---------***-------- GRADUATION THESIS Major: BUSINESS ENGLISH FACTORS AFFECTING ONLINE PURCHASE DECISION OF CUSTOMERS ON FACEBOOK FAN PAGE: A STUDY OF “VIETTIEN SHIRT” Student: Student ID: Class: Intake: Supervisor: Ho Chi Minh City, tháng 2 năm 2020 i STATEMENT OF AUTHORSHIP This thesis is my personal research, conducted under the scientific guidance of Master ___________. All statistics are truthful and not yet published in any other study. I am solely responsible for this assurance. Ho Chi Minh City, April 2020 ____________________ ii ACKNOWLEDGEMENT I would like to express my sincere acknowledgement and deep gratitude to the teachers of Foreign Trade University, especially the foreign language teachers of the school, for facilitating me in the process of doing a good thesis.
I would also like to appreciate Ms. _____ for enthusiastically guiding me to successfully complete this thesis. In the process of doing research, due to the limited knowledge as well as practical experience, the thesis cannot avoid mistake, I am looking forward to receiving suggestions from teachers so that I can learn more experience and better complete this thesis. Thank you sincerely.
iii CONTENTS CHAPTER 1: INTRODUCTION. EMPIRICAL RESEARCH MODELS RELATED TO FACTORS AFFECTING ONLINE PURCHASE DECISION OF CUSTOMERS ON FACEBOOK FAN PAGE. RESEARCH OBJECTS AND SCOPE:. Error! Bookmark not defined.
SUMMARY OF CHAPTER 1. 9 CHAPTER 2: LITERATURE REVIEW. OVERVIEW OF CUSTOMER, ONLINE PURCHASE DECISION AND FACEBOOK FAN PAGE. DEFINITION, CLASSIFICATION AND CHARACTERISTICS OF CUSTOMER.
CUSTOMER PURCHASE DECISION MAKING. ONLINE PURCHASE DECISION MAKING PROCESS OF CUSTOMER. FACEBOOK FAN PAGE:. OVERVIEW OF VIETTIEN SHIRT AND VIETTIEN SHIRT FACEBOOK FANPAGE:.
THE FACEBOOK FANPAGE OF VIETTIEN SHIRTS:. THEORETICAL MODELS OF DECISION MAKING:. SEQUENTIAL MODELS OF DECISION MAKING. NON-SEQUENTIAL MODELS OF DECISION MAKING.
PROPOSED RESEARCH MODEL AND HYPOTHESIS:. PROPOSED RESEARCH MODEL. 32 SUMMARY OF CHAPTER 2. RESEARCH APPROACH AND PROCESS.
PRELIMINARY ASSESSMENT OF SCALE OF MEASUREMENT. SCALE OF MEASUREMENT DEVELOPMENT:. 40 SUMMARY OF CHAPTER THREE. 44 CHAPTER 4: RESEARCH OUTCOMES.
STATISTICS OF THE SAMPLE’S DEMOGRAPHIC PROFILE. STATISTICS OF CONSUMERS’ ONLINE PURCHASE BEHAVIORS TOWARD VIETTIEN SHIRT. OUTCOMES OF CRONBACH’S ALPHA COEFFICIENT OF RELIABILITY ANALYSIS. OUTCOMES OF CRONBACH’S ALPHA COEFFICIENT OF RELIABILITY ANALYSIS FOR INDEPENDENT VARIABLES.
OUTCOMES OF CRONBACH’S ALPHA COEFFICIENT OF RELIABILITY ANALYSIS FOR DEPENDENT VARIABLES. OUTCOMES OF EXPLORATORY FACTOR ANALYSIS. OUTCOMES OF EXPLORATORY FACTOR ANALYSIS FOR INDEPENDENT VARIABLES. OUTCOMES OF EXPLORATORY FACTOR ANALYSIS FOR DEPENDENT VARIABLES.
RESEARCH MODEL AND HYPOTHESES AFTER ANALYSIS:. RESEARCH HYPOTHESES EXAMINATION:. PEARSON’S CORRELATION COEFFICIENT ANALYSIS. RESEARCH HYPOTHESES EXAMINATION:.
DETECTION OF NECESSARY ASSUMPTION VIOLATION. SUMMARY OF INDEPENDENTS’ OUTCOMES:. EASE OF USE. ADVERTISING AND PROMOTION.
65 SUMMARY OF CHAPTER 4. 65 CHAPTER 5: CONCLUSIONS AND RECOMMENDATIONS. SUMMARY OF RESEARCH RESULTS:. DISCUSSION ON FACTORS AFFECTING ONLINE PURCHASE DECISION ON FFP TOWARD VIETTIEN SHIRT.
LIMITATIONS AND ORIENTATION FOR FUTURE RESEARCH:. ORIENTATION FOR FUTURE RESEARCH. 72 SUMMARY OF CHAPTER 5. 72 vi ABBREVIATIONS No Full Text Abbreviations 1 Facebook Fan Page FFP 2 Viettien Garment Corporation VTEC 3 Exploratory factor analysis EFA 4 Multiple Linear Regression MLR 5 Variance Inflation Factor VIF 6 Kaiser-Meyer-Olkin Measure KMO 7 Hypotheses H vii LIST OF FIGURES No Name of Figures Page 1 Figure 1.1 Statistics of internet usage in Vietnam on Nov 21, 2019 1 2 Figure 1.2 Statistics of Frequency of internet users in Vietnam 2019 2 3 Figure 1.3 The proportion of people interacting on social networks in Vietnam 2019 2 4 Figure 2.1 The home page of Viettien Shirts on FFP 23 5 Figure 2.2 Statistic of number of customers’ like and interaction on FFP 24 6 Figure 2.3 Statistic of number of customers’ engagement on an 24 advertising post 7 Figure 2.4 An instant message of The FFP of Viettien Shirts 25 8 Figure 2.5 Simon’s model of decision making 26 9 Figure 2.6 Four-stage decision-making model of Keeney [Source: 27 Keeney, 1982] 10 Figure 2.7 Holtzman’s model 28 11 Figure 2.8: Shim et al.’s models of DSS decision-making process 28 12 Figure 2.9 Mintzberg’s model 30 13 Figure 2.10 Papamichail and Robertson’s model 31 14 Figure 2.11 Hall’s adaptation of Simon’s model 32 15 Figure 2.12 Proposed research model by the author 34 16 Figure 3.1 The proposed research process of author 36 viii 17 Figure 4.1 Research model after Cronbach’s Alpha and EFA analysis 57 18 Figure 4.2 Histogram of Regression Standardized residual 64 19 Figure 4.3 P – Plot graph 64 20 Figure 4.4 Scatterplot of Standardized residual and predicted value 65 ix LIST OF TABLES No Name of tables Page 1 Table 3.1 Scale of measurement for perceived convenience 37 2 Table 3.2 Scale of measurement for perceived ease of use 38 3 Table 3.3 Scale of measurement for trust 39 4 Table 3.4 Scale of measurement for advertisement and promotion 39 5 Table 3.5 Scale of measurement for online purchase decision 6 Table 4.1 Descriptive statistics of research sample classified by Gender 47 7 Table 4.2 Descriptive statistics of research sample classified by Age 48 8 Table 4.3 Descriptive statistics of research sample classified by 48 Occupation 9 Table 4.4 Descriptive statistics of research sample classified by 49 Demand 10 Table 4.5 Descriptive statistics of research sample classified by 49 Purchase Plan 11 Table 4.6 Descriptive statistics of research sample classified by 50 Frequency of online purchase toward Viettien Shirts 12 Table 4.7 Descriptive statistics of research sample classified by 50 Purchase on FFP 13 Table 4.8 Result of Cronbach’s Alpha Reliability Analysis for 51 independent variables 14 Table 4.9 Results of Cronbach’s alpha Reliability Analysis for 52 x independent variables 15 Table 4.10 Results of Cronbach’s alpha Reliability Analysis for 53 dependent variable 16 Table 4.11 Summary of coefficient results – EFA for independent 54 variables 17 Table 4.12 Rotated Component Matrixa 55 18 Table 4.13 Summary of coefficient results – EFA for dependent 56 variables 19 Table 4.14 Component Matrix of dependent Variable 57 20 Table 4.15 Pearson Correlations Result 59 21 Table 4.16 Summary of Regression Analysis of the model 60 22 Table 4.17 F – Test in ANOVAa 61 23 Table 4.18 Regression Analysis result 62 24 Table 4.19 Result of Coefficientsa 63 1 CHAPTER 1: INTRODUCTION 1.
RESEARCH RATIONALE In recent years, the speed of development of technology and Internet infrastructure in Vietnam has always led the Asian region, especially from 2000- 2010, the growth rate has always reached over 20%. In 2019, Vietnam's population reached approximately 97 million, with more than 68 million internet user, accounting for 70%.1: Statistics of internet usage in Vietnam on Nov 21, 2019 (Source: https://vnetwork.vn/news/cac-so-lieu-thong-ke-internet-viet-nam-2019) According to Vietnam Internet statistics 2019, Vietnamese users spent an average of 6 hours 42 minutes a day participating in Internet-related activities. The report also mentioned that Vietnamese users spent an average of 2 hours and 32 minutes on social networks, 2 hours and 31 minutes to watch streaming or online videos.2: Statistics of Frequency of internet users in Vietnam 2019 (Source: https://vnetwork.vn/news/cac-so-lieu-thong-ke-internet-viet-nam-2019) In 2019, the social network was still growing with 62 million users (accounting for 64% of Vietnam's population, up to 7% compared to 2018). The number of accounts using social networks on mobile also increased by 16% compared to last year.
It cannot be deny that social media is a popular communication tool for almost all businesses in Vietnam.3: The proportion of people interacting on social networks in Vietnam (Source: https://vnetwork.vn/news/cac-so-lieu-thong-ke-internet-viet-nam-2019) 3 Facebook represents an ever-evolving marketing and media platform, and is increasingly engaging more and more in social networking. According to statistics from datareportal. Moreover, in Vietnam, Facebook is also a widely popular platform for sales and services similar to other countries in the world, this field is being strongly developed on Facebook. Vietnam ranks 7th among the countries with the highest number of Facebook users.
As of May 2019, there were 57.43% of Facebook users in Vietnam, mostly from 18 to 34 years old, with 52% of male. With such astonishing figures, it can be seen that the Facebook is gradually becoming a popular and indispensable medium in Vietnamese society. People use the Facebook not only for entertainment purposes, but an increasing number of people use it for shopping. These factors are great conditions for businesses and companies to take advantage of to bring their products and services closer to the people, which are their important consumers.
The Internet is a great and sustainable long-term marketing channel for businesses. If companies in Vietnam optimize their approach to consumers via the Internet, they can achieve great success in their product marketing strategies, because of the number of people using the Internet in Vietnam. Using the Internet to implement marketing strategies is the smart and thrifty strategy of large corporations. Viettien Garment Company is a big brand of Vietnam, which is also in the process of building itself a place in the hearts of Vietnamese consumers, building a brand is a very necessary thing.
The company currently has many different sales distribution channels such as markets, supermarkets, stores, e-commerce channels like Shopee, Lazada, Sendo, Sales Websites, Fan Pages. Among Viettien's products, middle-range men's shirts proved suitable for the domestic market segment. The Viettien FFP also doesn't hesitate to choose this product line to reach the target customers. However, each Fan Page will have 4 different marketing strategies to attract customers.
Studying the factors affecting the decision to buy Viettien Shirts online via the Fan Page of customers will help businesses make effective marketing strategies. For the reasons above, the researcher decide to choose the topic: Factors Affecting Online Purchase Decision Of Customers On Facebook Fan Page: A Study Of “Viettien Shirt” 1. EMPIRICAL RESEARCH MODELS RELATED TO FACTORS AFFECTING ONLINE PURCHASE DECISION OF CUSTOMERS ON FACEBOOK FAN PAGE Studies related to Customer's purchasing decisions have been conducted around the world but minimal work has been studied about purchasing behavior through social networking sites. A common topic in the research of online purchasing decisions now indicates that online stores are an important and visible representation of the new economy (van der Heijden and Verhagen, 2002).
Therefore, online purchase is becoming a popular way of shopping (van der Heijden et al. One of central themes in previous research about online purchase decisions is trust. The importance of trust in the online environment with respect to past- purchase and intention to purchase in e-commerce is investigated by Weisberg, Te’eni and Arman (2011). Technology and trust are identified as two types of issues that affect consumers’ online purchases decisions (Van der Heijden et al.
As a result, trust is an essential factor for consumers to make purchase decisions. In regards to online purchases, when the physical shop is replaced by an IT system creating an impersonal storefront, firms’ presence through their website and social networking page is the only way for consumers to overcome this uncertainty (van der Heijden et al. Social Networking: In the past several years, social networking sites have engaged tens of millions of internet users because it has transferred from a basic tool for collaborative creations and sharing of content, to becoming an important part of the media landscape (Singh et al. Social networking had been defined as allowing individuals to construct a public or semi-public profile within a 5 bounded system, articulate a list of other users with whom they share a connection, and view and traverse their list of connections and those made by others within the system (Boyd and Ellison, 2007).
There have been many social networking sites over the years, Friendster, Orkut, Mixi, Hi5, Bebo, LinkedIn, Twitter and Facebook became popular in the world, all varying in degrees of information and communication tools incorporated such as mobile connectivity, blogging and photo/video sharing (Boyd and Ellison, 2007; Singh et al. Social networking extends beyond personal use to connect businesses to clients through prospective profile screening and video conference interviews.