The level of assessment of the impact of customer payment method diversification on the development of E-commerce source: Survey data from student researchers conducting the Study...ccsc
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To gather extensive information for my research, I conducted thorough searches and collected relevant documents I then systematically filtered, compared, and compiled these materials into reliable data sets.
-What factors have influenced the online shopping choices of consumers in Vietnam?
-For the identified factors, what is the extent of their impact on purchasing decisions of consumers in Vietnam?
-Do these factors affect the decision to shop online in Vietnam? If yes, then how do they influence it?
The research structure consists of four chapters:
Chapter 1: Introduction to the research context and theoretical basic of sustainable E-commerce development.
Chapter 2: Research Design for Developing Sustainable E-commerce Development in Vietnam
Chapter 3: Current Situation of Sustainable E-commerce Development in Vietnam
Chapter 4: Discussion and Policy Directions for Sustainable E-commerceDevelopment in Vietnam
CHAPTER 1: OVERVIEW OF RESEARCH SITUATIONS
AND THEORETICAL BASICS ON SUSTAINABLE E-
1.1 Overview of the research situations
In their 2001 study on the Technology Acceptance Model (TAM) in the context of the World Wide Web, Moon Ji Won and Kim Young Gul enhanced the original model by incorporating the factor of Perceived Playfulness This extension aims to better understand user acceptance and engagement within web environments.
Perceived Usability Attitude towards usage Behavioral intention
Table 1 The TAM model in the World-Wide-Web case (Moon Ji Won & Kim Young Gul, 2001).
In the research article Influence of Electronic Word-of-Mouth on Consumer Purchase Intention: A Gender Differences Perspective (Fan, Miao,
Fang and Lin (2013) created a research model to investigate how online electronic word-of-mouth (eWOM) affects consumer purchase behavior Key influencing factors identified in their study include the reliability of the information source, the quantity of eWOM, and the quality of eWOM.
Table 2 Model of the influence of electronic word of mouth on consumer purchase intention: a perspective on gender differences.
The research article "Factors Influencing Online Shopping Behavior of Gen Z Consumers in Hanoi City" by La Thi Thiet and Le Thu Hang (2021) investigates the various factors that impact the online shopping habits of Generation Z in Hanoi The authors propose several hypotheses aimed at understanding these influences, highlighting the unique preferences and behaviors of this demographic in the digital marketplace.
Hypothesis No.1: Perceived usefulness positively affects online shopping decisions.
Hypothesis No.2: Ease of use positively affects online shopping decisions of Gen Z consumers.
Davis's Technology Acceptance Model (TAM, 1989) posits that user acceptance of new technology is influenced by perceived usefulness and ease of use Perceived usefulness indicates that technology should enhance efficiency and help users achieve their goals, while ease of use assesses how easy or difficult it is for users to interact with the technology For instance, if Gen Z finds an online shopping website inconvenient, their negative perceptions may overshadow any perceived benefits, leading them to prefer traditional shopping methods instead.
Hypothesis No.3: Trust in online shopping services positively influences the online shopping decisions of Gen Z consumers.
Tolulope Folarin (2016) highlights the critical role of consumer trust in online shopping models, as security and privacy are paramount Due to the perceived risks of online transactions compared to traditional shopping, establishing trust helps alleviate uncertainties around purchases Gen Z, in particular, is significantly influenced by peer opinions and reviews, often seeking feedback on products and services prior to making decisions In this context, trust embodies Gen Z's expectations for quality and the seller's dedication to providing high-quality offerings.
Hypothesis No.4: Price expectations positively influence the intention to shop online for Gen Z consumers.
Price is a significant factor for online shoppers, especially for Gen Z individuals with constrained budgets Research by Hasslinger, Selma Hodzic, and Claudio Opazo (2011) indicates that consumers evaluate not only the product price but also the overall expense of online shopping, which encompasses shipping costs.
Hypothesis No.5: Quality expectations positively influence the intention to shop online for Gen Z consumers.
Product quality significantly impacts online shopping decisions, particularly among consumers Gen Z consumers prioritize higher quality over brand loyalty when making purchases According to Lin et al (2011), e-commerce success hinges on the ability to minimize product costs while maximizing quality.
Hypothesis No.6: Online shopping experience positively influences the intention to shop online for Gen Z consumers.
Online shopping experiences, much like in-store interactions, significantly impact the likelihood of repeat purchases For many consumers, online shopping is a relatively new venture, often perceived as riskier than traditional shopping However, a positive online shopping experience can alleviate consumer uncertainties, ultimately encouraging future online shopping intentions (Ranganathan & Jha, 2007).
The study "Factors Influencing the Intention to Shop Online among Gen Z Consumers in Hanoi" by La Thi Tuyet et al (2021) developed a research model grounded in theoretical frameworks, online shopping behavior, and consumer intentions, incorporating insights from prior studies and interviews with key participants This research model identifies five independent variables that impact online shopping intentions among Gen Z consumers.
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Basic definitions of E-commerCe 5 1k, 18 1.2.2 Overview of E-commerce Developmen( 255cc <++cses+ 23
E-commerce refers to companies and individuals buying and selling goods and services over the internet E-commerce operates across various market segments and can be conducted on computers, tablets, smartphones, and other smart devices Virtually every imaginable product and service is available through e- commerce transactions, including books, music, flight tickets, and financial services like securities investment and online banking These business transactions occur as business-to-business, business-to-consumer, consumer-to-consumer, or consumer- to-business interactions.
E-commerce is a way for people to buy and sell items in an online retail store Some companies exclusively sell products online, while others use e- commerce as part of a broader strategy that includes physical stores and other distribution channels Regardless of the approach, e-commerce enables startups,
19 small businesses, and large corporations to sell products on a large scale and reach customers worldwide.
In summary, e-commerce takes place exclusively within a business environment that utilizes the Internet and electronic means among groups (individuals) through tools, techniques, and electronic technologies.
E-commerce is facilitated by the internet Customers access online stores to browse and place orders for products or services using their own devices.
When a customer places an order, their web browser interacts with the e-commerce website's server, transmitting order data to the order management system This information is then relayed to an inventory management database, a payment processing system, and a banking computer, before returning to the order management system This process ensures that the inventory is adequate and the customer's funds are available for order fulfillment.
Once the order is verified, the order manager notifies the store's web server.
The customer receives a notification confirming that their order has been successfully processed Subsequently, the order manager forwards the order details to the warehouse or fulfillment department, signaling that the product or service is ready for shipment At this stage, either tangible or digital products can be delivered to the customer, or access to a service can be provided.
Business-to-business (B2B) refers to the electronic exchange of products, services, or information exclusively between businesses, rather than involving consumers This model includes online directories and platforms that facilitate product and supplier exchanges, enabling businesses to efficiently search for and connect with necessary products and services.
20 services, and information and initiate transactions through electronic shopping interfaces.
Business-to-consumer (B2C): A B2C e-commerce model is primarily focused on retail commerce on the internet It involves businesses directly selling products, services, or information to consumers.
Consumer-to-consumer (C2C) e-commerce allows individuals to buy, sell, and trade products, services, and information directly with one another online This model typically relies on third-party platforms to facilitate and manage these transactions, ensuring a seamless exchange between consumers.
Consumer-to-business (C2B): This e-commerce model involves consumers offering their products and services online for companies to bid on and purchase. This contrasts with the traditional B2C commerce model.
Business-to-administration (B2A) refers to the online transactions between companies and government agencies, where businesses provide essential electronic services and products These offerings typically include legal documents, registration, social security, financial data, and employment services The growth of B2A services has been fueled by significant investments in e-government capabilities, enhancing the efficiency of interactions between businesses and governmental organizations.
Consumer-to-administration (C2A) refers to the e-commerce model involving online transactions between consumers and government agencies Although governments seldom buy products or services from individuals, citizens frequently utilize electronic platforms for various purposes, such as tax payments, permit applications, and accessing public services.
Social security: Information distribution and payments.
Taxes: Filing tax returns and making payments.
Healthcare: Scheduling appointments, accessing test results and health information, and paying for healthcare services.
Electronic Government (E-Government): This is an e-commerce model of
Information and Communication Technology (ICT) integrated into government functions and procedures to enhance efficiency, transparency, and citizen participation.
E-government uses Information and Communication Technology as a supporting tool for good governance Appropriate applications of e-government enhance effectiveness and efficiency in government tasks, improve processes and procedures, elevate the quality of public services, improve information utilization in decision-making processes, and enable better information exchange among different government offices.
The rapid expansion of e-commerce has led to a diverse range of online payment methods, reflecting significant changes in customer preferences As the field continues to evolve, mobile payments are increasingly gaining traction, particularly in markets with high smartphone adoption.
Here are some of the most popular e-commerce payment methods today:
Digital wallets, or e-wallets, are essential for online transactions, allowing users to link their bank accounts and deposit funds for easy payments In Vietnam, popular options like ZaloPay and Momo enhance transaction speed and convenience on smartphones These digital wallets reduce risks associated with cash, such as theft, while providing efficient account management and secure transactions at a lower cost As digital wallets gain popularity, they enable customers to safely store payment information and make quick payments with just a few clicks.
E-vouchers, also known as e-gifts or virtual gift cards, are electronic reward vouchers that serve as digital gift certificates These vouchers are typically sent via SMS or email and can be personalized and branded for the recipient They can be easily redeemed online using a specific code or at physical retail locations The popularity of e-vouchers has surged due to their ability to provide instant access to discounts and promotions, a trend further boosted by advancements in 4G and 5G mobile networks and the availability of public Wi-Fi.
Bank transfers, or electronic fund transfers
Cash on Delivery (COD) is a payment method where customers pay for goods upon delivery, rather than in advance, making it popular in regions with low credit and debit card usage This approach provides businesses with immediate payment for products and services, significantly reducing the waiting period for funds Additionally, COD typically offers a shorter delivery timeframe compared to standard invoicing, as customers are required to pay at the time of delivery, allowing them to inspect the product before making full payment.
E-commerce plays a crucial role in modern shopping by providing 24/7 availability and fast access to a diverse range of goods and services It enables customers to effortlessly place orders anytime and from any location, ensuring easy accessibility and a wide reach for both consumers and businesses.
23 commerce is user-friendly and relatively easy to maintain, adjust, and manage content information on their stores.
RESEARH DESIGN FOR DEVELOPING SUSTAINABLE E-
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The data will be collected through two main phases: Preliminary research using qualitative and quantitative survey methods, data collection.
The formal study will be conducted using quantitative research methods, utilizing individual interviews (online customers) with a questionnaire to gather information.
This article discusses the implementation of qualitative research utilizing a paired discussion method Based on the findings from this qualitative analysis and relevant theoretical frameworks, adjustments will be made to the initial research model to refine the formal research model Consequently, a comprehensive questionnaire and scale will be developed, ensuring appropriate measures are in place for the formal study.
Methods Collecting Methods Times Preliminary Qualitative Hand-to-hand 07/2023 discussion
Official Quantitative Interview each From 06/2023 person with a survey to 07/2023
Primary data source was collected through an online survey using Google Form for domestic residents.
Sampling method: Convenience samplingSurvey respondents: Citizens (18 years old and above)Sample size: 315 samples
Secondary data was collected from information and statistics on e-commerce websites, e-commerce platforms, and selected retail websites for the purpose of comparison.
Hypothesis testing and discussions were conducted to draw conclusions and provide recommendations on the sustainable development factors of e-commerce.
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The Current State of E-commerce Development Worldwide
E-commerce is experiencing significant global growth, particularly in developed countries, which contribute over 90% of the total transaction value, with Europe and North America accounting for more than 80% The North American region is leading this rapid expansion, followed closely by the Asia-Pacific and Western Europe Notably, countries like Singapore and China are witnessing a swift rise in E-commerce, nearing the growth rates of North America, while other Asian regions are developing more slowly in comparison.
In 2022, the E-commerce market achieved a remarkable value of 5.55 trillion USD Online shopping represented just 17.8% of total retail sales from 2020 to 2021, but this figure is projected to rise to 24.5% by 2025.
China dominates the global E-commerce landscape, holding a remarkable 52.1% share of total sales, while North America experiences rapid growth in this sector With over 824 million online shoppers, China not only leads in market share but also boasts the highest number of online consumers worldwide, representing 38% of the global total.
The United States stands as the second-largest E-commerce market globally, achieving over 875 billion USD in 2022, trailing only China The United Kingdom holds a 4.8% share of the retail E-commerce market, while South Korea accounts for 2.5%.
However, the United States remains the most advanced country in global E- commerce development Currently, the E-commerce activity in the U.S accounts
29 for about 70% of the global E-commerce rate The growth rate of online retail sales in the U.S next year is even higher than the previous year.
Forecasting for 2023, the E-commerce situation in the Asia-Pacific region could be considerably higher in terms of the E-commerce sector's sales compared to other regions worldwide.
The Current Status of E-commerce Development in Vietnam
As of 2022, Vietnam emerged as a leading online shopping market in Southeast Asia, with over 49% of consumers engaging in e-commerce, placing it second only to Singapore, which recorded 53% This significant growth indicates that Vietnam has outpaced both Malaysia and Indonesia in online shopping adoption.
In 2021, the Vietnam E-commerce Association (VECOM) reported that the e-commerce sector grew by over 20%, reaching a total market size of more than 16 billion USD However, this growth is viewed as insufficient, largely due to the adverse effects of the Covid-19 pandemic Interestingly, the e-commerce growth rate improved in 2022, reflecting the sector's resilience and adaptation in response to the ongoing challenges posed by the pandemic.
19 control measures and the development-driving factors from the second wave.
In 2022, Decree No 85/2021/ND-CP was issued to amend and supplement provisions of Decree No 52/2013/ND-CP, enhancing the legal framework for E-commerce in Vietnam This update addresses the growing demands of the rapidly expanding E-commerce sector, which is increasingly vital to the domestic trade system Furthermore, E-commerce is essential for fostering consumer trust and reinforcing the state's regulatory role.
Infrastructure and Human Resources Situation - ô+ 30
A 2022 survey analysis revealed that nearly all businesses utilize applications like Viber, WhatsApp, Skype, and Facebook Messenger for their operations Specifically, 55% of companies indicated that over 50% of their employees regularly engage with these platforms, up from 44% in 2021 Additionally, 30% of businesses reported that 10% to 50% of their workforce frequently uses these tools, while 15% noted that fewer than 10% of their employees regularly utilize them.
Larger enterprises demonstrate a notably higher frequency of platform usage among employees, with 73% reporting that over half of their workforce engages regularly with these platforms In contrast, only 53% of small enterprises can make the same claim.
FIGURE 1 Utilization of social media platforms (Facebook, Zalo, Viber, Skype, etc.) over the years
3.2.2 Priority Level for Personnel with IT and E-commerce Skills/Training
With the goal of sustainable E-commerce development towards 2025, aiming
To foster balanced E-commerce development and bridge the gap between Hanoi, Ho Chi Minh City, and other provinces, it is essential to prioritize human resources This requires substantial investment and focus from government agencies and organizations to improve training for personnel in E-commerce applications By enhancing knowledge and skills in this area, we can effectively support E-commerce promotion activities across various provinces.
A survey in 2022 showed that up to 69% of surveyed businesses prioritize hiring personnel with IT and E-commerce skills or training (slightly higher than the 64% rate in 2021).
Larger enterprises demonstrate a heightened emphasis on recruiting individuals with IT and E-commerce skills, with 83% prioritizing these hires, compared to 67% of medium and small businesses This trend highlights the growing importance of specialized skills in the hiring practices of larger organizations.
FIGURE 2 Priority Level for Personnel with IT and E-commerce Skills/Training by Business
Information and communication is a field with the highest priority for hiring personnel with IT and E-commerce skills (91% of businesses in this field prioritize hiring personnel with these skills).
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FIGURE 3 Priority Level for Personnel with IT and E-commerce Skills/Training by Business
3.2.3 Role of Investment in IT and E-commerce Application
In 2022, a significant 40% of businesses recognized the crucial role of investing in IT and e-commerce infrastructure for their operations, with 23% deeming this investment highly important Notably, only 3% of surveyed businesses dismissed the significance of such investments.
NOT IMPORTANT p>elseeod IMPORTANT VERY IMPORTANT
FIGURE 4 Evaluation of the Importance of Investment in IT and E-commerce Infrastructure in the
Larger enterprises have a higher level of interest in investing in IT and E- commerce infrastructure compared to medium and small businesses. mSME_ m@ LARGE BUSINESS
FIGURE 5 Evaluation of the Importance of Investment in IT and E-commerce
KHONG HIEU QUA TƯƠNG ĐỐI HIỆU HIỆU QUÁ RẤT HIỆU QUẢ
FIGURE 6 Evaluation of the Effectiveness of Investment in IT and E-commerce Infrastructure in
Production and Business Activities in the Past Two Years.
The survey also shows that larger businesses have a higher opinion of the effectiveness of this investment compared to medium and small businesses.
A significant 45% of larger businesses report that investing in IT and e-commerce infrastructure leads to very high efficiency, in contrast to only 18% of medium and small businesses who view such investments as highly efficient.
Không hié š % Ong hiệu qua š 3%
FIGURE 7 Evaluation of the Effectiveness of Investment in IT and E-commerce Infrastructure in
Production and Business Activities by Business Scale
3.3 Current Situation of B2C E-commerce Transactions between Businesses and Consumers
For several years, business websites have been the leading avenue for establishing a lasting brand presence online, applicable to both large corporations and small to medium-sized enterprises Recent surveys show that the percentage of businesses with established websites remains largely unchanged from previous years, indicating a consistent trend in the digital landscape.
FIGURE 8 Proportion of Businesses with Websites Over the Years
According to recent statistics, 34% of businesses have opted to create their own websites, while 66% have chosen to collaborate with external entities for website development Notably, there is a minor variation in the percentage of self-built websites when comparing large enterprises to small and medium-sized businesses.
Tự xây dựng website Thuê đơn vị khác xây dựng website
FIGURE 9 Proportion of Businesses Self-Building Websites by Business Scale
A significant 78% of businesses with websites have incorporated online interaction features, such as Zalo and Facebook, to engage with customers Notably, large enterprises lead this trend, with 83% implementing these features, compared to 77% of small to medium-sized enterprises.
FIGURE 10 Proportion of Businesses Integrating Online Interaction Features (Zalo, Facebook, etc.) on Websites Over Two Years
A significant 72% of businesses report that they handle online customer feedback through direct personnel interaction, while 50% utilize technology-driven chatbots As customer bases grow and systems evolve, the importance of leveraging technological platforms for interactive customer engagement will rise Recent trends show a gradual shift towards adopting these technological solutions to enhance customer interaction, indicating a move away from reliance on personnel in this area.
Qua nhan sự phụ Qua chatbot tự động Qua thông tin liên hệ Hình thức khác trách tương tác trực khách hàng để lại tiếp s2021 82022
FIGURE 11 Forms of Online Customer Feedback through Business Websites in the Last Two
Building credibility, promotion, and elevating the brand are the primary purposes businesses aim for when constructing websites (84% of businesses state this purpose).
Thém kênh bán buôn, bán lẻ sản phẩm, TT 51% cung cấp dịch vu đến khách hang
Mở rộng khả năng tương tác, phản hồi — TT] 62% từ khách hàng
Sản mddvU 5] phẩm, dịch vụ 79% ey ang giun ——DD_ ]a Thương hiệu
FIGURE 12 Purposes of Business Website Construction
Online Business on Social Platforms:
The trend of operating businesses on social platforms (Facebook, Zalo,Instagram, etc.) continued to surge in 2022, with 65% of businesses reporting
The pandemic has accelerated the shift to online business operations, highlighting the importance of social media networks as the most accessible platforms for businesses.
FIGURE 13 Proportion of Businesses Engaging in Online Business on Social Platforms Over the
In 2022, 23% of businesses reported participating in e-commerce activities on various platforms This growing engagement has attracted increased community focus on issues related to policy enforcement and the efficiency of business operations within the e-commerce landscape.
FIGURE 14 Proportion of Businesses Participating in E-commerce Platforms Over the Years
Twenty-two percent (22%) of surveyed businesses indicated that they have developed mobile versions of their websites, a rate significantly higher than in 2021
39 and preceding years Expanding business on mobile platforms creates an effective new avenue of contact with potential customers.
FIGURE 15 Proportion of Websites with Mobile Versions Over the Years
In 2022, there was a significant increase in the number of businesses utilizing mobile apps to enhance their operations, marking a departure from previous trends For larger and more diversified companies, developing custom apps is more suitable, as these platforms must transform into comprehensive ecosystems This evolution allows them to function as "super apps," providing users with a wide array of products, services, and commodities.
FIGURE 16 Proportion of Businesses with Mobile Sales Apps Over the Years
Large businesses lead in mobile sales app adoption, with 38% utilizing these tools, compared to just 19% of small to medium-sized enterprises Additionally, large enterprises exhibit a markedly higher prevalence of self-developed mobile websites and apps than their smaller counterparts.
| dung Thuê đơn vị khác xây dung m SME 38% 62% m8 Doanh nghiệp lớn 55% 45%
FIGURE 17 Proportion of Businesses Outsourcing or Self-Developing Mobile Website
Versions/Mobile Apps by Business Scale
A recent survey indicates that most businesses find that customers typically spend limited time on mobile e-commerce platforms, with 35% spending 5-10 minutes and 26% spending less than 5 minutes However, there has been a notable increase in the percentage of customers spending over 20 minutes on these platforms, rising from 14% in 2021 to 20% in 2022.
Dưới 5 phút Từ5- = spat Từ 10 - 20 phút Trên 20 phút
FIGURE 18 Average Customer Time Spent on Mobile E-commerce Websites or Sales Apps
71% of businesses allow customers to complete the entire shopping process on mobile devices This rate is lower compared to 2021, but overall remains higher than in previous years.
FIGURE 19 Proportion of Businesses Allowing Full Shopping Process on Mobile Devices
Advertising on Websites and Mobile Apps:
For many years, advertising through social media networks (Facebook, Instagram, Zalo, etc.) has remained the primary tool that businesses focus on using.
2x 5000010
Current State of E-Commerce Transactions Between Businesses (B2B)42 3.5 Current State of E-Commerce Transactions Between Government and
A recent survey revealed that 91% of businesses utilize financial accounting software, maintaining its status as the most popular choice for business operations Additionally, 57% of companies employ human resources management software While specialized tools such as Customer Relationship Management (CRM), Supply Chain Management (SCM), and Enterprise Resource Planning (ERP) are also in use, their adoption rates have remained low and consistent over the years.
Quan ly nhần sự Kế toán, tai chính CRM ERP SCM
FIGURE 22 Usage of Management Software Over the Years
Large businesses exhibit a significantly higher adoption rate of management software compared to their medium and small counterparts Specifically, for specialized software such as Supply Chain Management (SCM), Customer Relationship Management (CRM), and Enterprise Resource Planning (ERP), large enterprises show adoption rates of 75%, 66%, and 66%, respectively In contrast, medium and small businesses experience considerably lower adoption rates for these critical management tools.
Quản lý nhân sự Kế toán, tài chính SCM CRM RP FIGURE 23 Usage of Management Software According to Business Scale
Use of Electronic Signatures, E-Contracts, and E-Invoices:
84% of surveyed businesses reported using electronic signatures, with this percentage increasing compared to previous years.
FIGURE 24 Usage of Electronic Signatures Over the Years
Similarly, 45% of surveyed businesses use e-contracts for transactions,which has slightly increased compared to 2021 and previous years.
FIGURE 25 Usage of E-Contracts Over the Years
As of now, 90% of businesses have adopted e-invoicing, marking a notable rise from 73% in 2021 Notably, larger enterprises lead the way with a 98% usage rate, surpassing the 89% rate observed in medium and small businesses.
Receiving Orders Through Online Tools:
In today's digital landscape, social media, e-commerce platforms, and business websites serve as the main channels for customer orders Furthermore, a 2022 survey revealed that 73% of businesses also receive product orders via mobile sales applications, highlighting the growing importance of mobile commerce.
FIGURE 26 Percentage of Businesses Receiving Product Orders Through Mobile Sales Apps
Assessing the Effectiveness of Online Business Investments:
In 2021, many businesses focused on cost reduction to sustain operations,including cutting costs for online advertising However, in 2022, businesses started
45 increasing online advertising expenditures Specifically, 3% of businesses allocated over 500 million VND to online advertising for their websites/mobile apps, compared to only 1% in 2021.
Dưới 20 triệu đồng TU 20 - 100 triệu Trén 100 - 500 triéu
Trén 500 triệu đồng đồng đồng
FIGURE 27 Estimated Costs for Online Advertising
Social media is the leading channel for online sales, with 43% of businesses experiencing positive results E-commerce platforms, websites, and mobile apps also contribute to online sales success, achieving effectiveness ratings of 27%, 26%, and 25% respectively.
Qua san giao dịch TMBT 22%
Qua ứng dụng di động 21%
Qua website của doanh nghiệp 16%
FIGURE 28 Evaluation of Online Sales Effectiveness
Regarding the role of e-commerce in business activities, 42% of businesses evaluate e-commerce's importance in their production and business activities as
46 relatively significant, especially a notable increase to 16% rating it as very important, compared to the 9% rate in 2021.
KHONG QUAN TRỌNG TƯƠNG ĐỐI QUAN QUAN TRONG RAT QUAN TRONG
FIGURE 29 Evaluation of E-Commerce Importance in Business Activities Over the Years
In the realm of import and export activities, 17% of businesses leverage website and e-commerce app platforms, a figure that has shown consistency since 2021 Notably, larger enterprises are more inclined to adopt these digital platforms for their import and export needs compared to their medium and small counterparts.
FIGURE 30 Percentage of Businesses Using Website/E-Commerce Platforms for Import and
Regarding the cost of order completion and final delivery, the majority of businesses find these costs to be under 10% of total revenue from e-commerce activities.
KHÔNG HIEU QUA TƯƠNG DOI HIEU HIEU QUA RAT HIEU QUA
FIGURE 31 Order Completion and Final Delivery Costs as a Percentage of E-Commerce
A significant 69% of businesses manage their own transportation for importing and exporting goods, whereas 64% rely on third-party transportation services, with these figures showing stability since 2021 Notably, larger businesses are more inclined to use third-party services, while medium and small enterprises typically prefer to handle transportation in-house.
Doanh nghiệp tự vận chuyền Sử dụng dịch vụ vận chuyển của bên thứ ba
FIGURE 32 Methods of Goods Transportation Used by Businesses, Segmented by Business Scale
The majority of businesses reported that the costs of completing orders and final delivery account for less than 10% of their total revenue from e-commerce activities.
FIGURE 33 Costs of Order Completion and Final Delivery as a Percentage of E-Commerce
Cash payments and Internet banking transfers continue to be the most commonly used payment methods, with 89% of businesses using both methods in
2022 Other payment methods have much lower utilization rates. m2022 #202]
Thanh toán qua mobile money I 2%
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Thẻ thanh toán nội địa fom 20%
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Chuyển khoản Internet banking OOMIJIZM:i xi 8696
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FIGURE 34 Payment Methods Used by Businesses
3.5 Current State of E-Commerce Transactions Between Government and
Accessing Information on Government Agency Websites:
A 2022 survey indicated that 36% of businesses regularly access information from government agency websites, showing a slight increase from the previous year Furthermore, 60% of businesses reported occasional access to this information, while only 4% have never accessed it Overall, these trends have remained relatively stable over the years.
2019 82020 M2021 82022 © 160% so oO tả bì ) œ ẹ st 356%
THUONG XUYEN THINH THOANG CHUA BAO GIO
FIGURE 35 Trends in Accessing Information on Government Agency Websites Over the Years
Large businesses are the most active users of government agency websites, with 58% regularly accessing information, while only 33% of medium and small businesses do the same.
THUONG XUYEN THINH THOANG CHUA BAO GIG FIGURE 36 Percentage of Businesses Accessing Information on Government Agency Websites,
Usage of Online Public Services:
A significant 86% of businesses surveyed reported utilizing online public services for essential procedures like registration, licensing, and declarations on government agency websites, reflecting an increase since 2021.
B 7%| 114% ĐÃ SỬ DUNG CHƯA SỬ DỤNG
FIGURE 37 Usage of Online Public Services Over the Years
Among the provided online public services, electronic tax declarations are the most commonly used (87%), followed by business registration services (65%) Other services have lower utilization rates.
Để đảm bảo tuân thủ các quy định pháp lý, doanh nghiệp cần thực hiện các bước quan trọng như đăng ký kinh doanh, khai báo thuế điện tử, và hoàn tất các thủ tục liên quan đến tàu biển Ngoài ra, việc cấp giấy chứng nhận xuất xứ và khai báo hải quan cho hàng hóa nhập cảnh, xuất cảnh cũng là những thủ tục không thể thiếu trong quá trình hoạt động thương mại.
FIGURE 38 Status of Usage of Some Online Public Services
Large businesses lead the way in utilizing online public services, with 87% of them engaging in these resources This usage rate is marginally higher than the 84% recorded for medium and small businesses.
Benefits of Online Public Services:
A recent survey reveals that 59% of businesses consider online public services to be very useful, while 40% view them as relatively useful, and a mere 1% find them unhelpful These statistics highlight the high quality and effectiveness of online public services currently available, with little variation in these positive perceptions over the years.
RAT CO [CH TƯƠNG ĐỐI CO ICH KHONG CÓ ICH
FIGURE 39 Benefits of Online Public Services Over the Years
Large businesses excel in leveraging online public services, with 75% rating these services as highly beneficial In contrast, only 57% of medium and small businesses consider the services useful.
3.6 Surveying the factors influencing sustainable E-commerce development in Vietnam
3.6.1 Analyzing the factors influencing E-commerce development in Vietnam
Chart 1 The extent of the influence of product quality factor on the development ofE-commerce (source: Survey data from student researchers conducting the study)
Product quality is the most important factor influencing customer purchasing decisions, contributing to 50% of their choices A survey shows that 85.4% of consumers believe that product quality is vital for E-commerce growth, as high-quality items foster trust and confidence When products meet user expectations, customers are likely to remain loyal and recommend them to others.
DISCUSSION AND POLICY DIRECTIONS FOR
Discussion on State Management for Sustainable E-commerce
In 2018, the Vietnam E-commerce Association (VECOM) highlighted several challenges to the sustainable growth of online businesses, particularly the stark e-commerce disparity between Hanoi and Ho Chi Minh City versus the other 61 provinces Addressing this gap is crucial for the long-term development of e-commerce in Vietnam To tackle this issue, the Comprehensive National E-commerce Development Plan for 2021-2025 aims to implement targeted goals and solutions Furthermore, the Association has initiated various programs to assist localities in enhancing their e-commerce capabilities, including providing training in online business skills for small and medium-sized enterprises and individual business owners.
Global environmental protection efforts are increasingly focused on addressing the online trade of endangered wildlife products, such as ivory and rhino horn To combat this issue, collaboration with TRAFFIC, a wildlife trade monitoring network, has fostered joint initiatives aimed at curbing illegal wildlife trade These partnerships emphasize the necessity of sustainable e-commerce practices that prioritize environmental conservation and the protection of vulnerable species.
In recognition of the critical need for sustainability in e-commerce and the protection of rare wildlife, the Unlawful Wildlife Trade Countermeasures Project (USS) partnered with VECOM in 2019 to promote wildlife protection messaging at various events From late 2019 to early 2020, this collaboration intensified, focusing on raising awareness about wildlife protection laws and the risks associated with e-commerce The initiative encouraged businesses and individuals in the e-commerce sector to engage in efforts to reduce consumption and safeguard endangered species online, utilizing communication channels such as websites, fan pages, newsletters, and direct outreach within member businesses.
Effective communication activities at major events include training and workshops focused on e-commerce at the local level Additionally, collaboration with Traffic enhances efforts to connect and engage members in the "Online Alliance Against Illegal Trade of Endangered Wildlife." These initiatives aim to raise awareness and foster participation in critical conservation efforts.
The sustainability of e-commerce is significantly influenced by the development of high-quality human resources, alongside efforts to bridge the digital divide and protect the environment In 2022, the Vietnam E-commerce Association (VECOM) surveyed numerous universities, resulting in a comprehensive report on E-commerce Training Additionally, VECOM partnered with various universities to create the E-commerce Training Network (VecomNet), aiming to improve the quality of e-commerce education at the university level.
Sustainable development has become a focal point for esteemed research organizations and government bodies In February 2023, the Central Institute for Economic Management hosted a workshop titled "Digital Economy and Sustainable Development: Opportunities and Challenges in the New Context."
The Department of E-commerce and Digital Economy has identified six key pillars for the sustainable development of the e-commerce market within the digital economy These pillars focus on refining policies and establishing a supportive legal framework, fostering a competitive e-commerce landscape, safeguarding consumer rights, addressing regional development disparities, integrating e-commerce with environmental sustainability, and cultivating high-quality digital human resources Notably, the sixth pillar highlights the importance of empowering women in the realms of sustainable e-commerce and the digital economy.
The legal framework for sustainable e-commerce is evolving, highlighted by the Environmental Protection Law No 72/2020/QH14, which, while not explicitly focused on online business, includes provisions relevant to it Article 142 introduces the concept of a circular economy aimed at reducing resource exploitation and waste, with Article 73 outlining responsibilities for minimizing plastic waste Under Decree No 08/2022/NĐ-CP, the Ministry of Natural Resources and Environment is tasked with creating a national action plan for the circular economy, due by December 31, 2023 In March 2023, a workshop organized by the Institute of Strategy, Resource, and Environment Policy and the Hanns Seidel Foundation Vietnam focused on this action plan, highlighting key sectors like commerce and the need for capacity-building in circular economy practices for e-commerce.
4.2 Recommendations for Various Solutions to Further Develop E-commerce in Vietnam
4.2.1 From the Perspective of Government Authorities
The Vietnamese government must enhance the legal framework governing E-commerce to build trust among consumers and businesses Current regulations are inadequate, necessitating a thorough review and amendment of laws related to cybersecurity, information safety, and consumer protection Furthermore, establishing stringent regulations for online sales on social media and improving tax collection will promote fair competition in the E-commerce sector These initiatives will not only support businesses in the E-commerce landscape but also protect consumer rights and ensure government revenue through effective taxation.
Secondly, Enhancing the Effectiveness of Management and Operation
Government agencies in Vietnam must strengthen oversight and improve the management of E-commerce businesses Additionally, it is crucial to focus on developing a skilled workforce for the E-commerce sector, as its growth relies on professionals with the necessary technical and specialized skills to effectively advance the industry.
Thirdly, Continuing Support and Improving Infrastructure for E-commerce
First and foremost, the government needs to bolster investment and development in information technology and telecommunications infrastructure to
To meet the developmental needs of E-commerce, it is crucial to ensure the safety of online transactions and effectively combat threats such as website attacks and the sale of counterfeit goods The government should bolster E-commerce infrastructure by enhancing information technology, delivery services, and logistics Encouraging the adoption of new technologies in logistics and initiating pilot programs for innovative transportation methods will improve the efficiency of goods delivery Additionally, establishing a comprehensive online management system for transportation, delivery, and order fulfillment across all provinces and cities will significantly enhance the convenience and effectiveness of E-commerce operations.
4.2.2 From the Perspective of Businesses Participating in E-commerce
Firstly, Enhancing Internal Management and Operations
Implementing E-commerce can present initial challenges for businesses, including issues related to management, resource allocation, and financial accounting To thrive in a digital environment, it is crucial for companies to adapt their management practices Seeking guidance from industry experts and learning from the experiences of others can help mitigate these challenges Furthermore, business owners should enhance their management skills by enrolling in training courses that cover operational skills, financial management, and strategic planning.
Secondly, Building Technology Infrastructure, Human Resources, and
Selecting the right technology is essential for businesses to efficiently implement E-commerce, as failure to do so can lead to increased operational and management costs and diminish consumer convenience This convenience is vital for driving online purchases Therefore, businesses should leverage multi-channel sales applications from IT providers to enhance their E-commerce efforts.
To thrive in E-commerce, businesses must prioritize a long-term strategy for developing high-quality human resources Investing in human resource development is crucial, as it enables companies to meet the evolving demands of the industry Providing comprehensive training in essential skills such as sales, advertising, management, foreign languages, and technology will help align workforce capabilities with business objectives.
To succeed in today's market, businesses must prioritize enhancing product quality and diversity, alongside improving customer care, delivery services, and payment options Ensuring the quality of advertised products and services is crucial for building trust with online consumers, who lack the tactile experience of traditional shopping Additionally, companies must prioritize the security of personal consumer information, particularly regarding electronic payment transactions.