Summary of Economic Doctoral thesis: Corporate social responsibility, brand - customer relationship quality and switching brand intention in the consumer goods in Vietnam

Research theories CSR, brand identification (BI), brand relationship quality (BRQ), switching brand intention; verify differences in the influence of variables CSR, BI, BRQ on the switching brand intention; contribute a suggestion to brand managers, marketers in raising customer’s perception about CSR.

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TRAN NGUYEN KHANH HAI

CORPORATE SOCIAL RESPONSIBILITY,  BRAND – CUSTOMER RELATIONSHIP  QUALITY AND SWITCHING BRAND  INTENTION IN THE CONSUMER GOODS IN 

VIETNAM

Major: Administrations Code: 9340101

SUMMARY OF ECONOMIC DOCTORAL THESIS 

Ho Chi Minh City ­ 2019

Scientific instructors: Assoc. Prof. Ph.D. Nguyen Quang  Thu

Reviewer 1: ………

Reviewer 2: ………

Reviewer 3: ………

The dissertation will be defended in front of thesis scoring  council at the University of Economics Ho Chi Minh City  at …. hour …. day …. month …. year ….  The thesis can be found at the library: ……

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1. Tran Nguyen Khanh Hai and Nguyen Quang Thu, 2018. The role of brand identification in the relationship between corporate   social   responsibility   and   intent   to   transform 

brand. Economic Studies. Vol 4 (479), pp.50 ­ 59.

The impact of brand identification on brand – consumer 

relationship quality and switching brand intention. External  Economics. Vol 103, pp.30 ­ 42.

The impact of corporate social responsibility on brand – customer relationship quality and brand switching intention 

in Vietnam. Journal of Science. Vol 60, no 3, pp.106 ­ 119.

4. Tran Nguyen Khanh Hai, 2018. Consumers’ perceptions of corporate social reponsibiliy: A review of the literature and 

discuss directions for future research  Journal of Finance  and Marketing Studies. Vol 46, pp.52­64.

Corporate   social   responsibility,   brand   identification,   and 

brand switching intention in Vietnam  Journal of Finance  and Marketing Studies. Vol 45, pp.52­64.

6. Tran Nguyen Khanh Hai and Nguyen Quang Thu, 2018. Impact   of   corporate   social   responsibility   on   brand identification and brand switching intention in Vietnam

In the highly competitive service sector, it is important that service   providers   have   a  developing   differentiated   service brands to create a sustainable competitive advantage (Sreejesh and Roy, 2015). In reality, recently researches have shown that consumers   distinguish   the   brand   based   on   the   relationship which   they   have   developed   Therefore,   it   is   essential   to establish a relationship with customers through the marketing strategy of the business (Veloutsou, 2015)

To begin with, corporate social responsibility (CSR) plays 

a pivotal role in the context of customer interest in CSR. The power of a brand depends on what the customer has learned, felt, seen and heard about the brand through their experience, that  is, depending on customers’  mind (Hoeffler and Keller, 2002). Therefore, related images that derived from CSR can influence the brand through customers’ reaction

In addition, when customers are skeptical about the brand, along   with   the   diminishing   value   of   traditional   media   in branding, questions related to branding identification are more important in brand management (Tuškej et al., 2013)

To   evaluate   brand­customer   relationships,   the   brand identification (BI) and brand relationship quality (BRQ) are key factors (Lam et al., 2010; Bruhn et al., 2012; Kieu, 2016). BI is 

known as "the key psychological foundation for the profound,   committed,   and   meaningful   relationships   that   marketers   increasingly desire to build with their customers" (Bhattacharya 

and Sen, 2003, p. 76) can be a useful dimension to understand 

While it is rare research of switching brand intentions to mention about the customers’ emotional, state of relationship even though it has impacted on the switching (Lin, 2010).Kieu   (2016)   examined   the   relationship   between   brand­customer relationship quality and other  relationship structure such   as   brand   trust,   brand   identification,   loyalty   Future research may explore the prefix of brand identification because 

it is not included in the theoretical model. In addition, as the theory proposes other results of brand identification and brand­customer relationship quality, such as brand switching (brand name, Lam et al., 2010), Further research should also consider the results of this relationship

Thus, the exploration of customers’ perceptions about CSR 

is based on the triple­bottom line theory (TBL) in the BRQ and the result of this relationship is switching brand intention     is not interested. Therefore, the study identifies the relationship between customers’ perception of CSR based on TBL theory with BRQ and switching brand intention in the consumer goods 

in Vietnam, namely supermarket service is necessary

Especially   in   the   context   combination   of   TBL   theory, social   identification   theory,   relationship   marketing   theory   to build   the   relationship   between   CSR   concepts,   brand identification,   substance brand relationship  ­  the customer   is still a gap

1.2   Research objectives

­ Research theories: CSR, brand identification (BI), brand relationship quality (BRQ), switching brand intention

­ Identify and measure the impact of CSR, BI, BRQ on the switching brand intention;

­ Verify differences in the influence of variables: CSR, BI, BRQ on the switching brand intention;

­ Contribute a suggestion to brand managers, marketers in raising customer’s perception about CSR

 1.3   Objects and scope of the research 

The research objects are CSR, brand identification, brand 

relationship quality and switching brand intention

Theoretical   scope:   This   thesis   focuses   on   CSR   and   its 

results,   namely:   BI,   BRQ,   switching   brand   intention   in   the consumer   goods   in   Vietnam   The   author   is   based   on   the customer’s perception of the above concepts

The   survey   scope:   The   study   conducted   a   survey   of 

customers who regularly shop at the general retail supermarket 

in Ho Chi Minh City, in the context of the consumer goods, namely retail supermarkets

Time frame: Its data were collected from 2014 to 2018.

1.4 Research implications

Theoretical significance:

CSR   has   been   implemented   quite   a   lot   in   developed countries,   but   in   developing   countries   it   is   still   quite   new. Especially   in   Vietnam   with   specific   demographic characteristics,   orientations   and   policies,   there   may   be differences. The combination of these theories synthesized the fundamental   theories:   sustainable   development,   TBL,   social identification, relationship marketing and the concepts of CSR, brand   identification,   brand   ­   customer   relationship   quality, brand switching intention. This has contributed to the consumer behavior theory system.

Practical significance: The research results show managers 

and marketer in the field of retail supermarkets summarizing the situation of customer awareness about CSR. Since then, they set out suitable CSR plans, programs and actions to reduce their intention to switch brands

Research also helps managers and marketers understand the benefits of being aware of CSR by customers. It makes customers increase trust, satisfaction, commitment and reduce switching brand intention

Research supports the viewpoint in developing economies, businesses   should   invest   in   CSR   strategies   and   activities   to enhance   brand   identification,   strengthen   brand­customer relationship quality and reduce switching brand intention. 1.5   Structure of the thesis

The thesis includes five chapters: Chapter 1: Overview; Chapter   2:   Theoretical   Foundations   and   Research   Models; Chapter 3: Research Methodology; Chapter 4: Research results and Chapter 5: Conclusions

Social identity is the person’s perception that he belongs 

to   a   certain   social   group,   which   has   the   same   meaning   of affection,   interests,   characteristics   and   values   with   himself (Tajfel,   1972)   It   helps   to   predict   customers'   behaviors   and ability to move through other groups based on their perceptions 

of differences (Escalas, 2004)

A   social   identity   theory   is   an   appropriate   approach   to research   customers   and   brands;   so   many   researchers   have proposed   a   consumer   social   identity­brand   model   that illustrates   the   relationship   between   brand   and   customer; between   customers   and   social   identity;   and   between   social identity and branding (Nguyen et al., 2015). This combination occurs  when  there  is a match  between  the  customer,   social identity and the brand they own. 

2.3   Relationship quality theory

Crosby   et   al   (1990)   argue   that   the   quality   of   the relationship is the customer's perception of trust and satisfaction with the seller to reflect their positive relationship. Since then, 

many   scientists   have   inherited   and   developed   based   on   this definition   when   conducting   research   on   relationship   quality (Bejou et al., 1996; Dorsch et al., 1998; Roberts et al., 2003; Golicic, 2007).

2.4Reasonable action theory

Theory of Reasoned Action ­ TRA was first researched and introduced by Fishbein ­ Ajzen in 1967, continued to be revised and   supplemented   twice   in   1975   and   1987,   showing   that consumption   trend   was   the   factor   best   guess   consumer behavior

The   author   has   studied   the   impacted   of   the   social responsibility   to   switching   brand   intention   through   brand identification and brand ­ customer relationship quality in the perspective   of   customers;   so   only   focusing   on   customer’s perception   about   corporate   social   responsibility,   the relationship   between   awareness,   attitudes   and   behavioral intentions. This is shown in figure 2.4 below:

the   economic,   social   and   environmental   long­term   benefit   through   activities,   business,   policies   and   resources"   for 

to customers' perception

Brand identification concept

Brand identification is a person who realizes that he has 

"the mentality associated with the fate of the group, sharing the   common destiny and experiencing the success and failure of the   brand" (Mael and Ashforth, 1992, p. 104­ 105). In this view, 

brand   identification   is   a   sense   of   personal   similarity   with   a social group

Brand ­ customer relationship quality concept

Quality   of   brand­customer   relationship   is   defined   as 

"strength" and "depth" in brand­customer interaction (Smit et al., 2007; Hudson et al., 2015). It increases when customers feel the   brand's   program   meets   their   expectations   and   wants   to continue to stick with it

The model of brand commitment seems to be the most appropriate   framework   to   investigate   the   impact   of   both cognitive components (trust, satisfaction) and affective (brand 

commitment)   to   verify   the   relationship   between   brand   ­ customer   relationship   with   the   switching   brand   intention (Papista   and   Dimitriadis,   2012,   Fritz   et   al,   2014;   Veloutsou, 2015; Giovanis, 2017).

Switching brand intention

Intention is a sign of human readiness to perform a certain behavior, considered a direct premise of behavior (Ajzen, 1991). The intention to convert is a customer who stops buying the brand's goods or services and replaces it with another brand (Ping, 1994; Shin et al., 2008; Zhang, 2009)

2.5.2 Theoretical models and research hypothesis

Based   on   the   theoretical   foundation   of   CSR,   brand identification,   quality   of   brand­customer   relationship, identification of gaps, the author has proposed a research model with 04 groups of basic elements as construction prefix quality brand   relationships   ­   customers,   namely   CSR;   brand identification; brand – customer relationship quality; and the results of the brand­customer relationship quality, namely the switching brand intention

The   impact   of   brand­customer   relationship   quality   on switching brand intention

Nguyen  and Nguyen  (2010)  argued that  when  assessing and   maintaining   business   relationships,   the   quality   of relationships plays a key role. Customers also tended to conduct positive   behaviors,   such   as   voluntarily   helping   the   service organization   and   other   organization’s   customers   (Xie   et   al., 2017)

Customers   stayed   with   brands   that   have   higher   brand satisfaction and commitment (Şahin et al., 2011; Kokkiadi and Blomme, 2013). Therefore, when customers were not satisfied, the   risk   of   customers   switching   to   a   more   attractive   brand becomes bigger (Gulamali and Persson, 2017). This showed that the quality of the brand relationship was stronger; customer’s trust, satisfaction and commitment with the brand was higher. Since then, the hypothesis H1 has been as follows:

H1:   Brand   ­   customer   relationship   quality   has   a   negative   impact on switching brand intention

The impact of brand identification on  brand   ­  customer relationship quality, switching brand intention 

Based   on   the   social   identification   theory   that   when customers identified with the brand, they were ready to repeat purchase (Tukeke et al., 2013)

One   of   the   important   consumer   needs   was   the   self­expression  and  improvement   of   their   image   At   the   time  of buying the brand, they conveyed a specific image or social role. They   tended   to   identify   themselves   with   reputable   brands, because it increased their self­esteem and the need to belong to the  group  (Tajfel   and  Turner,   1985)   Customers  switched  to another brand with the aim of enhancing identification (Lam et al.,   2010)   In   other   words,   brand   identification   would   make customers feel more attached, consistent with the brand and the intention to transform the brand to become rarer

Research   by   Lam   et   al   (2010)   showed   that   brand identification   define   the   viability   of   brand­customer relationships

H2a: Brand identification has a negative impact on switching   brand intention.

H2b:  Brand identification has  a  positive impact  on brand ­   customer relationship quality.

The impact of CSR on switching brand intention, brand­customer relationship quality, brand identification

Stanaland   et   al   (2011)   suggested   that   CSR   encourages consumers  to trust  the brand  Garcia de los  Salmones et  al. (2005) pointed out that customer trust in a company's products 

or   services   is   directly   affected   by   their   perception   of   CSR. McDonald and Lai (2011) and Pérez and Rodríguez del Bosque (2015) found a significant positive relationship between CSR and   customer   satisfaction   Besides,   CSR   also   affected   the customer’s  commitment   (Inoue   et   al,   2017)   It   means,   when customers   trusted   through   CSR,   they   tended   to   bind   more brands,   switching   brand   intention   will   become   rare   and   the brand ­ customer relationship quality will be strengthened.The   attitude   of   customers   would   be   more   positive   for businesses that perform CSR activities than for businesses that 

do not implement CSR (Murray and Vogel, 1997) and when planning or conducting purchases they based on CSR images of businesses (Vlachos et al., 2009; Choi and Ng, 2011; Du et al, 2011). Obviously, CSR of enterprises affected the decision to own customers' goods directly and indirectly through customer identification with enterprises (Pérez et al, 2013). In this view, many scholars have shown that CSR affects brand identification