UNIVERSITY OF ECONOMICS HO CHI MINH CITY International School of Business ------------------------------ LAM HAI NGUYEN THE MEDIATING ROLE OF PERCEIVED VALUE IN THE RELATIONSHIP BETWEEN SERVICE QUALITY AND TRUST – A CASE STUDY OF PRIVATE GENERAL HOSPITAL IN HCMC MASTER OF BUSINESS (Honours) Ho Chi Minh City – Year 2012 LUAN VAN CHAT LUONG download : add luanvanchat@agmail.com UNIVERSITY OF ECONOMICS HO CHI MINH CITY International School of Business ------------------------------ LAM HAI NGUYEN THE MEDIATING ROLE OF PERCEIVED VALUE IN THE RELATIONSHIP BETWEEN SERVICE QUALITY AND TRUST – A CASE STUDY OF PRIVATE GENERAL HOSPITAL IN HCMC ID: 60340102 MASTER OF BUSINESS (Honours) SUPERVISOR: DR. PHAM NGOC THUY Ho Chi Minh City – Year 2012 LUAN VAN CHAT LUONG download : add luanvanchat@agmail.com 1 ACKNOWLEDGEMENTS I would like to express my sincere gratitude to Dr. Pham Ngoc Thuy who has supported me a lot with the thesis preparation and motivated me throughout the journey of the thesis. Her professional experiences help me understand research methods as well as useful knowledge for my research.
I greatly appreciate to all my friends who supported me to do the survey at the hospital with me. I would like to thank the board management and Doctors at Van Hanh Hospital to allow me to do the survey at this hospital and provided necessary information. Finally, I would like to send my best regards to all of those who kindly supported me during the data collection phase and the completion of this thesis. December 9, 2012 Ho Chi Minh City, Viet Nam Lam Hai Nguyen LUAN VAN CHAT LUONG download : add luanvanchat@agmail.com 2 ABSTRACT Healthcare is a significant part of a country's economy.
The delivery of health care services is very important of health care system, both to patients and hospitals. There are many factors in treatment influencing to patients. This research aims to identify the service quality affecting to patient perceived value and the patient perceived value affecting to patient trust. A questionnaire has been developed based on the dimension of patient – perceived Total Quality Service ( TQS) in healthcare scale, Corporate reputation scale, Perceived value scale, trust scale and then adjusted by results of in-depth interview of doctors, nurses and patients.
The number of respondents is 177 people. The average duration of the interviews was ten minutes. The respondent is that of individuals over the age of 18, who used the hospitalization services of private general hospitals in 12 months (from the interview day). Findings highlight the positive influences of service quality to perceived value and the strong significant impact of perceived value to trust.
Therefore, investor should improve service quality to gain patient trust. Because of limited time and resources, the dimension of service quality has 4 factors while the conceptualization of service quality SERVQUAL features five dimensions: tangibles, reliability, responsiveness, empathy and assurance (Parasuraman et al. Future researches may consider including more factors to understand deeply in service quality in healthcare. LUAN VAN CHAT LUONG download : add luanvanchat@agmail.com 3 TABLE OF CONTENTS CHAPTER 1: INTRODUCTION .3 Research questions and objectives.
8 CHAPTER 2: LITERATURE REVIEW & THEORETICAL MODEL .2 The Administrative procedures.4 Doctor and Nurse care .2 Patient perceived value .1 Relationship between service quality and perceived value .2 Relationship between perceived value and trust. 17 CHAPTER 3: RESEARCH METHODOLOGY .1 Construction of measurement scales .2 Measurement scale of the Organization reputation .3 Measurement scale of Administrative Procedures .4 Measurement scale of the facility .5 Measurement scale of Doctor & Nurse care. 21 LUAN VAN CHAT LUONG download : add luanvanchat@agmail.6 Measurement scale of Patient perceived value .7 Measurement scale of Patient trust. 27 CHAPTER 4: DATA ANALYSIS AND RESULTS .1 Descriptive data analysis.2 Characteristics Of Respondents .2 Assessment of measurement scales .1 Cronbach alpha reliability analysis .2 Exploratory Factor Analysis .3 The revised conceptual model .3 Correlation and Hypotheses testing .2 Testing assumptions of multiple regression.
42 CHAPTER 5: CONCLUSION AND IMPLICATION .3 Research limitations and implications for future. 48 LUAN VAN CHAT LUONG download : add luanvanchat@agmail.com 5 CHAPTER 1: INTRODUCTION 1.1 Research background Healthcare industry is a special service industry that is paid much attention because it has directed relation to citizens. According to the World health organization, the health systems‟ goal is good health, responsiveness to the expectations of the population, and fair financial contribution. Vietnam healthcare system relates to government.
The decision-making powers belong to the central government, which takes inputs from governing authorities of cities and provinces. Its healthcare market emphasizes „cure‟ rather than „prevention‟. In mid- 1993, realizing the need for private foreign investment in medicine, the central government opened the healthcare sector to private local and foreign firms by allowing them to setup clinics and hospitals. Since then the number of private hospitals has been growing fast, especially due to the failure of the public sector to meet the country‟s needs of proper healthcare.
HCMC is invested to become a centralized health care in South region. However, the facilities of public general hospitals are worst. The top public general hospitals are Cho Ray hospital, Nhan dan Gia Dinh Hospital…. Some of these are downgrading significantly.
Health Ministry has some projects to solve this problem such as: upgrading infrastructure, facilities, training for physician in provinces…. Besides this, HCMC will build new public general hospitals. LUAN VAN CHAT LUONG download : add luanvanchat@agmail.com 6 On the other hand, private general hospitals also improve their ability to server patients. Anh Thuy & Phi Khanh (2012) reports that HCMC has 33 private general hospitals in order to solve the over loaded of public general hospitals.
In order to compete with public general hospital as well as themselves, private general hospitals are invested modern facilities, human resource to bring the value to patients. Providing quality service is considered an essential strategy for successful and survival in today competitive environment (Zeithaml, Berry & Parasuraman,1996) Customer perceived value explores the interaction between the product and service, while service quality generally focuses on the product or service, i.e what the organization provided ( Robert, 1996).2 Research Problems Big cities as HCM have a large population. Public general hospitals are not only served for local citizen but also served for other citizens who from provinces to HCMC for their treatment. Therefore, these hospitals are always overloaded patients.
Overloaded in hospital are defined “many people come to hospitals for their treatment at the same time that human resource and capability in hospital can not afford and served patients ” (Ministry of Health, 2012). The percentage of overloaded in public general hospitals such as 115 hospital, Nhan dan Gia Dinh Hospital are 113%, 106%, respectively (Ministry of Health, 2012). Because of overloaded, patients are treated without courteousness and attention. Therefore, the trend of treating at private general hospital is increasing.
According to Health Ministry, the number of private general hospital increased 11. LUAN VAN CHAT LUONG download : add luanvanchat@agmail.com 7 The investors should understand what patients receive from hospital‟s service attributes in order to contribute to patient‟s trust. How do the private general hospitals compete with public general hospitals and with themselves. Exploring the affecting of service quality on patient‟s trust will help the owner of private general hospital to improve their business.3 Research questions and objectives To solve the problem defined above, the research aims at answering the following questions: How is the service quality affecting to patient‟s perceived value? By understanding this, the owners or investors can identify the right direction for their investment.
How does the patient perceived value affect to patient trust? By evaluating the relationship between patient perceived value and patient trust, private general hospitals will know how to make the customer‟s comeback. Based on the above research questions, the objectives of this study are: 1. To identify the impact of Service Quality on Patient Perceived Value 2. To measure the influence of Patient Perceived Value to Patient Trust 1.4 Research scope The research focuses on private general hospitals in HCMC.
The respondent is that of individuals over the age of 18, who used the hospitalization services of private general hospitals in 6 months (from the interview day). Children (under 18 years old) and old people (over 60 years old) will not include in the study. LUAN VAN CHAT LUONG download : add luanvanchat@agmail.com 8 The respondents choose the private general hospital without health insurance.5 Research methodology This research is applied the quantitative method which were reviewed the theoretical background adaptable to the context. The selection of the sample was random, a random route in each hospital being established for each of the interviewers.
The number of respondents is 177 people. The average duration of the interviews was ten minutes. The respondent is that of individuals over the age of 18, who used the hospitalization services of private general hospitals in 12 months (from the interview day). The data collected will be validated by Cronbach Anpha Reliability Analysis and selected by Exploratory Factor Analysis.
Finally, the model will be tested by using Multiple Regression Analysis by SPSS version 20.6 Thesis structure Chapter 1: Introduction. This chapter includes an overview of research background, research problems, questions and objectives. The research limitation, method and structure are also mentioned. Chapter 2: Literature review and conceptual model.
The chapter consists of a review of previous research on the concepts of Service Quality Dimensions, Patient Perceived Value and Patient Trust. Basing on previous research, a conceptual model and hypotheses are presented. Chapter 3: Research methodology. Research process, measurement and methods of collecting samples and analyzing data are presented.
LUAN VAN CHAT LUONG download : add luanvanchat@agmail.com 9 Chapter 4: Data analysis and Result. This chapter comprises assessment of measurements scales, hypothesis testing. Interpretation and discussion on the results of quantitative research and statistical analysis are represented. Chapter 5: Conclusion and implication.
Main findings of this study are drawn out as well as managerial implications for investors in health care industry. LUAN VAN CHAT LUONG download : add luanvanchat@agmail.com 10 CHAPTER 2: LITERATURE REVIEW & THEORETICAL MODEL 2.1 Service quality Service quality is a central issue in services marketing and has been discussed in many writing. According to Parasuraman et al. Customer orientation ensures that the content of the service offering satisfies the customer‟s needs.
However, it demands that the manner in which the service is delivered and the customer‟s relations with the company must also meet customer expectations. Raposo (as cited in Donabedian,1980) service quality in health should include an analysis of the structure to achieve a given level of healthcare quality (the characteristics of doctors, hospitals and staff); of the process (interaction with the structure) and of the result (what happens to the patient after the medical act.1 Organization reputation Weigelt and Camerer (1988), a set of attributes ascribed to a firm, inferred from the firm‟s past actions. Satir (as cited in Fombrun and Van Riel,1997), a corporate reputation is a collective representation of a firm‟s past actions and results that describes the firm‟s ability to deliver valued outcomes to multiple stakeholders. It gauges a firm‟s relative standing both internally with employees and externally with its LUAN VAN CHAT LUONG download : add luanvanchat@agmail.com 11 stakeholders, in both its competitive and institutional environment.
According to Firestein (2006), reputation the strongest determinant of any organization‟s subtainability. Basing on Bromley, 2002; Sandberg, 2002, reputation is a socially shared impression, a consensus about how a firm will behave in any given situation. Gro ¨nroos (1990) realized the role of “image” in the conceptualization of service quality, and emphasized it as a filter in the perception of service quality in addition to the technical and functional quality dimensions. Caruana (2002) and Hong and Goo (2004) found that “corporate image” enjoyed by a service firm influenced its customer satisfaction.
The image a firm enjoys also plays a pivotal role of conveying to a customer what the firm has to offer in terms of technical and functional qualities.