Fc ThAi nguyen University Socialist Republic of Vietnam Southern luzon STATE University Republic of Philippines INFLUENCES OF PERSONALITY, PSYCHOLOGY FACTORS AND MARKETING MIX ON THE CONSUMPTION OF FOREIGN FAST-FOOD BRAND IN HA NOI, VIET NAM Advisor : Dr Alice T Valerio Name of Student : NGUYEN THI THANH HUYEN English Name : TULIP Date of Birth : 02-12-1976 Course : SLSU-DBA1 Hanoi May, 2013 ii ACKNOWLEDGMENT To having completed this thesis within period of time had had tried my best, the first, I have would like to express our most sincere thanks to the Management Board of the Southern Luzon State University, Thai Nguyen University, teachers of the universities have helped me facilitate the learning process throughout The second, I have would like to express sincere gratitude and profound Dr Alice T Valerio, enthusiastic teacher who have dedicated guidance, encouragement, spending time and exchange orientation for me during this research The third, I have would like to thank Mr Ngo Anh Cuong (English name: Smile) in this class who helped me to support statistics professional SPSS, thank my best friends who have helped and encouraged me to complete this thesis Finally, I sincerely thank Management Board of Hanoi community college (HCC), colleagues in HCC, (where I work) helped and left conditions for me to complete the research iii DEED OF DECLARATION I, Nguyen Thi Thanh Huyen (English name: Tulip), hereby submit my thesis for oral examination, entitled “Influeneces of personality and psycholofy factors and marketing mix on the consumption of foreign fast food brands in Hanoi, Vietnam”, truthfully declare that the said paper is a product of my original research investigation NGUYEN THI THANH HUYEN DBA Candidate iv CONTENTS ABSTRACT vii Table list xi Figure list .xii Figure list .xii Illustration List xiii CHAPTER INTRODUCTION CHAPTER 22 Review of related literature 22 1.1 Litreratures of personal factor influence on customer‟s decision purchasing fast food 22 1.2 Litreratures of pshychology factor influence on customer‟s decision purchasing fast food 24 1.3 Litreratures of marketing-mix factor influence on customer‟s purchasing fast food 28 Theoretical framework 35 CHAPTER 40 Research design 40 Sampling plan 41 Field work 42 Data processing method 43 Research instruments 45 Statistical treatment 45 Limitation 46 CHAPTER 48 PRESENTATION, ANALYSIS AND INTERPRETATION OF DATA 48 Scale value test 48 Hypothesis test 50 2.1 To identify some variables of demographic characteristics (personal) to be relative with some variables of psychology factors that encourage consumers‟ decision buying fast-food in restaurants (H1 – Objective No 1) 50 v 2.2 To describe some variables of demographic characteristics (personal) to be relative with some variables of marketing-mix influencing consumers‟ purchasing fast-food (H2 – Objective No 2) 58 2.3 To describe the relationship some variables of psychology factors with marketing-mix influencing consumers‟ purchasing fast-food ( H3 – Objective No 3) 66 2.4 To describe some variables of marketing-mix influencing directively on consumer‟s decision to purchase fast food (H4 – Objective No4) 72 CHAPTER 78 SUMMARY, FINDINGS, CONCLUSIONS AND RECOMMENDATIONS 78 Summary 78 Findings 81 Conclusions 85 Recommendation 86 APPENDIX A QUESTIONNAIRE TO CUSTOMER 90 APPENDIX B PLACE.COM.VN 95 REFERENCES 99 vi ABSTRACT The fast food outlets continuous development with brands like Lotteria, KFC, BBQ, Pizza Hut and there are many predictions about the presence of the following brands such as McDonald's in Vietnam Brand Lotteria – Korean, strength of fried chicken owning over 60% market share, while 60-70% Lotteria hamburger and the rest divided among brand pizza, spaghetti No other names less competitive, Jollibee (fast food brand famous Philippines) also recently opened the 20th outlet in Vietnam Fast food and accelerating investment accounts positions "strategy" in the city So far, Lotteria has 50 outlets across the country In addition to capital for investment in strategic positions, they also focus on training human resources management, business, sales It is confirmed that the consumption trend in the supermarket, convenience store, fast food restaurant has created a vibrant and fast growth of the markets in processed foods and in Vietnam today and future Food supply, food safety quite effectively this will gradually replace the habit of using the street food of the majority of the urban population However, there are also concerns the use of fast foods will increase the weight as much protein, fat, low-fiber meals in family tradition as both the lack of the same is customary accustomed to fast food restaurants But in modern society, consumer culture, the growing balance of values in life will not be too difficult for everyone The intense competition among foreign fast food brands in Vietnam economic context recession will make them expand outlets in the locations be goodwill, but high rents in many years vii What are factors influences on consumer‟s behavior purchasing fast food? Are there marketing solutions for brands to reduce losses and improve its not only imagine but also position? Objectives: To determine fast food patterns; identify personality, psychology and marketing-mix factors effect on foreign fast food; find out the influence of marketingmix on utilizing fast food enterprises in Hanoi, Vietnam Method: A descriptive, cross-sectional study was taken, using validated questionnaire to elicit the characteristics of the study population in center districts in Hanoi, Vietnam In this thesis, Chi-square was most used in the processing of statistical data to determine the relationship between two variables Sometime Kendall‟s tau_b was used as tool supporting for test two variables being tightly bound or loose, Gamma was used to support for test two variables being positive or negative (Kendall‟s tau_b and Gamma were suitable with ranked questions only) Cronbach‟s Alpha was used to test reasonable and logical scale of ranked questions Results: With 31,8% participants in districts is often use fast food with 2-3 times/month; 33% with at least times/month; 27% with less than times/month and 8,2% 8-12times/month The higher average monthly income, the more female ready to pay higher amount of money spent on fast food Female with 250$-350$/month income (32,8% ÷ n= 59) and 350$-500$/month income (34,0% ÷ n=37) spent $20-$30 for buying fast food per month The most participants were 30,6% (n=118) to be worried with percentage of fat, the second was nutrient 25,9% (n=100) The most participants worried about overweight (52% ÷ n=200), the second was diabetes (30,2% ÷ n=116) viii Consumers have known foreign brands fast food in Vietnam: the first rank was KFC (23,7% ÷ n=94), the second rank was Lotteria (19,4%% ÷ n=77), the third was BBQ (17,6% ÷ n=70), the fourth was Pizza Hut (14,9 % ÷ n=59), Al Fresco (12,6% ÷ n=50) ranked fifth, after was Pepperonis (11,4% ÷ n=44) The first rank reason people bought fast food has been time limitations (26% ÷ n=103), the second rank was taste (23,8% ÷ n=95), the third rank was can‟t cook (20,2% ÷ n=81), the fourth rank was convenience (14,0% ÷ n=56) But there was no significant different between ranks in the top first The first rank item of fast food was fried chicken, the second was pasta and the third was concluded: drilled chicken, pizza and burger because of having been near about the same percentage There was not different age period (n=390), not different education level (n=328), not different lifestyle (n=390) with above 30% participants (n=310 about age; n= 301 about education; n=310 about lifestyle) to select “strong agree” with decorated outlets, quality of food and outlets located in streets which factors have influence on buying fast food There was 91,8% participants to buy fast food coursed of quality fast food improving in future; 80% participants to be influenced by quality service which is improving better in the future; 79,5% participants to be influenced by reducing price in the future; 71% participants to be influenced by massage media changing Conclusion: There was relationship between personality and psychology factors: determined frequency of fast food consumption; their amount of money spent on fast food per month; their attitudes towards heath ix There was relationship between personality and marketing-mix factors: determined consumers‟ reasons for frequency of fast food consumption; their awareness of foreign brands fast food There was relationship between personality and marketing-mix factors: determined consumer‟s specific item fast food choices; their positive behavior on quality food and quality service, located outlets, price and adverts Finally, marketing mix factors (quality, price and message media) influenced on consumers‟ purchasing fast food x Table list Table 1: Statistics on population in center districts in Hanoi 41 Table 2: Summary of the number of fast food outlets in center districts in Hanoi 43 Table 3: Likert’s Scale with ranked question 45 Table 4: Layout of the questionnaire 45 Table 5: Over view of common statistical treatment 46 Table 6: Cronbach's Alpha was tested questions in part III 48 Table 7: Cronbach's Alpha was tested ranked questions in part IV 49 Table 8: Demographic variables and frequency of fast food intake 51 Table 9: Personality variables, frequency of fast food intake and money spent on fast food per month 53 Table 10: Demographic factors and attitude towards health 57 Table 11: Mean of C17_quality of food, C18_quality service, C19_outlets in the shopping malls 58 Table 12: Both quality of food and service, outlets located and frequency of fast food intake 59 Table 13: Outlets located, rebate period and adverts impacted on awareness of foreign fast food brands in Vietnam 63 Table 14: Reasons for buying fast food and items of psychology factors 65 Table 15: Demographic (age, education, lifestyle) with decorated fast food outlets and quality of food 71 Table 16: Quality of fast food relates to quality will be improved 73 Table 17: Quality of service relates to quality service will be improved 74 Table following shows result of test loose or tight variables related with Kendal‟ll tau_b and positive or negative variables related with Gamma 75 Table 18: Debate of period relates to price will be reduced 76 Table 19: Adverts influence on consumers’ purchasing fast food 77 xi Part II: Perception on Psychology factors B7 Are you interested in fast food? Yes No B8 What famous fast-food brand have you ever known in Vietnam? KFC Lotteria BBQ Pizza Hut Jollibee McDonald‟s Al Fresco Pepperonis B9 How often you visit a fast food outlet per month? Less than times 2-3 times At least times 8-12 times B10 How average of money does you pay a fast food restaurant per month (for both of you and members of your family/friends)? Less than $10 $10-$20 $20-$30 More than $30 B11 Who you often come along with you in fast-food restaurants? Alone Friends Colleagues Family B12 What you worry about most when you think of health (with fast food consumption)? Cancer Diabetes Heart disease Overweight B13 Which items following are you interested in? Drilled chicken Fried chicken Pizza Burger 91 Sandwiches Cake Salad Pasta Fried squid 10 Sushi B14 What kind of beverage your choice at fast food outlets? Soft drink Fruit juice Pure water Flavored water B15 Would you choose a healthier meal option? Yes No B16 Which information of fast food most when you think of health, does result of your choices? Calorie Nutrient Percentage of fat Preservatives Part III: Perception on Marketing-mix system factors C17 The quality of food is excellent (taste, flavor, delicious…) Do this result in your buying fast food? Strongly agree Somewhat agree Neutral Somewhat disagree Strongly disagree C18 Is the quality of service excellent (quick time, warm-hearted attitude, especially when caring of customers…) Do this result in your buying fast food? Strongly agree Somewhat agree Neutral Somewhat disagree Strongly disagree C19 Fast food outlets can easily find in the shopping malls, recreational towers or in the supermarket Do this result in your buying fast food? 92 Strongly agree Somewhat agree Neutral Somewhat disagree Strongly disagree C20 Fast food outlets often located in major streets, intersection, that makes things look and search easily Do this result in your buying fast food? Strongly agree Somewhat agree Neutral Somewhat disagree Strongly disagree C21 Do adverts (on billboard, television, radio, newspaper/ magazine, brochure, menu, decorated outlets ) result in your buying fast food? Always Sometimes Seldom Never C22 What are reasons for your purchasing fast food? Time limitations Convenience Taste Can‟t cook Due to friends/family Availability C23 You are interested in different sets of fast food? Strongly agree Somewhat agree Neutral Somewhat disagree Strongly disagree C24 Fast food outlets are decorated with eye-catching, consistent/ polite/ elegant looking Do this result in your buying fast food? Strongly agree Somewhat agree Neutral Somewhat disagree Strongly disagree 93 C25 You are interested in purchasing in the rebate period Do this result in your buying fast food? Strongly agree Somewhat agree Neutral Somewhat disagree Strongly disagree Part IV: Recommendation D26 If the fast-food manufacturers improve product quality (reduce fat, change the taste, smell to suit the Vietnamese), will you buy? Strongly agree Somewhat agree Neutral Somewhat disagree Strongly disagree D27 If the costs are being reduced 10%-20%, will you buy? Strongly agree Somewhat agree Neutral Somewhat disagree Strongly disagree D28 The media message will affect your buying fast food? Strongly agree Somewhat agree Neutral Somewhat disagree Strongly disagree D29 If the fast-food brands improve services quality (more quickly, more friendly attitude, willing to change when products not meet the requirement of customers…), will you buy? Strongly agree Somewhat agree Neutral Somewhat disagree Strongly disagree 94 APPENDIX B PLANCE.COM.VN I HOAN KIEM DISTRICT: There is no BBQ outlet KFC: outlets KFC Duong Thanh KFC Hoan Kiem Lotteria : outlet Lotteria Ga Hanoi Pizza: outlets Al Fresco Hai Ba Trung Pepperonis - Phan Dinh Phung Al Fresco Nha Tho Pepperonis – Ly Quoc Su Pepperonis - Ngo Quyen Mango Steak Pane e Vino Italian Restaurant & Wine Shop – Italia restaurant Fat Guy Pizza Shopping malls: Trang Tien Plaza Hai Tau Plaza HaproMart - 111 Le Duan II HAI BA TRUNG DISTRICT BBQ: outlets BBQ Lo Duc BBQ Pho Hue KFC: outlets 95 KFC Tran Dai Nghia KFC Pho Hue KFC Ba Trieu KFC Le Duan Lotteria: outlet Lotteria Dai Co Viet Pizza: outlets Al Fresco Hai Ba Trung Pepperonis - Nguyen Du Pizza Plus JVC IL Grillo Shopping malls : Siêu thị Citimart - Vincom Vincom City Towers Trang Tien Plaza Ruby Plaza III BA DINH DISTRICT BBQ: outlets BBQ Kim Ma BBQ Giang Vo BBQ Lieu Giai BBQ Doi Can BBQ Thanh Nien KFC: outlets KFC Nguyen Truong To KFC Nguyen Thai Hoc 96 Lotteria: outlets Lotteria Kim Ma Lotteria Hang Than Lotteria Ho Tay Pizza: outlets Al Fresco Lang Ha Al Fresco Nguyen Chi Thanh Pizza Express Pizza Home Hanoi Pepperonis - Bao Khanh Teeny pizza IV: DONG DA DISTRICT BBQ: outlet KFC: outlets KFC Huynh Thuc Khang KFC Giang Vo KFC Tay Son KFC Lang Ha KFC Ton Duc Thang KFC Parkson Lotteria: outlets Lotteria Pham Ngoc Thach Lotteria Ha Thanh Plaza Lotteria Thai Ha Lotteria Parkson Pizza: outlets 97 Pepperonis - Nguyen Chi Thanh Pepperonis - Giang Vo Pepperonis - Huynh Thuc Khang Alo Pizza - Tay Son - Hanoi PisaZo H‟Pizaa & cafe ThePisaZo Shopping malls: Center trademark Parkson Parkson - Viet tower Ha Thanh Plaza Mipec tower OTHER FAST FOOD RESTAUNRANTS without franchise: near about 20 outlets Those places supply many kind of fast food: foreign fast food like: pizza, pasta, salad, hot dog… Vietnam traditional food: fried rice… 98 REFERENCES Hitesh Bhasin, (2010) Personal factors affecting consumer buying behavior, 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http://www.lessius.eu/english/ku-leuven-academic-bachelors-andmasters/business-studies/master-courses-english/consumer-be http://ezinearticles.com/?Fast-Food-Concept&id=2833394 105 ... behavior purchasing fast food in Hanoi, Vietnam H1.1: Frequency of fast food (with demographic variables) H1.2: Money spent fast food per month (with demographic variables, frequency of fast food. .. factors relate to marketing- mix factors influence consumers‟ behavior purchasing fast food in Hanoi, Vietnam H2.1: Quality food and quality service relate to Frequency of fast food intake H2.2:... personality, psychology and marketing- mix factors effect on foreign fast food; find out the influence of marketingmix on utilizing fast food enterprises in Hanoi, Vietnam Method: A descriptive,