BỘ GIÁO DỤC VÀ ĐÀO TẠO ĐẠI HỌC KINH TÉ THÀNH PHÓ HÒ CHÍ MINH BÁO CÁO TÓNG KÉT ĐỀ TÀI NGHIÊN CỨU KHOA HỌC THAM GIA XÉT GIẢI THƯỚNG ‘’NHÀ NGHIÊN CỨU TRẺ UEH” NĂM 2024 THE IMPACT OF SOCIAL NETWORK ON PURCHASE DECISION: EMPIRICAL STUDY OF GENERATION z IN THE MEKONG DELTA Thuộc nhóm chuyên ngành: Marketing; Quán trị kinh doanh TP. Hồ Chí Minh, tháng 2/2024 ABSTRACT In the current internet-driven era, social networks have become crucial, especially for Generation z, who matured amidst the internet’s rapid development and expansion. These platforms serve not only for entertainment and connection but also as vital channels for commerce. Building on this, we conducted a research tilled “The impact of social network on purchase decision: Empirical study of Generation z in the Mekong Delta”.
The study aims to scrutinize how social media influences Generation Z's purchasing decisions in the Mekong Delta, offering recommendations for businesses to enhance their social media strategies, attract customers, and boost overall sales. Data were gathered through a convenient sampling method, surveying 200 individuals aged 18-25 in the Mekong Delta using a pre-designed questionnaire. Factors influencing purchasing decisions were measured and determined through the Cronbach's alpha reliability lest, exploratory factor analysis, and linear regression. The study reveals five factors influencing Generation Z's purchase decisions in descending order: Online Advertisement (OA), Convenience (C), Brand Fanpages (BF), Peer Communication (PC), and Perceived Usefulness (PƯ).
Despite these insights, we acknowledge certain study limitations, including the constraints imposed by time and budget, the extensive geographical scope of the Mekong Delta, and the potential for bias introduced by the use of a convenient non-probability sample through online surveys. Finally, some recommendations were proposed to help businesses improve the effectiveness of their social media strategies. Keywords: purchasing decisions, social media, Generation z, Mekong Delta TABLE OF CONTENTS ABSTRACT. i TABLE OF CONTENTS.
ii LIST OF TABLES. V LIST OF FIGURES. vi LIST OF ACRONYMS. 1 CHAPTER 1: OVERVIEW OF THE RESEARCH.
6 CHAPTER 1: OVERVIEW OF THEORETICAL FOUNDATIONS & RESEARCH MODEL. Overview of theoretical basis. Concept of social networks. Concept of online shopping.
Social Impact Theory. The Theory of Reasoned Action (TRA). Technology Acceptance Model (TAM). Diffusion of Innovation Theory (DOI).
Persuasive Communication Theory. Self-Verification Theory. Human-Computer Interaction Theories. Customer Experience Theory.
The theory of research on social network factors affecting the decision to purchase cases of z gene in the Mekong Delta. Social Network Group. Overview of research projects. Proposed research model.
20 CHAPTER 2: RESEARCH METHODS. Data collection methods. Data analysis method.2 Measurement scales of research variables. 25 CHAPTER 3: RESEARCH RESULTS AND DISCUSSION.
Description of the research sample. Characteristics of the survey sample. Analyzing behavior and satisfaction with social network use of Gen z generation in the Mekong Delta. Search for product information through social networks.
Social networking sites used. Time spent accessing social networks. Buy based on information provided by social networks. Deciding factor in using social networks to make Purchase Decision.
Popular product groups are purchased through social networks. Evaluate the quality of products purchased through social networks. Reflect on products and response quality. Evaluate product advertising information sources on social networks.
Evaluate after-sales service on social networks. Analysis of the level of agreement of Generation z in the Mekong Delta about the factors influencing their purchase decisions. Level of agreement with the factor Online Advertisement. Level of agreement with the factor Peer Communication.
Level of agreement with the factor Social Network Group. Level of agreement with the factor Brand Fanpages. Level of agreement with the factor Perceived Usefulness. Level of agreement with the factor Convenience.
Level of agreement with the factor Purchase Decision. Analyzing the influence of social network factors on purchasing decisions for Gen z in the Mekong Delta. Cronbach's Alpha test. Linear regression analysis.
Test the difference. Independent-samples T-test. Limitations and Future Research Directions.1 Limitations of the Study. Some governance implications for promoting purchases through social networks of gen z in the Mekong Delta.
Online Advertisement Solutions. Brand Fanpages Solutions. Peer Communication solutions. Perceived Usefulness solutions.
93 V LIST OF TABLES Table 2.1: Measurement scale and observed variables.1: Observed distribution of gene z in 7 Mekong Delta provinces.2: Sample information + Factor Frequency Percentage (%).3: Average income and amount of online shopping spending per month.4: Reflections on products and response quality.5: Cronbach’s Alpha test.6: Results of exploratory factor analysis.7: Results of analysis of dependent variables.8: Results of linear regression analysis.11: Test the difference between purchasing decisions according to income .12: Testing the difference between purchasing decisions according to educational level.13: Testing the difference between purchasing decisions by occupation. 62 vi LIST OF FIGURES Figure 2.1: The Research Process of the Project.1 : Searching for product information through social networks.2 : Social networks used.3: Purchasing based on information provided by social networks.4: Deciding factor in using social networks to make Purchase Decision.5: Popular product groups purchased via social networks.6: Evaluating the quality of products purchased via social networks.7: Evaluating product advertising information sources on social networks .8: Evaluation of after-sales service on social networks.9: Level of agreement with the factor Online Advertisement.10: Level of agreement with the factor Peer Communication.11: Level of agreement with the factor Social Network Group.12: Level of agreement with the factor Brand Fanpages.13: Level of agreement with the factor Perceived Usefulness.14: Level of agreement with the factor Convenience.15: Level of agreement with the factor Purchase Decision. 49 vii LIST OF ACRONYMS OA: Online Advertisement PC: Peer Communication SNG: Social Network Group BF: Brand Fanpages PU: Perceived Usefulness C: Convenience EFA: Exploratory Factor Analysis 1 INTRODUCTION 1. Reasons to choose this subject and study overview Nowadays, the popularity and development of technology and communication has rapidly increased.
It is for this reason that social networks (especially social network sites) have increasingly penetrated and become an indispensable part of our lives. Alternatively referred to as a virtual community or profile site, a social network is a website on the Internet that brings people together in a central location to talk, share ideas and interests, or make new friends (Kemi, 2016). Social networks also help facilitate the spread of information (Indeed, 2023). Purchase intention is determined by information adoption, in which information usefulness is the predictor for information adoption (Leong, Loi & Woon, 2022).
Consequently, social networks play an important role in influencing consumer purchasing intentions and become an effective instrument in the business strategics of enterprises. Because of the growth of the Web along with the advance and popularity of online social networks around the world (Florez et al, 2017), many authors have studied social networks' influence on consumers. Social networking sites (SNS) and social networks can be tremendously beneficial for the marketer to market their product and services and influence consumer purchase decisions (Hafeez Ct al, 2017) (Florez Ct al, 2017). Besides a study “Impact of online social networks on consumer purchasing decisions: The study of food retailers” was conducted by Li to examine the impact of online social networks (Facebook) on consumers' purchasing decision process in food retailer shops (Li, 2012).
According to statistics by Kepios, to the January 2023, there were about 4.76 billion people in the world using social networks, accounting for 59.4% of the population. Especially Generation z, growing up in the information technology age, things like the internet, social networks,. have become crucial parts of their lives. Gen z is the generation that was born between 1993 and 2005 (Turner, 2015).
Generation z lives in a world with the web, the internet, smartphones, laptops, freely available networks, and digital communication (Bascha, 2011). A survey by Morning Consult found that 54% of Gen z Americans spend at least 4 hours a day on social networks. Therefore, Generation z is one of the groups of people that are most influenced by social 2 networks, including purchase decisions. In Vietnam, Generation z accounts for about 1/7 of the total population, equivalent to more than 14.
Generation z has gradually become the leading target market segment in Vietnam. However, studies on the impact of social networks on purchase decisions of generation z in Vietnam are not common, and only carried out in big cities. The population of the Mekong Della reached more than 17.4 million people in 2021 (General Statistics Office of Vietnam, 2021). With a high number of young people, this area promises to be a potential shopping market.
In order to analyze the influence of social network on the decisions of generation z consumers in the Mekong Delta, put forward a great many ideas to improve the effectiveness of the enterprise’s strategies, attracting customers and increasing sales, the research team decided to choose the topic: “The impact of social network on purchase decision: Empirical study of generation z in the Mekong Delta”. Research objectives - Analyzing the impact of social networks on the purchase decision of Generation z in the Mekong Delta. - Propose recommendations to help businesses improve the effectiveness of social media strategies, attract customers, and increase sales for the whole business. Research questions - How does the usage of social networks influence the purchase decisions of Generation z consumers in the Mekong Delta region? - What specific factors within social networks most significantly affect the purchasing behavior of Generation z individuals residing in the Mekong Delta? - What solutions help improve the quality of online shopping services through social networks of Gen z in the Mekong Della? 4.
SCOPE OF RESEARCH 4. Research subjects - Research object: social network factors impacting the purchasing decisions of Gen z consumers in the Mekong Delta region. 3 - Data collection subjects: consumers of generation z living in the Mekong Della region. Research space Research space: the topic is limited to the scope of research in the Mekong Delta region.
Research time - Project implementation time: from March 2023 to January 2024 - Primary data collection: data are collected through direct interviews with Gen z consumers living in the Mekong Della from August to September 2023. Research method Describing samples: + Sample size: To conduct regression analysis best, the sample size needs to ensure the formula: n >= 8m + 50. The project is expected to have 6 groups of factors, so the minimal sample size is 98. The research selects 200 samples.
+ Sample collection: Using the convenient sampling method. Data collection methods: - Method of sample collection: Primary data was collected through the following process: + Step 1: Determine the research area: The research team selects the study area in the Mekong Delta. + Step 2: Conduct the survey: After having a questionnaire, the research team conducts an investigation to check the suitability of the questionnaire and correct the questionnaire on the actual conditions in the research area. * Interview object: Interviewing Generation z consumers who have experience in using social networks, through a prepared questionnaire.
* About data analysis methods: - Descriptive statistics are used to analyze the characteristics of the research 4 samples. - To determine the extent to which the factors of social networks affect the decision, purchase decision of Generation z in the Mekong Delta, the data processing process is as follows: (1) Cronbach's alpha coefficient is used to test the reliability of the scale, remove unsatisfactory variables or the scale is unsatisfactory in the research. (2) Exploratory factor analysis (EFA) is used to reduce a set of many observed variables into a smaller number of factors to make them more meaningful but still contains most of the information content and statistical significance of the original set of variables. (3) Linear regression analysis: set up the regression model as follows: Y = Po + p|X| 4- P2X2 4- P3X3 4- P4X4 + P5X5 4- p6X6 Y: purchase decision; po, “’ pl, p2,.
Xô: 6 factors of social network affecting purchase decision of Gen 6. Topic structure The research topic at hand is presented in three encompassing sections, comprising: The Introduction, The Main Body, and The Conclusion. These arc delineated into five chapters: Introduction Contents: Chapter 1.