Research on satisfaction of customers on the quality of consumer loan service in vietnam international commercial joint strock bank (vib) ba ria branch, 2018

` MINISTRY OF EDUCATION AND TRAINING STATE BANK OF VIET NAM BANKING UNIVERSITY OF HO CHI MINH CITY NGUYEN DUC ANH PHUC RESEARCH ON SATISFACTION OF CUSTOMERS ON THE QUALITY OF CONSUMER LOAN SERVICE IN VIETNAM INTERNATIONAL COMMERCIAL JOINT STOCK BANK (VIB) - BA RIA BRANCH BACHELOR’S THESIS MAJOR: FINANCE AND BANKING CODE: SUPERVISOR M.S TRAN HONG HA HCMC, 2018 Tai ngay!!! Ban co the xoa dong chu nay!!! ii` ABSTRACT The purpose of this thesis is to explore factors affecting customer satisfaction when using consumer lending services at VIB This study is based on the documentary background of decision making process, SERVPERF theory model to measure service quality Both quantitative and qualitative methods are used to analyze data In quantitative research, the impact of factors on customer satisfaction when using consumer lending services at VIB is analyzed by survey questionnaires collected from 140 customers Based on the research results, the factors affecting customer satisfaction when using consumer lending service at VIB include factors but only factors affecting customer satisfaction The qualitative study was conducted by group discussion and in – depth interviews with experts From the research results, a number of research implications have been proposed to improve and enhance the customer satisfaction when using consumer lending services at VIB iii` DECLARATION I declare that this thesis research is entirely my own composition, the research‟s result is honest, in which there is no previously published content or other content performed by another person except the quotations are cited completely in the thesis I am responsible for my thesis Student iv` ACKNOWLEDGEMENT I would like to take this opportunity to acknowledge several individuals who have helped me to complete my thesis First of all, I would like to express my endless thanks and gratefulness to my supervisor M.S Tran Hong Ha Her kindly support and continuous advices went through the process of completion of my thesis His encouragement and comments had significantly enriched and improved my work Without his motivation and instructions, the thesis would have been impossible to be done effectively Secondly, I want to thanks my parents for their endless love, care and have most assistances and motivation me for the whole of my life I also would like to explain my thanks to my siblings, brothers and sisters for their support and care me all the time Next, my deeply thanks come to all of my friends who always support me during time I study in university I am thankful for the times that they have listened to me, advised me and even comforted me Their kindly help, care and motivation gave me strength and lift me up all the trouble for the rest of my life v` TABLE OF CONTENTS CHAPTER I: INTRODUCTION 1.1 STATEMENT OF THE PROBLEM 1.2 AIMS OF THE ESSAY 1.2.1 Overall objective 1.2.2 Main objectives 1.3 Research question 1.4 Subject and scope of the study 1.5 Research method 1.6 Research content 1.7 Contribution of the topic 1.8 Related reasearchs 1.9 Structure CHAPTER THEORETICAL BASIS OF RESEARCH MODEL 2.1 THEORETICAL BASIS 2.1.1 Service 2.1.1.1 The concept of service 2.1.1.2 Characteristics of the service 2.1.2 Service quality 10 2.1.2.1 Concept of service quality 10 2.1.2.2 Factors affecting the quality of service 11 2.1.3 Customer Satisfaction 12 2.1.3.1 Concept 12 2.1.3.2 Factors determining customer satisfaction 13 2.1.4 Relationship between quality of service and customer satisfaction 14 2.1.5 Overview of consumer loans 15 2.1.5.1 Concept of consumer loans 15 2.1.5.2 Characteristics of consumer loans 16 2.1.5.3 Role of consumer loans 17 2.2 RESEARCH MODELS BEFORE 19 vi` 2.2.1 Model of technical quality - function of Gronroos (1984) 19 2.2.2 The SERVQUAL model of Parasuraman (1988) 19 2.2.3 The SERVPERF model of Cronin and Taylor (1992) 20 2.2.4 Comparison of service quality assessment models 21 2.3 RESEARCH MODELS BASED ON THE SERVPERF MODEL 23 CHAPTER 25 RESEARCH METHODOLOGY 25 3.1 STUDY BACKGROUND 25 3.1.1 Introduce VIB bank 25 3.1.2 Advantages and disadvantages of consumer lending 26 3.1.2.1 Advantages 26 3.1.2.2 Disadvantages 27 3.2 RESEARCH PROCESS 27 3.3 RESEARCH DESIGN 28 3.3.1 Preliminary research 28 3.3.2 Formal study 29 3.3.2.1 Research sample 29 3.3.2.2 Methods of data analysis 30 3.3.2.3 Survey procedures 30 3.4 BUILDING SCALE 33 Table 3.1 Data encrypt 34 3.5 DESIGN QUESTIONNAIRE 35 CHAPTER 36 RESULTS AND FINDING 36 4.1 ANALYSIS DECRIPTION 36 4.1.1 Descriptive Statistics 36 4.1.2 Mean value 39 4.2 ASSESSMENT SCALES 44 4.2.1 Assess the Reliability of Scale by Cronbach's Alpha 44 4.2.2.1 Factors affecting customer satisfaction 45 4.2.2.2 Customer Satisfaction 48 4.3 ADJUSTMENT MODEL STUDY 49 4.3.1 Research model 49 4.3.2 Theories 49 vii` 4.4 TESTING THE RESEARCH MODEL 50 4.4.1 Analysis of correlations between variables 50 4.4.2 Regression analysis 52 4.4.2.1 Compliance testing of the model 52 4.4.2.2 Self-correlation test 52 4.4.2.3 Testing individual regression coefficients 53 4.4.2.4 Multi-collinear testing 54 4.4.2.5 Test the hypothesis of the model 54 4.4.2.6 Construct the regression model 55 4.4.3 ANOVA test, T-test 56 4.4.3.1 T-test 56 4.4.3.2 Analysis of ANOVA 57 CHAPTER 61 CONCLUSIONS AND RECOMMENDATIONS 61 5.1 SUMMARY OF RESULTS OF THE STUDY 61 5.2 RECOMMENDATIONS 62 5.2.1 RESPONSIVENESS AND RELIABILITY 62 5.2.2 TANGIBLE 63 5.3 LIMITATIONS OF RESEARCHES AND NEW RESEARCH DIRECTIONS FOR NEXT RESEARCH 64 REFERENCE APPENDIX viii` LIST OF ACRONNYMS Acronnyms VIB Meaning Vietnam International Commercial Joint Stock Bank GRONROSS Technical quality model - function of Gronroos SEVPERF Service quality model variant of SERVQUAL SERVQUAL Quality model of Parasuraman service ix` LIST OF FIGURES Figure 2.1 Research model suggests the influence of factors on customer satisfaction on the quality of consumer loan services at VIB Bank Ba Ria Branch 24 Figure 3.1.Research process 28 Figure 4.1 Average value of criteria of "tangible means" 40 Figure 4.2 Average value of criteria of "Reliability" factor 41 Figure 4.3 Average value of “Responsiveness” criteria 42 Figure 4.4 Average value of criteria for factor "Assurance" 43 Figure 4.5 Average value of criteria for "Empathy" factor 44 Figure 4.6 Research model suggests the influence of factors on customer satisfaction on consumer lending service quality at VIB Bank Ba Ria Branch 49 Figure 4.7 Results of regression analysis 56 x` LIST OF TABLES Table 2.1 Comparison of service quality assessment models 21 Table 3.1 Data encrypt 34 Table 4.1.Characteristics of research samples 37 Table 4.2 Summary table of Cronbach’s Alpha coefficients of five independent factors and dependent variables 44 Table 4.3 Table 4.3 KMO and Bartlett's Test 45 Table 4.4 KMO and Bartlett's Test 48 Table 4.5 The correlation matrix between the variables 51 Table 4.7 ANOVA 53 Table 4.8 Results of regression analysis 54 Table 4.9 Testing the difference 56 Table 10 Summary of differences test results 57 ` APPENDIX DESCRIPTIVE STATISTICS Gender Frequency Percent Valid Percent Cumulative Percent Male 82 65.1 65.1 65.1 Female 44 34.9 34.9 100.0 Valid Total 126 100.0 100.0 Age Frequency Percent Valid Percent Cumulative Percent 20-30 42 33.3 33.3 33.3 31-40 59 46.8 46.8 80.2 Valid 41-50 19 15.1 15.1 95.2 4.8 4.8 100.0 126 100.0 100.0 Over 50 Total Icome Frequency Percent Valid Percent 5-10 million 31 24.6 24.6 24.6 10-20 million 77 61.1 61.1 85.7 Valid 20-30 million 11 8.7 8.7 94.4 5.6 5.6 100.0 126 100.0 100.0 over 30 million Total Cumulative Percent Education Frequency Percent Valid Percent Cumulative Percent Highschoolorbelow 16 12.7 12.7 12.7 College 73 57.9 57.9 70.6 University/Master"s degree 37 29.4 29.4 100.0 126 100.0 100.0 Valid Total ` Occupation Frequency Percent Valid Percent Cumulative Percent Officer 13 10.3 10.3 10.3 Business 80 63.5 63.5 73.8 Other jobs 33 26.2 26.2 100.0 126 100.0 100.0 Valid Total Number of bank which customers use the service for consumer loans Frequency Percent Valid Percent Cumulative Percent 1-2 bank 88 69.3 69.3 70.1 2-3 banks 36 28.3 28.3 98.4 1.6 1.6 100.0 126 100.0 100.0 Valid Over banks Total ` APPENDIX CRONBACH ALPHA'S EXPERTISE 1) Factor TANGIBLE Reliability Statistics Cronbach's Alpha N of Items 78 Item-Total Statistics C1 The bank has modern equipment C2 The appearance of Scale Mean if Item Scale Variance if Item Corrected Item-Total Cronbach's Alpha if Deleted Deleted Correlation Item Deleted 11.19 2.123 554 742 11.25 2.011 473 773 11.23 2.051 681 769 11.21 2.426 516 762 the bank gives customers an impression C3 Polite and beautiful staff attire C4 Bank arranged the counters, brochures, tables very scientifically and conveniently for customers ` 2) Factor RELIABILITY Reliability Statistics Cronbach's Alpha N of Items 713 Item-Total Statistics C5 The bank always follows all commitments with customers C6 The bank resolves satisfactorily when customers have questions and Scale Mean if Scale Variance if Corrected Item- Cronbach's Alpha Item Deleted Item Deleted Total Correlation if Item Deleted 14.39 4.944 625 613 14.41 4.964 579 626 14.55 4.954 351 646 14.54 5.258 383 653 14.37 4.890 656 602 complaints C7 The bank performs the service right from the beginning C8 Banks provide services according to the time they promised C9 The bank always keeps records, books are not wrong ` 3) Factor RESPONSIVENESS Reliability Statistics Cronbach's Alpha N of Items 752 Item-Total Statistics C10 Bank staff informs exactly when the service is performed C11 Bank staff provide quickly Scale Mean if Scale Variance if Corrected Item-Total Cronbach's Alpha if Item Deleted Item Deleted Correlation Item Deleted 10.64 6.759 225 843 11.03 3.327 813 704 11.02 3.431 782 721 11.02 3.648 619 750 service to customers C12 Bank staff are always ready to help customers C13 Bank staff are not too busy to meet customer requirements ` 4) Factor ASURRANCE Reliability Statistics Cronbach's Alpha 748 N of Items Item-Total Statistics C14 Employee behavior creates trust for customers C15 Customers feel safely when dealing with Scale Mean if Scale Variance Corrected Item- Cronbach's Alpha Item Deleted if Item Deleted Total Correlation if Item Deleted 11.94 3.540 538 627 11.92 3.570 338 616 11.94 3.533 549 640 11.94 3.556 435 643 banks C16 Bank employees are always polite, respectful and courteous to customers C17 Employees have enough knowledge and communication skills to answer customer questions ` 5) Factor EMPATHY Reliability Statistics Cronbach's Alpha 733 N of Items Item-Total Statistics C18 The bank pays attention to each customer C19 The bank's working hours convenient for all Scale Mean Scale Variance Corrected Item- Cronbach's if Item if Item Total Correlation Alpha if Item Deleted Deleted Deleted 14.84 3.415 328 638 14.68 3.434 476 580 14.95 2.846 468 572 14.84 3.495 493 654 14.75 3.151 509 555 customers C20 The bank has employees who care about each customer C21 Customers' interests are of top concern (low interest rates, appropriate loan terms, customers can negotiate interest rates, receive holidays, birthday gifts ) C22 Bank staffs understand the specific needs of customers ` 6) SATISFICATION Reliability Statistics Cronbach's Alpha 82 N of Items Item-Total Statistics Scale Mean if Scale Variance if Corrected Item- Cronbach's Alpha Item Deleted Item Deleted Total Correlation if Item Deleted C23 Overall, you are satisfied with the quality of consumer lending services at 7.60 899 677 708 7.49 1.260 661 724 7.45 1.162 629 741 NH VIB Ba Ria C24 You will introduce relatives and friends to borrow at NH VIB Ba Ria C25 You will continue to trade at NH VIB Ba Ria in the future ` APPENDIX ANALYSIS OF FACTORS DISCOVERING EFA Total Variance Explained Component Initial Eigenvalues Total 10 11 12 13 14 15 16 17 18 19 20 21 % of Cumulative Extraction Sums of Squared Rotation Sums of Squared Loadings Loadings Total % of Cumulative Total % of Cumulative 6.032 Variance 28.726 % 28.726 6.032 Variance 28.726 % 28.726 4.825 Variance 22.975 % 22.975 4.595 21.880 50.606 4.595 21.880 50.606 4.270 20.333 43.308 3.302 15.722 66.328 3.302 15.722 66.328 3.500 16.664 59.973 2.419 11.521 77.848 2.419 11.521 77.848 3.103 14.774 74.746 1.768 8.420 86.268 1.768 8.420 86.268 2.420 11.522 86.268 539 2.568 88.836 469 2.235 91.072 381 1.816 92.888 310 1.474 94.362 259 1.235 95.596 172 820 96.417 152 723 97.140 147 702 97.842 119 566 98.409 097 463 98.871 066 313 99.184 056 267 99.451 048 229 99.680 033 158 99.838 024 113 99.951 010 049 100.000 Extraction Method: Principal Component Analysis ` Rotated Component Matrixa Component C9 The bank always keeps records, books are not wrong 780 C18 The bank pays attention to each customer 672 C21 Customers' interests are of top concern (low interest rates, appropriate loan terms, customers can negotiate interest rates, receive holidays, birthday gifts ) 669 C5 The bank always follows all commitments with customers 767 C6 The bank resolves satisfactorily when customers have questions and complaints 649 C13 Bank staff are not too busy to meet customer requirements 625 C12 Bank staff are always ready to help customers 619 C11 Bank staff provide quickly service to customers 719 C8 Banks provide services according to the time they promised 881 C7 The bank performs the service right from the beginning 863 C15 Customers feel safely when dealing with banks 664 C14 Employee behavior creates trust for customers 736 C16 Bank employees are always polite, respectful and courteous to customers 814 C17 Employees have enough knowledge and communication skills to answer customer questions 798 C1 The bank has modern equipment 783 C2 The appearance of the bank gives customers an impression 665 C4 Bank arranged the counters, brochures, tables very scientifically and conveniently for customers C3 Polite and beautiful staff attire 714 801 C22 Bank staffs understand the specific needs of customers 741 C19 The bank's working hours convenient for all customers 796 C20 The bank has employees who care about each customer 736 ` APPENDICE TESTING THE DIFFERENCE Gender y satisfication gtinh giới tính Male Female N Group Statistics Mean 84 -.1257092 48 2199912 Std Deviation 93872652 1.07395996 Std Error Mean 10242346 15501277 Independent Samples Test Levene's Test for Equality of Variances y satisfication Equal variances Equal variances not assumed assumed 5.763 F 018 Sig 1.103 1.020 df 124 70.715 Sig (2-tailed) 047 056 Mean Difference 10329 10329 Std Error Difference 09362 10130 t t-test for Equality of Means 95% Confidence Interval of the Difference Lower Upper -.08201 -.09872 -.09872 30530 Age Test of Homogeneity of Variances y satisfication Levene Statistic df1 df2 2.290 128 Sig .105 ANOVA y satisfication Sum of Squares df Between Groups Within Groups 1.243 129.757 128 Total 131.000 131 Mean Square 414 1.014 F 409 Sig .647 ` 0ccupation Test of Homogeneity of Variances y satisfication Levene Statistic df1 df2 1.556 129 Sig .215 ANOVA y satisfication Sum of Squares Between Groups df Mean Square 5.651 2.826 Within Groups 125.349 129 972 Total 131.000 131 F Sig 2.908 058 Income Test of Homogeneity of Variances y satisfication Levene Statistic df1 df2 455 128 Sig .714 ANOVA y satisfication Sum of Squares Between Groups df Mean Square 2.883 961 Within Groups 128.117 128 1.001 Total 131.000 131 Education Test of Homogeneity of Variances y satisfication Levene Statistic df1 df2 376 129 Sig .588 F Sig .960 214 ` ANOVA y satisfication Sum of Squares Between Groups df Mean Square 968 484 Within Groups 130.032 129 1.008 Total 131.000 131 F Sig .480 520 Number of bank which customers use the service for consumer loans Test of Homogeneity of Variances y satisfication Levene Statistic df1 df2 320 129 Sig .626 ANOVA y satisfication Sum of Squares Between Groups df Mean Square 3.714 1.857 Within Groups 127.286 129 987 Total 131.000 131 F Sig 1.882 146 ` APPENDIX The correlation matrix between the variables Correlations Y Pearson Correlation Y X3 004 Sig (2-tailed) 967 N 126 004 X3 ** 516 X4 * 190 X5 ** -.017 579 967 000 033 000 849 126 126 126 126 126 082 -.137 ** -.035 361 127 003 695 126 126 126 126 049 ** -.053 584 000 555 126 264 082 Sig (2-tailed) 000 361 N 126 126 126 126 126 126 Pearson Correlation * 190 -.137 049 070 106 Sig (2-tailed) 033 127 584 434 237 N 126 126 126 126 126 126 ** ** ** 070 080 516 579 264 423 423 Sig (2-tailed) 000 003 000 434 N 126 126 126 126 126 126 -.017 -.035 -.053 106 080 Sig (2-tailed) 849 695 555 237 373 N 126 126 126 126 126 Pearson Correlation X5 X2 ** Pearson Correlation X4 126 Pearson Correlation Pearson Correlation X2 Sig (2-tailed) N X1 X1 ** Correlation is significant at the 0.01 level (2-tailed) * Correlation is significant at the 0.05 level (2-tailed) .373 126 `