Perceived competitiveness of bac giang provincevin viet nam a basic for marketing plan

PERCEIVED COMPETITIVENESS OF BAC GIANG PROVINCE IN VIETNAM: A BASIS FOR MARKETING PLAN _ A DISSERTATION Presented to the Faculty of the Graduate School Southern Luzon State University, Lucban, Quezon, Philippines in Collaboration with Thai Nguyen University, Socialist Republic of Vietnam _ In Partial Fulfillment of the Requirements for the Degree Doctor of Business Administration _ By MAI SON (JACKSON) December 2013 i APPROVAL SHEET The Dissertation of MAI SON entitled PERCEIVED COMPETITIVENESS OF BAC GIANG PROVINCE IN VIETNAM: A BASIS FOR MARKETING PLAN Submitted in Partial Fulfilment of the Requirements for the Degree DOCTOR OF BUSINESS ADMINISTRATION A program offered by Southern Luzon State University, Republic of the Philippines in collaboration with Thai Nguyen University, Socialist Republic of Vietnam has been approved by Oral Examination Committee WALBERTO A MACARAAN, EdD Expert EDUARDO T BAGTANG, DBM Expert MELCHOR MELO O PLACINO, PhD Expert ALICE T VALERIO, PhD External Panel CECILIA N GASCON, PhD Chairman Endorsed by: Recommended by: EDWIN P BERNAL, DBA Adviser APOLONIA A ESPINOSA, PhD Dean Accepted in Partial Fulfilment of the Requirements for the Degree Doctor of Business Administration _ Date WALBERTO A MACARAAN, EdD Vice President for Academic Affairs ii CERTIFICATE OF ORIGINALITY iii ACKNOWLEDGMENT I would like to express my deep gratitude to the persons who assisted and encouraged me to complete the doctoral course Their help was valuable for me First of all, I would like to thank my parents who gave birth to me They have encouraged me to complete this doctoral course not only by words but by their hearts as supportive parents who are proud of their son A thousand thanks to my wife, Trieu Thi Nhung, for her great sacrifice for me and for my children She has given me immeasurable help, not only by raising and teaching our children so that I could have time for my work and study, but also by pampering me with her good meals, medical care, and undying love and inspiration She is a true Vietnamese wife! Special thanks to my adviser, Professor Edwin Bernal, for his understanding, encouragement, and support during my candidature The completion of this scholarly work would not have been possible without his guidance and support I wholeheartedly thank the entrepreneurs and all the leaders of my province for their encouragement and for patiently taking time to put their minds into the work that I completed Their participation in this project was, to me, a source of inspiration and motivation so that I continue to dream and to accomplish noble tasks for my province and for my constituents in our hope of making a difference in the way we work towards achieving authentic development for everyone iv The knowledge and skills that I learned and the valuable change in my attitude and the way I look at the province, my country and the world are precious jewels that I will bring along with me in my un-ending journey towards excellence These definitely are much more than a dissertation Mai Son v DEDICATION With much thanks and gratitude, I wholeheartedly dedicate this dissertation paper to my parents Le Thi Cuong and Mai Quang Thuong; my wife Trieu Thi Nhung; and my children Mai Chi Hieu and Mai Minh Dung They have given me valuable support to complete this hard work Without their love and support, this dissertation would not have been possible MS vi TABLE OF CONTENTS PAGE TITLE PAGE ……………………………………………………………… i APPROVAL SHEET ……………………………………………………… ii CERTIFICATE OF ORIGINALITY ……………………………………… iii ACKNOWLEDGEMENT ………………………………………………… iv DEDICATION ……………………………………………………………… vi TABLE OF CONTENTS ………………………………………………… vii LIST OF TABLES ………………………………………………………… ix LIST OF FIGURES ……………………………………………………… xi ABBREVIATIONS ………………………………………………………… xii LIST OF APPENDICES ………………………………………………… xiii ABSTRACT ………………………………………………………………… xiv CHAPTER I II III INTRODUCTION …………………………………………… Background of the Study ………………………………… Objectives of the Study …………………………………… Hypotheses of the Study …………………………… …… Significance of the Study ………………………………… Scope and Limitation of the Study ……………… ……… Definition of Terms ………………………………………… REVIEW OF LITERATURE ……………………………… 10 Theoretical Framework ………………………………….… 57 Conceptual Framework ………………………………….… 59 METHODOLOGY ………………………………………… 61 Locale of the Study ………………………………………… 61 Research Design …………………………………………… 61 Population, Sample and Sampling Technique … ……… 62 Research Instrument ……………………………………… 63 Data Gathering Procedure ………………………………… 64 vii Statistical Treatment ……………………… …….…… 67 IV RESULTS AND DISCUSSIONS ………………………… 68 V SUMMARY OF FINDINGS, CONCLUSIONS AND RECOMMENDATIONS Summary of Findings ……………………………………… 98 Conclusions ………………………………………………… 100 Recommendations ………………………………………… 102 REFERENCES ……………………… ………………………………… 107 APPENDICES …………………………………………………………… 111 CURRICULUM VITAE …………………………………………………… 138 viii LIST OF TABLES TABLE PAGE Sample Distribution 62 Likert Interpretation 63 Composition of Respondents According to Working Years and Type of Business 69 Composition of Respondents According to Line of Business and Type of Business 70 Composition of Respondents According to Capital Size and Type of Business 71 Composition of Respondents According to Capital Size and Number of Employees 72 Over-all Respondents’ Perception on the Competitiveness of Bac Giang Province by Line of Business 73 Mean Distribution of Respondents’ Perception on the Competitiveness of Bac Giang Province in Terms of Entry Costs by Line of Business 74 Mean Distribution of Respondents’ Perception on the Competitiveness of Bac Giang Province in Terms of Land Access and Tenure by Line of Business 76 Mean Distribution of Respondents’ Perception on the Competitiveness of Bac Giang Province in Terms of Transparency by Line of Business 77 Mean Distribution of Respondents’ Perception on the Competitiveness of Bac Giang Province in Terms of Informal Charges by Line of Business 78 Mean Distribution of Respondents’ Perception on the Competitiveness of Bac Giang Province in Terms of Time Cost by Line of Business 79 Mean Distribution of Respondents’ Perception on the Competitiveness of Bac Giang Province in Terms of Proactivity by Line of Business 80 10 11 12 13 ix TABLE 14 PAGE Mean Distribution of Respondents’ Perception on the Competitiveness of Bac Giang Province in Terms of Business Support Services by Line of Business 81 Mean Distribution of Respondents’ Perception on the Competitiveness of Bac Giang Province in Terms of Labor Training by Line of Business 83 Mean Distribution of Respondents’ Perception on the Competitiveness of Bac Giang Province in Terms of Legal Institutions by Line of Business 84 17 Descriptive Statistics of Regression 85 18 Model Summary 86 19 ANOVA of Regression 86 20 Results of Estimation 87 21 Comparisons of Respondents’ Perception According to Profile 89 ANOVA between Working Years and Competitiveness Factors 90 ANOVA between Type of Business and Competitiveness Factors 92 ANOVA between Line of Business and Competitiveness Factors 93 ANOVA between Capital Size and Competitiveness Factors 95 ANOVA between Number of Employees and Competitiveness Factors 96 15 16 22 23 24 25 26 x 125 interpretation results The rules are when VIF exceeded 10, it has signs of multicollinearity phenomenon Linear regression equation takes the following form: CCBac Giang = 0.425 * PR + 0.323*EC + 0.312 * LI + 0.307 * TC + 0.306 * IC + 0.289 * LAT + 0.245 * BSS + 0.224 * LT + 0.199 * TR The regression results show that the independent variables PR, EC, LI, TC, IC, LAT, BSS, LT, TR have Sig smaller than 0.05 so the variables are significant at 95% So at 95% confidence level, the independent variable affects the dependent variable and the slope coefficients are respectively 0.425, 0.323, 0.312, 0.307, 0.306, 0.289, 0.245, 0.224, and 0.199 The variables of PR, EC, LI, TC, IC, LAT, BSS, LT, TR are positive so all variables affect the same direction of the competitiveness of Bac Giang province variable is negative affecting reverse with competitiveness The importance of PR, EC, LI, TC, IC, LAT, BSS, LT, TR for Competitiveness of Bac Giang province variables are determined based on Beta coefficient If the bigger the absolute value of Beta coefficient of each factor is, the respondent more important that factor affect the Competitiveness of Bac Giang province Therefore, the most important factor affecting to Competitiveness of Bac Giang province is PR (Beta = 0.425), followed by EC factor (Beta = 0.323), followed by LI factor (Beta = 0.312), TC factor (Beta = 0.307), IC factor (Beta = 0.306), LAT factor (Beta = 0.289), BSS factor (Beta = 0.245), LT factor (Beta = 0.224) and finally TR factor (Beta = 0.199) 126 In short, based on the regression results there are factors that affect competitiveness of Bac Giang province PR factor, in particular has the greatest impact on competitiveness of Bac Giang province (for the largest Beta coefficient), and TR factor has the least effect 127 Appendix D Statistical Tests on Respondents’ Perception According to Related Profile Working years To examine the differences for the assessment of independent variables by working years we used ANOVA analysis method (Analysis of Variance) Test of Homogeneity of Variances Levene Statistic df1 df2 Sig EC 943 113 405 LAT 983 113 391 TR 1.611 113 223 IC 5.768 113 100 TC 6.682 113 060 PR 3.173 113 062 BSS 5.336 113 130 LT 2.350 113 074 LI 1.162 113 325 CC 5.778 113 100 Results of Test of Homogeneity of Variances table shows the significance levels of all independent variables are greater than 0.05, which means that the variance of assessment about entry costs, land access and tenure, transparent, informal charges, time cost, proactive, business support services, labor training, legal institutions and competitiveness capacity between working years did not differ from statistical significance Thus, ANOVA analysis results can be used 128 ANOVA EC LAT TR Between Groups 79.699 113 Total 90.078 122 5.368 1.786 Within Groups 109.944 113 542 Total 115.312 122 9.815 3.152 99.949 113 347 109.764 122 11.512 2.896 Within Groups 212.754 113 477 Total 224.266 122 7.142 1.992 Within Groups 85.426 113 385 Total 92.568 122 4.342 1.443 Within Groups 84.274 113 416 Total 88.616 122 2.566 858 Within Groups 81.342 113 481 Total 83.908 122 3.798 1.949 Within Groups 84.801 113 674 Total 88.599 122 4.997 2.531 Within Groups 82.546 113 434 Total 87.543 122 Between Groups 10.187 3.325 Within Groups 78.590 113 393 Total 88.776 122 Between Groups Between Groups Total TC PR Between Groups Between Groups Between Groups BSS Between Groups LT LI CC Mean Square 3.459 Within Groups Within Groups IC Sum of df Squares 10.379 Between Groups Between Groups F Sig 8.723 000 398 021 3.253 000 008 003 3.430 019 3.374 100 032 5.758 005 8.747 000 129 The table above shows that the sig coefficients of variables are less than 0.05, this indicates that there are significant differences between the respondents’ perception on entry costs, land access and tenure, transparent, informal charges, time cost, proactive, labor training, legal institutions and competitiveness capacity with working years And business support service factor has Sig=0.1>0.05, shows that there are no significant differences between the respondents’ perception on business support service and working years Type of business To examine the differences for the assessment of independent variables by type of business we used ANOVA analysis method (Analysis of Variance) Test of Homogeneity of Variances Levene Statistic df1 df2 Sig EC 102 113 959 LAT 2.302 113 078 TR 662 113 576 IC 985 113 401 TC 1.553 113 202 PR 2.213 113 088 BSS 1.493 113 218 LT 890 113 447 LI 911 113 437 CC 1.224 113 159 Results of Test of Homogeneity of Variances table shows that the significance levels of all independent variables are greater than 0.05 that means the variance of assessment about entry costs, land access and tenure, 130 transparent, informal charges, time cost, proactive, business support services, labor training, legal institutions and competitiveness capacity between types of business did not differ from statistical significance Thus, ANOVA analysis results can be used EC LAT TR IC TC PR BSS LT LI CC Between Groups Within Groups Total Between Groups Within Groups Total Between Groups Within Groups Total Between Groups Within Groups Total Between Groups Within Groups Total Between Groups Within Groups Total Between Groups Within Groups Total Between Groups Within Groups Total ANOVA Sum of Df Squares 2.719 87.359 113 90.078 122 879 114.443 113 115.312 122 4.258 105.506 113 109.764 122 2.013 222.253 113 224.266 122 1.531 91.037 113 92.568 122 1.102 87.514 113 88.616 122 3.785 80.123 113 83.908 122 1.978 86.621 113 88.599 122 Mean Square 847 589 F Sig 2.331 119 425 631 564 546 1.546 550 2.578 065 637 437 1.432 219 514 586 903 418 489 651 1.004 446 837 910 1.534 702 1.056 537 1.960 179 1.485 198 1.785 184 Between Groups 1.961 987 Within Groups 85.582 113 574 Total 87.543 122 Between Groups 1.856 921 Within Groups 86.920 113 584 Total 88.776 122 131 The table above shows that the sig coefficients of variables are greater than 0.05, this indicates that there are significant same between the respondents’ perception on entry costs, land access and tenure, transparent, informal charges, time cost, proactive, labor training, business support service, legal institutions and competitiveness capacity with type of business Line of business To examine the differences for the assessment of independent variables by line of business we used ANOVA analysis method (Analysis of Variance) Test of Homogeneity of Variances Levene Statistic df1 df2 Sig EC 471 113 702 LAT 2.039 113 064 TR 072 113 971 IC 2.101 113 062 TC 1.802 113 072 PR 1.221 113 120 BSS 1.112 113 330 LT 590 113 827 LI 931 113 415 CC 1.784 113 129 Results of Test of Homogeneity of Variances table shows the significance levels of all independent variables are greater than 0.05 that mean the variance of assessment about entry costs, land access and tenure, transparent, informal charges, time cost, proactive, business support services, labor training, legal institutions and competitiveness capacity between lines of business did not differ from statistical significance Thus, ANOVA analysis results can be used 132 EC LAT TR IC TC PR BSS LT LI CC Between Groups ANOVA Sum of Df Squares 1.534 Mean Square 462 Within Groups 88.544 113 Total 90.078 122 Between Groups 4.012 1.353 Within Groups 113.300 113 574 Total 115.312 122 585 628 Within Groups 107.879 113 1.173 Total 109.764 122 1.858 685 Within Groups 222.408 113 574 Total 224.266 122 642 553 Within Groups 91.926 113 790 Total 92.568 122 Between Groups 9.853 3.423 Within Groups 78.763 113 410 Total 88.616 122 Between Groups 1.645 712 Within Groups 82.263 113 576 Total 83.908 122 Between Groups 1.241 664 Within Groups 87.358 113 419 Total 88.599 122 Between Groups 1.911 Within Groups 85.632 113 Total 87.543 122 Between Groups Within Groups Total 1.249 87.527 88.776 113 122 Between Groups Between Groups Between Groups F Sig 1.131 337 2.530 056 584 656 1.536 231 1.537 532 8.781 000 1.610 234 1.463 292 410 229 737 875 563 372 133 The table above shows that the sig coefficients of variables are greater than 0.05, this indicates that there aren’t significant differences between the respondents’ perception on entry costs, land access and tenure, transparent, informal charges, time cost, business support service, labor training, legal institutions and competitiveness capacity with line of business Proactive factor has Sig=.000