Organized-1-1 - essay essay - Tài liệu tham khảo | Đại học Hoa Sen

Faculty of Languages – International Cultures
Course: ANH320DE02 PROJECT 2 – PROJECT REPORT
THE IMPACT OF COVID-19 ON THE CHANGE OF
VIETNAMESE CONSUMER BUYING BEHAVIOUR
AND IMPLICATIONS FOR BUSINESS
Students’ Name: Vũ Thiên Hồng Code: 2196486 Lê Quốc Huy 2191523 Võ Bùi Trà My 2190077 Cổ Bảo Ngọc 2193756 Võ Hồng Kim Khánh 2190573 Nguyễn Thị Sông Lam 2198661
Submission date: Saturday, 09 July 2022
Faculty of Languages – International Cultures
Course: ANH320DE02 PROJECT 2 – PROJECT REPORT
THE IMPACT OF COVID-19 ON THE CHANGE OF
VIETNAMESE CONSUMER BUYING BEHAVIOUR
AND IMPLICATIONS FOR BUSINESS
Students’ Name: Vũ Thiên Hồng Code: 2196486 Lê Quốc Huy 2191523 Võ Bùi Trà My 2190077 Cổ Bảo Ngọc 2193756 Võ Hồng Kim Khánh 2190573 Nguyễn Thị Sông Lam 2198661
Submission date: Saturday, 09 July 2022 ABSTRACT
The COVID-19 pandemic has impacted heavily on the economy of Vietnam,
resulting the change in customer buying behaviours. Hence, it is necessary to take
research into changes so that the business could introduce implications for the
business. This research is aimed to find out the changes in buying behaviours, what
causes they change, how they perform, to what extend they impact customers and in
what way, and evaluate those ones. All information in this research is hoped to
contribute to the data base to serve businesses and understand customer buying
behaviour after COVID-19, which would assist businesses to find practical
solutions. In this research, we review several articles related to the topic to create a
literature review and conceptual framework. Moreover, we send the questionnaires
to collect data from various customers regardless of genders. Our findings indicate
that (a) the buying rate to online is slightly higher than that to offline and financial
affairs are more considered post-p n
a demic; (b) health care products are still be
priorities; (c) health care, foods, and electronics devices are preferred to buy in
physical stores; and (d) customers is in the habit of shopping online, though the life
has gotten back to normal. Our findings provide essential information to businesses
and indicate difficulties to providing services to customers. Hence, businesses could
review them and apply implications. i TABLE OF FIGURES
Figure 1: Sample of consumer buying behaviour participants ................................21
Figure 2: The shopping channels that consumers most commonly use ..................27
Figure 3: The two e-commerce platforms that consumers most frequently use ......28
Figure 4: The most three important factors that make customers choose online
shopping before the pandemic .................................................................................29
Figure 5: Customers' shopping frequency ...............................................................31
Figure 6: Categories of priority items of customer’s shopping ...............................32
Figure 7: Categories of priority shopping methods .................................................33
Figure 8: Online shopping rates after the pandemic ................................................34
Figure 9: The reasons why customers still choose online shopping after the pandemic
..................................................................................................................................35 ii TABLE OF CONTENTS
ABSTRACT ............................................................................................................... i
TABLE OF FIGURES .............................................................................................. ii
TABLE OF CONTENTS ......................................................................................... iii
CHAPTER 1: INTRODUCTION .............................................................................. 1
CHAPTER 2: LITERATURE REVIEW ................................................................... 4
2.1. Consumer buying behaviour ........................................................................... 4
2.1.1. Consumer behaviour ................................................................................. 4
2.1.2. Buying behaviour ..................................................................................... 4
2.2. Types of consumer behaviour/buying ............................................................. 5
2.2.1. Habitual buying behaviour ....................................................................... 5
2.2.2. Variety-seeking behaviour....................................................................... .6
2.2.3. Dissonance-reducing buying behaviour ................................................... 8
2.2.4. Complex buying behaviour ...................................................................... 9
2.3. Factors affecting consumer buying behaviour ..............................................10
2.3.1. Psychology..............................................................................................10
2.3.2. Authorities ..............................................................................................11
2.3.3. Society ....................................................................................................11
2.3.4. Personals .................................................................................................12 2.4. The impacts of COVID-1
9............................................................................14
2.5. The changes in consumer buying behaviour during COVID-19 ..................17
2.5.1. Buying goods and using digital services ................................................17 iii
2.5.2. New demand and product substitution behaviour ..................................18
2.5.3. Shopping patterns ...................................................................................19
CHAPTER 3. METHODOLOGY ...........................................................................20
3.1. Research questions ........................................................................................20
3.2. Data collection ...............................................................................................22
3.3. Data analysis..................................................................................................23
3.4. Procedures .....................................................................................................24
CHAPTER 4: FINDINGS AND DISCUSSION .....................................................27
4.1. How have Vietnamese changed in their purchasing behaviour during the
COVID-19 pandemic during the years 2020 to 2021? ........................................27
4.1.1. Consumers’ buying behaviour before the pandemic ..............................27
4.1.2. Consumers’ behaviour during the pandemic ..........................................30
4.2. Do those changes of Vietnamese consumer behaviour during the pandemic
still continue in post-COVID-19 period? .............................................................34
4.2.1. Consumers’ behaviour after the pandemic .............................................34
CHAPTER 5: CONCLUSION AND RECOMMENDATIONS .............................38
5.1. Conclusion .....................................................................................................38
5.2. The implication of business toward changes in buying behaviour ...............38
5.3. Limitations.....................................................................................................39
5.4. Recommendations .........................................................................................40
REFFERENCE .........................................................................................................42 iv
CHAPTER 1: INTRODUCTION
Due to the lethal nature and rapid spread, the acute pneumonia outbreak brought on
by the coronavirus pandemic (SARS-CoV-2) that started in Wuhan City (Hubei
Province, China) in early December 2019 has upended the lives of people all over
the world. Every part of economic life is impacted by COVID-19, which compels
individuals to alter their perspectives, take more immediate and drastic action, adapt
their behaviour, avoid meetings and huge groups, and enhance their methods for
preventing epidemics. The COVID-19 pandemic not only resulted in a health crisis
but also an unprecedentedly severe economic and social crisis.
In Vietnam, the COVID-19 epidemic has experienced four outbreaks and so far has
not ended. Although Vietnam is considered one of the few countries to respond well
to the epidemic, Vietnam's labour and employment market is also seriously affected.
Unemployment and underemployment during the COVID pandemic have led to the
lives of workers, especially self-employed workers, with a lot of difficulties since
there is no income or income is reduced. From a social perspective, COVID-1 9
impacts increasing the poverty and near-poverty rates in terms of income and
reducing the temporary incomes of households and workers. Besides the impact
related to health, economy, politics, society, consumer behaviour is also one of the issues affected by COVID-1 .
9 Financial pressures in households have reduced the
level of discretionary spending by Vietnamese consumers. One of the most striking
changes in the behaviour of Vietnamese consumers is that they look for more
affordable proposals to save the family budget. Therefore, the goal of the research is
to compare and evaluate the changes in customers' buying patterns before and after
the pandemic. In addition, it also discovers the new trend of customers buying
products for businesses depending on customers’ buying in COVID-19 pandemic 1
situation. Moreover, this research aims to give a better understanding of the major
issue potentially occurring during the pandemic and be well-prepared for future
crisis management. Furthermore, in order to establish suitable strategies for business
operation in order to adapt to new buying behaviours, the following questions directly led the research:
1. How have Vietnamese changed in purchasing behaviour during the COVID-
19 pandemic during the years 2020 to 2021?
2. Do those changes of Vietnamese consumer behaviour during the pandemic
still continue in post-COVID-19 period?
Under the entire picture of COVID-19 pandemic, this study has several specific
contributions to both the society and business field as a whole. First of all, based on
detailed theoretical analysis, an insightful understanding of the changes in consumer
buying behaviour would be developed, and acts as a fundamental basis to predict
potential shifts in shopping patterns if a similar crisis occurs in the future. Secondly,
these changes could still remain after the peak of COVID-19; hence, marketers or
enterprises could take advantage of them as a powerful tool to implement modified
business strategies and optimise their success. As a final point, as this is the first
study concentrating on the impact of COVID-19 on consumer buying behaviour and
its implications for the Vietnam market, the findings of this study could tackle
unexplored areas of this aspect and add certain values to the field. To this end, the
study will cover the changes in consumer shopping patterns during the time period
ranging from March 2021 to October 2021. The scope of this study is restricted to
analyse a sample of 120 customers whose age range is within 18-65 years old.
The structure of this paper is organised in the following order. The literature review
emphasises the theoretical background of consumer buying behaviour, and 2
significant influences of COVID-19 leading to specific changes in consumer
behaviour. The next section is Methodology which describes the chosen sample of
consumers and detailed methodology process of analysing the collected data. The
Findings part demonstrates the particular results and unexpected discoveries, which
is considered as the foundation of potential implemented business strategies. In the
last section which is Conclusion and Implications, highlights of the entire study will
be discussed in association with further suggestions on implications for some
specific aspects relating to the business field. 3
CHAPTER 2: LITERATURE REVIEW
2.1. Consumer buying behaviour
2.1.1. Consumer behaviour
Consumer behaviour is described by Walters (1974) as "the process by which
consumers choose if, what, when, where, how, and from whom to make purchases of products and services."
Another definition of consumer behaviour is given by Mowen (1993), who describes
it as "...the study of the buying units and the exchange processes involved in
acquiring, consuming, and disposing of commodities, services, experiences, and
ideas." This concept emphasises purchasing units in an effort to encompass both the
individual and groups that make purchases of goods and services.
Consumer behaviour is described by Schiffman & Kanuk (1997) as "the behaviour
that consumers demonstrate in searching for, buying, utilising, and discarding items,
services, and ideas." Consumer behaviour is consequently the study of how people
decide to spend their available resources (time, money, and effort) on consumption-
related things, according to Schiffman & Kanuk's (1997) elaboration of the term. It
covers the examination of what, why, when, where, how frequently, and how people
use the purchased goods. Additionally, it includes all the behaviours that consumers
exhibit when they look for, buy, use, evaluate, and discard goods and services that
they anticipate will meet their requirements.
2.1.2. Buying behaviour
Buying behaviour includes when and where customers shop, what they buy, and how
much they spend are all based on buying behaviour. The actions taken when 4
purchasing goods and services for sale both online and in person are those who make
decisions and take actions related to the use and purchase of the product, referencing
the steps taken by the user. consumption. They have to look up and dig through the
comments on social networks to find the right product for them. Organisations must
always align their marketing practices and initiatives to deliver the best results for
consumers. "Consumer buying behaviour" refers to consumer buying behaviour.
The company's strategies must always have a strong impact on each activity that
takes place in order to bring about greater benefits. The business must create the
marketing mix (MM) to provide value to its customers. Inquiry about buying and
selling activities between customers and chain stores. Advertising campaigns and
how consumers respond will bring good results if businesses know how to anticipate
and reap the benefits later. (Demand Jump, 2020).
2.2. Types of consumer behaviour/buying
2.2.1. Habitual buying behaviour
On the external research MBA Skool about the definition of habitual buying
behaviour which is a term of consumer behaviour used to describe a frequency of
commodity purchases without high involvement and thoughts. Specifically, the
customers usually are repetitive buying behaviour within numerous already known
brands and essentials that are useful for the process of using rather than looking for
alternatives’ uncertainty (MBA Skool Team, 2021). However, Sheth, Jagdish (2020)
exposed explicitly in “Impact of COVID-19 on Consumer Behaviour: Will the Old
Habits Return or Die?”, the habitual buying behaviour in context of lockdown and
social distancing that those contextual definitions are considered into four elements.
From the perspective of social terms, the first change is life events, community,
workplace and relationships. Continuously, because of influences from 5