(Luận văn) the relationship between service quality and customer loyalty, an empirical study on pharmasy customrrs in ho chi minh city

t to MINISTRY OF EDUCATION AND TRAINING UNIVERSITY OF ECONOMICS HO CHI MINH CITY X—W ng hi ep w n HOANG NGOC CAM TU lo ad ju y th yi pl THE RELATIONSHIP BETWEEN ua al n SERVICE QUALITY AND CUSTOMER va n LOYALTY: AN EMPIRICAL STUDY ON ll fu m oi PHARMACY CUSTOMERS IN nh at HO CHI MINH CITY z z ht vb k jm l.c gm om MASTER THESIS OF BUSINESS ADMINISTRATION n a Lu n va y te re HO CHI MINH CITY – 2012 t to MINISTRY OF EDUCATION AND TRAINING UNIVERSITY OF ECONOMICS HO CHI MINH CITY X—W ng hi ep w n HOANG NGOC CAM TU lo ad ju y th yi pl THE RELATIONSHIP BETWEEN ua al n SERVICE QUALITY AND CUSTOMER n va ll fu LOYALTY: AN EMPIRICAL STUDY ON m oi PHARMACY CUSTOMERS IN at nh z HO CHI MINH CITY z ht vb k jm gm om Code: 60.34.01.02 l.c Subject: Master of Business Administration n a Lu n va MASTER THESIS OF BUSINESS ADMINISTRATION y te re SUPERVISOR: DR TRAN HA MINH QUAN I t to ng hi ACKNOWLEDGEMENT ep w For the completion of this thesis, I would like to extend my deep gratitude to Dr Tran Ha Minh Quan, who gave me intensive support, valuable suggestion, guidance and encouragement during the time I conduct my thesis Through his guiding I found the way to conduct thesis successfully and also the way to solve research problems n lo ad y th ju I also want to say thankful to my classmate at eMBA K19 for their sharing knowledge and honestly support during the time we studied and conducted thesis, their passion to finish thesis and encouragement gave me more strength to get over objection on the way to graduation yi pl ua al n Last but not least, I am grateful to my husband and my family for their warm encouragement during the time I finished the thesis n va ll fu Although I has tried the best to complete the thesis, but errors could not be comprehensively avoided Therefore, I am looking forward to receiving comments from respectful lecturers and friends, so that I can improve more on the quality of this thesis oi m at nh z z k jm ht vb Hoang Ngoc Cam Tu Ho Chi Minh, 25 October 2012 om l.c gm n a Lu n va y te re th II t to ng COMMITMENT hi ep I would like to commit that this thesis, “THE RELATIONSHIP BETWEEN SERVICE QUALITY AND CUSTOMER LOYALTY: AN EMPIRICAL STUDY ON PHARMACY CUSTOMERS IN HO CHI MINH CITY”, was accomplished based on my independent and serious studies and scientific researches The data was collected in reality and it has clear origins In addition to that, the data would be trust-worthily handled and it has never been released in any menu Hoang Ngoc Cam Tu w n lo ad ju y th yi pl n ua al n va ll fu oi m at nh z z k jm ht vb om l.c gm n a Lu n va y te re th III t to ng hi CONTENTS ep w n ACKNOWLEDGEMENT .I lo ad y th COMMITMENT II ju CONTENTS III yi pl TABLES IV ua al n FIGURES V va n CHAPTER I: INTRODUCTION Problem Statement Research Objective Contribution .2 ll oi m Academic Contribution Business Contribution at nh 1.3.1 1.3.2 fu 1.1 1.2 1.3 z 1.4 Scope and Approach 1.5 Research Structure 2.1 Service Quality 2.2 Customer Loyalty 2.3 Relationship Between Service Quality and Loyalty .11 3.1Research Design 14 3.2 Questionnaire Development .16 z k jm ht vb gm l.c 3.2.1 Service quality scale 16 3.2.2 Customer loyalty scale .18 om 3.3 Questionnaire Translation .19 3.4Group Discussion .20 3.5 Target population 21 3.6 Sample size .21 3.7 Selecting the sample and collecting data .22 3.8 Method of data analysis 23 n a Lu n va y te re th 3.8.1 Data cleaning 23 3.8.2 Reliability 23 3.8.3 Confirmatory Factor Analysis (CFA) 24 3.8.3 Structural Equation Model (SEM) 26 3.8.5 Analysis of variance (one-way and two-way ANOVA) .27 IV t to ng hi ep 4.1 Characteristic of qualified respondents 29 4.2 Normality analysis 31 4.3 Reliability of the measurements .33 w 4.3.1 Reliable Test of Service Quality (SERVPERF) Measurement 33 4.3.2 Reliable test of customer loyalty scale 36 n 4.4 Confirmatory factor analysis 36 lo ad 4.5 HYPOTHESIS TESTING 42 y th ju 4.6 Analysis of variance 45 4.6.1 The effect of gender on loyalty 45 4.6.2 The effect of age on loyalty 47 4.6.3 The effect of income on loyalty 48 yi pl n ua al 5.1 Discussion on findings 50 5.2 Practical implications .51 5.3 Contribution of the current study 52 5.4 Limitations and Future research .52 va n REFERENCES VIII ll fu oi m APPENDIX XVIII at nh z z k jm ht vb om l.c gm n a Lu n va y te re TABLES th Table 2-1: Five Dimensions of Service quality V t to ng Table 2-2: Loyalty Scale hi ep Table 3-1: Survey Items Used in The Study-Service Quality Scale w Table 3-2: Survey Items Used in The Study-Customer Loyalty Scale n Table 3-3: Assessing fit indices lo ad Table 4-1: Variables y th ju Table 4-2: Socio-demographic Characteristics of The Qualified respondents yi Table 4-3: Assessment of Normality pl ua al Table 4-4: Reliability of Service Quality Measurement (SERVPERF scale) n Table 4-5 Reliability of loyalty measurement va n Table 4-6: Composite reliability ll fu Table 4-7: Standardized Regression Weights – Hypothesized Model m oi Table 4-8: Assessing Fit Indices – Modified Model at nh Table 4-9: Regression Weights: (Group number - Default model) z Table 4-10: T-test of gender toward loyalty (BI) z ht vb Table 4-11: ANOVA Test Of Age Toward Loyalty k Table 4-13: ANOVA test of income toward loyalty jm Table 4-12: ANOVA Test Of Education Toward Loyalty om l.c gm n a Lu y th Figure 3-1: The research process te re Figure 2-1: The conceptual Model n va FIGURES VI t to ng Figure 3-2: The translation process hi ep Figure 4-1: CFA model w Figure 4-2: SEM result (standardized estimate) n lo ad ju y th yi pl n ua al n va ll fu oi m at nh z z k jm ht vb om l.c gm n a Lu n va y te re th t to ng CHAPTER I: INTRODUCTION hi ep w n lo 1.1 Problem Statement ad y th ju From 2001 to 2008, Vietnamese pharmaceutical market has increased yi pl significantly with average about 19.9% per year, especially in 2008 the growth ua al was up to 25.5% compared to 2007 (Tan et al., 2009) In recent years, with the n higher average income, Vietnamese people tend to spend more on healthcare va n service While average expense for medicine of Vietnamese people in 1998 was fu ll just about 5.5 USD, in 2008 the average expense for medicine was 16.5 USD m oi and up to 19.77 USD in 2009 (Tan et al., 2009) The growth in pharmaceutical nh at market is attributed by increasing trend in self-medication, inline with the greater z z awareness of health issues ht vb As end-stage in medicine distribution (along with hospitals), pharmacies has k jm become the most important factor to ensure the good consuming medicine gm product to most of consumer, the best place for self-medication Especially in l.c rural areas, where patient rather visit pharmacies than hospital for their minor om health problem, pharmacies are not only places to buy drug but also places where a Lu patient can get fast and effective medicine for their simple disease At n pharmacies, patient can be advised how to use medicine safety and effectively va n In Vietnam, when patient got health problem, most of them will go to y th pharmacies become more and more important te re pharmacies nearby to take some medicine; this situation make the role of t to ng Adapted to Ministry of Health regulation in 2007, that all pharmacies in Ho hi ep Chi Minh City should be improved to GPP (Good Pharmacy Practices) standard w to increase service to consumer, pharmacies has been put in a new competition n for increasing infrastructure and service quality More and more new GPP lo ad pharmacies appeared in HCM city in year 2011 with many formalism of y th ju increasing service: pharmacist or doctor available, economic price, gift for loyal yi customer…etc Pharmacies are doing their best to increase service quality to pl ua al attract loyal customer to maximize profit n Aim at understanding how to improve loyalty pharmacy customer, this va n research is conducted to clarify relationship between service quality and ll fu customer loyalty oi m at nh 1.2 Research Objective z z ht vb To examine if any dimension of service quality, that are tangibility, k pharmaceutical market jm reliability, responsiveness, assurance and empathy effect on loyalty in gm To investigate if there is any difference on mean of loyalty of l.c n a Lu gender om pharmaceutical consumer between demographic factors such as income, age, and n y te re th 1.3.1 Academic Contribution va 1.3 Contribution XVII t to ng 76 Wong, A., Dean, A and White, C (1999), The impact of service quality hi ep on customer loyalty in the hospitality Industry, International Journal Of w Customer Relationship Management, Vol No n 77 Zeithaml, V.A., Berry, L.L and Parasuraman, A (1996), The behavioral lo ad consequences of service quality, Journal of Marketing, Vol 60 ju y th yi pl n ua al n va ll fu oi m at nh z z k jm ht vb om l.c gm n a Lu n va y te re th XVIII t to ng hi ep w n lo ad ju y th yi pl n ua al n va ll fu oi m at nh z z k jm ht vb om l.c gm n a Lu n study is to improve the understanding the impact service quality on customer loyalty This th This survey is done by the University of Economic Ho Chi Minh City The primary purpose of this y Dear Sir/Madam, te re Appendix I: English questionnaire va APPENDIX XIX t to ng questionnaire is completely confidential When you finish, please seal your questionnaire in the hi ep envelope provided Thank you very much w n lo A In relation with your perception, to what extent you disagree or agree with the following statements? Please circle one suitable number for each statement: Strongly Strongly disagree agree ▼ ▼ ad ju y th The installations of this pharmacy are visually agreeable The employees of this pharmacy have an agreeable aspect The equipment of this pharmacy are in view of the service This pharmacy does what it promises pl This pharmacy has modern equipment n ua al n va 7 7 7 7 ll fu gm yi oi m When I have a problem, this pharmacy demonstrates interest in it This pharmacy does the service in the promised time In this pharmacy does not commit errors z This pharmacy does the service well at first time z at resolution nh jm ht vb k 11 The employees of this pharmacy inform you conveniently 7 7 15 You feel secure when you buy this pharmacy 16 The employees of this pharmacy are always pleasant 12 The employees of this pharmacy aren’t ever occupied to answer to The behavior of the employees of this pharmacy inspires confidence to y te re the customers n va 14 n 13 The employees of this pharmacy are always prepared to help you a Lu your questions om l.c 10 This pharmacy has a quickly attendance th XX t to ng The employees of this pharmacy have sufficient knowledge’s to hi 17 ep answer to your questions 18 This pharmacy priority is the customer w n 19 This pharmacy has personnel attendance lo ad 20 This pharmacy has a convenient horary y th 21 The employees of this pharmacy personnel attendance ju yi 22 The employees of this pharmacy answer to your more specific needs pl I pretend to continue to be customer to this pharmacy ua al 23 n 24 I consider this pharmacy as my first choice in pharmaceutical services va n 25 I have only positive things to transmit from this pharmacy fu ll 26 I recommend this pharmacy to someone that needs my advice 7 7 7 7 7 m oi 27 I stimulate my friends and familiars to buy in this pharmacy Year birth: of vb □Female z □Male z Year ……… … k jm ht Gender : at nh D Lastly, a couple of questions about you: om l.c gm n a Lu n va y te re Total monthly income 5 millions and 10 millions and 15 millions and 20 millions th Your education Primary/Secondary XXI t to ng High school Graduate College Post graduate hi ep w n Thank you very much lo ad ju y th yi pl n ua al n va ll fu oi nh Kính thưa Anh/Chị/Bạn, m Appendix II: Vietnamese questionnaire at Nghiên cứu thực học viên cao học Trường Đại Học Kinh Tế Thành Phố Hồ Chí z z Minh Mục đích nghiên cứu nhằm tìm hiểu vai trị chất lượng dịch vụ nhà thuốc đến lòng ht vb trung thành khách hàng Mọi thông tin quý Anh, Chị bạn cung cấp qua bảng câu hỏi k Xin chân thành cảm ơn jm để phục vụ cho nghiên cứu nói thơng tin cá nhân giữ bí mật gm om l.c Xin vui lòng cho biết địa nhà thuốc (nhà thuốc X) mà Anh/Chị bạn thường mua và/ thích mua: a Lu Nhà thuốc quận/huyện:………………………… Tỉnh/thành n phố:…………………………… te re (nhà thuốc X) n va A Xin vui lịng cho biết ý kiến phát biểu sau đâyvề nhà thuốc Rất đồng đồng ý ý y Rất không th XXII t to ng ▼ ▼ hi ep 1 Cách trưng bày nhà thuốc nhìn đẹp mắt Nhân viên nhà thuốc ăn mặc gọn gàng lịch Trang thiết bị nhà thuốc đạt tiêu chuẩn để phục vụ cho w Nhà thuốc có trang thiết bị đại n lo ad y th ju dịch vụ nhà thuốc Nhà thuốc thực theo họ cam kết Khi gặp vấn đề, nhà thuốc tỏ quan tâm đến việc yi pl ua al giúp giải vấn đề n Nhà thuốc thực dịch vụ tốt lần Nhà thuốc thực dịch vụ thời gian cam 7 7 12 Nhân viên nhà thuốc không bận rộn mà khơng trả 7 14 Ứng xử nhân viên nhà thuốc làm cho khách hàng tin 6 7 n va ll Nhà thuốc không gây sai sót oi m fu kết at nh 10 Nhà thuốc phục vụ nhanh chóng z 11 Nhân viên nhà thuốc thông tin cho cách rõ ràng dễ hiểu z jm ht vb lời k 13 Nhân viên nhà thuốc sẵn sàng giúp tôi cần 15 Tôi thấy an tâm mua nhà thuốc 16 Nhân viên nhà thuốc nhã nhặn 17 Nhân viên nhà thuốc có đủ kiến thức để trả lời câu hỏi a Lu n n 19 Nhà thuốc phục vụ theo nhu cầu riêng biệt khách cậy om l.c gm 7 y th hàng te re 18 Ưu tiên số nhà thuốc khách hàng va XXIII t to ng 20 Nhà thuốc có thời gian hoạt động thuận tiện cho tơi hi ep 21 Nhân viên nhà thuốc phục vụ theo nhu cầu riêng biệt 7 khách hàng w n 22 Nhà thuốc đáp ứng nhu cầu đặc biệt lo 24 Tôi giới thiệu nhà thuốc tới người cần lời khuyên 25 Tôi khuyến khích bạn bè người thân mua nhà thuốc 26 Tôi dự định tiếp tục khách hàng nhà thuốc 7 ju y th ua ad 23 Tơi có ý kiến tốt nhà thuốc yi pl al 27 Tôi xem nhà thuốc làlựa chọn cần nhà thuốc n n va □ > 10 < 15 z vb □ > 20 □ Trung Cấp jm ht Học vấn: □ Phổ thông □ > 15 < 20 z □ > < 10 at □ TG_ < > RE_ 0.75 RS_ < > TG_ < > RS_ 0.641 AR_ < > TG_ < > AR_ 0.695 TG_ < > TG_ < > EM_ 0.674 RE_ < > RS_ < > RE_ 0.891 RS_ < > AR_ < > RE_ 0.873 AR_ < > EM_ < > RE_ 0.806 EM_ < > APPENDIX 4: STRUCTURAL EQUATION MODEL RESULTS Regression Weights: ad ju y th yi pl n ua al 0.951 0.861 0.898 0.812 0.819 0.812 0.898 0.898 n va P BI < - TG 0.293 0.095 3.081 AR1 < - AR_ BI < - RE 0.061 0.218 0.28 oi S.E C.R EM4 < - EM ll fu Estimate m 0.78 S.E C.R P 1.212 0.089 13.59 *** < - RS -0.454 0.364 -1.247 0.21 EM3 EM 0.978 0.112 8.703 *** BI < - AR 0.856 0.425 2.017 0.04 EM2 < - EM 1.059 0.083 12.71 *** BI < - EM 0.553 0.214 2.579 0.01 EM1 EM 1.277 0.118 10.81 *** TG4 < - TG RE5 < - RE TG3 < - TG 0.823 0.073 11.274 *** RE4 < - RE 1.452 0.14 10.38 *** TG2 < - TG 0.836 0.071 11.846 *** RE3 < - RE 1.429 0.138 10.38 *** TG1 < - TG 0.818 0.076 10.76 *** RE2 < - RE 1.549 0.151 10.26 *** RS4 < - RS RE1 < - RE 9.927 *** RS3 < - RS 1.026 0.061 16.898 *** BI5 < - BI 0.076 12.03 *** 0.074 13.48 *** at BI z nh < - Estimate < - z k jm ht vb gm 1.372 < - RS 1.035 0.072 14.277 *** BI4 < - BI 0.915 RS1 < - RS 0.89 0.068 13.082 *** BI3 < - BI 0.999 AR4 < - AR BI2 < - BI 1.051 0.075 *** AR3 < - AR 1.204 0.088 13.647 *** BI1 < - BI 1.001 0.069 14.4 *** AR2 < - AR 1.304 0.094 13.895 *** EM5 < - EM 1.004 0.087 11.5 va om RS2 a Lu l.c 0.138 13.96 n *** n BI < - TG 0.294 Estimate AR1 < - AR 0.825 th Estimate y te re Standardized Regression Weight XXVIII t to ng hi ep < - RE 0.045 EM4 < - EM 0.654 BI < - RS -0.439 EM3 < - EM 0.604 BI < - AR 0.704 EM2 < - EM 0.698 < - EM 0.409 EM1 < - EM 0.786 w BI n BI < - TG 0.822 RE5 < - RE 0.592 TG3 < - TG 0.677 RE4 < - RE 0.827 TG2 < - ju 0.707 RE3 < - RE 0.835 TG1 < - 0.65 RE2 < - RE 0.812 RS4 < - RS 0.779 RE1 < - RE 0.781 RS3 < - RS 0.754 BI5 < - BI 0.793 RS2 < - RS va BI4 < - BI 0.697 RS1 < - RS 0.753 BI3 < - BI 0.762 AR4 < - AR 0.729 BI2 < - BI 0.786 AR3 < - AR 0.828 oi < - BI 0.805 AR2 < - AR 0.842 EM5 < - EM 0.664 y th ad lo TG4 TG yi pl TG n ua al 0.809 n ll fu m BI1 om l.c n a Lu *** *** *** *** *** *** *** *** *** *** gm 6.925 7.068 7.334 6.715 7.301 7.108 6.548 8.405 7.496 7.464 k va n Correlations: y th 750 641 695 te re Estimate TG_ < > RE TG_ < > RS TG_ < > AR 096 106 094 090 104 089 080 108 099 088 jm 663 751 693 606 757 631 525 911 744 660 ht RE RS AR EM RE RE RE AR EM EM P vb < > < > < > < > < > < > < > < > < > < > C.R z TG TG TG TG RS AR EM RS RS AR S.E z Estimate at nh Covariances: XXIX t to ng hi Estimate ep TG_ RS_ AR_ EM_ RS_ RS_ AR_ w n lo < > < > < > < > < > < > < > ad 674 891 873 806 951 861 898 yi Variances: ju y th EM RE RE RE AR EM EM pl S.E ua al Estimate C.R P 1.219 158 7.703 *** RS 1.126 152 7.386 *** AR 816 120 6.819 *** EM 663 116 5.712 *** RE 641 123 5.200 *** n TG n va ll fu oi m at nh z Squared Multiple Correlations: z vb jm BI ht Estimate 919 k 351 000 te re y RMR, GFI RMR 091 GFI 829 AGFI 786 PGFI 663 th Model Default model 16.002 n 5616.556 va 27 n a Lu 000 om Independence model 378 l.c Saturated model gm Appendix 4: Structural Equation Model results (continue) Model Fit Summary CMIN Model NPAR CMIN DF P CMIN/DF Default model 76 761.750 302 000 2.522 XXX t to ng Model hi ep GFI AGFI PGFI Saturated model 000 1.000 Independence model 881 137 071 127 RFI rho1 842 IFI Delta2 913 TLI rho2 899 w RMR n lo Baseline Comparisons ad ju y th Model yi Default model 1.000 al 000 000 913 1.000 000 000 000 n ua Independence model CFI 1.000 pl Saturated model NFI Delta1 864 fu PRATIO 860 000 1.000 PNFI 744 000 000 Model Default model Saturated model Independence model NCP 459.750 000 5265.556 LO 90 382.256 000 5026.116 FMIN Model Default model Saturated model Independence model FMIN 2.832 000 20.879 ll PCFI 785 000 000 oi m at nh Model Default model Saturated model Independence model n va Parsimony-Adjusted Measures z z NCP om l.c gm n a Lu va n RMSEA HI 90 082 242 PCLOSE 000 000 th LO 90 069 231 y RMSEA 075 236 te re Model Default model Independence model k HI 90 2.026 000 20.489 jm LO 90 1.421 000 18.684 ht vb F0 1.709 000 19.575 HI 90 544.923 000 5511.413 XXXI t to ng AIC hi ep Model Default model Saturated model Independence model w n lo AIC 913.750 756.000 5670.556 BCC 931.410 843.834 5676.830 BIC 1187.230 2116.204 5767.714 CAIC 1263.230 2494.204 5794.714 ad y th ECVI ju Model Default model Saturated model Independence model yi pl ECVI 3.397 2.810 21.080 n HOELTER 01 128 20 ll oi m at nh HOELTER 05 122 19 fu Default model Independence model MECVI 3.462 3.137 21.103 va Model HI 90 3.713 2.810 21.994 n ua al HOELTER LO 90 3.109 2.810 20.190 z z k jm ht vb om l.c gm n a Lu n va y te re th