Luận văn thạc sĩ UEH vietnam banking sevice quality in trend of international integration

UNIVERSITY OF ECONOMICS

HO CHI MINH CITY

VIETNAM

INSTITUTE OF SOCIAL STUDIES

THE HAGUE

THE NETHERLANDS

VIETNAM- NETHERLANDS

PROGRAMME FOR M.A IN DEVELOPMENT ECONOMICS

VIETNAM BANKING SERVICE

QUALITY IN TREND OF

INTERNATIONAL INTEGRATION

A STUDY IN COMMERCIAL BANKS IN HO CHI MINH CITY

A thesis submitted in partial fulfilment of the requirements for the degree of

MASTER OF ARTS IN DEVELOPMENT ECONOMICS

By

AU BAO HOANG ANH

Academic Supervisor:

NGUYEN MINH KIEU

HO CHI MINH CITY, October 2011

i I I

I •i

i il' I'

I

I,

1

LUAN VAN CHAT LUONG download : add luanvanchat@agmail.com

STUDENT DECLARATION

I confirm that this research titled "Vietnam banking service quality in trend of

international integration- a study in commercial banks in Hochiminh city" is my

own work. I hereby declare all of the detailed content of this research is the process

of extensive research, data collection and analysis of relevant documents.

All data, resources, references using in this research are clearly identified.

I bear full responsiveness for commitments.

Hochiminh city, October 2011

Au Bao Hoang Anh

LUAN VAN CHAT LUONG download : add luanvanchat@agmail.com

ACKNOWLEGEMENT

In order to accomplish this thesis, apart from my own efforts, first of all, I would

like to express my sincere gratitude to my supervisor Associate Professor .PhD,

Nguyen Minh Kieu, for his great guidance, helpful advice and encouragement

during the whole process of my study.

I also would like to express my gratitude to professors, tutors of Economics

University in general and of Vietnam - Netherlands Programme in particular who

have delivered valuable experiences, knowledges, assistance and enthusiastic

guidance to me during the course and my study.

I am very thankful to my family for the support and encouragement in so many

ways.

I also sincerely thank classmates of Vietnam - Netherlands master programme

course 15 and colleagues at Vietnam Eximbank in supporting me their best to

complete this thesis.

Finally, I would like to thank domestic and foreign banks' customers for their co￾operation and to share experiences and opinions.

My deep thanks to all of you!

Au Bao Hoang Anh

Hochiminh City, October 2011

LUAN VAN CHAT LUONG download : add luanvanchat@agmail.com

TABLE OF CONTENTS

LIST OF FIGURES ................................................................................................... i

LIST 0 F TABLES .................................................................................................... ii

ABSTRACT ............................................................................................................. iii

CHAPTER 01: INTRODUCTION ......................................................................... I

1.1. RATIONALE OF TIIE STUDY .......................................................................... 1

1.2. STATEMENT OF PROBLEM ............................................................................ 3

1.3. RESEARCH OBJECTIVES AND RESEARCH QUESTIONS ........................... .4

1.3.1. Research objectives .................................................................................... 4

1.3.2. Research questions ..................................................................................... 4

1.4. RESEARCH METHODS ..................................................................................... 4

1.5. SCOPE AND OBJECTIVES OF TIIE RESEARCH ............................................ 5

1.6. TIIE STRUCTURE OF TIIE RESEARCH .......................................................... 5

CHAPTER2: LITERATURE REVIEW ................................................................. 6

2.1. SERVICE ............................................................................................................. 6

2.1.1. Service definition ....................................................................................... 6

2.1.2. Service characteristics ................................................................................ 6

2.2. BANKING SERVICE .......................................................................................... 7

2.2.1. Banking service definition .......................................................................... 7

2.2.2. Types of banking products and services ..................................................... 8

2.2.2.1. The traditional bank services ............................................................... 8

2.2.2.2. The recently developed banking services ............................................. 8

2.3. SERVICE QUALITY .......................................................................................... 9

2.3.1. Service quality definition ........................................................................... 9

2.3.2. Service quality dimensions in banking sector ........................................... 10

2.3.3. Models of service quality ......................................................................... 13

2.4. SERVICE QUALITY AND SATISFACTION OF CUSTOMER IN BANKING

SECTOR ................................................................................................................... 16

LUAN VAN CHAT LUONG download : add luanvanchat@agmail.com

2.4.1. Satisfaction and the views of customer satisfaction .................................. 16

2.4.2. Service quality and customer satisfaction in banking sector: .................... 17

2.5. INTERNATIONAL INTEGRATION ................................................................ 20

2.5.1. International integration definition ........................................................... 20

2.5.2. Banking integration is part of economic development .............................. 21

2.5.3. Impact of international integration to banking sector: ............................... 21

CHAPTER 3: RESEARCH METHODOLOGY ................................................... 24

3.1. RESEARCH MODEL ........................................................................................ 24

3 .1.1. Proposal of research model ...................................................................... 24

3 .1.2. Research Hypothesis ................................................................................ 25

3.2. RESEARCH DESIGN ....................................................................................... 25

3.2.1. Research approach ................................................................................... 25

3.2.2. Research process ...................................................................................... 26

3.3. OFFICIAL RESEARCH .................................................................................... 27

3.3.1. Measurement scale ................................................................................... 27

3.3.2. Adjustment scale ...................................................................................... 29

3.3.3. The questionnaire design .......................................................................... 31

3.3.4. Research sample ...................................................................................... 31

3.3.5. Sampling .................................................................................................. 31

3.3.6. Size of sample .......................................................................................... 31

3.4. RESEARCH ANALYSIS .................................................................................. 32

CHAPTER 4: DATA ANALYSIS AND FINDINGS ............................................. 33

4.1. SAMPLE CHARACTERISTICS ....................................................................... 33

4.2. DATAANALYSIS ............................................................................................ 36

4.2.1. Reliability evaluation through Cronbach's Alpha ..................................... 36

4.2.2. Evaluation the measurement scale by using Exploratory Factor Analysis

(EFA) ................................................................................................................ 38

4.2.2.1. Some rules in EFA test ...................................................................... 38

4.2.2.2. EF A for dimensions of service quality ............................................... 39

LUAN VAN CHAT LUONG download : add luanvanchat@agmail.com

4.2.3. The adjusted research model ................................................................... .41

4.2.4. Analysis of the difference in perception of customers on foreign and

domestic banking service quality ....................................................................... 42

4.2.4.1. Analysis ofthe difference in mean value between foreign and

domestic banking service quality .............................................................................. 42

4.2.4.2. Hypotheses' test with independent t-test analysis approach ............... .45

CHAPTER 5: CONCLUSIONS AND RECOMMENDATIONS ......................... 51

5.1. CONCLUSIONS ................................................................................................ 51

5.2. RECOMMENDATIONS ................................................................................... 53

5.3. LIMITATION & FUTURE RESEARCH ........................................................... 56

REFERENCE .......................................................................................................... 58

APPENDIX ............................................................................................................ 63

APPEND IX 1 ........................................................................................................... 63

APPEND IX 2 .........................................................•............................................•.... 66

LUAN VAN CHAT LUONG download : add luanvanchat@agmail.com

LIST OF FIGURES

Figure 2.1: Model of service quality gaps (Parasuraman at el., 1985) ........................ 15

Figure 3.1: Suggested research model ....................................................................... 24

LUAN VAN CHAT LUONG download : add luanvanchat@agmail.com