VIETNAM NATIONAL UNIVERSITY, HANOI SCHOOL OF BUSINESS Doan Thi Huong Giang INFLUENCED FACTORS ON HANOI CONSUMER’S SATISFACTION FOR FOOD SAFETY AND HYGIENE MASTER OF BUSINESS ADMINISTRATION THESIS Hanoi – 2010 TIEU LUAN MOI download : skknchat@gmail.com VIETNAM NATIONAL UNIVERSITY, HANOI SCHOOL OF BUSINESS Doan Thi Huong Giang INFLUENCED FACTORS ON HANOI CONSUMER’S SATISFACTION FOR FOOD SAFETY AND HYGIENE Major: Business Administration Code: 60 34 05 MASTER OF BUSINESS ADMINISTRATION THESIS Supervisors: 1. Pham Quy Long 2. Nguyen Thi Phi Nga Hanoi – 2010 TIEU LUAN MOI download : skknchat@gmail.com TABLE OF CONTENTS ACKNOWLEDGEMENTS .iv TABLE OF CONTENTS. vi LIST OF FIGURES.viii LIST OF TABLES.
Necessity of the research. Scope of the research. Contributions of the research. Suggestions for future research.
4 Chapter 1: Literature Review. Consumer’s satisfaction definition. Theories of consumer’s satisfaction interpretations. Discussion of related research 25 Chapter 2: Research model and Hypothesis.
Description of factors in the model. 38 vi TIEU LUAN MOI download : skknchat@gmail. Compliance level of food safety and hygiene. Hypothesis of correlation among factors.
45 Chapter 3: Research Methodology. Measurement index of factors. 60 Chapter 4: Data presentation and results. The most important factors of Hanoi consumer’s satisfaction regarding food safety and hygiene.
Consumer’s satisfaction regarding food safety and hygiene by influenced factors 79 4. 101 Appendix A: Survey questionnaire for Chinsu sauce product. 101 Appendix B: Survey questionnaire for Dr. 104 vii TIEU LUAN MOI download : skknchat@gmail.com LIST OF FIGURES Figure 1.1: Loyalty in different situation of satisfaction and attitude .2: Interpretations of consumer’s satisfaction/dissatisfaction .4: Hypothetical utility curves .5: Classification of consumer satisfaction/dissatisfaction research.1: The structural model of influenced factors on consumer’s satisfaction on food safety and hygiene.2: Pricing strategies matrix.1: Gender in Dr.
Thanh and Chinsu sauce survey samples .2: Frequency of using products in the recent two surveys .3: Willingness to introduce products to others .4: Satisfaction level of respondents with Chinsu sauce product .5: Satisfaction level of respondents with Dr.6: The importance of influenced factors in Dr.7: The importance of influenced factors in Chinsu survey .8: Respondents' satisfaction regarding food safety and hygiene by influenced factors in Dr.9: Respondents' satisfaction regarding food safety and hygiene by influenced factors in Chinsu survey.81 viii TIEU LUAN MOI download : skknchat@gmail.com LIST OF TABLES Table 3.1: Assessing the importance of influenced factors of consumer’s satisfaction .2: Assessing the satisfaction level of consumer’s satisfaction regarding food safety and hygiene.1: Age category in the two surveys .2: Job positions of the samples in the two surveys .3: Monthly income of the samples in the two surveys .4: How long the respondents have used products in the two surveys.5: Media factor in Chinsu survey .6: Quality factor in Chinsu survey .7: Price factor in Chinsu survey .8: Label factor in Chinsu survey .9: Label factor in Chinsu survey .10: Media factor in Dr.11: Quality factor in Dr.12: Price factor in Dr.13: Label factor in Dr.14: Label factor in Dr.15: Significance of influenced factors in Chinsu survey.16: Significance of influenced factors in Dr. 83 ix TIEU LUAN MOI download : skknchat@gmail. Necessity of the research With annual growth rate of 1.2%, Hanoi population reaches approximately 6.7 million people in 2010, the demand for food is increasing more than ever before despite the fact that land for agriculture is getting smaller due to urbanization. Therefore, food consumption situation becomes more complex and hard to control.
Nowadays, many cases of un-safety and in-hygiene food have been revealed and punished by food management authorities including Ministry of Health, Ministry of Industry and Trade and Ministry of Agriculture and Rural development. As the result, Hanoi consumer’s satisfaction has been affected and their confidence in food safety and hygiene has been being lost. However, there are still some foods brands that take care of consumers’ health and commit to provide only safe and qualified products would be awarded consumers’ trust. In such context, I decide to choose the topic: “Influenced factors on Hanoi consumer’s satisfaction for food safety and hygiene”, to identify key factors influencing consumer’s satisfaction and to propose solutions for marketers in enhancing Hanoi consumer’s satisfaction with food industry.
Research Objectives Study definition and theory of consumer’s satisfaction Study factors influencing consumer’s satisfaction in Hanoi regarding food safety and hygiene 1 TIEU LUAN MOI download : skknchat@gmail.hygiene Propose some solutions for enhancing Hanoi consumer’s satisfaction regarding food safety and hygiene. Research questions In order to achieve the objectives of the thesis, the author of thesis will try to answer the following questions: What is definition of consumer’s satisfaction? What are theories of consumer’s satisfaction? What is research model for the thesis? Which influenced factors are selected for the research model? Which research methodology is applied for the thesis? Which products are selected as sample for the research? What are solutions for enhancing Hanoi consumer’s satisfaction regarding food safety and hygiene? 4. Scope of the research This thesis focuses on the most influenced factors on Hanoi consumer’s satisfaction for food safety and hygiene. For food safety and hygiene issue, food is a broad term which can be classified into import foods and domestic food; fresh food and processed food; etc.
In scope of this thesis, the author selects two domestic products as research objects in stead of food in general. They are fish sauce Chinsu and herbal tea Dr. The research is conducted in Hanoi area, which targets to those who often buy food. They are officers, housewives, students, etc.
2 TIEU LUAN MOI download : skknchat@gmail.hygiene Thereby, the solutions for enhancing Hanoi consumer’s satisfaction regarding food safety and hygiene will be proposed, based on the research conduction and analysis. Research methodology Thesis is used methodology of researching the secondary data, primary data; conducting qualitative (by interviewing respondents in Hanoi ) and quantitative by survey regarding their opinions about factors affecting their satisfaction for food safety and hygiene, focusing two selected products as research objects. Limitations The first limit of this thesis is the scope of work, which focuses on only two products, not covering all kind of foods in the market. The second one is the research methodology using quantitative by survey, with limited observations in the sample.
Due to limited time and budget, the author only conduct the survey in small scale of approximately 200 observations each survey, which target to sample of officers, students, housewives, etc. 189 respondents joined Dr. Thanh survey and 198 respondents joined Chinsu sauce survey. Therefore, the result will be relatively precisely estimated.
Contributions of the research This thesis presents the updated theory of consumer’s satisfaction. This theory is good references for researchers, marketers, and leaders for their business. 3 TIEU LUAN MOI download : skknchat@gmail.hygiene On the practice side, some influencing factors on Hanoi consumer’s satisfaction their impacts to consumer’s satisfaction regarding food safety and hygiene will be discovered as a good source for marketers and leaders in order to accelerate consumer’s satisfaction regarding food safety and hygiene. Expected results The study expects to show the following findings: Bring systematic knowledge and theory of consumer’s satisfaction.
Provide a thorough analysis the research result through qualitative and quantitative methodology conducted for two selected products in Hanoi regarding on food safety and hygiene. Propose the lessons for marketers in enhancing Hanoi consumer’s satisfaction regarding food safety and hygiene. Suggestions for future research Further study can also be carried out to consumer’s satisfaction on food safety and hygiene in Vietnam with variety of products will be chosen for the research objects. Research structure In chapter 1 the nature of consumer’s satisfaction/dissatisfaction is first explored.
The literature dealing with the conceptualization of consumer’s satisfaction/dissatisfaction is surveyed, followed by a discussion of research investigating factors influencing consumer’s satisfaction/dissatisfaction. Based on the survey of the literature on consumer’s satisfaction/dissatisfaction, a structural model of consumer’s satisfaction and 4 TIEU LUAN MOI download : skknchat@gmail.hygiene Chinese cultural value is proposed. Chapter 2 contains the main theoretical part of the work. With respect to each theoretical part of the work, with respect to each theoretical dimension of Chinese cultural values, potential marketing implications are presented.
Each component of the model as well as related hypotheses are presented and discussed. In chapter 3, the methods of collecting empirical data for testing the model and hypotheses are discussed in parallel with the problems related to measurements instruments. Results of the pilot survey are also presented and discussed. Chapter 4 content the analysis used in testing the model and hypotheses.
The concluding part serves to summarize the research, and draw conclusions based on the research result against the hypotheses and objectives of the study. It also offers implications and recommendations for further research. 5 TIEU LUAN MOI download : skknchat@gmail.hygiene Chapter 1: Literature Review 1. Consumer’s satisfaction definition Before discussing the conceptualization of consumer’s satisfaction, it is useful to consider what “satisfaction” is and how “satisfaction” differs from “attitude”.
This section first considers this issue, followed by a discussion of the terms “consumer’s satisfaction” and “consumer dissatisfaction”, and concludes with the definition that is used in this research. Consumer’s satisfaction and consumer attitude In order to reach a satisfactory definition of consumer’s satisfaction, it is necessary to distinguish between consumer’s satisfaction and attitude. There are quite a number of definitions of the term “consumer’s satisfaction”; amongst the earliest, Howard and Sheth (1969) define consumer’s satisfaction as “the buyer’s cognitive state of being adequately or inadequately rewarded in a buying situation for the sacrifice he has undergone’. From the marketing aspect, Andreasen (1977) stated: “Business, government, and other nonprofit organizations need measures of how well products and services (performance) are meeting client needs and wants so that they can enhance their own and/or society’s well- being.
The extent to which these needs and wants are met has come to be called consumer’s satisfaction/dissatisfaction…” Though being different, these definitions implicitly contain four common elements (Day 1975): 1- The performance of the product or service as perceived by the consumer 6 TIEU LUAN MOI download : skknchat@gmail.hygiene 2- The expectations of performance which the consumer has 3- The perceived costs or “sacrifices” involved in making the purchase and using the product/service. 4- The time at which the satisfaction with the product/service is assessed. Triandis (1971), summarizing central ideas used by other attitude theorists, defined attitude as “an idea charged with emotion which predisposes a class of actions to a particular class of social situations”. His definition suggests the three principle components of attitudes: 1- The cognitive component is the IDEA which a person, as an evaluator, perceives in a given context.
2- The affective component is the EMOTION which charges the idea so that a person has positive affects (like) or negative affect (dislike) toward an object. 3- The behavior component is the PREDISPOSITION TO ACTION, such as shopping at a department store, buying a shirt or hiring a car. Pfaff (1977) suggested that consumer’s satisfaction can be denoted, in past, by all components of attitudes. The cognitive component indicates the confirmation or disconfirmation of expectation and performance of the product; the affective component indicates whether the consumer is satisfied or dissatisfied with the product; and the conative component, whether to stop or arouse future purchases in post-purchase situations.
Therefore, satisfaction is not only an attitude; it is a richer concept than attitude. 7 TIEU LUAN MOI download : skknchat@gmail.hygiene Tse (1980) suggested that satisfaction adds additional dimensions to the explanation of a consumer’s information receptivity, choice behavior and brand loyalty. Taking brand loyalty as an example, he presented the interaction of attitude and satisfaction in a contingency table as in Figure 1. Source: Tse (1980) Figure 1.1: Loyalty in different situation of satisfaction and attitude Cell 1 represents the situation where the consumer likes the product or service and is satisfied with it.
In this situation, the consumer has stable loyalty and will continue using the product/service.