Liên hệ mua số liệu khảo sát: 0933114547Mail: hotrosolieugmail.comThe purpose of this paper is to develop and empirically test the antecedents of brand equity in airline context. A conceptual framework was developed based on previous studies investigating the relationship among the five constructs of perceived service quality (empathy, assurance, responsiveness, tangibility, and reliability), brand awareness, brand loyalty, countryoforigin, wordofmouth and brand equity. A survey was conducted with 269 people who used to use airline servicetake a flight in Binh Duong and Ho Chi Minh City, Vietnam. The conceptual framework was tested using structural equation modelling technique
TABLE OF CONTENTS 摘要 i ABSTRACT ii ACKNOWLEDGEMENTS iii TABLE OF CONTENTS iv LIST OF TABLES vii LIST OF FIGURES ix EXPLANATION OF SYMBOLS x CHAPTER - INTRODUCTION 1.1 BACKGROUND 1.2 RESEARCH OBJECTIVE 1.3 SIGNIFICANT OF THE STUDY 1.4 SCOPE 1.5 LIMITATION 1.6 PROPOSED STRUCTURE CHAPTER - LITERATURE REVIEW 2.1 CONCEPTS AND THEORETICAL FRAMEWORK 2.1.1 Brand Equity 2.1.2 Perceived Service Quality 2.1.3 Word-of-mouth (WOM) 2.1.4 Country-of-Origin (COO) 10 2.1.5 Brand Loyalty 11 2.1.6 Brand Awareness 13 2.2 RESEARCH MODEL 15 CHAPTER - METHODOLOGY 16 iv 3.1 QUANTITATIVE APPROACH 16 3.1.1 Questionnaire Design 16 3.1.2 Sampling Selection 16 3.1.3 Pilot Test 17 3.1.4 Data Collection 17 3.1.5 Data Analysis 18 3.2 MEASUREMENT SCALE 18 CHAPTER - DATA ANALYSIS AND DISCUSSION 25 4.1 SAMPLE DEMOGRAPHICS 25 4.2 DESCRIPTIVE STATISTICS 33 4.3 RELIABILITY TEST 38 4.3.1 Empathy 38 4.3.2 Assurance 39 4.3.3 Responsiveness 41 4.3.4 Tangibility 41 4.3.5 Reliability 42 4.3.6 Brand Equity 44 4.3.7 Brand Loyalty 45 4.3.8 Brand Awareness 45 4.3.9 Country-of-Origin 47 4.3.10 Word-of-Mouth 48 4.4 FACTOR ANALYSIS 49 4.5 CONFIRMATORY FACTOR ANALYSIS 52 4.5.1 Test the appropriateness of the model 52 4.5.2 Correlation testing 53 4.5.3 Reliability testing 54 v 4.5.4 Discriminant validity 55 4.6 STRUCTURAL EQUATION MODELLING (SEM) 57 CHAPTER – CONCLUSION 62 5.1 CONCLUSIONS AND RECOMMENDATIONS 62 5.2 LIMITATIONS AND DIRECTIONS FOR FUTHER RESEARCH 64 REFERENCES 66 APPENDICES 72 vi LIST OF TABLES Table Measurement Scale…………………………………………………………19 Table Gender 26 Table Age 26 Table Education 27 Table 4 Occupation 29 Table Airlines that respondents usually choose to fly in last months 29 Table Purpose to take a flight 30 Table Respondents ‘flying route 31 Table Airline companies when respondents going abroad 33 Table Descriptive Statistics 33 Table 10 Empathy Cronbach’s Alpha (1st time) 38 Table 11 Empathy Cronbach’s Alpha (2nd time) 39 Table 12 Assurance Cronbach’s Alpha (1st time) 39 Table 13 Assurance Cronbach’s Alpha (2nd time) 40 Table 14 Responsiveness Cronbach’s Alpha 41 Table 15 Tangibility Cronbach’s Alpha (1st time) 41 Table 16 Tangibility Cronbach’s Alpha (2nd time) 42 Table 17 Reliability Cronbach’s Alpha (1st time) 42 Table 18 Reliability Cronbach’s Alpha (2st time) 43 Table 19 Brand Equity Cronbach’s Alpha (1st time) 44 Table 20 Brand Equity Cronbach’s Alpha (2nd time) 44 Table 21 Brand Loyalty Cronbach’s Alpha 45 Table 22 Brand Awareness Cronbach’s Alpha (1st time) 45 Table 23 Brand Awareness Cronbach’s Alpha (2st time) 46 Table 24 Country-of-Origin Cronbach’s Alpha (1st time) 47 Table 25 Country-of-Origin Cronbach’s Alpha (2nd time) 48 Table 26 Word-of-Mouth Cronbach’s Alpha 48 Table 27 KMO and Bartlett's Test Result 50 Table 28 EFA results for factor scales 50 Table 29 Goodness-of-fit Measures 52 vii Table 30 Correlation Coefficient 53 Table 31 Reliability Testing 54 Table 32 Discriminant validity factors 55 Table 33 Result in the process of analyzing structural equation modeling 59 viii LIST OF FIGURES Figure Proposed Research Model…………………………………………………15 Figure Respondents’ gender in percentage 26 Figure Respondents’ age in percentage 27 Figure Respondents’ education in percentage 28 Figure 4 Respondents’ occupation in percentage 29 Figure Airline that respondents usually choose to fly in last months in percentage 30 Figure Respondents’ purpose to take a flight in percentage 31 Figure Respondents’ flying route in percentage 32 Figure Airline companies when respondents going abroad in percentage 33 Figure Confirmatory Factor Loading (CFA) model 57 Figure 10 The result of analyzing structural equation modelling 59 ix EXPLANATION OF SYMBOLS SQ: Perceived Service Quality BE: Brand Equity BL: Brand Loyalty BA: Brand Awareness WOM: Word-of-Mouth COO: Country-of-Origin EM: Empathy AS: Assurance RS: Responsibility TA: Tangibility RE: Reliability x CHAPTER - INTRODUCTION 1.1 BACKGROUND In recent years, airline transportation has become one of the most important economic sectors representing for modern transportation progress Airline transportation plays an increasingly important role in the development of economic – culture –society – security – national defence of a nation The rapid development of low-cost airlines alongside traditional airlines has contributed to facilitating the movement of goods between domestic and international areas It can be said that the airline transportation market has a lot of potential development but also poses many challenges The International Air Transport Association (IATA) has ranked Vietnam along with China as the two fastest growing airlines in the world In recent years, the freight market in Vietnam has seen remarkable development The development of this sector has been strongly contributing to the linking of economic sectors in the world This is a prerequisite for Vietnam's high-value export businesses have access to international markets The government has issued many policies to create opportunities, promote the development of airline transportation At the same time, the aviation infrastructure is being repaired and newly built However, there are many challenges and difficulties that Vietnam airline industry has faced The competitive situation in the world aviation industry is increasingly fierce The facilities and technology of aviation in Vietnam despite many efforts to improve but still much slower compared to other countries in the region This makes the competitiveness of Vietnam airline industry be low Vietnam airline transportation, although fast growing, is still very small Vietnam airlines are not focused on freight They only focus on passenger transport According to Vietnam Ministry of Transport, from 2005 to 2015, Vietnam has the highest increase with 18.6% comparing with other countries in Asia-Pacific region for example: Philippine, India, Indonesia, China, etc The percentage of passengers who use airlines rise about 14.9% in the period 2010-2015 and continue increasing 13.9% in the next years In addition, Vietnam is in the golden population with young labour force The development prediction in 2017 and 2018 is above 6% The development of economy will make the increase of labour income and it also make their travelling needs by airline increase Found that potential development, there are many international airlines are investing and expanding their business in Vietnam and some Vietnamese private airlines will stating to business in next year ( Bamboo Airline) Along with the current Vietnamese airlines (Vietnam Airline, Vietjet Air, Jestar Pacific Airlines and VASCO) and 68 foreign airlines from 25 countries which are working in Vietnam market, customers have more and more choices to choose the airlines that they are satisfied and believe According to the development of economic and living standard, the transportation needs of customers is bigger and bigger Airlines also give many promotion activities to attract customers and compete with their competitors The problem is how to create a brand equity for Vietnam airlines to compete with many competitive airlines and how to attract customers and make them believe in service quality when they have many choices in the current trend Hence, an investigation into the service environment as well as an evaluation of brand equity database to build up significant retention strategy are regarded as desirable, if not more inevitable The present study aims to investigate the connections among brand equity and its prominent antecedents in airline industry Model proposed here trying to understand how it is and why it works Traditionally, many previous researches study about brand loyalty and brand awareness as dimensions of brand equity (Aaker, 1991; Keller, 1998; Davis, Golicic, and Marquardt, 2008) However, there have been very limited research examining brand loyalty and brand awareness as independent variables (Chen et al., 2011; Yoo et al., 2012) In this research, researcher want to make clear the role of brand loyalty and brand awareness as an independent variables of brand equity to examine that whether they have impact on brand equity or not Furthermore, in airline setting, much attention of researchers has been paid to service quality as a brand equity’s determiner (Kim et al., 2018) A very limited number of paper published propose an analysis framework of word-of-mouth and brand equity (Regina Virvilaite et al., 2015) or country of origin and brand equity (Ahmed and d'Astous, 2006) However, most of the researches is examined and conducted in developed country; developing countries like Vietnam has fewer opportunities to approach this knowledge to develop the inner potential of Vietnamese business There have been very limited attempts made to investigate the relationships among brand equity, brand awareness, brand loyalty, perceived service quality, word of mouth and country of origin in Vietnam airline context 1.2 RESEARCH OBJECTIVE In this paper, the relationships among brand equity and its prominent antecedents, namely, brand loyalty, perceived service quality, brand awareness, country-of-origin and word of mouth are examined to gain a more concrete insight into the significance of customer retention strategies and managers to build up their own strategies in retaining the valuable loyal customer base For achieving the goal, the two objectives are constructed as follows: To examine the relationships among brand equity and its antecedents in airline context To build up a framework for customer retention strategy based on the brand equity database in airline business To each of the two objectives, the two questions are raised to direct the present this research, however, it is an important antecedent in brand equity in the research in Taiwan From that point, in this case, perceived service quality is really important to increase brand equity Managers of airline companies need to focus on this point because airline is more and more developing industry with many competitors and passengers also require more about the service quality that they need to perceive The most important thing that airline companies they need to is improve the service quality and bring to passengers the best quality Understanding passenger’s needs and serving better than their needs is the best strategy to improve perceived service quality If they can it, passengers will business with them again automatically and it will also increase their brand equity The relationship between word-of-mouth and brand equity expresses the partial same findings as theory of Regina Virvilaite et al (2015) in that word-of-mouth have a positive and significant effect on brand equity It means that to increase brand equity, airline companies need to improve word-of-mouth Besides that, the research also indicates that there are relationship between perceived service quality, brand loyalty, brand awareness and word-of-mouth It means that perceived service quality, brand loyalty, brand awareness has positive impact on word-of-mouth Based on the transitivity, if an airline company want to increase brand equity, they also need to increase perceived service quality, brand loyalty and brand awareness It is also the same with the impact of perceived service quality on brand loyalty To improve brand loyalty, airline companies should have many strategies to build customer loyalty such as making loyal membership such as VIP – Gold - Silver based on the quantity using services and distance flying They can give them some discounts or some promotions for the next time Maybe in the end of the year, there will have a gift for someone who fly most Brand awareness is a little bit different To improve it, airline companies need to with many people, places and time For example, they can 63 organize some promoted activities for new customers New customers can get a discount for the first time flying with this airline companies Or they can get a gift when they write a comment or feedback on their fan page or introduce another people take part in their activities It can also improve word-of-mouth 5.2 LIMITATIONS AND DIRECTIONS FOR FUTHER RESEARCH Firstly, this research is conducted in Ho Chi Minh City and Binh Duong Province cities in the South Vietnam Therefore, it is maybe not appropriate with bigger population and the research may not present as evidence for the influence of the antecedents to the brand equity The model should be conducted in the bigger sample size with the joining of more respondents and opinion of professors who have more knowledge about this issue for example expanding for the North of Vietnam because people on the South and North of Vietnam have different culture, opinion and behaviours The future studies should expand the sample size and different locations to have an overview about the brand equity to make the research more valid and reliable and compare the different between this two regions The research is only conducted with Vietnamese passengers It lacks of diversify Expanding the nationality also a good way to find different attribution for improve brand equity in the airline context and also have some comparisons In addition, airline context is not a new topic in the world although it is still hot in Vietnam now Therefore, in the future researches, researcher need to find a hot new topic to have more contributions and also need to have research about different topic to get fully understanding about brand equity The measurement of brand equity is also a limitation Most of research designed and developed it in the foreign countries Sometimes, it does not suitable with the tradition and culture of Vietnamese people Although it may have some differences, this measurement still has contributions for this research in Vietnam 64 Finally, after conducting the survey, researcher found something interesting based on the demographic questions The problem here is why the total passengers usually fly international in the last months is 123 respondents Out of 123 respondents, there are 101 respondents choose Vietnamese airlines and only 22 respondents choose foreign airlines However, when asked the airlines for next time, it has a surprised result Only respondents continue choosing Vietnamese airlines for next time and 118 respondents choose foreign airlines instead of Vietnamese airlines although through all items’ mean of perceived service quality is quite high The problem is why respondents are quite satisfied with the service quality of Vietnamese airlines but they still want to choose foreign airlines for next time In the future research, researcher need to find this problem and the factors that affect customer’ behavior and examine the relationship between customer’s behavior and brand equity 65 REFERENCES Aaker DA., (1991) Managing brand equity: capitalizing on the value of a brand name New York: The Free Press Ahmed SA, d'Astous A (2016) Shopping behavior, country 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We are a research group from National Yunlin University of Science and Technology, studying on customer perception and evaluation about airline services This questionnaire aims to receive the feedback from customers so that appropriate improvement on the service quality will be conducted to serve the customers better All the customer information will be kept unrevealed to be used for research purpose only We hope you could take some time to answer the following questions All of your answers will be very valuable for the study We are looking forward to your sincere cooperation! Up to date, have you ever taken a flight? a Yes (Please continue doing below questions) b No (Thanks for doing this questionnaire) Part I: Personal information Please indicate your gender a Male b Female Please indicate your age a Under 20 b 20 – 40 Education a High school or equivalent b University c Masters d Doctorate and above e Others 72 c 41 – 60 d Over 60 Please indicate your occupation a Student b Government employee/Teacher c Private-sector employee d Independent businessman/Self-employee e Unemployed f Housewife g Retired h Others Which kind of airline service you usually choose to fly in last months: a Vietnam Airline b Vietjet Air c Jestar Pacific Airline d Air Asia e Others The most popular purpose of using airline a Travelling b Business c Education d Visiting family or friends e Medical f Others Do you usually take domestic or international flight? a Domestic b International 73 When you take an international flight, you usually choose Vietnamese airlines or airlines from another country? a Vietnamese airlines b Airlines from another country Part II: Customers’ perception and evaluation Please indicate in a five-point scale the extent to which you agree or disagree with the following statements: Totally disagree Disagreed Neutral Agreed Totally agree According to the answer that you have chosen in question about the airline company that you usually choose to fly, please evaluate this company based on the below questions: No Empathy Employees provide individual attention to the passenger Alternative flight schedules are available Airline schedules are convenient Airline handling includes modern equipment and facilities Employees understand the passenger's specific needs Employees provide speed handling No Assurance Flight safety operations Airline performed confident actions with passenger tangibles Provide necessary information 10 Airline staffs have the knowledge to answer questions 11 Employees’ willingness to help 12 Employees promptly handle of flight delays 74 5 No Responsiveness 13 Willingness to solving flight delay problems 14 Employees are willing to help in unexpected situations 15 Courtesy of crew No Tangibility 16 Modernized aircraft and seat is comfortable 17 In-flight entertainment facility is good 18 Appearance of employees is good 19 Quality of meal service is good No Reliability 20 Flights are On-time 21 Airline staff performed accurate service during the case 22 Insistence on travel service are always be resolved 23 Accidents related to security and safety rarely 5 5 happen 24 Airline flight safety and security measures are always be assured No Brand equity 25 It makes sense to fly with this airline company instead of any other company, even if they are the same 26 Even if another airline company has the same features as this airline company, I would prefer to fly with this airline company 27 If there is another airline company just as good as this airline company, I prefer to fly with this company 28 If another airline company is not different from this company in any ways, it seems smarter to fly with this airline company 75 No Brand loyalty 29 Overall I am very satisfied with this airline company 30 If asked, I would recommend this airline company 31 I intend to business again with this airline company in the future No Brand awareness 32 This airline company is well-known in my country 33 This airline company is recognized by my friends 34 This airline company is easily distinguishable 5 from other company 35 I am familiar with the features of this company 36 This airline company comes to my mind very quickly when I think about airline company According to the country-of-origin of the airline company, what you think about the country when you mention about this country: No Country-of-origin 37 High educated 38 Hard working 39 Achieve high standards 40 Raised standard of living 41 High technical skills No Word-of-Mouth 42 I say positive things about this airline company to other people 76 5 43 I recommend this airline company to someone who seeks my advice 44 I encourage my friends and relatives to fly with this airline company THANK YOU FOR YOUR COOPERATION! 77 ... sets forth strategic implications regarding customer retention management The main purpose of this thesis is to provide airline companies with tools to create a good customer retention strategy rather... service quality will affect customer’ choice It will lead to the increase of brand equity The hypothesis therefore is: H2: There is a positive impact of perceived service quality on brand equity... will recommend this product/service for others customer based on their good experience The hypothesis therefore is: H3: There is a positive impact of perceived service quality on word of mouth