ĐẠI HỌC QUỐC GIA HÀ NỘI KHOA QUẢN TRỊ VÀ KINH DOANH --------------------- ĐINH HOÀNG AN FACTORS INFLUENCING CUSTOMER INTENTION TO PURCHASE AUTOMOBILE IN HANOI CÁC NHÂN TỐ ẢNH HƯỞNG ĐẾN Ý ĐỊNH MUA Ô TÔ CỦA KHÁCH HÀNG TẠI HÀ NỘI LUẬN VĂN THẠC SĨ QUẢN TRỊ KINH DOANH HÀ NỘI - 2019 TIEU LUAN MOI download : skknchat@gmail.com ĐẠI HỌC QUỐC GIA HÀ NỘI KHOA QUẢN TRỊ VÀ KINH DOANH --------------------- ĐINH HOÀNG AN FACTORS INFLUENCING CUSTOMER INTENTION TO PURCHASE AUTOMOBILE IN HANOI CÁC NHÂN TỐ ẢNH HƯỞNG ĐẾN Ý ĐỊNH MUA Ô TÔ CỦA KHÁCH HÀNG TẠI HÀ NỘI Chuyên ngành: Quản trị kinh doanh Mã số: 60 34 01 02 LUẬN VĂN THẠC SĨ QUẢN TRỊ KINH DOANH NGƯỜI HƯỚNG DẪN KHOA HỌC: PGS. LÊ ANH TUẤN HÀ NỘI - 2019 TIEU LUAN MOI download : skknchat@gmail.com DECLARATION The author confirms that the research outcomes in the thesis is the result of author‘ independent work during study and research period and it is not yet published in other‘s research and article. The other‘s research result and documentation (extraction, table, figure, formula and other document) used in the thesis are cited properly and the permission (if required) is given. The author is responsible in front of the Thesis Assessment Committee, Hanoi School of Business and Management, and the laws for above-mentioned declaration.
TIEU LUAN MOI download : skknchat@gmail.com TABLE OF CONTENTS LIST OF TABLES .i LIST OF FIGURES. iii CHAPTER 1 INTRODUCTION. Rationale of the research. Scope of the study.
Significance of the study. Structure of the research. 6 CHAPTER 2 LITERATURE REVIEW. Definitions of Terms.
Definition of customer purchasing intention. Definition of customer purchasing intention process. Customer intention to purchase auto. Conceptual research model and research hypotheses.
Factors influencing on customer purchasing intention in automobile. 23 CHAPTER 3 RESEARCH METHODOLOGY. Survey of questionnaire. Design of the survey.
31 TIEU LUAN MOI download : skknchat@gmail. Data analysis techniques. 33 CHAPTER 4: EVALUATION OF CUSTOMER INTENTION TO PURCHASE AUTOMOBILE IN HANOI. Descriptive statistics analysis.
Explanatory factor analysis for independent variables. Explanatory factor analysis for dependent variables. Multiple linear regression. 56 CHAPTER 5: RECOMMENDATIONS TO VIETNAMESE AUTOMOBILE ENTERPRISES.
67 TIEU LUAN MOI download : skknchat@gmail.com LIST OF TABLES Table 1.1: Vehicle sales in the ASEAN region by market, 2013-16 .1: Survey of Questionnaire‘s Items.2: Summary of data analysis techniques .1: Mean value analysis .2: Reliability level of consumer purchasing intention .3: Reliability level of brand awareness .4: Reliability level of perceived value .5: Reliability level of brand personality.6: Reliability level of product quality .7: KMO and Bartlett‘s Test for independent variables .8: Total Variance Explained Table for independent variables .9: Rotated Component Matrix for independent variables .10: KMO and Bartlett‘s Test for dependent variables .11: Total Variance Explained Table for dependent variables .12: Rotated Component Matrix for dependent variables .13: Independent Sample T-Test for Gender.14: On-Way ANOVA for Age .15: On-Way ANOVA for Age with Tukey B test .16: On-Way ANOVA for Income per annum.17: On-Way ANOVA for Income per annum with Tukey B test .18: On-Way ANOVA for Occupation .19: On-Way ANOVA for Occupation with Tukey B test .20: Multiple linear regression .21: Multiple linear regression between customer purchasing intention and items of brand awareness .22: Multiple linear regression between customer purchasing intention and items of perceived value.60 i TIEU LUAN MOI download : skknchat@gmail.23: Multiple linear regression between customer purchasing intention and items of brand personality .24: Multiple linear regression between customer purchasing intention and items of product quality .62 ii TIEU LUAN MOI download : skknchat@gmail.hanoi LIST OF FIGURES Figure 1.1: GDP growth rate of countries in Southeast Asia .2: How do Vietnamese consumers spend their spare cash? .1: Customer purchasing intention process .2: Brand equity model .3: Income per annum summary .hanoi TIEU LUAN MOI download : skknchat@gmail.hanoi CHAPTER 1 INTRODUCTION 1. Rationale of the research Vietnam is successful story in term of economic renovation since the government conducts economic transformation from state-owned management to market-oriented management (Pincus, 2015). The country gains significant result in term of economic development and better living standards for local people (The World Bank Group, 2016). In term of economic development, Vietnam obtains significant results in GDP growth rate.
According to Asian Development Bank (2018), GDP growth rate of the country during 2015, 2016, and 2017 are 6.8% respectively and it is forecasted up to 7. Asian Development Bank (2018) also estimates that GDP growth rate of Vietnam is highest compared to GDP growth rate of other countries in Southeast Asia in 2018.1: GDP growth rate of countries in Southeast Asia Source: Asian Development Bank (2018) The context of Vietnamese people have better living standards is proven through the fact that Vietnam has high GDP per capita growth rate. Asian Development Bank (2018) reports the growth rate of Vietnamese GDP per capita is improved from 5. It is forecasted that GDP per capita 1 (LUAN.hanoi TIEU LUAN MOI download : skknchat@gmail.hanoi growth rate is 6.
Vietnam is also ranked at second position in term of highest GDP per capita growth rate and the country is only after Cambodia with GDP per capita growth rate of 6. Vietnam also has stable politics with political stability index is improving over the years (The Global Economy, 2018). It is worthwhile to capture a trend of which more and more Vietnamese people are moving from rural to urban area. The World Bank (2018) reports that urbanization rate of Vietnam is 34.2% in 2016 compared to 28.5% in last 10 years ago.
Moreover, disposal income of Vietnamese people is being increased over last few years and it is determined as key motivation for the change of consumer behavior (Nielsen, 2018). People in Vietnam have high consumer confidence index and the country is being ranked in top 10 countries in the global ranking provided by The Conference Board (2018). Moreover, based on the speed of social development, the demand of travelling and relaxing after hard-working is increasing to reduce stress and pressure people get every day in their busy lives (Wang 2001, Terry 2010). The ―tourism‖ phenomenon is perceived in the human life as a necessity which is ―created‖ by man, ―for‖ man and ―with‖ man.
Definitely, tourism can be seen as a way that ―man‖ serves ―man‖ to relax and enjoy the life based on supports from natural conditions (Nakajima 2003, Cheia 2013). Thus, benefits of tourism include not only understanding and researching new destinations‘ cultures and customs such as different places‘ mystery, history and habits, but also recovering health and improving the human labor productivity (Roxana 2012, Chen 2013). Vietnamese people have preference towards non-food products and they spend their spare cash to holiday and vacations, new clothes, new technology products, home improvements, out of home entertainment, and medical and insurance services. Among various consumption purposes for spending spare cash, the study drives its interest towards holiday and vacation since the consumption rate of this category is about 44% and it is only lower than the consumption rate of new clothes which is about 49% (Nielsen, 2018).hanoi TIEU LUAN MOI download : skknchat@gmail.2: How do Vietnamese consumers spend their spare cash? Source: Nielsen (2018) The automobile industry in Vietnam is relatively in early stage of development.
Before 1992, most of vehicles belonged to the government and they were mainly imported from Soviet Union or the group of socialist states of Central and Eastern Europe. In addition, it is notable that Vietnam conducts economic renovation in 1986 aiming at stimulating and liberalizing the economy. Such economic reformulation created opportunities to develop automobile industry by granting auto assembly licenses to more than 30 regional assemblers (PricewaterhouseCoopers – PwC, 2007). It was the first time when global automotive manufacturers such as Mitsubishi, Toyota, and Isuzu started their business and operational chains in Vietnam during 1995.
Yozi (2013) emphasizes that production and sales of automobiles in ASEAN‘s nations have been upward recently. Pugliese (2017) provides statistics about vehicle sales in ASEAN region from 2013 to 2016.hanoi TIEU LUAN MOI download : skknchat@gmail.1: Vehicle sales in the ASEAN region by market, 2013-16 Country 2013 2014 2015 2016 % change Indonesia 1,229,901 1,208,019 1,013,300 1,060,000 -4.2 Source: Pugliese (2017) Table 1 shows that Vietnam gains high percentage of change during 2013- 2016 (30.3%) and it is only after two countries as Philippines (30. However, number of vehicle sales in Vietnam is much lower than in the other countries. During 2016, there are 271,833 vehicles sold in Vietnam while these number in Indonesia, Thailand, and Malaysia are more than double.
Moreover, Table 1 indicates that Vietnam gains high potential development in automobile market with strong annual growth rate while other markets like Indonesia and Thailand see a decline in their yearly vehicle sales. In this context, the competition in Vietnam‘s automobile industry is very high and automobile manufacturers need to have clear business strategy to cope up with threats and to take advantage of opportunities from the market as well as to rely on major strengths to overcome major weaknesses. In Vietnam, there are some studies that are developed by local researchers to detect customer purchasing intention towards automobile product. For example, Mai & Ngo (2017) measure the effect of event sponsorship on customers‘ brand awareness and purchase intention in Vietnamese automobile market.
Quantitative research method is applied and it is identified that the sponsored event and event involvement have both direct and indirect influence on customer purchasing intention but the impacts are generally very low. Bui (2015) utilises qualitative 4 (LUAN.hanoi TIEU LUAN MOI download : skknchat@gmail.hanoi research method to evaluate about innovative vehicle in Vietnam. However, this study is based on secondary data and it lacks of empirical measurement about how customer purchasing intention is influenced by which factors and what the level of the impacts are. In this context, this study is developed with strong focus on both weaknesses in previous studies of local researchers: one is to identify the factors that have high overall explanation to changes of customer purchasing intention in Vietnamese automobile market and second is to identify how the level of impacts of chosen factors are.
Research objectives This study is developed with following research objectives: To get in-depth understand about customer purchasing intention and customer purchasing process. To examine factors influencing customer intention to purchase automobile in previous studies. To measure the influences of factors on customer intention to purchase automobile in Hanoi, Vietnam. To provide recommendations for automobile dealers to strengthen their sales.
Research object Research object refers to customers who want to purchase automobile in Hanoi, Vietnam. Scope of the study Content: This research focuses on customer intention to purchase automobile in Hanoi, a capital of Vietnam. By determining the factors and measuring the influences of factors on customer intention to purchase auto, the study will help other researchers and business practitioners in automobile industry in Vietnam to provide certain marketing programs to foster sale revenues and volume respectively. Location: This research is carried out in Hanoi, Vietnam.
The survey of questionnaire is developed and then it is delivered to the customers who have been intention to purchase automobile in three automobile dealers of Toyota, Honda, and 5 (LUAN.hanoi TIEU LUAN MOI download : skknchat@gmail.hanoi General Motors. Significance of the study This study will identify what the level of customer purchasing intention towards automobile products in Vietnam and it helps the auto dealers in Vietnam to understand their customer preference and then they can decide which appropriate marketing strategies to leverage the customers‘ demands especially when Vietnam auto market is optimistic with a lot of demand from local citizen for purchasing auto products for both personal and business purposes. This study is also significant to other researchers since they can find a good summary about previous studies about customer purchasing intention towards auto products as well as good key finding for Vietnam market.