes and have a good understanding of big brands of cafes.
Data for this survey was collected between March 17th to March 21st, 2023.4 Research methodology This study adopts quantitative research methods to research and solve the problem that has been proposed. The survey was conducted with 200 participants and the collected data was used to test research models and hypotheses. After removing unsatisfactory surveys and encoding the data, we use SmartPLS to test the models and research hypotheses.5 Research contribution This research has made major contributions both academically and practically. Academically, this study has contributed to a better understanding of how product quality, service quality, convenient facility, and store atmosphere affect cafe customer satisfaction and then to the repurchasing intentions in general, and Cong café in particular by synthesizing and evaluating the model in the context of Vietnam, especially Ho Chi Minh City.
The research models and assumptions produced in this work can be useful for future research in related domains. 9 In reality, the study's findings give significant insights into attracting customers and enhancing revenue for managers and marketers in the food and beverage business in general, and cafés in particular. The study is also useful for academics, students, and anybody else interested in investigating the influence of product quality, service quality, convenient facility, and store atmosphere on customer repurchase intention. 10 CHAPTER 2: THEORETICAL BACKGROUND AND HYPOTHESES 2.1 Basic concept of the study 2.1 Product Quality Product quality is a key element influencing the buying decision.
Product quality is the capacity of a product to perform its function (Kotler et al., 2013; Ma et al. This encompasses general product attributes like accuracy, ease of use, and repairability. On the other hand, the totality of a product's features and characteristics is another definition of product quality. These terms refer to a product or service's features and characteristics that can fulfill stated or actual requirements (Zhu et al.
The primary concept that businesses should develop is to produce goods or services that consumers like by providing the best quality. The businesses must continuously enhance their offerings. The capacity of the business to produce high-quality products will boost its competitiveness. The business will then be able to last over the long term.
Product excellence as perceived by consumers (Gök, Ersoy, & Börühan, 2019), overall customer evaluation of a product (Armstrong & Kotler, 2015), and ability to satisfy consumers' requirements explicitly and implicitly are just a few examples of how to define product quality (Xu, Blankson, & Prybutok, 2017). Purchase choices are significantly influenced by the quality of the products. Every buyer anticipates receiving a product of high quality. Customers increasingly consider quality when making purchasing decisions.
Customers will be more likely to purchase products from businesses if they can demonstrate excellent product quality. Gunadi (2015) demonstrated how purchasing decisions were impacted by product quality. Similar studies by Rizan, Nauli, and Mukhtar (2017), Saputra and Dian Lestari (2017), and Suhaily and Darmoyo (2017) demonstrated that the purchase choice was significantly influenced by the product quality. Product quality not only affects a buyer's choice, but it also increases the value of a customer.
According to Dadwal (2017), one of the crucial elements to 11 raising customer worth was product quality. In a similar vein, Razak, Nirwanto, and Triatmanto (2016) and Mbango (2019) hypothesized that customer worth is influenced by product quality.2 Service quality Authors like Joseph M. Juran, Kaoru Ishikawa, and W. Edwards Deming introduced the idea of service quality in the early 1930s, which was used to assess and gauge service quality in the creation of intangible products.