864 solutions to enhance retail operation at joint stock commercial bank for investment and development of vietnam east hanoi branch

Student Dao Thi Thuy An Class Academic Year K20ATCA 2017 - 2021 Student Code STATE BANK OF VIETNAM 20A7510001 BANKING ACADEMY OF VIET NAM FACULTY OF FOREIGN LANGUAGES o0o GRADUATION THESIS SOLUTIONS TO ENHANCE RETAIL OPERATION AT JOINTSTOCK COMMERCIAL BANK FOR INVESTMENT AND DEVELOPMENT OF VIETNAM - EAST HANOI BRANCH Supervisor Ms Dinh Thi Bac Binh (MA) Hanoi, May 2021 DECLARATION I hereby declare that the thesis "Solutions to enhance retail operation at Joint-stock Commercial Bank for Investment and Development of Vietnam - East Hanoi branch" is my research work under the guidance of my supervisor Author Dao Thi Thuy An i ACKNOWLEDGEMENTS After a long period of hard work, my thesis would not have been completed without the assistance of everyone First of all, I would like to express my deepest gratitude to Ms Dinh Thi Bac Binh (MA) - the lecturer of the Faculty of Foreign Language of Banking Academy for giving me dedicated guidance for this thesis throughout numerous consultations Her enthusiastic instructions and corrections helped me through nearly two months of laboriousness to complete this paper effectively Besides, her understanding and sharing of the difficulties arising have given me positive energy in doing this research In addition, I was grateful to all of the lecturers at the Faculty of Foreign Languages who assisted me in cultivating background knowledge of study-related topics Another appreciation is given to managers and staff at Joint-stock Commercial Bank for Investment and Development of Vietnam - East Hanoi branch Thanks to their enthusiastic assistance, I have gained a plethora of professional knowledge and valuable experiences during my internship Also, I would like to express my deep gratitude to my beloved family who has always supported and encouraged me during this nerve-wracking time Finally, a big thanks to all my dear friends who have always been by my side, waken me up every time I fall asleep and supported me to the reviews assigned by my "miracle bag" boss I just want to tell you all that we will always be brothers This dissertation might have several shortcomings, I hope that the lecturers and readers will be compassionate and provide helpful feedback ii TABLE OF CONTENTS DECLARATION i ACKNOWLEDGEMENTS .ii TABLE OF CONTENTS iii LIST OF ABBREVIATIONS vi LIST OF TABLES .vii LIST OF FIGURES viii LIST OF APPENDIX ix ABSTRACT x CHAPTER I INTRODUCTION .1 1.1 Introduction 1.2 Background of the study .1 1.3 Objectives of the study 1.3.1 Broad objective 1.3.2 Specific objectives 1.4 Significance of the study .3 1.5 Scope and limitation of the study 1.5.1 Subject of study 1.5.2 Scope and limitation of the study 1.6 Definition of terms CHAPTER II REVIEW OF RELATED LITERATURE 2.1 Literature review 2.1.1 In the world 2.1.2 In Vietnam 2.2 Theoretical and Conceptual framework of retail banking services 2.2.1 Definition 2.2.2 Characteristic of retail banking services .8 2.2.3 Role of retail banking services .9 2.2.4 Major retail services of commercial banks 10 iii 2.3 Experience in developing retail operations in commercial banks 18 2.3.1 Experience of commercial banks in other countries in the world 18 2.3.2 .Experience of commercial banks in Vietnam 20 CHAPTER III RESEARCH METHODOLOGY 24 3.1 Locale of the study 24 3.2 Research design 24 3.2.1 Primary data 24 3.2.2 Secondary data 25 3.3 Data gathering procedure 25 3.3.1 Primary data 25 3.3.2 Secondary data 25 3.4 Respondents of the study 25 3.5 Research instruments 26 3.5.1 Primary data 26 3.5.2 Secondary data 26 3.6 Statistical treatment .27 CHAPTER IV FINDINGS AND DISCUSSION 31 4.1 Overview of Joint-stock Commercial Bank for Investment and Development of Vietnam - East Hanoi branch 31 4.1.1 The process of formation and development of Joint - stock Commercial Bank for Investment and Development of Vietnam - East Hanoi branch 31 4.1.2 Organizational structure 32 4.2 Current situation of retail operation at Joint-stock Commercial Bank for Investment and Development of Vietnam - East Hanoi branch in the period of 2018 to 2020 35 4.2.1 Qualitative criteria 35 4.2.2 Quantitative criteria .44 4.3 Assessment of the present context of retail operations at the Bank for Investment and Development of Vietnam - East Hanoi branch 59 4.3.1 Achievements 59 iv 4.3.3 The cause of theLIST limitations 61 OF ABBREVIATIONS CHAPTER V CONCLUSION AND RECOMMENDATION .64 5.1 Summary of findings 64 5.2 Recommendations .65 5.2.1 Recommendations to the State Bank of Vietnam 65 5.2.2 Recommendations to headquarter of Joint- stock Commercial Bank for Investment and Development of Vietnam 65 5.2.3 Suggested solutions to expand retail operation at Joint-stock Commercial Bank for Investment and Development of Vietnam - East Hanoi branch 66 REFERENCES APPENDIX APPENDIX Joint - stock Commercial Bank for Investment and BIDV Development of Viet Nam Joint - stock Commercial Bank for Investment and BIDV East Hanoi Development of Viet Nam - East Hanoi branch HSBC HSBC Private International Bank ANZ Australia and New Zealand Bank Vietcombank Joint Stock Commercial Bank for Foreign Trade of Vietnam Techcombank Technological and Commercial Joint Stock Bank of Vietnam Sacombank Sai Gon Thuong Tin Commercial Joint Stock Bank SBV The State Bank of Vietnam The US The United States WTO The World Trade Organization AIT The Asian Institute of Technology L/C Letter of Credit ATM Automated Teller Machine E-Banking Electronic banking PBO Personal Banking Officer v CRM Customer Relationship Management SPSS Statistical Package for the Social Sciences TCBS Techcom Securities Table Table 3.1 Table 3.2 Table 4.1 Table 4.2 Table 4.3 Table 4.4 Table 4.5 Table 4.6 Title Page Questionnaire structure Building and coding the scale 26 LIST OF TABLES 28-29 Summary of the results of testing the reliability of the 36 Cronbach Alpha scale The results of KMO and Bartlett's Test 37 The results of Rotated Component Matrix 38-39 The results of Multivariable linear regression 40 The results of linear regression model 41 The results of average descriptive statistics 42 Number of customers using retail banking products and Table 4.7 services of Joint Stock Commercial Bank for Investment and 50 Development - East Hanoi branch in the period of 2018-2020 Revenue from retail activities at Joint Stock Commercial Table 4.8 Bank for Investment and Development of Vietnam - East 52 Hanoi branch in the period of 2018-2020 The situation of capital mobilization at the Joint Stock Table 4.9 Commercial Bank for Investment and Development of 54 Vietnam - East Hanoi branch in the period of 2018-2020 Table Loan status to retail customers at BIDV East Hanoi in the 4.10 period 2018-2020 56 Number of transaction offices and ATMs of Joint Stock Table 4.11 Commercial Bank for Investment and Development of Vietnam - East Hanoi branch in the period of 2018-2020 vi 58 Figure Title The organizational structure of Joint Stock Commercial Page Figure 4.1 Bank for Investment and Development of Vietnam - East LIST OF FIGURES Hanoi branch 33 Figure 4.2 Percentage of customers using deposit products at BIDV Figure 4.3 Figure 4.4 Figure 4.5 Figure 4.6 East Hanoi 45 Percentage of customers using loan products at BIDV East 46 Hanoi Services being used at BIDV East Hanoi 47 Factors involving customers choice of banking services at 48 BIDV East Hanoi Factors involving customers choice of banking services at 49 other banks vii retail banking products and services You are satisfied with the quality of retail banking products and services You will recommend to friends about retail products and services of the bank You are satisfied with the bank staff attitude N Minimum Maximum 2 1 Std Deviation 1.00 19 APPENDIX 96 92 DC3 11 1.00 99 Detailed software DC4 11results from1Statistical 5Package for the Social Sciences 1.06 70 DC5 11 ❖ The results of average descriptive statistics 74 88 τC1 11 V60" 11 88 TC2 Descriptive Statistics 64 91 11 1.02 TC3 12 11 TC4 67 91 11 1.08 TC5 79 11 1.05 TC6 65 11 3.17 1.05 DB1 61.18 11 DB2 28 11 1.14 DB3 03 11 31 V86^ NL1 11 NL2 29 96 11 NL3 96 98 11 1.03 NL4 17 11 31 T67^ PT1 11 PT2 67 96 11 Valid N (listwise) DC1 DC2 11 11 Mean Cronbach1S Alpha B44 N Qfltems ❖ The results of testing the reliability of the Cronbach Alpha scale Reliability Statistics DC1 DC2 Scale Moan if Item Deleted 11.38 11.62 Scale Variance if ItemDeIeted 10167 9.942 DC3 11.58 9.615 DC4 11.98 9.568 DC5 _11.93 10 070 Cronbach1S Alpha 893 Corrected Item-Total Correlation 565 712 CronbachlS Alpha if Item Deleted 836 797 670 Statistics Item-Total 623 .7 04 907 922 .9 01 N Of Items Reliability Statistics TC1 TC Scale Mean if ItemDeIeted 14.37 14.60 Scale Variance if Item Deleted 16.270 16.495 TC 13.63 17.264 TC TC 14.57 14.46 17.076 15.566 TC _14.59 16.190 Corrected Item-Total Correlation 780 789 Cronbach1S Alpha if hem Deleted 864 864 578 Statistics Item-Total 896 704 876 757 868 .6 99 .8 77 Cronbach1S Alpha 9~ N OfHems 3' Reliability Statistics II■ Scale Mean if Item Deleted 6.58 Scale Variance if Item Deleted 4.714 DB2 6.47 4.252 DB3 6.45 _4.556 Cronbach1S Alpha 617 Nofltems PT1 ScaIeMean if Item Deleted 2.67 PT2 2.58 Scale Variance if Item Deleted 926 _588 Reliability Statistics Corrected Item-Total Correlation Θ41 CronbachlS Alpha if Item Deleted ∈4 ∈22 ∈5 .7 .8 Item-Total Statistics B0 92 Corrected Item-Total Correlation 458^ Cronbach1S Alphaifltem Deleted _ 458 Item Total Statistics Cronbach1S Alpha 849 N of Items Reliability Statistics NL2 Scale Mean if Item Deleted 9.43 9.77 Scale Variance if Item Deleted 6.337 6.306 NL3 10.10 6.918 LLL NL4 9.89 _6.169 Cronbach1S Alpha Ifltem Deleted 794 781 Corrected Item-Total Correlation 720 754 578Statistics Item-Total .7 05 Kaiser-Meyer-Olkin Measure of Sampling 853 .8 01 QQfI Adequacy 880 Approx Chi-Square 1391.712 Bartlett's Test of Sphericity df Sig 19 000 ❖ The results of exploratory factor analysis (EFA) KMO and Bartlett's Test Initial Extracti on DC1 DC2 DC3 DC4 DC5 TC1 TC2 TC3 TC4 TC5 TC6 DB1 DB2 DB3 NL1 NL2 NL3 NL4 PT1 PT2 1.0 00 1.0 00 1.0 00 1.0 00 1.0 00 1.0 00 1.0 00 1.0 00 1.0 00 1.0 00 1.0 00 1.0 00 1.0 00 1.0 00 1.0 00 1.0 00 1.0 00 1.0 00 1.0 00 1.0 00 ? 756 636 633 674 808 793 514 643 689 648 855 869 810 707 775 566 672 481 535 Communalities Ã9 Compon en t 'i ⅛ ⅛ Ĩ '5 & io Ì1 Í2 Ì3 Ì4 Í5 Ì6 Í7 Ì8 Ì9 r 20 Initial Eigenvalues % Cf Cumul Varianc ative e Total % 41 41 014 203 014 14 55 35C∣ 867 337 62 299 390 949 67 500 799 72 100 556 354 911 76 751 689 557 472 445 423 394 339 316 241 240 205 177 152 128 753 447 784 358 227 115 971 697 579 205 198 023 887 762 39 2 2 1 1 1 TC2 871 TC5 821 TC6 729 TC4 717 PT2 705 % of Varianc e Total 203 867 390 100 41 014 14.337 6.949 500 35C∣ 299 62 3.285 16.426 67 2.612 13.062 799 79 555 82 339 84 697 86 925 89 040 91 011 92 708 94 286 95 492 96 689 97 712 98 599 361 000 99 100 Component Extraction Method: Principal Component Analysis Rotated Component Matrix3 TC3 NLI NL4 Rotation Sums of Squared Loadings Total % of Cl Cumula Varianc mula:ne tive % Total Variance Explained e % 4.137 20.6 41 20 683 83 014 55 3.526 17.628 38.3 108 τci Loadings 778 756 Extraction Method: Principal Component Analysis 11 36 99 54.7 67.7 NL2 NL3 750 PT1 721 DC2 606 820 DC5 706 DC3 675 DC4 646 DC1 544 DB2 DB1 DB3 923 918 881 Adjuste d Std Durbin- Error of Watson R Model the Summaryb Square Estimate R Model R 841 a Model Regression Square 707 693 Sum of Squares df 45527 1.796 Mean Square F Sig 53.04 10.60 51.183 000 21.97 " 10 207 a Predictors: (Constant), PT, DB, TC, NL, Residual DC 75.01 11 Total b Dependent Variable: TM a Dependent Variable: M T ANOVAa b Unstandardized Standardized Collinearity Coefficients Coefficients Statistics Std Model (Constant) DC TC DB B ^5 Erro Sig 42^ 238 025 823 412 068 083 06 8.639 b.623 Predictors: (Constant), PT, DB, TC, NL, DC 072 63 000 -.10 -.13 044 2.417 017 r Beta t 2.279 Coefficientsa Extraction Method: Principal Component Analysis a Rotation converged in iterations ❖ The results of multivariate regression Tolerance VIF 459 519 910 2.17 1.92 1.09 NL PT 089 074 09 176 070 16 1.205 2.519 231 013 2.00 500 1.54 647 τ⅞rbraq đónq th ca Nquan Chỉ so TUb nạ dong -,n∕ p 7% Internet Sources: Ăn phẩm MUBt bán: Bài CLB Hpc Sinh: 2⅛ 2⅛ 7⅛ β∕7∕2O21 Tumilin a DependentTurnitin Variable: TMcáo Độc Báo Document Viewer sáng Dã :HL'lý v⅛t>: il-thg s-iủíl 1Í:SŨ rũĩ lũ: IMBMMN Đẽrn CMfc lfi⅛⅛ Dã Nõp: ỉ Graduation thesis 2021 Bài Đào Thj Thúy ÀIÌ - b⅛⅛ rjrjrt∙l Irfch ιj⅛ri LdLI ạĩếrì rtlιur Iuf th⅛rt⅝ kháo loại Irứ trúng kħ⅛ √ 30 tứ dộ: I Bão IjSu quic∣.'j∣Ht⅛ {càứh IMiIi 4⅛,∣∣ chẽ V ChangemodB Lũ t⅛i M⅝ 1*⅛ match (bái cùa học sinh tờ 04-thg 12-2020) Submitted to National Cha∏3 Kunq University D∏ 2020-L2-l□A lf⅛ match (bái CLia học sinh từ 06-thg 6-2020) Submitted to Banking Academy on 2020-06-06 < 1D⅛ match (bái cùa học sinh từ 06-thg 5-2021) Submitted to National Economics University □π 2021-05-06