(Tiểu luận) topic the impact of electronic payment on the direct shopping behavior ofgeneration z in hai ba trung district, hanoi during the digital transformationera

1 NATIONAL ECONOMICS UNIVERSITY BACHELOR OF BUSINESS AND ADMINISTRATION IN ENTREPRENEUR MANAGEMENT TOPIC: The impact of electronic payment on the direct shopping behavior of Generation Z in Hai Ba Trung district, Hanoi during the digital transformation era Teacher in Charge: Ms Nguyen Dieu Hang & Mr Truong Dinh Duc Course: Market Research Student Name: Trương Hoàng Tú Quyên Student ID: 11206732 Student Class: BBAE K62B Hanoi, 30th September 2023 Table of Contents INTRODUCTION RESEARCH OBJECTIVES .4 LITERATURE REVIEW 3.1 E-payment 3.2 E-payment Tools 3.3 Consumer Behavior Concept 3.4 The Theory of Innovation Diffusion 3.5 Technology Acceptance Model (TAM) 3.6 Theory of Planned Behavior (TPB) 3.7 Unified Theory of Acceptance and Use of Technology (UTAUT) 3.8 Unified Theory of Acceptance and Use of Technology (UTAUT2) 10 RESEARCH MODEL .11 4.1 Research Hypotheses 11 4.1.1 4.1.2 4.1.3 4.1.4 4.1.5 4.1.6 4.1.7 4.1.8 4.1.9 4.2 Performance Expectancy (PE) 11 Effort Expectancy (EE) .12 Social Influence (SI) 12 Perceived Creditability (PCr) .12 Facilitating Conditions (FC) .12 Risk Awareness (RA) 13 Attitude Influence (AI) 13 Perceived Cost (PC) 13 Perceived Incentives (PI) 14 Proposed Research Model 14 METHODOLOGY 15 5.1 Sampling method 15 5.2 Survey method .16 5.2.1 5.2.2 5.3 Qualitative Research Method 16 Quantitative Research Method 17 Questionnaires 17 5.3.1 5.3.2 5.3.3 5.3.4 Introduction to the questionnaires and survey form .17 Questions using the Likert scale 18 Multiple choice questions 20 Personal questions .21 WORKPLAN AND TIMEFRAME 22 EXPECTED OUTPUT 23 REFERENCES 25 THE IMPACT OF ELECTRONIC PAYMENT ON THE DIRECT SHOPPING BEHAVIOR OF GENERATION Z IN HAI BA TRUNG DISTRICT, HANOI DURING THE DIGITAL TRANSFORMATION ERA Truong Hoang Tu Quyen Bachelor of Business Administration in Entrepreneur Management National Economics University Hanoi, Vietnam INTRODUCTION The digital transformation of the economy in general, and of enterprises in particular, is an unavoidable worldwide development trend Digital transformation ushers in seismic shifts, enhancing competitiveness among enterprises and economies in the area and beyond the world Many new technologies and business models, including electronic payment, have emerged and altered how organizations and businesses manage and operate and how customers access and utilize services, and products, and engage with them According to Deputy Governor Pham Tien Dung, non-cash payments climbed by 51.14% in quantity in the first seven months of 2023 compared to the same time in 2022, and via Internet channels increased by 66.46% in quantity Mobile phone sales climbed by 63.09%, while QR code purchases increased by 124.15% [22] Despite the Vietnamese market's enormous potential, mobile payment has yet to become a widespread trend As a result, in order to facilitate the promotion of mobile payment in Hanoi in particular and Vietnam in general, it is critical to understand the elements that influence the behavior of those who use this service, specifically electronic payment The research area is specifically Hai Ba Trung district, Hanoi, a district with a huge population and many universities with a large number of students and potential electronic payment consumers Currently, research on electronic payments has not explained how electronic payments affect and impact Generation Z's direct shopping behavior in Hanoi throughout the digital transition phase Causes, both objective and subjective; factors influencing from multiple angles; and possibilities and challenges remain unclear As a result, it assists the younger generation, new enterprises, and customers in having a more complete and specific understanding of the impact of electronic payments, which have increased dramatically in recent years The research will conduct surveys at universities and high schools in Hanoi's Hai Ba Trung area to research and analyze the direct shopping behavior of Hanoi youth during the digital transformation process and, at the same time, provide some practical suggestions to assist in increasing the effectiveness of using technology in online payments for Generation Z in Hai Ba Trung district, Hanoi, and around the country RESEARCH OBJECTIVES One of this study's key objectives is to examine how electronic payments affect Generation Z's direct buying behavior in Hanoi's Hai Ba Trung area The behavior of Generation Z consumers will be assessed through the analysis of factors pertaining to acceptance, attitude, and intention to use technology of electronic payment methods in order to provide information to family businesses, small and medium-sized businesses, and large enterprises regarding the use of electronic payment in trading goods and services The specific objectives are as follows: - Analyze and study variables that influence whether consumers use electronic payments when shopping directly - Analyze and investigate the effects of changes in trade practices - Explores consumer choice behavior when utilizing electronic payment methods and how customers use technology (electronic payments) to make in-person shopping more comfortable and convenient LITERATURE REVIEW 3.1 E-payment Electronic payments are defined in a variety of ways by scholars [13] define electronic payment as a type of connectivity between organizations and individuals enabled by banks that allows electronic cash transactions Electronic payment systems, on the other hand, are defined as a technique of transmitting money via the Internet for any currency exchanged [47] According to [34], electronic payments are payments made in an e-commerce context in the form of exchanging money via electronic methods Furthermore, electronic payments are defined as any transfer of an electronic payment value to be received via an electronic payment method that enables users to remotely access and control bank accounts and electronic transactions [75] However, in summary, electronic payment is a method of paying for goods or services via the Internet as an alternative to cash payment methods Visa's statistical report "Visa Consumer Payment Attitude Study 2021" shows that Vietnam currently uses a variety of electronic payment methods, including contactless cards (about 7%); payment by contact card (8%); payment by QR code (7%); contactless mobile payment (5%); online card payments (7%); and payment by an online e-wallet (15%) [73] According to PayNXT360's Vietnam Mobile Wallet and Payment Market Opportunities, the mobile payment industry in Vietnam is predicted to grow at a CAGR (compound annual growth rate) of 22.8%, reaching 27.6935 billion USD by 2025 Mobile wallet payments by value are expected to grow at a CAGR of 23% between 2018 and 2025 [52] According to another forecast from Statista [61], there will be five types of mobile payments with the greatest increase compared to other electronic payment methods between 2020 and 2025 It is estimated that by 2025, the number of Vietnamese individuals using MoMo will reach approximately 59 million; Viettelpay has approximately 28 million users; and Shopee's Airpay, ZaloPay, and Grappay, approximately 12 million, million, and million users respectively, have 3.2 E-payment Tools Many studies on various tools and systems linked to electronic payments have been conducted, and according to [1], many online payment systems have been developed throughout the years These systems can be roughly categorized into two categories: electronic currency and account-based systems Users can pay for tools and account-based systems using their own bank accounts E-payment by cards Card payments are the most common type of online payment on the Internet With the evolution of Electronic Payment Systems (EPS), particularly credit and debit cards/ATMs [57] Credit card use has risen rapidly, and it is the foundation for the creation and growth of the debit card system Credit and debit cards are both widely utilized as payment methods for services and goods [42], [41] (i) Credit card A credit card is a line of loan that can be used to borrow money to make purchases, transfer balances, obtain cash advances, and then repay the borrowed money plus any interest rate owing at a later period Credit cards are by far the most regularly used online payment method [35] Small payment transactions or small enterprises, on the other hand, will be impossible to complete since credit cards charge exorbitant costs [15] (ii) Debit card ATM cards or debit cards contain a balance system and are viewed by the user as a savings system When using a debit card, money must first be deposited before it can be used for money withdrawals, transfers, payments, recharges, and so on The card cannot be used if the amount remaining is empty, tiny, or insufficient for transactions Furthermore, the overall security of debit card payments is thought to be higher than that of credit card payments, which are subject to onerous identification restrictions imposed by banks [57] (iii) E-wallet E-wallets are also referred to as digital wallets or mobile wallets [66] When paper money was transformed into debit and credit cards as a way to secure payments based on smart card payments from companies such as American Express, Discover, JCB, Mastercard, Union Pay, and Visa, the e-wallet project was born [5] E-wallets are the most recent kind of mobile commerce, allowing users to conduct transactions, shop online, place orders, and share available services [58] A research study stated that "'Mobile wallets are formed when your smartphone acts as a leather wallet: it can have digital coupons, digital coins (transactions), cards digital technology and digital receipts" [14] Current e-wallets make use of cutting-edge technologies such as NFC (Near Field Communication), QR code scanning, built-in sound waves on bank mobile applications, and a wide range of products and services Brands, goods in supermarkets, convenience stores, etc., should be straightforward, small, simple to use, and user-friendly [31], [79] Future mobile wallets are anticipated to offer clients more practical payment options [79] In Vietnam, some e-wallet programs are well-liked, including MoMo, ZaloPay, ViettelPay, and VNPay In the first quarter of 2023, the super application MoMo held 68% of the market share for e-wallets, followed by Zalopay with 53%, Viettelpay with 27%, ShopeePay (Airpay) with 25%, VNPay in second place with 16%, and Moca e-wallet (Grabpay) in sixth place with 7%, according to Decision Lab's report "Digital Consumer - The Connected Consumer" [20] (Figure 1) Document continues below Discover more Statistics in from: Market… Đại học Kinh tế… 20 documents Go to course Ncc1 1600 pdf - NCC 16 2021 Statistics in Market… 100% (1) MR-Individual9 Assignment Statistics in Market… None Akkucuk Servqual 10 Statistics in Market… None Study on low13 carbon, sustainable… Statistics in Market… None Market research Statistics in Market… None Global Food Drink 19 Trends 2019 Mintel Statistics in Market… Figure 1: Market share of e-wallets in Vietnam in the first quarter of 2023 None Source: Decision Lab (2023) The Connected Consumer Q1 2023 (iv) E-money The Bank for International Settlements (BIS) defined electronic money (or digital money) as "stored value or prepaid product in an electronically stored record of money or value available to consumers" in October 1996 [37] Because electronic money does not require online authorization, signatures, or entering the PIN code, transactions can be completed more quickly than with debit cards, credit cards, or ATMs [57] and the transactions may be completed in tiny amounts and at a cheap cost, electronic money is a preferred option for many consumers [29] Since electronic money does not exist in physical form and is instead uniquely represented by a cryptographic sequence, it cannot be counterfeited [31] (v) Bank transfer A bank transfer is a middleman system that links the buyer's card account, the seller's account, and the bank, enabling the seller to collect money as soon as the online transaction is over [31] Although there are many hazards for both the buyer and seller when utilizing this payment method, one advantage of paying via bank transfer is that transactions can be completed when the buyer and seller are separated [74] 3.3 Consumer Behavior Concept Numerous research offers various definitions of consumer behavior Consumer behavior, according to [11] is an action that involves people ordering, consuming, and buying goods and services Another study contends that people's decisionmaking, acquisition, use, and disposal of goods and services to satiate their needs and desires involve a combination of cerebral, emotional, and physical actions [76] In addition, studies have shown that consumer behavior is such that purchases of goods are frequently made based on subjectively perceived value rather than the main purpose of the good [62] Customer behavior research aids in better comprehension and prediction of purchase subjects, customer motives, and frequency of purchases [56] Briefly put, definitions of consumer behavior focus primarily on research into the various viewpoints that influence customer purchasing decisions, as well as awareness, information seeking, and purchase evaluation Customers, post-purchase responses, and the interaction between that process and other external elements are all factors to consider [64] 3.4 The Theory of Innovation Diffusion According to the book Diffusion of Innovations, the term "diffusion of innovation" refers to "the process by which an innovation is communicated through certain channels over time among members of a social system" [24] This theory aims to comprehend the reasons behind, the distribution channels used, and the rates at which new ideas and technologies spread across the market In the words of Rogers, the innovation itself, the existence of communication channels, the amount of time for adaptation, and a social system, all have a role in how quickly a new concept spreads in the market [30] Rogers also thinks that relative benefit, trialability, complexity, compatibility, and observability are other factors that affect IDT The remaining four traits have a favorable impact on people's adoption of innovation, with the exception of "complexity" which has a negative impact on the behavior of decision-makers [67] The relative advantage, ease of use, and compatibility preferences are frequently emerging factors for the adoption of Internet and mobile technology, according to numerous previous studies on the widespread adoption and development of Internet-based technologies (e.g., [36]; [40]; [48]; [49]) 3.5 Technology Acceptance Model (TAM) Research in social psychology on attitudes and the links between attitudes and conduct led to the development of the theory of reasoned action (TRA) [3] The theoretical model and technology adoption scale of this theory, however, has several drawbacks [43] The technology acceptance model (TAM) has thus been improved upon based on the TRA's preexisting concepts [19] The TAM model demonstrates the three-stage process through which technology acceptance occurs [17], [18], [19] External variables cause cognitive reactions and emotional reactions, which result in attitudes and intents to employ the technology According to the TAM model [19], "perceived usefulness" and "perceived ease of use" are two crucial elements of IT usage behavior Other versions produced besides TAM are TAM2 and TAM3 TAM models have received favorable recognition in numerous studies that have examined consumer attitudes toward technology, such as e-commerce and online shopping tools, which enable online transactions [26], [8]; and create differences in attitudes toward the tools and subsequent consumer behavior [26]; and is a factor that helps to promote customers' purchasing intentions [8] According to the study, the TAM3 model's predictive power is less effective when used in mobile commerce and with mobile payment technology because users' opinions of the technology are influenced by its output quality, image, self-efficacy, and perception of outside control [25], [32] 3.6 Theory of Planned Behavior (TPB) The theory of planned behavior (TPB) is a development of the theory of reasoned action (TRA) [3], [4] The TPB theory states that a person's intentions can be predicted from attitudes toward the activity, subjective norms, and perceived behavioral control [2] Intentions can then be predicted from perceived behavioral control The study of consumer behavior based on this idea will have a foundation if companies or offline retailers plan to accept electronic payments from customers 3.7 Unified Theory of Acceptance and Use of Technology (UTAUT) Key factors that influence behavioral intentions and usage were integrated to create a unified model of technology adoption and use [69] According to the theoretical framework developed by UTAUT, actual technology use is determined by behavioral intention The four aspects of performance expectancy, effort expectation, social influence, and favorable conditions will serve as the foundation 17 Prior to the official poll, 10 subjects were researched qualitatively to ensure the model's applicability as well as the scale's relevance to reality Because these subjects all have a basic understanding of electronic payment mechanisms (payment by card, e-wallet, electronic money, or bank transfer), this method will assist implementers in making improvements If practically all of the subjects in the qualitative research find the conversation topic simple and straightforward, the official scale can be judged appropriate and employed in the official survey 5.2.2 Quantitative research method Quantitative methods will be prioritized for use in two stages to evaluate the magnitude of study hypotheses using Cronbach's Alpha reliability coefficient and EFA exploratory factor analysis: Stage 1: preliminary quantitative study, followed by Stage 2: official quantitative research To be able to create an official scale with the highest level of accuracy, quantitative research will perform a preliminary survey with a sample size of 50 (n=50) to assess the scale's reliability as well as the significance of each observed variable The practitioner will test the model using data acquired using the convenience sampling method, resulting in appropriate research hypotheses An online survey questionnaire will be used to assess the subjects' (350 people from Generation Z) convenience or accessibility Invalid replies will be eliminated when the results are collected The quantitative questionnaire had 30 observed characteristics that were scored using a 5-point Likert scale ranging from (1) "Strongly disagree", (2) "Disagree", and (3) "Strongly disagree" (4) is "Agree," and (5) is "Strongly Agree." 5.3 Questionnaires 5.3.1 Introduction to the questionnaires and survey form Good day, ladies and gentlemen! We are National Economics University students working on a project titled "The impact of electronic payment on the direct shopping behavior of young people in Hanoi during the digital transformation process." The following interview questionnaire is designed to collect information from customers (the right individual to respond to the survey is the person who is, has been, or intends to use it) This topic is intended for study purposes only, not for commercial gain We hope you will take the time to answer the questions in the survey below; your input is vital to our 18 research With the aforementioned in mind, I eagerly await your earnest collaboration Sincerely thanks! 5.3.2 Questions using the Likert scale Please rate the level of agreement with the following statements on a scale of to with the convention: - Strongly disagree to - Strongly agree No Statement Level of agreement PART A: USEFULNESS OF USING ELECTRONIC PAYMENTS Using electronic payment when shopping in person helps me pay faster than using cash Using electronic payment helps me save time when shopping in person I get better information (easier and faster) when there are changes in my account Electronic payment is a useful payment method when shopping in person 5 5 PART B: SIMPLICITY OF USING ELECTRONIC PAYMENTS Learning to use electronic payments was easy for me Interactions when using electronic payments are clearly guided and easy to understand It is easy to use electronic payments PART C: SOCIAL INFLUENCE ON USING ELECTRONIC PAYMENTS I get a lot of advice to use electronic payments when shopping in stores Using electronic payment is a trend 10 Social media helped me learn about the concept of 19 electronic payments PART D: SECURITY OF USING ELECTRONIC PAYMENTS Electronic payment service providers help me update 11 balance information quickly, accurately, reliably and safely when purchasing directly 12 When using electronic payment services, my information is not disclosed 13 All of my online/online personal information is carefully secured when shopping directly through electronic payment methods 5 PART E: CONVENIENCE OF USING ELECTRONIC PAYMENTS I can use electronic payment at any time when 16 shopping in person 14 15 My personal transactions are secure when using direct payment at the store I believe in security when using electronic payments to make in-store purchases 17 Electronic payment is convenient because I always carry my mobile phone I always have internet access to use electronic 18 payments when shopping in person 5 PART F: RISK AWARENESS OF USING ELECTRONIC PAYMENTS I feel unsafe when using electronic payments in 19 stores I realize that using electronic payment is riskier than paying in cash at stores (loss of connection, wrong 20 transfer, system error, etc.) PART G: COST ON USING ELECTRONIC PAYMENTS I often encounter many additional costs when using 21 electronic payments in in-person shopping I am satisfied with the costs incurred when using 22 electronic payment 5 PART H: INCENTIVES ON USING ELECTRONIC PAYMENTS